How are charges, allowed amounts, and payments reflected on CMS-1500 lines?

How are charges, allowed amounts, and payments reflected on CMS-1500 lines?

• A. The billed charge is the amount billed by the provider
• B. The allowed amount is the payer’s approved amount
• C. The billed charge is the amount billed by the provider; the allowed amount is the payer’s approved amount; patient responsibility reflects remaining amounts after payments
• D. The patient pays the difference between billed charge and allowed amount

Answer: (C)