FACHE Weeks 1-12 Combined

What are 2 main differences between Certification versus Licensure?

- Certification is a non-government granted approval - Recognition of qualifications

Name 3 Licensed Independent Practitioners (LIPs)

- Certified Nurse Midwife - Podiatrist - Dentist

Name 3 Clinical Support Service professionals QA issues beyond formal education.

- Resolution of differences between professionals - Training and supervision of non-professional personnel - Maintenance of skill for qualified professionals

Name 4 purposes of Nursing

- To promote health, including emotional and social well-being - To prevent disease and disability - To minimize the consequences of disease - To encourage rehabilitation

Name 3 processes recognized by NCQA and TJC for privileging physicians:

1) Bylaws 2) Privileges 3) Peer Review

Name 3 functions of a physician organization?

1) Improvement of clinical quality and cost expectation 2) Credentialing and privileging of physicians 3) Continuing education for physicians and other clinical professionals

Name 3 reasons for the change to healthcare delivery from a fee-for-service to managed care:

1) Increased cost to employers 2) Overall societal belief that optimal use of limited resources is more appropriate than maximal use 3) Need to increase efficiency in the overall health system

Name 3 purposes of nursing

1) Promote health, including emotional and social well-being 2) Prevent disease and disability 3) To promote environmental, physical, cognitive, and emotional support in illness

Name 2 purposes of the HC Quality Imrovement Act, Title IV of P.L. 100-177 of 1986:

1) Reduce the chance of incompentent physicians moving to a new location 2) Reduce the chance for physicians to misrepresent his/her skills

Government at all levels paid what percentage of total healthcare in the year 2000?

60%

Match the correct definition for each of the five management functions. 1. Planning - c 2. Organizing - b 3. Staffing - e 4. Directing -d 5. controlling - a a) Collecting information about and monitoring activities and performance, comparing actual with expected results, and intervening as necessary b) Developing intentional relationships among staff and other resources c) Deciding prospectively what to do or determining a course of action for the organization d) Initiating action by leading, motivating, and communicating with staff e) Acquiring, retaining, and maintaining human resources

??

What is not a role of the President of the Board? a) Periodic board member assessments b) Conducts CEO's annual performance evaluation c) Provides notice of board or committee meetings, when notice is required d) Negotiates compensation and benefits of the CEO

??

What is the difference between the income statement, statement of cash flows, and contribution margin? a. Income Statement - Presents revenue earned and expenses incurred over a period of time b. Statement of cash flows - Presents either directly or indirectly the major sources of case and the major uses cash. Shows sources and uses from operating activities, investing activities, and financing activities. c. Contribution margin - is calculated by subtracting variable cost from price. Thus amount per item indicates the amount each sale contributes towards fixed cost. The higher the contribution margin the faster you will cover fixed costs and begins making money.

??

Which of the following statements is true: By understanding the quality continuum in healthcare, managers can begin to see: a) Success at CQI but not attainment of quality organizational culture b) Why defining clinical practice guidelines does not in itself guarantee healthcare quality c) Why organizational development efforts, independent of clinical context, may not yield expected results d) All of the above

??

A more mature healthcare organization will display the following characteristic along the quality continuum for healthcare managers: a) Hospital leaders demonstrate quality through their actions and through the direction they set for the organization b) Quality is the job of specialist, while responsibilities for both JCAHO and continuous improvement belong to the CQI department c) Meeting JCAHO standards is the primary focus d) Elimination of defects is the hallmark of the quality program

A

Antitrust Laws apply to all except: a) Physician Contracts b) Supplies c) Pharmacy items d) Not-for-profit hospitals

A

As to the Manage Care Continuum, from the least control to the most control, which of the following orders is correct? a. Managed Indemnity->Service Plans->Closed-Panel HMO's b. Closed-Panel HMO's->Service Plans->Managed indemnity c. Service Plans->Closed-Panel HMO's->Open-Panel HMO's d. Point-of-Service Plans->Closed-Panel HMO's->Preferred Provider Plans

A

From the "Management & Managers" chapter in "Managing in the Health Services Environment", one conceptualization of the roles of managers views them as playing a "trinity" of roles; those three roles are described as: a) Designer, leader, and strategist b) Developer, despot, and diviner c) Creator, coordinator, and theorist d) Educator, expert, and evaluator

A

Healthcare Managers' responsibilities in telecommunications activities include the following tasks except: a) Choosing software and hardware b) Defining roles and needs of the department c) Helping define specific data for their area's needs d) Overseeing technology activities within their area

A

How many planning issues can and should be dealt with in the strategic planning process if the planning is going to lead to a successful outcome? a) Limited b) All c) Most d) Some

A

In the IT System Development Life Cycle, which is the most important step: a) System Analysis b) System Design c) System Acquisition d) System Implementation

A

Sarbanes-Oxley is important for all of the following reasons EXCEPT: a) Permits limited loans to directors and managers, helping to avoid conflicts of interest b) Promotes greater disclosure of financial transactions c) Provides increased protections for Whistleblowers d) Includes Criminal Sanctions for non-compliance

A

The Board of Directors obligations include: a) The duty of care, the duty of loyalty, the duty of disclosure b) The duty of loyalty, the duty of disclosure, the duty of ethical practice c) The duty of confidentiality, the business judgment rule, duty of sound investment d) The business judgment rule, the duty of care, the duty of loyalty, the duty of finance

A

The following statement regarding foundations is true. a) To shelter income from regulatory control, a foundation must maintain operational independence from the hospital. b) Foundation and hospital boards can be the same board. c) Foundations and hospital boards must share the same purpose clause. d) Ideally, foundations should make grants to the hospital corporation to show their dependency

A

The purpose of a "Living Will" is: a) establish laws that define when life support measures are futile b) allow persons unable to communicate with caregivers to express their wishes about the extent of treatment they wish to have applied c) allow a person to take their own life if there is no hope for a productive life after a long term illness d) allow a person to define the distribution of material wealth after die

A

What are two primary reasons why governing boards stray into operations of a healthcare institution? a) Operational matters are considerably easier than addressing policy issues and they have lost faith in the CEO. b) Board members can relate back to their own experience in business and it's measurable. c) Changing market demands and measurable quality outcomes. d) Quality of care is in questions and the role of the board is that of a fiduciary.

A

Which of the following "Performance Measures" is not one of the measures reviewed for overall performance? a) Board Satisfaction b) Worker Satisfaction c) Patient Satisfaction d) Customer Satisfaction

A

Which of the following is not a guideline measure for evaluating Performance? a) Threads b) Competitors c) Benchmarks d) Expectations

A

Which of the following is not an element of consent: a) Competent b) Voluntary c) Ethical d) Informed

A

Which of the following statements is NOT true regarding physician representation on the board for a healthcare organization? a) Doctor's perspectives are influenced by their specialties. One or two doctors can reasonably represent the view of all doctors on important issues. b) Hospitals that have physicians in board roles have better mortality and morbidity performance. c) Independent physicians cannot use the organization board to further their economic advantage. d) Many organization set seats aside for physicians and solicit nominations from the medical staff.

A

Which one of the following is not a benefit of an ethical culture? a) Improve employee morale b) Increase employee satisfaction c) Positive public and community relations d) Better compliance with regulatory requirements

A

Which statement is most accurate? a) CQI is one of the three principles of TQ b) TQ is a component of CQI c) TQ is a principle of Customer Focus d) Customer Focus is a principle of CQI

A

________holds that divine law has inscribed certain potentialities in all things, which constitute the food of those things. __________is based on Aristotelian thought as interpreted and synthesized with Christian dogma by St. Thomas Aquinas. a) Natural Law, Natural Law b) Natural Law, Deontology c) Utilitarianism, Rawl's Theorgy d) Deontology, Utilitarianism

A

The Chief Executive Officer (CEO) leads the executive office with the senior management team. Which one of the following best describes the role of the CEO? a) Assigns accountability for operations b) Makes organizational decisions as the chief decision maker c) Serves as an organizational stakeholder d) Deals directly with actions

A. Assigns accountability for operations and allows decisions of great importance to be made at every level of the organization. The CEO is an agent of the stakeholder consensus established by the governing board. The CEO deals with design methods by which questions are decided rather than dealing directly with actions

Cost behavior concept consists of both variable and fixed cost; as such costs are volume sensitive. Therefore, Variable Cost Rate: a. Remains the same when volume increase b. Total variable cost increase with volume c. Fixed cost decrease with volume d. Variable cost rate always changes.

