In the Jenny case, Acme owes $1,305.50; payment arrives as $1,200. The $1,200 is best described as which of the following?

• A. Billed Amount
• B. Posted Write-Off
• C. Expected Amount
• D. Paid Amount

Answer: (D)

In this scenario, the key idea is distinguishing what was invoiced versus what was actually received. The amount owed (billed) is 1,305.50, but the cash that arrives is 1,200. That 1,200 is the actual money received from the payer, so it’s the paid amount. It reduces the outstanding balance, leaving 105.50 still due unless more is paid or the balance is written off later. The other terms describe different concepts: what was charged to the patient (billed amount), what is anticipated to be received (expected amount), or an adjustment for uncollectible debt (posted write-off). Since payment has been received, the best description for the 1,200 is the paid amount.