ACHE BOG Exam Sample Test -100 Questions and Answers.docx, Exams of Nursing

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ACHE BOG Exam Sample Test -100 Questions and Answers CEO Compensation should be based on: a. the compensation arrangement with prior CEO. b. executive compensation in local corporations with similar gross revenues c. present day salary plus cost-of living adjustment d. what the institution would have to pay for a similarly prepared person if that person were employed elsewhere - correct answer ✅d. what the institution would have to pay for a similarly prepared person if that person were employed elsewhere An essential function of the governing board is to: a. approve the mission, vision, and long-range plan b. focus on strategic planning c. prepare the operating plan d. review the performance of departmental managers - correct answer ✅a. approve the mission, vision, and long-range plan The key to enhancing board effectiveness is: a. getting the right people to serve on the board b. supporting and selecting the right CEO ACHE BOG Exam Sample Test -100 Questions and Answers c. orientating and training the CEO d. organizing the board's work - correct answer ✅d. organizing the board's work Members of the medical staff are eligible for full membership on the governing board in the same manner as other individuals: a. when not legally prohibited b. when they do not actively practice in the organization c. when they are not full-time employees d. if they are not foreign nationals - correct answer ✅a. when not legally prohibited The Chief Executive Officer: a. is a member of the board b. represents the board internally and externally c. is not a member of the board d. has a contract with the board - correct answer ✅b. represents the board internally and externally ACHE BOG Exam Sample Test -100 Questions and Answers c. physicians will listen to them they can - correct answer ✅b. of what they can do for the organization The bylaws of healthcare organization should include which of the following? a. Committee scope and function b. The privileges of the medical staff c. The names of the stockholders in the organization c. Composition of the governing board, committee, and officers - correct answer ✅c. Composition of the governing board, committee, and officers Successful approaches to strategic planning include: a. a well-written mission statement, long-range plane, and fiscal plan plus the history and discussion surrounding them b. avoidance of high risk decision c. not paying attention to competitor's activity d. using rules and past experiences as a guide to future action - correct answer ✅a. a well-written mission statement, long-range plane, and fiscal plan plus the history and discussion surrounding them ACHE BOG Exam Sample Test -100 Questions and Answers The primary challenge facing a prospector is: a. protecting and increasing current services (product) or market share through technical efficiency, cost improvements, or differentiation strategies b. managing diversification successfully, to guard against expanding too rapidly or into areas they have little knowledge c. managing simultaneously the difficult task of pursuing new markets and services while avoiding erosion of current services in existing markets d. creating stability by sticking with strategic plan long enough to accumulate experience and to develop consistent leadership avoiding random diversification efforts. - correct answer ✅b. managing diversification successfully, to guard against expanding too rapidly or into areas they have little knowledge In the introductory stage of a product life cycle: a. the introductory stage can be short b. the introductory stage can be long c. sales and revenue growth is slow c. all of the above - correct answer ✅c. all of the above ACHE BOG Exam Sample Test -100 Questions and Answers The primary task of marketing is to: a. bring about voluntary and involuntary exchanges of value b. attract new advertiser c. bring about exchanges of values d. advertise new and existing services - correct answer ✅c. bring about exchanges of values It would be incorrect to say that: a. an organization's image is a function of all that the organization has done as well as what it has attempted to communicate b. people's images of an organization always reflects their true attitudes toward the organization c. an organization's image is largely the result of public relations, advertising, selling, and communication efforts. d. responsibility for the creation of the organization's image does not lie merely with the marketer - correct answer ✅c. an organization's image is largely the result of public relations, advertising, selling, and communication efforts. ACHE BOG Exam Sample Test -100 Questions and Answers Which of the following environmental assumptions for the next decade is not reasonable? a. Cost containment pressures will continue to be a dominate factor in the delivery of health services b. There will be decreased morbidity (substance abuse, violence, accidents, etc.) c. Continued growth in new technologies will focus on cost -saving technologies that move care from inpatient settings to out -of-hospital settings. d. There will be continuing efforts to measure and assure quality of healthcare services. - correct answer ✅b. There will be decreased morbidity (substance abuse, violence, accidents, etc.) Of the following advertising media, which of the potentially has the maximum