A. Healthcare Finance-Chapter 5 pp.132. Variable Cost Rate is not affected by activity; however, Total Variable Cost increase or decrease proportionately as activity changes

The three components of financial management are: a. Financial planning, long term capital acquisition, short term assets/liabilities b. Financial planning, resource consumption, resource conservation c. Net revenue, net costs, liabilities d. Revenue, costs, liabilities

A. Ref: The Well Managed Healthcare Organization by John R. Griffith.

Which of the following refers to a situation in which members of a protected class are significantly underrepresented because of the organization's employment policies and procedures? a) Disparate Impact b) Four-Fifth's Rule c) Disparate Treatment d) Reasonable Accommodation

A; Disparate Treatment is when employees in the same organization are treated differently because of their race, color, religion, sex, national origin, age, or disability

JACHO performance standards mandate collecting data for high risk processes. High risk processes include all of the following EXCEPT: a) Patient complaints b) Restraint use c) Outcome of resuscitation efforts d) Blood product use

A; Is not a high risk process

If management functions are seen as being interrelated like the pieces of a puzzle, which piece below does not fit: a) Direct work; does the front line work the staff can not perform b) Planning; deciding in advance what is to be done c) Staffing; acquiring, maintaining, and retaining human resources d) Organizing; developing intentional patterns of relationships among people and other resources

A; Management is general not doing front line work and instead concerns themselves with planning, organizing, decision making, controlling, directing, and staffing

Which of the following is an uncontrollable factor in a marketing plan: a) Economic environment b) Budget c) Personnel d) Creativity

A; The other choices are considered to be controllable factors in a marketing plan.

All of the following are used to determine validity in employee selection tools except: a) External validity b) Criterion-related validity c) Content validity d) Construct validity

Answer: A. Criterion related validity is the extent to which a selection tool is associated with job performance. - Content validity is the extent to which a selection tool representatively samples the content for which the measure will be used - Construct validity is the extent to which the selection tool measures the construct it is intended to answer

The Employee Retirement Insurance Security Act (ERISA) regulates which of the following: a) Funding of unvested pension liabilities b) The employer's obligation to offer pensions and contribute to them if offered, to vest those contributions, and to fund pension liabilities through trust arrangements. c) The dollar value of incentives used to encourage or discourage retirement at age 65 d) The division of investment between equity and fixed dollar obligations and selection of those investments

Answer: B. - The pension itself, but not necessarily other retirement benefits, is regulated under ERISA. Regulations for ERISA specify the employer's obligation to offer pensions, to contribute to them if offered, to best those contributions and to fund pension liabilities.

Which of the following is an advantage of internal recruitment? a) Bring new personnel into the organization b) May result in a lower cost for some jobs c) May lead to inbreeding d) May improve morale for those not selected for the position

Answer: B. Freed lecture notes from PowerPoint slides. Advantages of internal recruitment include improved morale for those selected for the position. This may also lead to inbreeding which may or may not be considered a positive for the organization. The best answer is B. This hire may result in a lower cost for some jobs. It also can serve to motivate the selected individual to perform well in their new position.

With employee participation in an organization, all of the following promote productivity except: a) Guaranteed individual rights b) Measures to build individual effectiveness c) Some form of profit sharing or gain sharing d) Job security and long term employment

Answer: B. Levine and Tyson noted that employee participation produces short run gains in productivity and some times substantial long term improvements. Apart from other characteristics described above, measures to build group cohesiveness, not individual effectiveness, and promotes productivity. Other studies also emphasize elements of group cohesiveness and individual rights, particularly the role of responsive supervisor.

What is not considered a type of Performance Management Interview? a) Developmental b) Promotional c) Maintenance d) Remedial

Answer: B. Promotional is not a type of Performance Management Interview - the remainders are Formal vs. Informal and frequency.

If reductions in force are necessary, which of the following actions is most likely to cause impairment to the organization: a) Workforce planning allows the use of natural turnover to decrease the number of employees b) Terminations are based on a combination of performance reviews and the highest compensated staff at each position c) Temporary and part-time workers are reduced first d) Early retirement programs are used to encourage older employees to leaver voluntarily

Answer: B. Terminations should be always be a last resort, and when used, they should be based on seniority (lack thereof) or other well understood rules that are judiciously applied.

Which are not the most common types of questions asked in a structured interview? a) Situational b) Performance Based c) Experience Based d) Work Requirement

Answer: B. The most common types of questions asked in a structured interview are all included in A, C and D

Incentive Compensation should take into consideration a) Entitlement b) Longevity c) Overall performance d) Cost-of-living adjustments

Answer: C. Incentives are related to overall performance and are awarded to individuals based on their perceived contribution.

What is not a disadvantage of internal recruitment? a) In breeding b) Infighting for promotions c) Lower cost d) Strong Management Development program requirement

Answer: C. Lower Cost is an advantage of internal recruitment

Managerial accounting test of costs and revenues include all of the following test except: a. Control b. Comparability c. Validity d. Profitability

Answer: C. Managerial accounting test include control, comparability, and profitability. Griffith, The Well-Managed Healthcare Organization, pg. 521\

Position Control protects an organization against all of the following except: a) Paying the wrong person b) Hiring in violation of the organization's established policies c) Overspending the labor budget d) Issuing duplication checks

Answer: C. Position control does not protect against overspending the labor budget or against errors in hours, rates or benefit coverage.

All of the following are essential foundations for good grievance management except: a) Sound employment policies b) Effective education for supervisors and workers c) Systems that emphasize sanctions over rewards d) Supervisory training that emphasized the importance of responding promptly

Answer: C. Rationale: Good grievance management does not emphasize sanctions over rewards. It emphasizes rewards over sanctions.

Which statement most closely describes the purpose or function of financial accounting: a. It produces the data for profitability and comparability tests b. It restructures transaction accounting data to support planning, setting expectations, and improving performance. c. It records and reports all transactions affecting the value of the firm and it subsidiaries d. It states as accurately as possible the position of the institution as a whole in terms of the value of its assets, the equity residual to its owners, and the change in value occurring in each accounting period.

Answer: D. Choices A and B pertains to managerial accounting: choice C describes transaction accounting. Source: The Well Managed Healthcare Organization, p. 529.

Patient Classifications Systems classify patient demand and nursing care based on: a) Diagnostic Category b) DRGs c) Number of FTEs d) Acuity or severity of illness

Answer: D. Patient classification systems are tool that classify patients demand and nursing care based on acuity and severity not diagnostic category. Source: Bruce J. Fried, PhD. Slide-Patient Classification Systems

The following are all methods of job evaluation EXCEPT: a) Point method b) Job ranking c) Job classification d) Behaviorally anchored rating scale

Answer: D. The behaviorally anchored rating scale is a technique of performance appraisal

The first three major steps in developing operating budgets are: a. Review of plans and financial resource, preparation of information packages and preparation of decision packages. b. Preparation of decision packages, delivery of packages, and decisions making c. Decision preparation, delivery of packages, decision making d. Preparation of information packages, delivery of packages, purchase decisions

Answer: Major steps in developing operations budgets: review of plans and financial resources; preparation of information packages; preparation of decision packages; reiterations of step 3 to improve compliance with guidelines from step 1; recommendation of final budget to board; and, and distribution of copies of approved budget and implementation.

All of the following personal activities and services are commonly offered to employees in healthcare organizations except: a) Employee Assistance Programs b) Infant and child care c) Credit Unions and payroll deductions d) Termination Protection Insurance

Answer: The Well-Managed Healthcare Organization Book, page 606.???

The role of the CIO includes: a) Advise executive team on use of information b) Oversee IT Department for Information Technology c) Oversee IT Department for Telecommunications d) Train and support end users

Answer: This is a function of the IT Department PowerPoint Presentation??

A board member is not considered to have a conflict of interest if a) Has a compensation arrangement with a Corporation, entity or individual that the Corporation has a transaction has a transaction. b) The board decides that no conflict of interest exists. c) An ownership or investment interest in any entity with which the Corporation has a transaction or arrangement. d) A potential ownership or investment interest with any Corporation, entity or individual with which the Corporation is negotiating a transaction.

