Which statement best describes the utility of the terminal digit filing approach?

• A. It organizes by patient last name
• B. Terminal digit filing helps identify misfiled records
• C. It sorts by service date
• D. It groups records by borrower

Answer: (B)

Terminal digit filing arranges records by the last two digits of the filing number, creating a predictable sequence across the filing system. The main advantage is that it helps identify misfiled records: when a file is placed in the wrong terminal-digit group, that deviation is visible during routine checks, making misfiles easier to spot and correct. This focus on detecting misplacements is what makes it particularly useful. By contrast, organizing by patient last name uses alphabetical order, sorting by service date relies on dates, and grouping by borrower targets a different category of records, so they don’t serve the same purpose of quickly revealing misfiles.