selectivity in reaching defined target audience? a. Local radio b. Direct mail c. Network TV 4. Outdoor advertising - correct answer ✅b. Direct mail ACHE BOG Exam Sample Test -100 Questions and Answers The major value of job analysis is that it is: a. used to establish wage levels b. The best method for identifying the need for employees c. the cornerstone of human resources management activities valid for a long period of time. - correct answer ✅c. the cornerstone of human resources management activities Comparative methods of performance appraisal that compares one manager to another to determine performance ratings: a. are solely based on desired organizational outcomes b. are times consuming and useful only for relatively small groups of employees c. are objective measures of performance d. requires the use of only one rater to achieve consistency of measurement - correct answer ✅b. are times consuming and useful only for relatively small groups of employees A system for providing reward for improvement in productivity should: a. be group based to reinforce teamwork and cooperation ACHE BOG Exam Sample Test -100 Questions and Answers b. focus on nonfinancial rewards only c. be integrated into the organization's employee appraisal system d. focus on both nonfinancial and financial rewards. - correct answer ✅d. focus on both nonfinancial and financial rewards Vertical job enlargement: a. gives individual workers responsibility for control of decision making over task-related decisions b. has been universally accepted by all employees c. must involve supervisor and subordinate in participative process d. expands an individual's job by assigning additional step in the production process - correct answer ✅c. must involve supervisor and subordinate in participative process A stop-gap measure that a health service might use to manage intergroup conflict, which allows people to cool down and regain perspective, is: a. smoothing b. bargaining c. integrative problem solving ACHE BOG Exam Sample Test -100 Questions and Answers c. complexity of the negotiation process is simplified d. amount of resources to be distributed is increased, allowing both parties to reach their reservation prices - correct answer ✅d. amount of resources to be distributed is increased, allowing both parties to reach their reservation prices As managerial vacancies occur, the availability of well-trained individuals who understand the organization's mission, vales, culture and strategy is enhanced by: a. the use of an executive search firm to fill managerial vacancies b. rotation of managerial responsibilities among the organization c. the use of an effective succession planning program d. uniform management development programs for midlevel and senior- level managers - correct answer ✅c. the use of an effective succession planning program Capital rationing in the investment decision process refers to the: a. decision on which of the proposed capital projects will be funded b. decision on the total amount of funds available for capital projects ACHE BOG Exam Sample Test -100 Questions and Answers c. decision on the financial merits of each proposal d. decision on the amount of funds to be borrowed for capital projects - correct answer ✅a. decision on which of the proposed capital projects will be funded A positive net present value indicates that the investment has a rate of return: a. decision on which of the proposed capital projects will be funded b. lower than the discount rate used in the calculation c. equal to the discounted rate used in the calculation d. equal to the accounting profit averaged over the life of the investment. - correct answer ✅a. decision on which of the proposed capital projects will be funded For information on net cash flow from providing health services for a specific time frame, the decision maker should use the: a. statement of cash flow b. income statement c. balance sheet ACHE BOG Exam Sample Test -100 Questions and Answers d. statement of retained earnings - correct answer ✅a. statement of cash flow Memorial Hospital offers a screening test as a public service for $.50 per test. Variable cost per unit are $.32. Fixed cost are $43,200 per month for the department performing the test. It is the only test done by this special department. the break-even point in the test is: a. 240,000 tests b. 172,800 tests c. 135, 000 tests d. 86,400 tests - correct answer ✅a. 240,000 tests (.50 -.32 =. 18) (.18/43200 = 240,000) The most important factor in the success of the organizational internal control system is: a. selection of the internal auditor b. selection of the CEO c. selection of certified public accountants for internal auditor functions ACHE BOG Exam Sample Test -100 Questions and Answers b. economic cost to the organization of producing all required returns to capital c. weighted average required rate of return adjusted downward in accordance with GAAP d. correct discount rate valuing total cash flows received by equity suppliers - correct answer ✅b. economic cost to the organization of producing all required returns to capital In general, the net present value calculation assume: a. the discount rate is constant over the life of the decision. b. the organization is a for profit entity c. future cash flows are known with certainty. d. borrowing and lending rates are equal with each period - correct answer ✅d. borrowing and lending rates are equal with each period The difference