B

A board member is not considered to have a conflict of interest if: a) Has a compensation arrangement with a Corporation, entity or individual that the Corporation has a transaction b) The board decides that no conflict of interest exists c) An ownership or investment interest in any entity with which the Corporation has a transaction or arrangement d) A potential ownership or investment interest with any Corporation, entity or individual with which the Corporation is negotiating a transaction

B

A comprehensive information security policy should include all of the following elements except: a) Management Policies b) Data back up and recovery c) Physical security d) Technical controls

B

Advantages of outsourcing include all of the following except, a) Staffing reductions b) Increased implementation time c) Smaller capital investments d) More predictable costs

B

An organization committed to open systems, community-focused strategic management, and continuous improvement is by definition: a) A well managed organization b) A learning organization c) A cost conscious organization d) A non-profit organization

B

Clinical quality measures include all except: a) Appropriateness b) Labor expenses c) Efficiency d) Effectiveness

B

Decision theory suggests four routes to improving the contribution of medicine to health or improving the quality of care. Which of the following is not one of the four routes: a) Improving the selection of intervention b) Reducing the cost of expenses c) Increasing the value of intervention d) Reducing the cost of intervention

B

Differentiation is the extent to which units produce the same complementary or disparate scope of services. Structures that combine similar organizations have a low differentiation and are said to be: a) Vertically integrated b) Horizontally integrated c) Diversified d) Technically integrated

B

EMTALA (the Emergency and Medical Treatment of Labor Act) ensures: a) All pts will receive free medical care if covered by Medicaid b) In an Emergency room setting, provides that all patients will be offered a medical screening exam by a qualified provider without a prior determination of ability/means of payment c) Ensures that only patients in active labor receive quality medical care regardless of ability to pay d) Prohibits hospitals from denying transfer of a patient even if they do not have the medical capability to treat such patient

B

For most members of well-managed organizations, the front office is: a) A source of authority b) A resource and a guide c) A major stakeholder d) A decision maker only

B

Good financial and annual reports have the following characteristics in common with the exception of: a. Clarity b. Strategic c. Timely d. Accurate

B

In Mintzberg's view, almost all organizations can be included in one of five basic designs. Which form is characterized by an operating core that is composed primarily of professionals that form the heart of the organization? a) Divisionalized form b) Professional bureaucracy c) Adhocracy d) Machine bureaucracy

B

Of the four design characteristics of budgeting, which characteristic integrates budgets into one document? a. Incremental versus Zero Based Budgeting b. Comprehensive versus Limited in-Scope budgeting c. Fixed versus Flexible Budgeting d. Discrete Versus continuous Budgeting

B

One of the functions of an IS system is to ensure the integrity, quality, and security of data. Which of the following does not fall in this content area? a) Defines measures and terminology b) Captures historic as opposed to current data c) Improves the process for data input d) Guards against data loss

B

Radio microwave signals travel in a straight line requiring what to follow curvature of the earth? a) Mirror b) Repeaters every 30 miles or satellite c) Drum d) Microphone

B

Select the role of a CEO below that would not further the board's governance ability: a) Keep the board fully informed b) Help the board stay involved with key management selection c) Help recruit new board members d) Provide timely information to the board

B

Strategic planning has been used by healthcare organizations somewhat sporadically since: a) 1950 b) 1970 c) 1980 d) 1990

B

The Dual Nature of Quality is important for healthcare managers to understand because: a) It evaluates not only the physician's ability to diagnose an illness correctly, but also evaluates the physician's ability to carry out a procedure related to that diagnosis. b) It includes both content quality and service quality c) Managers can only impact administrative aspects of quality, while physicians control the patient encounter. They must work together to achieve total quality d) Each competing aspect of quality works against the other unless clearly defined management roles are embraced.

B

The Ethical Principle that obligates an individual to act with charity and kindness is: a) Respect for persons b) Beneficence c) Nonmaleficence d) Justice

B

The PDSA Cycle is also known as the: a) Stuart Cycle b) Shewhart Cycle c) Gerteis Cycle d) None

B

The Sarbanes-Oxley Act of 2002 is now considered best practice the five areas Non-Profit Organizations must concern themselves with are: a) Reorganizing their financial committee b) Executive certification of financial c) Developing an ethics committee d) Setting standards for the Quality Committee

B

The board chairman is more effective when he/she : a) Delegates effectively to the board b) Works to support the board members c) Works to support the management team d) Balances the perspective of the Chief of the Medical Staff and the CEO

B

The capital budget... a. Is completed prior to the operating budget b. Is completed after the operating budget c. Is completed simultaneously with the operating budget d. Is part of the strategic plan and therefore completed every 5 years.

B

The continuous improvement approach to strategic planning, an effort to link all levels of resource allocation closely to customer needs is called: a) Epidemiologic planning b) Hoshin planning c) Flexibility planning d) Trend planning

B

The five functions of Information Services includes the following: a) Development of content for all clinical applications b) Maintenance of the information services plan c) Cost control d) Communication between all members of an organization

B

The following answer represents the sequence of events of a multi-step ethical decision-making process a) Identify affected stakeholders and values -- Clarify the ethical conflict -- Understand Circumstances surrounding the ethical conflict -- Identify the ethical perspective relevant to the conflict -- Identify different options for action -- Select among the options -- Share and Implement the decision -- Review the decision to ensure it achieved the desired goal. b) Clarify the ethical conflict -- Identify affected stakeholders and values -- Understand Circumstances surrounding the ethical conflict -- Identify the ethical perspective relevant to the conflict -- Identify different options for action -- Select among the options -- Share and Implement the decision -- Review the decision to ensure it achieved the desired goal. c) Understand Circumstances surrounding the ethical conflict -- Clarify the ethical conflict -- Identify affected stakeholders and values -- Identify the ethical perspective relevant to the conflict -- Identify different options for action -- Select among the options -- Share and Implement the decision -- Review the decision to ensure it achieved the desired goal. d) Clarify the ethical conflict -- Identify affected stakeholders and values -- Identify the ethical perspective relevant to the conflict -- Understand Circumstances surrounding the ethical conflict -- Identify different options for action -- Select among the options -- Share and Implement the decision -- Review the decision to ensure it achieved the desired goal.

B

The following executive's role has an inside, implementation focus that complements the CEO. They are accountable to deliver on the short-term expectations for cost, demand, quality, patient satisfaction and quality of work life: a) CNO b) COO c) CFO d) VP of Human Resources

B

The four principles of Marketing are Product/Service, Price, Product/Location and a) Brand b) Promotion/Communication c) Innovation d) Trade Advertising

B

The mission statement of a healthcare organization should specify which three things: a) Long range plans, JCAHO/HSI scores, profit margin b) Community to be served, Scope of Service, Financial constraints c) Joint ventures, employee satisfaction rating, scope of service d) Long range plans, joint ventures, employee satisfaction rating

B

The most effective number of members of a Board of Directors is: a) 16-25 b) 10-15 c) 8-10 d) 5-8

B

The type of computer network that allows multiple workstations to share the data contained in files on a server is called: a) Peer Network b) File/Server c) Terminal Host Systems d) Client/Server Computing

B

Well-managed healthcare organizations use three strategies to accommodate the realities of the political model. Which of the following is NOT one of these strategies? a) Reliance on open systems and community-based strategic management theory b) Cultivate effective working relationships with CEOs and other board members c) Deliberate identification and correction of dissatisfaction d) Commitment to Samaritanism

B

What is the difference between act utility and rule utility when considering the Utilitarianism philosophy? a) "Act" believes if it feels good do it whereas "rule" plays strictly by the rule book b) "Act" measures the amount of good and the amount of bad brought about by a decision whereas "rule" considers the amount of good and the amount of bad brought about by the action and then develops a set of rules for an action c) "Act" only considers one person to be affected whereas "rule" looks at everyone affected d) "Act" sometimes references pre-established rules whereas "rule" considers rules "on the fly"

B

What stage is healthcare strategic planning in it developmental process: a) Mature b) Immature c) Middle d) Beginning

B

Which CQI tool is most effective for representing data over time to assist in the monitoring of progress: a) Workflow diagram b) Run chart c) Lead-time analysis d) Pareto chart

B

Which is not a type of quality measure? a) Structure b) Appropriateness c) Process d) Outcomes

B

Which is not example of a Strategic Decision Support Application? a) Strategic planning b) Disease management c) Marketing d) Resource allocation

B

Which is not one of the "protected" classes under Equal Employment Opportunity Legislation? a) Religion b) Job Classification c) Age d) Disability Status

B

Which is the recommended first step to be taken in addressing a potential Ethical issue? a) Understand the Circumstances Surrounding the Ethical Conflict b) Clarify the Ethical Conflict c) Identify all of the affected stakeholders and their values d) Identify the Ethical Perspectives Relevant to the Conflict

B

Which of the following Quality Performance Measurements will provide evidence of Improvement? a) Patterns b) Outcomes c) Indicators d) Measures

B

Which of the following actions is best suited to offset any claims of conflict when voting on hospital fiduciary issues? a) Review the organization's written investment policy prior to the meeting b) Establish a process for regular disclosure c) Resign from other boards in the community d) Sell personal stock portfolio

B

Which of the following is NOT one of the three general categories of information systems used in healthcare organizations: a) Clinical Information Systems b) Composite Healthcare Systems c) Administrative/Financial Systems d) Decision Support Systems for Strategic Management

B

Which of the following is NOT part of the System Development Life Cycle? a) System Analysis b) System Adjustment c) System Implementation d) System Acquisition

B

Which of the following is not a principle of Total Quality? a) Customer Focus b) Organization Focus c) Continuous Improvement d) Teamwork

B

Which of the following is not a source of comparative measures for quality and performance improvement? a) Patient satisfaction b) Budget variance report c) Health Plans d) Clinical Indicators

B

Which of the following is not an Advanced Medical Directive? a) Living wills b) Euthanasia c) Surrogate decision making d) Do not resusitate

B

Which of the following is the healthcare provider's most preferred method of payment by third party payers: a. Charges minus a discount b. Charges without a discount c. Cost d. Per diem

B

Which of the following statement is not true about intermediate sanctions? a) They can be put in place rather than punishing an organization. b) They protect directors from being held liable for their actions. c) They can cause an organization to lose its non-profit status and perhaps pay back taxes. d) They can cause the director to be held liable for their actions

B

Which tool has been used for an Annual Performance Review by the Board of Directors? a) Outcomes b) Budget c) Satisfaction d) Retention

B

Which type of tool used for diagnosing problems is labeled as the "low tech" tool that involves a simple data collection form on which you make tally marks to determine how often something occurs? a) Fishbone Diagram b) Check Sheet c) Pareto Chart d) Flow Chart

B

The independent auditors opinion at the end of an external audit which represents that statements do not present a fair picture of the financial status of the business is called: a. A qualified opinion b. An adverse opinion c. An unfair opinion d. An unqualified opinion

B Source: The Financial Management of Healthcare Organizations, Nowicki, Chapter 3, p.61 and 62.

