The coding department of Community Physician’s Clinic is interested in purchasing a software program that will edit claims before they are sent to the Billing Office. The license fee for the software is $60,000 per year. The software is expected to reduce the number of errors on claims and thus reduce the number of claims (denials) returned to the clinic for recoding. Currently, the department codes 47,600 provider visits per month and 500 claims are returned each month for recoding. The facility pays two FTEs in the Billing Office $14.00 per hour each (plus 25 percent benefits) to refile the returned claims. The software company promises that its software will reduce the number of returned claims by 90 percent.What is the rate of claims that are currently being returned for recoding each month? Round to two decimal places.

You have a lot of extraneous information.

500/47,600 = ?

To find the rate of claims that are currently being returned for recoding each month, we need to divide the number of claims returned by the number of provider visits and multiply by 100 to obtain a percentage.

Let's calculate it step-by-step:

1. Calculate the number of claims returned per month:
Claims returned = 500

2. Calculate the number of provider visits per month:
Provider visits = 47,600

3. Calculate the rate of claims returned:
Claims rate = (Claims returned / Provider visits) * 100

Claims rate = (500 / 47,600) * 100
= 1.05%

Rounding to two decimal places, the rate of claims currently being returned for recoding each month is 1.05%.

To find the rate of claims that are currently being returned for recoding each month, we need to divide the number of claims returned by the number of provider visits.

The coding department currently codes 47,600 provider visits per month and 500 claims are returned each month for recoding.

Rate of claims returned per month = (number of claims returned / number of provider visits) * 100

Rate of claims returned per month = (500 / 47,600) * 100

Rate of claims returned per month ≈ 1.05%

Therefore, the rate of claims that are currently being returned for recoding each month is approximately 1.05%.