between an accounting break-even point and an economic break-even point is that: a. the economic break-even point provides the required rate of return to all suppliers of capital to the provider ACHE BOG Exam Sample Test -100 Questions and Answers b. the economic break-even point does not recognize expense category c. the accounting break-even point provide s for total financial requirements d. there is no difference - correct answer ✅a. the economic break-even point provides the required rate of return to all suppliers of capital to the provider Under the capitation, the risks of over-utilization are shifted to the: a. patient receiving the health service b. provider of the health service c. third party payors d. health insurance company - correct answer ✅b. provider of the health service Which of the following ratios would be used to estimate cask flow for a specific time period: a. Receivable balance TO Average daily revenue for period b. Net Account receivable TO Gross account receivables c. Cash collected during period TO Revenue for period d. Deduction from revenue TO Gross revenue for period - correct answer ✅c. Cash collected during period TO Revenue for period ACHE BOG Exam Sample Test -100 Questions and Answers In developing workload measurements for estimating manpower requirements for budget preparation, the analyst should first: a. develop relative units for each cost center b. predict payor mix for the budget year determine available staff for each department d. forecast total admissions activity levels and patient days - correct answer ✅d. forecast total admissions activity levels and patient days Under generally accepted accounting standards, bad debt are reported as a/an: a. deduction from revenue b. operating expense c. contractual allowance d. deduction from gross revenue - correct answer ✅b. operating expense A technique used to shorten the in-house processing time of the accounts receivable cycle is a: a. "lock-box" agreement ACHE BOG Exam Sample Test -100 Questions and Answers d. ensured by having a computer based preventive maintenance system - correct answer ✅c. based on manufacture's recommendation and facility experience with the equipment To access the effectiveness of its maintenance program, a health facility should: a. review the cost of the maintenance activities b. send satisfaction questionnaires to user department c. monitor an established set of performance measures on a periodic basis d. have an outside consultant review the program - correct answer ✅c. monitor an established set of performance measures on a periodic basis The organization's strategic plan, accreditation and licensing requirements , and the need to improve functional efficiency may indicated the need for a building program. To develop a program that best meets these needs, the healthcare organization should: a. interview the medical staff for suggestions b. interview the department managers regarding planned growth c. interview board members ACHE BOG Exam Sample Test -100 Questions and Answers d. prepare a master facility plan - correct answer ✅d. prepare a master facility plan The master facility plan for development of a healthcare organization's physical plant should be based on: a. the suggestions of the medical staff for clinical services expansion b. the facility's strategic plan and volume projections c. recommendations from licensing and accrediting bodies d. the architect's drawings - correct answer ✅b. the facility's strategic plan and volume projections A facility maintenance program will be most effective if: a. request for service are satisfied promptly. b. reliability, safety and efficient operation guide the plan's design c. system failures occur rarely d. backup plans exist for major system - correct answer ✅b. reliability, safety and efficient operation guide the plan's design The plan for maintenance of the physical plant should emphasize: ACHE BOG Exam Sample Test -100 Questions and Answers a. customer satisfaction b. minimal downtime for equipment c. preventive maintenance d. rapid response to problems - correct answer ✅c. preventive maintenance One of the major elements of a master plan for information systems development in a healthcare organization is: a. a request of r proposal (RFP) from vendor b. a list of specifications for computer programs c. the setting of individual computer applications d. a list of specifications for computer hardware installation and maintenance - correct answer ✅c. the setting of individual computer applications An information system contract for a healthcare organization should be drafted by: a. an independent management consultant b. the vendor who will supply the system c. the organization's legal counsel ACHE BOG Exam Sample Test -100 Questions and Answers The most important factor influencing specifications for individual information systems in healthcare organizations should be: a. standard reports generated b. user requirements c. the cost of the systems d. vendor service capabilities - correct answer ✅b. user requirements Of the following, the most important task in evaluating vendor information system products is: a. reviewing technical journals b. attending vendor product demonstrations c. talking directly with others who have used the products you are considering d. attending computer trade shows - correct answer ✅c. talking directly with others who have used the products you are considering As healthcare networks