Which law prohibits a physician (a medical doctor, doctor of osteopathy, dentist, podiatrist, optometrist, or chiropractor) from referring Medicare or Medicaid patients for certain "designated health services" to entities with which the physician or an immediate family member has a financial relationship? a) Sherman Act b) Stark c) Clayton Act d) HIPAA e) False Claims Act

B.

Which statement below is not accurate about Advance Medical Directives (AMDs). a) All patients must receive written information about their rights under state law to accept or refuse medical or surgical treatment and to formulate AMDs. b) All patients must be given the provider's written policies about implementing these rights. c) Medical records must document whether a patient executed an AMD. d) Providers are required to educate their staff and communities about AMD.

B. All adult patients must be given the provider's written policies about implementing their rights under law to accept or refuse medical or surgical treatment and to formulate AMDs.

What is the difference between Managerial and Financial accounting and its relations to time? a. There is no difference both methods are used to determine the financial position of an organization. b. Managerial accounting pertains to future and data is focused on subunits, where as Financial accounting focus is on a specific point in time and used predominately by stakeholders. c. Financial accounting and managerial accounting summarize economic events and always used by managers and stakeholders. d. Managerial and financial accounting is used to help manage a larger number of accounts.

B. Healthcare Finance Chapters 3 Financial Accounting Basics and the Income Statement and 5 Managerial Accounting Basics, Cost Behavior and Profit Analysis

Key responsibilities of executives in Information Systems include all of the following except: a) Strategic planning b) Maintain technology-focused systems c) System integration d) Information security

B. Maintaining a user focus is essential; otherwise end users will not use the system appropriately and effectively

Organizations use income statements to determine profitability. When expenses exceed revenue, this is measured as: a. Net Income b. Net Loss c. Net Profitability d. Negative Revenue

B. Net Loss or also known as Negative Net Income. Chapter 3: Healthcare Finance. Pg. 71

Which of the following is not a step in the capital budgeting processes: a. Identify and prioritize all of the requests b. Projecting bad debt for the year c. Project cash flows d. Perform financial analysis

B. Projecting bad debt for the year is not part of the "capital" budgeting process

Which of the following statements related to mediation is not true? a) Useful when both parties wish to have a continued relationship b) Legally binding c) Uses a neutral third party d) The first step in a process to find a solution

B. The agreement that results from mediation is not legally binding. An agreement which results from arbitration is legally binding.

Res Ipsa Loquitur ("the thing speaks for itself") may be the most complex exception to the expert testimony rule. Which one of the following best describes an essential condition to the use of Res Ipsa Loquitur? a) The plaintiff contributed to the accident b) The defendant contributed to the accident c) The injury requires proof, even though the fault is obvious d) The injury is wrongful to another person's reputation

B. The defendant contributed to the accident due to control over the apparent cause. The plaintiff could not have contributed to the accident. The injury does not require further proof when the fault is obviously due to someone's negligence. Wrongful injury to another person's reputation is defamation

Which one is not one of the three principles of total quality? a) Customer Focus b) Performance indicators c) Team work d) Continuous improvement

B; Quality and performance improvement

What federal initiative expands the types of health plans from which Medicare beneficiaries may choose to secure them from Medicare benefits?

Balance Budget Act

A partnership created by contract to accomplish an identified, specific purpose, usually for a limited time period is a: a) General partnership b) Limited partnership c) Joint Venture d) Sole proprietorship

C

A philosophy or an approach to management that can be characterized by its principles, practices and techniques. Its three principles are customer focus, continuous improvement, and teamwork. Each principle is implemented through a set of practices. The practices are, in turn, supported by a wide array of techniques. This philosophy is: a) CQI - continuous quality improvement b) QA - quality assurance c) TQM - total quality management d) PI - process improvement

C

A physician refers all of his patients for physical therapy to an outpatient clinic that he owns as a principal owner: This is an issue to be investigated under the: a) Sherman Act b) Clayton Act c) Stark Act d) Labor Relations Act

C

A thorough description of the market being served, identification of all major trends in demographics and disease incidence, and forecasts to the future are essential to: a) Diversification b) Health insurance buyer's intentions c) An environmental assessment

C

Although purchasing or leasing commercial software is most common, what is becoming a viable source of information technology and systems for smaller healthcare organizations? a) In house design and programming b) Outsourcing c) ASP-applications service provider d) Combining Outsourcing and in-house design

C

An organization's "hurdle rate" refers to which one of the following below? a) Interest rate on borrowed funds b) Propensity for debt financing c) Its intangible cost of borrowing added to its interest rate on borrowed funds d) The speed at which it reduces its working capital

C

Clinical improvement strategies are driven by: a) Cost Analysis b) Benchmarking of Outcomes c) Unsatisfactory Outcomes d) Peer Review

C

Crafting a response to stakeholder needs that will be effective in the long term defines: a) Environmental assessment b) Surveillance c) Strategic positioning d) Strategy selection

C

Donabedian's definition of quality was two fold-technical and interpersonal but measures included all except: a) Process b) Structure c) Graphs d) Outcomes

C

Duty of loyalty requires that directors: a) Inform fellow directors about material important to the organization b) Keep confidential all matters involving the organization c) Conduct be in the best interest of the organization d) Be liable for their actions

C

Factors to take into consideration when addressing an ethical conflict include all of the following except: a) The mission statement and values of the organization b) The value-driven perspectives of key stakeholders c) The most desired option, regardless of perceived practicality d) A means of publicly disclosing the final decision, including the ethical reasoning

C

Healthcare organizations had established standards to maintain data security and protect the privacy and confidentiality of patients' records information. Which one of the following answers does not describe its data security elements: a) Protect against system failures b) Protect against external catastrophic events c) Facilitate access to computer files to authorized personnel d) Control access to computer files by unauthorized personnel

C

Hospital systems have many "customers." Of the 4 mentioned groups of people or organization below which is least likely to be listed as key targets in a marketing campaign? a) Buyers b) Caregiver exchanges c) State government d) Patients

C

In a health care organization, a board chair must do the following except: a) Mentor others on the board b) Be decisive and move the board to action c) Monitor and approve all internal operations of the organization d) Cultivate an effective working relationship with the CEO

C

Indirect costs: a. Are provided directly to a patient b. Amount to ½ of all healthcare costs c. Amount of 1/3 of all healthcare costs and are services provided to another revenue center d. Can be controlled by a revenue center

C

Key organization design concepts that guide the formal structure of most HSOs/HSs were developed by a group of general administrative theorists. Which of the following theorist utilizes 14 Principles of Management: a) Adam Smith b) Max Weber c) Henri Fayol d) Nicolo Machiavelli

C

Managerial Accounting focuses primarily on all of the following except: a. Routine budgeting processes b. Allocation of bonuses c. Historical Events d. Needs of managers

C

Of Moody's top 5 reasons for upgrades/downgrades in bond ratings, which is number 1? a. Cash flow and funding capital expenditures b. Market characteristics c. Financial performance d. Market share and physician composition

C

Regarding the hiring of employees, the board should be intimately involved in which of the following positions: a) All management personnel b) All employees within the organization c) The CEO d) All medical professionals

C

Relative to measuring the effectiveness of the Board, which Dimension of the Corporate Performance Scorecard reflects all aspects of customer relationships (e.g., patient & family satisfaction and/or measures of access for disadvantaged groups)? a) Financial Performance b) Internal Operations c) Market Performance & Customer Satisfaction d) Ability to Adapt & Improve

C

Separate computer systems are often linked together in order to share data and information. When all components of the network are located within close proximity of one another, perhaps within a single facility, the network known as a: a) Wide Area Network (WAN) b) World Wide Web (WWW) c) Local Area Network (LAN) d) Electronic Data Interchange (EDI)

C

The 'number of patient complaints' is an example of what type of clinical quality indicator or measure? a) Structure b) Process c) Outcomes d) Productivity

