information on CMS reimbursement systems. There are many related termsand issues associated with this reimbursement system. Federally administered health care programs have a payment system that includes a predetermined reimbursement methodology. Part of this system includes PAR and non-PAR medical charges.Explain how reimbursement differs between PAR and non-PAR charges. Also, include an answer to the questions1. Calculate the following amounts for a PAR that bills Medicare:Fee presented (based on provider’s regular office visit fee) is $ 75.The Medicare Physician Fee Program (PFS) is $ 60.The coinsurance amount (paid by the patient or supplemental insurance) is $ 12.Medicare payment (80% of the allowed amount is _____?Medicare write-off (not paid to Medicare or beneficiary ____?2. Calculate the following amounts for a non-PAR billing Medicare:The presented charge (based on the provider’s regular rate) is $ 650Non PAR Medicare Physician Rate Plan allows a payment of $ 450Limit charge (115% of the MPFS allowed amount) is ______?Medicare payment (80% of MPFS allowed amount) is ______?The beneficiary is billed the balance of the limiting charge $ 149.63Cancellation of Medicare (which should not be paid by the beneficiary’s Medicare) is ____?and what happens when Medicare denies a claimExplain the steps.BusinessHSA 1250