development, the level of information systems consolidation should be driven by: a. the desire and needs of managed care and other payors ACHE BOG Exam Sample Test -100 Questions and Answers b. the business, clinical and operating requirements of the emerging organization c. the desires of the largest organizations in the network d. plans to use common computer hardware throughout the network - correct answer ✅b. the business, clinical and operating requirements of the emerging organization Information systems needed for financial planning and control in healthcare organization include: a. patient registration, admissions, discharges, and transfers b. outpatient and emergency room scheduling c. budgeting, cost accounting, case-mix analysis, and financial modeling d. order entry and result reporting - correct answer ✅c. budgeting, cost accounting, case-mix analysis, and financial modeling Outcomes assessments required by managed care will require more advanced clinical information systems, such as: a. computerized protocols to aid in diagnosis and treatment planning b. computerized patient registration ACHE BOG Exam Sample Test -100 Questions and Answers c. entry laboratory and radiology orders from computer terminals d. processing of medical records abstracts - correct answer ✅a. computerized protocols to aid in diagnosis and treatment planning With respect to the processes by which healthcare organizations maintain the confidentiality, security, and integrity of the medical record, all of the following statements are true EXCEPT: a. the original medical record of a patient being transferred from one healthcare organization to another may accompany the patient to new organization b. healthcare organization must have a mechanism to preserve the confidentiality of data/information identified as sensitive c. the organization must have a mechanism to safeguard records against loss, destruction, tampering, and unauthorized access or use. d. written policies must require that medical record may be removed from the organization's jurisdiction only in accordance with a court order, subpoena, or statue - correct answer ✅a. the original medical record of a patient being transferred from one healthcare organization to another may accompany the patient to new organization ACHE BOG Exam Sample Test -100 Questions and Answers Which of the following is a false statement? Guidelines produced by the Agency for Health Care Policy and Research a. have been shown to decrease healthcare costs b. rarely need to be revised c. provide starting points for managing individual patients have been shown to improve the quality of care - correct answer ✅b. rarely need to be revised Which of the following statements about Malcolm Baldrige National Quality Award is true? a. Service organizations have won the award as often as manufacturing organizations b. Healthcare organizations were able to receive the award beginning in 1996 c. Each year, there are winners in the manufacturing, service, and small business categories ACHE BOG Exam Sample Test -100 Questions and Answers d. Regulatory compliance constitutes an essential prerequisite to winning the award - correct answer ✅b. Healthcare organizations were able to receive the award beginning in 1996 Which of the following statements most accurately describe the HEDIS, Health Plan Employer Data and Information Set? a. HEDIS indicators can easily be adopted for use by acute care hospitals b. HEDIS quality indicators evaluate preventive services, prenatal care, acute and chronic illness, and mental health and substance abuse program c. HEDIS was developed primarily to meet the needs of patients and their families d. financial performance has no bearing on HEDIS indicators - correct answer ✅b. HEDIS quality indicators evaluate preventive services, prenatal care, acute and chronic illness, and mental health and substance abuse program The governing authority assures itself about the quality of care by: a. holding the CEO of the healthcare facility accountable b. making the president of the medical/professional staff an ex officio member of the governing authority ACHE BOG Exam Sample Test -100 Questions and Answers c. approving the process and then following up regularly and continuously to see that it is being used d. reviewing tabulated results of incidence reports - correct answer ✅c. approving the process and then following up regularly and continuously to see that it is being used A non-legitimate reason to release information from a patient's medical record is when: a. subpoenaed by a court order b. requested by the spouse or next of kin c. the patient becomes incompetent d. reporting statistics for a research project - correct answer ✅b. requested by the spouse or next of kin In the past, hospitals have been less effective in lobbying than physicians because: a. legislators like physicians more b. physician have better lobbyists c. the law prevents hospitals from lobbying ACHE BOG Exam Sample Test -100 Questions and Answers ✅a. Reports have rarely led hospitals to make privileging decisions they would not have made otherwise Which of the following statements BEST summarizes the prevailing legal standards used to judge the actions of members of a not-for -profit healthcare organization's governing board? a. They must act in good faith, with reasonable care, and with the best interests of the corporation in mind. b. They must have exercise the same high level of fiduciary