C

The Information Services Advisory Committee provides insight into user needs and helps gain acceptance of information systems. Which of the following is NOT a charge of the committee: a) Encouraging appropriate use of information services b) Ranking information services investment opportunities and recommending a rank-ordered list of proposals to the governing board. c) Providing technical support to implement an integrated information system. d) Monitoring performance of the department and suggesting possible improvements

C

The board chair should not demonstrate which of the following qualities: a) Mentor others on the board b) Be decisive and move the board to action c) Commandeer the Board d) Cultivate an effective working relationship with the CEO

C

The committee of board officers who address sensitive issues such as the CEO performance appraisal and compensation is: a) Finance Committee b) Strategic Planning Committee c) Executive Committee d) Quality Committee

C

The key antitrust concept in healthcare is the: a) Restraint of Trade b) Monopolization c) Relevant Market d) Lessening Competion

C

The legal aspects of consent include all of the following EXCEPT: a) Voluntary b) Informed c) Medically sound d) Competent

C

The liability of the "employer" of those who may or may not be in its employ but permitted to provide services to those being served by the "employer" is known as: a) Respondeat Superior b) Breach c) Vicarious Liability d) Defamation

C

The major elements of continuous improvement approach include all of the following except: a) Emphasis on the necessity for organization-wide commitment b) Focus on improvement of overall or group performance c) Focus on correction of outliers d) Assumes no upper limit

C

The most critical committee that requires tenured board members are: a) Audit Committee b) Finance Committee c) Nominating Committee d) Executive Committee

C

The notion of "Do unto others..." comes from which of the following moral philosophies? a) Natural Law b) Utilitarianism c) Deontology d) Virtue Ethics

C

The steps in the budget process include all of the following except: a. Project volumes b. Converting volumes into expense requirements c. Projecting capital expenditures d. Adjusting revenues and expenses as necessary to meet budgeted margin

C

The voting rights of "Ex Officio" members is determined by: a) The CEO b) The Board Chair c) The By-laws d) The Governance Committee

C

This concept is to design each healthcare project to have the greatest possible benefit to cost ratio and to rank order possible projects, identifying and implementing the ones that have the greatest ratio of benefits to costs: a) Hoshin planning b) Six Sigma c) Optimization d) Surveillance

C

To be legally liable, directors must have committed an act of gross negligence, usually defined as an intentional failure to perform a manifest duty with reckless disregard of the consequences refers to: a) Justice b) Virtue ethics c) Minority rule d) Moral justification

C

W Client/server architecture back-end (server) functions include all of the following except: a) Printing b) Applications program execution c) Decision support d) Communication

C

What are the 5 managerial functions of a Governing Board? a) Establish mission/ approve long range plan and budget/ ensure quality of medical care/ monitor budget/ approve CEO b) Interview CEO/ Establish mission / approve long range plans and budget/ monitor performance against plans / ensure quality of nursing care c) Appoint CEO/ approve long range plans and budget/ ensure quality of medical care/ establish mission-vision-values/ monitor performance against plan and budget d) Establish mission/ appoint CEO/ ensure quality of medical care/ review long range plans and annual budget / monitor performance against plans and budget

C

What are the five Managerial Functions of the Governing Board? a) Est. Mission/Vision--Appoint CEO--Approve long rang plans--Monitor quality of medical care—Est Organizational Values b) Appoint CEO--Monitor Performance against plans--Ensure quality of care--approve long range plans--establish mission/vision c) Appoint CEO--Establish mission/vision/values--Approve long range plans and annual budget--Ensure quality of medical care--monitor performance against plan and budget. d) Establish mission/vision--approve long range plans--quality assurance--appoint CEO--community spokesperson

C

What are the three (3) principles of Total Quality Management? a) Structure, Process Outcomes b) Patient satisfaction, practice patterns, clinical indicators c) Customer focus, continuous improvement, teamwork d) Find & implement best, find fault then solutions, find faculty processes & repair

C

What is NOT considered an ethical issue as it relates to patient care? a) DNR Orders b) Consent for invasive procedures c) Practice differences among physicians d) conflict of interest among professional staff

C

What organization sets regulations for financial accounting: a. Financial Accounting Standards Board b. American Institute of Certified Public Accountants c. Security and Exchange Commission d. Healthcare Financial Management Association

C

Which board committee is NOT considered one of the three critical committees? a) Executive b) Nominating c) Long-range planning d) Finance

C

Which is not a legal issue in Trusteeship a) Trustee liability b) Trustee compensation c) Good faith practice d) Conflict of interest

C

Which is not a source of comparative data? a) Clinical Indicators b) Practice Patterns c) Local Newspaper d) Health Plans

C

Which of the follow is not an example of a budget guideline established by boards to manage widespread decision-making coordination activities: a) Total expenditures, including total employment and compensation of employees, b) The expenditures on new programs, plant and capital equipment, and with these much of the cost increases that will occur in future years, c) Percentage of financial plan set aside for charitable or religious denomination donation, or d) Goals for measuring quality, patient satisfaction, and physician and employee satisfaction, including specific programs to improve deficiencies

C

Which of the following best represents a process measure? a) The number of nurses to patient ratio b) The number of post-op infections c) The immunization rate of beneficiaries d) The rate of measles infections of the children in your healthcare organization

C

Which of the following board responsibilities is incorrect: a) Conduct a search for a new CEO b) Liaison between the hospital organization and public c) Director operations of a high level expansion project d) Monitor the organization programs and services

C

Which of the following demonstrates a Board involved in management, not governance: a) Developing a Strategic plan for the organization b) Reviewing financial statements c) Making decisions about management staffing d) Evaluating the performance of the CEO

C

Which of the following financial ratios is NOT important: a. Length of Stay (LOS) b. Occupancy Rate c. Size of community per occupied bed d. Salary per FTE

C

Which of the following is NOT a benefit a Healthcare Organization experiences when it fosters and demands and ethical environment? a) Improved employee morale b) Enhanced Professionalism c) Improved Productivity d) Increased Patient Satisfaction e) Better Compliance with Regulatory Requirements

C

Which of the following is NOT a designated healthcare service as defined by Stark regulations? a) Inpatient Services b) Durable Medical Equipment c) In-office ancillary services d) Physical and Occupational Theory

C

Which of the following is not a common board committee? a) Executive b) Finance c) Medical Bylaws d) Quality

C

Which of the following is not a key part of HIPAA Implementation: a) Establishment of enhanced privacy protection policies b) Establishment of compliance committees and private offices c) Establishment of clinical guidelines for patient care d) Use of HIPAA compliant software

C

Which of the following is not a managerial function of a governing board of directors? a) Establish mission, vision and values of the organization. b) Appoint or terminate the CEO. c) Provide input on day-to-day operations. d) Monitor performance against plans and budgets

C

Which of the following is not a managerial function of the Board: a) Ensure the quality of medical care b) Approve long range plans and the annual budget c) Select and supervise employees of the organization d) Appoint or terminate the chief executive

C

Which of the following is not a resource provided by the federal government to assist in the understanding of federal employment law: a) www.dol.gov b) www.nirb.gov c) http://ache.org d) http://eeoc.gov

C

Which of the following is not a typical standing committee of the governing board? a) Audit b) Finance c) Medical records d) Compensation

C

Which of the following is not a universal truth for board chairs? a) Cultivate an effective working relationship with the CEO b) Mentor others on the board c) Command and control the board d) Walk the straight and narrow

C

Which of the following is not an ACHE ethical policy statement? a) Decisions near end of life b) Ethical issues related to staff shortages c) Ethics and physicians conduct d) Impaired healthcare executives

C

Which of the following is not an Executive Office Function? a) Lead b) Support c) Control d) Represent e) Organize

C

Which of the following is not an actual active IT policy and Procedure components? a) Procedures against system failure and catastrophic events b) Control against viruses c) Quality of Software d) Confidentiality for authorized users

C

Which of the following is not an example of a breach of fiduciary duties? a) An executive who is distracted by a personal and/or a family situation, resulting in poor performance b) An executive whose judgment and effectiveness is impaired due to substance abuse c) An executive who relies on subordinates to relay appropriate information d) An executive who fails to maintain competencies in one's field

C

Which of the following is not an executive function? a) Lead b) Support c) Train d) Organize

C

Which of the following is not defined as a dimension of care relevant to Patient Expectations in the ambulatory care setting? a) Access b) Courtesy c) Accurate and timely billing d) Continuity and transition

C

Which of the following is not included in a typical Marketing Plan? a) Marketing Research and Analysis b) Customer Retention c) Merchandise Management d) Marketing Strategies e) Public Relations

C

Which of the following is not one of the Ethical Principles? a) Respect for persons b) Justice c) Professionalism d) Beneficence

C

Which of the following is not one of the five functions of the governing board: a) Appoint the chief executive officer b) Establish the mission and vision c) Appoint the Director for Materials Management d) Ensure quality of medical care