duty as is applied to the trustees of a trust c. They must avoid gross negligence and willful misconduct d. They are immune from personal liability - correct answer ✅a. They must act in good faith, with reasonable care, and with the best interests of the corporation in mind. Which of the following is the clear trend regarding a hospital's liability for the action s of members of its medical staff? a. The hospital may be held liable for a physician's negligence even though the physician is an "independent contractor" ACHE BOG Exam Sample Test -100 Questions and Answers b. Hospitals are not liable for such actions because they are simply physical sites where patients receive treatment from privately retained physicians c. Courts are becoming more reluctant to impose liability on hospitals for negligence of physicians who use their facilities d. The hospital is liable only if the physician is an employee - correct answer ✅a. The hospital may be held liable for a physician's negligence even though the physician is an "independent contractor" A joint venture laboratory owned by a hospital and physicians on its medical staff would probably be a violation of fraud and abuse law if it were to: a. market its services to both investors and non-investors b. offer ownership shares at the same price toe referrers and non-referrers c. required investors to refer business to it d. base its profit distribution on the amount of capital contribution, not on referrals - correct answer ✅c. required investors to refer business to it The principle reason for a small and mid-size employers to join buyers cooperatives is to enable them to: a. drop coverage from existing insurers ACHE BOG Exam Sample Test -100 Questions and Answers b. gain leverage to obtain similar to large employers c. negotiate directly with physicians and hospitals d. lobby government agencies for more protection from insurers - correct answer ✅b. gain leverage to obtain similar to large employers The development of preferred provider organization was originally intended to: a. guarantee that hospitals maintain their occupancies b. promote networks that would evolve into multihospital systems c. offer an alternative to the health maintenance organization d. force high-priced hospitals out of the local market via discounts - correct answer ✅c. offer an alternative to the health maintenance organization An important reason for a hospital and its medical staff to explore the development of physician-hospital organizations is to: a. permit contracting with plans that want to buy both hospital and physician services b. being development of a hospital based health maintenance organization c. eliminate poor performing physicians from the organization ACHE BOG Exam Sample Test -100 Questions and Answers c. a member of the association d. the subsidiary - correct answer ✅d. the subsidiary Two independent healthcare organizations interested in discussing a joint venture to initiate a cancer treatment program would be wide to initially consult with their legal counsel to determine if their: a. liability is equal even though disproportionately owned b. financial gains or losses can be shared unequally c. discussions might violate antitrust statues. d. current facilities can accommodate the program - correct answer ✅c. discussions might violate antitrust statues. The healthcare executive with opposing duties (obligations) meeting one of which makes it impossible to meet other has a : a. conflict of interest b. management ethical dilemma c. need for a consultant d. situation that is impossible - correct answer ✅a. conflict of interest ACHE BOG Exam Sample Test -100 Questions and Answers The best way to describe health fairs, screening programs, and smoking cessation classes provided by healthcare organizations is that they are: a. attempt to create demand b. necessary for most third party reimbursement c. desirable, but superfluous activities d. community education programs - correct answer ✅d. community education programs The ethical precepts (organizational philosophy) that guide an organization's activities are found in a variety of sources that are: a. reflected in everyone's actions b. the sole province of senior management. c. part of the governing body's formal actions d. written and unwritten - correct answer ✅d. written and unwritten The most common and useful ways to overcome resistance to change in organizations are: a. education and communication b. manipulation and co-optation ACHE BOG Exam Sample Test -100 Questions and Answers c. committees and task forces d. inspirational leadership and managerial skill - correct answer ✅a. education and communication Coordination among governance, management, and professional staff is a major problem for most healthcare organizations. A common way to solve the problem of coordination is to: a. provide a local area network to leaders of each group using personal computers b. have overlapping membership on committee that are part of each group c. have quarterly meeting where issues of concern to the groups are discussed d. provide copies of memoranda and policy statements to leaders of each group - correct answer ✅b. have overlapping membership on committee that are part of each group In effort to encourage licensed clinical staff to engage in continuing education, healthcare executives are given substantial assistance by the fact that these professionals: a. are encouraged by significant peer pressure