C

Which of the following most closely relates to the term Benchmarking? a) Care for which expected health benefits exceed negative consequences b) Maximization of the quality of a comparable unit of healthcare delivered for a given unit of resources uses c) A comparison of actual performance to the best known performance d) The value of the output as defined by the consumer

C

Which of the following represents the three types of medical quality indicator measures? a) Structure - Practice - Outcome b) Satisfaction - Process - Outcome c) Structure - Process - Outcome d) Structure - Process - Performance

C

Which of the following statements about Ethics Self-Assessment is not true? a) The Ethics Self-Assessment tool is used to increase self-awareness b) The Ethics Self-Assessment is used to facilitate self-reflection c) The Ethics Self-Assessment is used as a basis for performance evaluations d) The Ethics Self-Assessment is used as a complement tool for ethics training and employee orientation

C

Which one of the following is not an example of a "Bona Fide Occupational Qualification" (BFOQ) a) Woman to work as an attendant in a women's restroom b) Pilot's retirement at age 60 c) All d) None

C

Which one of the following is not an obligation of the Board of Directors? a) The Duty of Care b) The Duty of Loyalty c) The Duty of Commitment d) The Duty of Disobedience

C

Which one of the following tools in Quality Improvement is known to picture a series of events in a process a) Lead-Time Analysis b) Fishbone c) Flowchart d) Pareto chart

C

Which principle of Ethics takes the approach of First Do No Harm? a) Respect for persons b) Beneficence c) Non maleficence d) Justice

C

Which of the following is Not an obligation of a hospital board as pertaining to inpatient care: a) Approval of Medical staff bylaws b) Appointment of medical staff leadership c) Approval of medical license applications d) Annual appointment of physicians

C Approval of medical license applications is NOT an obligation of a hospital board as pertaining to inpatient care.

Which of the following statement about costs is not true: a. Forecasts are prepared from multiple sources with substantial assistance from the budge or financial staff. b. Events such as births, hospitalizations, emergency room visits and surgeries can be accurately forecast by statistical analysis of market trends combine with judgments of the executive personnel. c. If correctly performed, forecasting is an exact science. d. Forecasting includes applying the rates of anticipated future change to the current status to predict the future.

C Forecasting is not an exact science. It is a prediction based on solid data. ACHE Manual for the Board of Governors Examination in Healthcare Management. The Well-Managed Healthcare Organization Griffith/White p. 543

Star networks have an advantage of: a) Relative ease of wiring the network and relatively fast communications b) Facilitating construction of high spend networks that operate over large distances c) Ease with which nodes can be added to an existing network d) Require less cabling than networks using other topologies

C. 1-refers to Bus networks, 2 refers to ring networks, and 4 is incorrect because Star networks require more cabling than other networks

Which type of reimbursement payment is least preferred by providers? a. Charges minus a discount b. Per diagnosis c. Capitation d. Per diem

C. Capitation as a payment method provides the most financial risk and opportunity to the healthcare organization because the fixed amount is based on the cost of care projected to be used by the covered population, rather than the cost of care actually used.

Environmental assessment or environmental scanning is a formal surveillance review of the organization and its environment. All but one of the following should taken into account by the planning unit: a) Community demography, epidemiology, and economy b) Trends in physician availability c) Niche strategies d) Patient/community attitudes

C. Niche strategies since strategies are developed after the assessment is complete and goals are chosen.

Hershey and Blanchard describe a model of situational leadership that includes four styles of leadership behaviors which must be balanced according to the situation. These leader behaviors include all of the following styles except: a) Telling b) Delegating c) Consulting d) Selling

C. The four styles are: delegating, participating, selling and telling. p. 753 of the online handout.

In Mintzberg's view, how many basic organization designs are there, and what are they? a) 1 b) 3 c) 5 d) 7

C. There are 5 basic organization designs, they are: Simple Structure, machine bureaucracy, professional bureaucracy, divisionalized form, and adhocracies.

A basic concept in financial accounting is "consistency". This means: a. Choosing an approach that is least likely to overstate the organization's financial condition. b. Providing the common basis by which economic events are measured. c. Involving the application of like guidelines to a single accounting entity over time. d. The length of time over which an organization's managers, or outside parties, use to evaluate results.

C. a: conservatism, b: monetary and d: accounting period Financial Accounting Basics and the Income Statement, pages 63-65

Which of the following is not a valid physician defense against abandonment? a) Enough notice of withdrawal for patient to find another physician b) Right to limit practice in a certain geographical area c) Referred to seek care from another physician d) Ill health prevents him from treating the patient

C; . Just referring is not enough; the other physician should take the patient under his care

Negligence is a violation of a standard of care. Four elements must be present for allegations of negligence to be substantiated. Which of the following is not included in these 4 elements: a) Duty b) Breach c) Malpractice d) Damages

C; Causation is the third element that is necessary

Relative to a for-profit organization, which of the following is perhaps the best distinguishing characteristic of a not-for-profit organization's contribution to its community? a) Bad debts b) Tax exemption c) Protection of intangibles d) Investment in health education

C; If not-for profit organizations do not protect intangibles, sooner or later, people will ask why they should continue to exist as a tax-exempt entity

All of the following legislative enactments have affected the state of workplace regulation in the evolution of Equal Opportunity except: a) The Fair Labor Standards Acts b) Civil Rights Acts of 1964 c) The Sherman Act d) Americans with Disabilities Act of 1990

C; The Sherman Act relates to antitrust law and unreasonable restraints of trade

Name some Examples of "Prevention and Health Promotion Programs"

Cardiovascular disease screenings, educational programs, smoking cessation programs and improved nutrition and exercise programs

A three tiered architecture includes the following except the a) Client b) Relational database c) Programs application d) Third server

D

All of the following are types of Euthanasia except: a) Passive b) Active c) Voluntary d) Physician assisted suicide

D

All of the following define an organizations strategic position except? a) Mission b) Scope of services c) Ownership d) Values

D

As CEO, one must do the following, except: a) Be visionary and inspire the board b) Avoid springing information on the board c) Communicate effectively and frequently d) Avoid calculated risks

D

Depreciation expense that is calculated in accordance with GAAP using the straight-line method is obtained by: a. Dividing the historical cost of the asset by the number of years of its estimated useful life. b. Dividing the historical cost of the asset by the annual cost of maintaining the asset. c. Dividing the present-day value of the asset by the number of years of its estimated useful life. d. Dividing the historical cost of the asset (less its estimated salvage value) by the number of years of its estimated useful life.

D

Direct interventions undertaken to avoid or reduce disease or disability are collectively known as: a) Continuous Quality Improvement b) Health Promotion c) Case Management d) Prevention

D

Extraordinary matters normally requiring the vote of board members include all of the following except: a) Sale or lease of real estate b) Adopting or amending the bylaws c) Voluntary bankruptcy d) Approving Quality Indicators

D

Health Insurance Portability & Accountability Act (HIPAA) is a Federal Law designed to facilitate the electronic exchange of information in health care. Which of the following does not pertain to this law? a) Privacy protection components of the law limit non-consensual use as a release or private health information b) Patients must receive notice of privacy rights c) Restrictions on access to and use of information is required d) Criminal and civil sanctions do not exist for improper use and disclosure

D

In regards to Healthcare Information Confidentiality, healthcare executives are responsible for all of the following, except: a) Ensure that institutional policies on confidentiality and release of information are consistent with regulations and law. b) Ensure that policies concerning the right of patients to have access to their own medical records and an accounting of disclosures are clearly established and understood by appropriate staff. c) Seek written agreements that detail the obligations of confidentiality and security for individuals and agencies who receive medical records information. d) Adopt procedures to address employee rights to request amendments of medical records and other right under the HIPPA Privacy Act

D

The Chair/President of the Board Works with the CEO in all the following areas except: a) Preparing agenda for board b) Negotiation of CEO compensation c) Evaluate board performance d) Managing the senior management of the company

D

The Chair/President of the Board works with the CEO in all the following areas except: a) Preparing agenda for board b) Negotiation of CEO compensation c) Evaluate board performance d) Managing the senior management of the company

D

The IS department has complete responsibility for the management of certain kinds of information including: a) Patient registration and placement records b) Files of patients unit record numbers c) Patient Medical record numbers d) All of the above

D

The Tagushi Law relates to: a) Uniformity b) Efficiency c) Productivity d) All

D

The audit committee can be best described as a) Working under the finance committee b) Is mandated by the strategic committee c) Is not required to work or file a report with an outside audit agency for ensure safeguards are in place and statements are accurate d) Is a result and required of the Sarbanes-Oxley Act of 2002

D

The audit committee can be best described as: a) Working under the finance committee b) Is mandated by the strategic committee c) Is not required to work or file a report with an outside audit agency for ensure safeguards are in place and statements are accurate d) Is a result and required of the Sarbanes-Oxley Act of 2002

D

The dual capability to accurately assess the impact of public policies on the performance of the manager's domains of responsibility and to influence public policy making at state and federal levels is known as __________. a) Interpersonal/Collaborative Competence b) Commercial Competence c) Governance Competence d) Political Competence

D

The four-part guideline for determining disparate treatment would not include: a) Person is a member of a protected class b) Person applying for the position was qualified c) Person was rejected for the job d) Person accepted for the job at a higher salary

D

The importance of the Intranet vs. the Internet is that employees could: a) Evaluate Policies, Procedure, Protocols and organizational manuals b) Receive education sessions c) Communicate and interact with patients d) All

D

The income statement reports the results of operations over some period of time and has three key elements. Which one is NOT a key element of the income statement? a. Revenues b. Expenses c. Net Income d. Owners Equity

D

The organization provides care to a patient who the organization knows is unable to pay at the time of service is known as what method of payment (or lack there of)? a. Per Diem b. Bad Debt c. Cost d. Charity Care

D

The prerequisites for building the operating budget include all but one of the following: a. Well-defined chart of accounts b. Sound organizational chart c. Prompt and accurate accounting system d. Defined short payback period e. Comprehensive management information system f. Budget director and budget committee g. Budget manual and calendar

D

The second step in the Shewhart Cycle is: a) Acting b) Planning c) Implementing d) Doing

D

Well-managed boards routinely delegate to standing committees, which are permanent units of the board. Which of the committees listed below is not considered a common standing committee? a) Nominations b) Audit c) Finance d) Bylaws e) Compensation

D

What capital structure ratio is considered the best production of financial failure in an organization? a. Net asset financing b. Long-term debt to net assets c. Debt service coverage d. Cash flow-to-debt

D

What methods of payment are the most preferable and the least preferable to the provider's point of view? a. Charges minus a discount; cost plus a percentage for growth b. Cost; per diem c. charges; cost d. charges; capitation

D

When considering moral philosophies and principles, the health services organization should do all of the following except: a) Implement a philosophical view that is reflected in its policies and procedures b) Devise a plan it will take when confronted with ethical problems such as child abuse c) Inform managers that the positive duty suggested by the principle of beneficence requires the organization and managers to do all they can to aid patients d) Avoid expending greater resources on individuals who are sicker and thus in need of more services

D

Which answer below defines a terminal-host system network configuration: a) A network that divides computing functions between two or more machines b) A network in which most processing takes place on the user's computer and the server is used to store the files c) A network in which processing is one on all of the computers, and each computer's resources are available to other computers on the network d) A network in which all of the processing is concentrated on a single machine and dumb terminals are connected to the host

D

Which best describes the fishbone diagram? a) A simple bar graph that displays data in descending order from left to right b) A graphic representation of data over time and assists in the monitoring of progress, both after and improvement intervention and ongoing operations. c) A diagram used to document how people or things actually move through the physical workspace. d) A tool used for identifying and organizing the possible cause and effect of a problem in a structured format

D

Which is NOT one of the four elements found in most strategic plans? a) Goals b) Specific objectives c) Metrics to assess success in reaching goals and objectives d) Financing options e) Resources needed to accomplish goals

D

Which is not a contribution made by a subsidiary board a) Expand geographical representation b) Expand time and resources important to manage complex ventures c) Permit joint ventures with other corporations and partnerships with medical staff d) Nominate new board members and board officers

D

Which is not a form of a legal consent? a) Emergency b) Implicit c) Expressed d) Uninformed

D

Which is not a role of the Information Service Advisory Committee? a) Participation in the development of the IS plan, resolving the strategic priorities, and recommending the plan to the governing board. b) Encouraging appropriate use of information services c) Ranking IS investment opportunities and recommending a rank-ordered list of proposals to the governing board. d) Management of communication hardware

D

Which moral philosophy has a focus on what makes a "good person" rather than on what makes a "good action"? a) Natural Law b) Rawls c) Casuistry and ethics of care d) Virtue ethics

D

Which of the following does not express a hallmark conflict of interest issue relating to causes of conflicts of interest. a) Myopia, being to close to a situation to not see it as clearly as those who are not b) Confusion, the confusion between official power and unofficial power. c) Competing obligations: obligation to organization versus obligation to a friend d) Disclosure, disclosing information that contains significant financial, personal, and professional relationships that may affect decisions

D

Which of the following is NOT one of the three types of Clinical Expectations a) Functional Protocols b) Care Plans c) Patient Management Protocols d) Discharge Plans

D

Which of the following is a key antitrust concept in healthcare? a) Population size b) Specialty services c) Geographic region of the country d) Relevant market

D

Which of the following is not a Common Boilerplate provision? a) Attorney fee provision b) Waiver c) Force Majeure d) Rule of Reason

D

Which of the following is not a function of the Executive Office? a) Organize work groups b) Support all levels c) Represent the Governing Board to the staff d) Serve as hands-on manager

D

Which of the following is not a reason for sanctions to be brought against members of a governing board? a) Unreasonable compensation b) Revenue based compensation c) Participation in bargain sales d) Assumption of management verses governance role

D

Which of the following is not a required element to prove negligence or malpractice: a) Duty to care b) Causation c) Damages d) Medication administration

D

Which of the following is not a role of the Board Chairman a) Organize and facilitate the Boards work b) Appoint committee members c) Serves as an ex-oficio member of all sub-committees d) Elects medical staff board member

D

Which of the following is not a way to avoid or eliminate a conflict of interest? a) Disclosure b) Seeking guidance from governing body c) Divest from potential conflicting outside interest d) Accept gratuities and benefits

D

Which of the following is not one of Moody's 5 reasons for Upgrades? a. Financial Performance b. Business decisions c. Market characteristics d. Medical staff characteristics

D

Which one of the four major "Dimensions of Corporate Performance" is not an accepted as critical to a long-tern organizational success? a) Financial Performance b) Internal Operations c) Market Performance d) Ability to Adopt and Maintain

D

Which statement concerning the medical record is not true? a) The medical record is "owned" (in physical sense) by the person entering data, or the hospital or group employing the person. b) The group generating the record is responsible for "custody" of the record - storage, and protection from alteration c) The patient "owns" his or her medical record in terms to access to the information it contains, and the right to delivery it to a third party d) An "electronic medical record" is owned by the group generating the greatest share of information contained in the record

D

Which statement is not true regarding important healthcare laws? a) The Ethics in Patient Referrals Act (EPRA) prohibits a physician from referring Medicare or Medicaid patients for certain designated health services, like clinical laboratory services, to entities which the physician or immediate family member has a financial relationship. b) Business arrangements that are not per se illegal are judged under the rule of reason. c) The Antitrust Division of the Department of Justice and the Federal Trade Commission jointly issued nine statements of antitrust policy in healthcare, of which seven of the statements create antitrust safety zones for certain arrangements common in the healthcare industry that the agencies will not challenge, absent extraordinary circumstances. d) Under the False Claims Act, the federal government may not exclude participation in the Medicare and Medicaid programs of an individual convicted of making false claims.

D

Boards are governed by all of the following legal principles expect for: a) Duty of care b) Duty of disclosure c) Confidentiality rule d) Duty of justice

D Boards are governed by the duty of care, duty of loyalty, duty of disclosure, business judgment and the confidentiality rule

Which of the following is NOT true regarding the doctrine of ultra vires: a) A not-for-profit corporation making a donation to another institution for a purpose and included in its own charter is an example of an ultra vires transaction. b) A corporation needs authority in its articles or from a statute before it can form a partnership with another c) The doctrine of ultra vires applies private as well as governmental institutions d) Ultra vires powers are any departure from express powers specifically disingated by charter or statue.

D Ultra vires powers are any departure from express or implied corporate power. Implied power flows directly from express powers and is the power to enter into those transactions that are reasonably necessary to carry out the express as powers.

Which method of payment provides the least incentive for the healthcare organization to provide only what is medically appropriate? a. Per Diem b. Per Diagnosis c. Capitation d. Charges

D. Charges - Organization will receive payment for all expenses, therefore benefits from additional testing, etc.

The decision theory suggests that there are four routes to improve the contribution to improve the quality of healthcare services. Which of the following are not in accordance with that theory? a) Reduce the cost of intervention b) Reduce the cost of delay c) Increase the value of the Intervention d) Include the selection of intervention that cost more than their value

D. Improving the selection of intervention that cost more that their value

When considering ethical principles useful to healthcare executives which of the following is incorrect? a) Respect for persons - including: Autonomy, Truth Telling, Confidentiality, Fidelity b) Beneficence - an obligation to act in charity and kindness c) Non-maleficience - first do no harm d) Justice - Maintain different levels of care and services based on social status and the ability to pay

D. In short Justice is those needing equal care get it and those needing more care than others get the care needed.

Which of the following is a mandatory bargaining topic? a) Benefits for retired employees b) Performance bonds c) Preferential hiring of union members over non-bargaining unit applicants d) job descriptions

D. Job Descriptions Performance bonds and benefits for retired employees are voluntary, not mandatory bargaining topics. Also, it is illegal to bargain over preferential hiring of union members.

All of the following, according to Mint berg, are important implications to grouping (or departmentalization) for workers and their organizations except: a) Sets up a system of common supervision b) Facilitates sharing resources c) Leads to common measures of performance d) Leads to communication breakdown

D. Leads to communication breakdown. Grouping actually encourages communication due to shared input resources and output objectives along with close physical proximity

In the "termination-at-will" policy, which one of the statements is not true? a) The policy permits the employer or the employee to sever employment relations at any time and for any reasons b) The policy does permit an employer to terminate an employee-employer relationship on non-work performance grounds c) The policy permits for an employee the right to contest a termination d) All

D. The policy does not permit an employer to terminate an employee-employer relationship on non-work performance grounds.

According to the Picker Institure, which of the following are Dimensions of Care as it relates to Inpatient Care, is incorrect: a) Coordination of Care, Information and Education, Promoting Physical Comfort b) Promoting Emotional Comfort, Involving family and friends, Preparing for discharge c) Respecting Individuality, Coordination of Care, Preparing for Discharge d) Access, Information and Education, Continuity and Transition

D; Access & Continuity and Transition are components of Ambulatory Care

All of the following are the advantages of informal relationships in organizations except: a) Provide social values and stability b) Provide additional channel of communication c) May simplify managers' job d) Their inflexible characteristic prevents deviations from organizational policies

D; in fact the flexibility & spontaneous nature permit deviations that contribute to organizational objectives

Informed consent does not include which of the following elements? a) Disclosure of nature of decision/procedures b) Reasonable alternatives to the proposed intervention c) Relevant risks, benefits, and uncertainties related to each alternative d) Assessment of patient understanding e) Acceptance of intervention by a family member

E

The Ant-kickback Statute prohibits any person to solicit, receive, offer, or pay any form of remuneration in return for or to induce referrals for healthcare goods and services for which Medicare or Medicaid would make payment. This prohibition does not apply to the following: a) Disclosed discounts in the cost-reports b) Amounts paid by an employer to an employee to provide healthcare services c) Amounts paid by vendor to agents of a group purchasing entity. d) Remuneration through a risk-sharing arrangement e) All

E

What are the four-part guidelines for determining disparate treatment? a) Member of a protected class b) Qualified for the job c) Rejected for the job d) The position remains open for applicants with equal or fewer qualifications e) All

E

Which of the following is not one of Moody's top five reasons for issuing an upgrade or downgrade for a healthcare organizations bond? a. Financial performance b. Market share and physician composition c. Cash flow and capital expenditures d. Market characteristics e. Board stability and leadership characteristics.

E

According to Blum's model, which of the following factors play the largest role in the well-being of an individual's health paradigm?

Environment

Which of the following are hallmarks of conflicts of interest? a) Competing obligations b) Appearance of impropriety c) Myopia or being too close to a situation to see it clearly d) Fairness e) Confusion between official and unofficial power f) All of the above

F

T or F: HMOs have consistently reduced their costs since their first high-growth period of managed care

False

The position control function: a) Controls the number of hours worked but not the number of people employed b) Protects the organization against overspending c) Protects the organization against errors in hours, rates, and benefit coverage d) Controls the number of persons employed and affords certain protections paying the wrong person, over hiring, and issuing improper paychecks.

Griffith & White, P. 613 (d.) ????

What federal initiative is related to the Anti-dumping Law?

Hill-Burton Act

What is the most prominent private organization that has had an impact on healthcare and that during recent years focuses on outcomes of care? This organization's roots go back to the American College of Surgeons.

JCAHO

What is an approval granted by govt that allows someone to engage in an occupation after finding the applicant has achieved a certain minimum competency?

Licensure

The difference between Allopathic and Osteopathic Medicine is that Osteopathic Medicine concentrates on what?

Manipulative methods of detecting and correcting structural problems

The Omnibus Budget Reconciliation Act of 1987 requires that states to register ______:

Nurse Assistants

By 1965, the For Profit healthcare sector had virtually ceased to exist. What was the driving force behind a switch to For Profit?

Passage of Medicare which provided a ready source of funding and guaranteed rates of return.

Name an example of a Joint Venture relationship

Physicians and institution hold joint ownership in a business venture

In 1965 the Medicare legislation passed as Title XVIII of the Social Security Act to established authority to compensate hospitals for Medicare's "share of the costs associated with medical education {graduate medical education (GME)}" which is specialty training that occurs beyond basic medical education. Direct GME costs include what?

Salaries, benefits for residents and teaching physicians, costs of conference and classroom space, cost of additional equipment and supplies and allocated overhead.

For which item are healthcare organizations not required to report physicians to the federal information bank, based on the federal Health Care Quality Improvement Act, Title IV of P.L. 100-177 of 1986:

Suspension of privileges for failure to complete medical records on a timely basis

The demand for nursing care is a function of what two elements?

The number of patients and how sick they are

T or F: Elminating first-dollar coverage can be considered a form of self-insurance by the enrollee

True

T or F: In most circumstances, high deductible lower premium costs for enrollees

True

T or F: Medical Savings Accts (MSA) allow for the rollover of unspent funds from one coverage period to another

True

What Occurs when the hospital extends its reach to capture and control more services that lead to hospital inpatient hospitalization

Vertical Integration

What focuses on the development of a continuum of care, from health promotion to disease prevention to inpatient acute care to long-term and palliative care?

Vertical Integration

Traditional healthcare staffed organizations with no direct commitments financially have weakness that include what 3 things?

a) Participation in the organizations varied per specialty b) Referral type physicians mostly dominate the organization c) Limits are sometimes set on memberships into specialties

Which isn't a disadvantage of job classification: a) Uses objective judgments b) Uses subjective judgments c) Relies on job titles d) Doesn't always consider differences across organizations

a) Uses objective judgments

Which of the following is NOT a form of Distributional Error when using rating as a form of performance appraisal? a) Leniency b) Harshness c) Strictness d) Central Tendency

b) Harshness

Current issues in compensation include all of the following except: a) Reconciling internal and external salary imbalances b) Management by objective c) Salary compression d) Broad banding

b) Management by objective

When an interviewer asks general questions to prompt applicant to discuss himself/herself, this is referred to as: a) Standardized interview b) Unstructured/nondirective interview c) Stress interview d) Situational interview

b) Unstructured/nondirective interview

Which of the following is NOT one of "The Three Phases of Labor Relations"? a) Collective Bargaining b) Union Organizing c) Contract Radification d) Contract Administration

c) Contract Radification

What type of performance management interview is most likely to be utilized for an employee who is a high performer with high potential? a) Maintenance b) Remedial c) Developmental d) Management by Objective (MBO)

c) Developmental

Which describes the traditional approach to compensation? a) Looks more broadly to what is paid, variable pay added to base. b) Short and long term incentives for all employees, flexible benefits c) Fixed benefits, primarily base pay d) Knowledge and skill and based, board bands determine pay grades

c) Fixed benefits, primarily base pay

Which of the following is not a means management might use when attempting to avoid unionization? a) Prevention b) Substitution c) Forbiddance d) Suppression

c) Forbiddance

All of the following are ways to assess your recruitment efforts except: a) Quality of applicants b) Cost per applicant c) Length of interviews d) Quality of applicants

c) Length of interviews

A common method of determining the salary for a new position is to utilize a point method. Each compensable factor is scored for the specific position and a salary calculated based on these points. The Hay Guide Chart Profile, a widely used point system, utilizes all of the following key criteria except: a) Accountability b) Problem Solving c) Shift-Work d) Know-How

c) Shift-Work

Which of the following is NOT a phase in Labor Relations: a) Union Organizing b) Collective Bargaining c) Striking d) Contract Administration

c) Striking

Performance criteria are measurable standards used for assessing employee performance. Performance criteria should a) Reflect the organizational goals b) Be specific to what the employee can control c) Be reliable and valid d) All of the above

d) All of the above

Which of the following is a true statement about the Employee Retirement Insurance Security Ace (ERISA)? a) ERISA regulates both the pension and other retirement benefits b) ERISA regulates the amount, kind and design of Medicare supplementation c) ERISA regulates the funding of unvested pension liabilities d) ERISA regulates a trust fund to support pension payments

d) ERISA regulates a trust fund to support pension payments

From the perspective of potential employees, Vacancy characteristics that affect job choice include all of the following except: a) Job security b) Compensation c) Advancement opportunities d) Family situation

d) Family situation

Which measure is NOT considered a measure of human resources department a) Demand b) Costs and Efficiency c) Quality d) Systems

d) Systems

The "gag rules" that some managed care organizations have issued are defined as what?

look this up: a) A contractual provision between plan and provider that limits information, advice, and counsel that a provider may give a patient b) Anti-criticism provisions in contracts that prohibit providers from making any communication that may adversely affect confidence in the plan c) Any health plan practice that inhibits open communication between a physician and a patient d) All of the above