ACHE BOG Examination Sample Test -100 Questions with Complete Solutions Latest Update 2024, Exams of Nursing

Download ACHE BOG Examination Sample Test -100 Questions with Complete Solutions Latest Update 2024 and more Exams Nursing in PDF only on Docsity!

ACHE BOG Examination Sample Test -

Questions with Complete Solutions Latest

Update 2024

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 - answers> d. what the institution would have to pay for a similarly prepared person if that person were employed elsewhere

2. 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 - answers> a. approve the mission, vision, and long-range plan
3. The key to enhancing board effectiveness is: a. getting the right people to serve on the board b. supporting and selecting the right CEO c. orientating and training the CEO

d. organizing the board's work - answers> d. organizing the board's work

4. 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 - answers> a. when not legally prohibited
5. 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 - answers> b. represents the board internally and externally
6. Regarding the budget, the board: a. does not use the budget exercise as a way to improve quality and productivity b. gets involved in preparing budgets for all operational units c. decides which personnel are needed in top management d. establishes guidelines and makes final choices among competing opportunities - answers> d. establishes guidelines and makes final choices among competing opportunities

7. The individual or group responsible for establishing policy, maintaining quality of care, and providing for institutional management planning is the: a. COO b. Medical Staff Medical Committee c. Governing Body d. CEO - answers> c. Governing Body
8. A correct statement regarding trustee serving as fiduciaries is that they can: a. be indicted for alleged theft of facility funds and improper expenditures of facility funds for personal reasons. b. be released from responsibility by giving the audit committee final authority in high risk areas of financial matters, without any action by the whole board c. be held personally liable for wrongful acts or omissions by corporate officers or co-trustees by virtue of their position as trustees d. waive their fiduciary responsibility as a community organization - answers> a. be indicted for alleged theft of facility funds and improper expenditures of facility funds for personal reasons.
9. Ultimate responsibility for the mission statement rests with the: a. CEO and medical staff b. Governing Board c. Community and CEO d. CEO - answers> b. Governing Board

10. A key reason for choosing board members is because: a. other board members want to listen to their opinions. b. of what they can do for the organization c. have high status in the community d. physicians will listen to them they can - answers> b. of what they can do for the organization
11. 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 d. Composition of the governing board, committee, and officers - answers> c. Composition of the governing board, committee, and officers
12. 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 - answers> a. a well-written mission statement, long-range plane, and fiscal plan plus the history and discussion surrounding them
13. 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. - answers> b. managing diversification successfully, to guard against expanding too rapidly or into areas they have little knowledge

14. 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 d. all of the above - answers> c. all of the above
15. 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 - answers> c. bring about exchanges of values

16. 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 - answers> c. an organization's image is largely the result of public relations, advertising, selling, and communication efforts.
17. It is important to understand the consumer adoption process because: a. the organization may be able to convince the consumer to pass over awareness, interest, the evaluation stages, moving directly to trail. b. it is important to have the communications plan for new products/services address the late majority and laggards as well as the innovators c. word of mouth and personal influence play little to no role in the consumer adoption process d. people differ significantly in their likelihood to try a new product/service, a factor that should affect an organization's communications plans for its new product /service - answers> d. people differ significantly in their likelihood to try a new product/service, a factor that should affect an

organization's communications plans for its new product /service

18. All of the following can be used to establish marketing budgets? a. The affordable method b. Objective and task method c. Competitive-based method
19. 4. All the above - answers> b. Objective and task method
20. All of the following are methods used to forecast future demands except: a. target buyer intention surveys b. performance of an environmental assessment
21. c.estimation of a competitor's current customer base
22. d. estimate of future demand by "middlemen" - answers> c. estimation of a competitor's current customer base
23. All of the following statements are true except that: a. much of the art of forecasting relies on the opinions of experts b. forecasting, if correctly performed relying on technological forecasting approaches, is an exact science c. forecasting includes applying the rates of anticipated future change to the current status to predict the future d. qualitative date are often used in developing assumptions on which quantitative forecasting can be constructed -

answers> b. forecasting, if correctly performed relying on technological forecasting approaches, is an exact science

24. 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. - answers> b. There will be decreased morbidity (substance abuse, violence, accidents, etc.)
25. 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
26. 4. Outdoor advertising - answers> b. Direct mail
27. 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

28. valid for a long period of time. - answers> c. the cornerstone of human resources management activities
29. 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 - answers> b. are times consuming and useful only for relatively small groups of employees
30. A system for providing reward for improvement in productivity should: a. be group based to reinforce teamwork and cooperation b. focus on nonfinancial rewards only c. be integrated into the organization's employee appraisal system d. focus on both nonfinancial and financial rewards. - answers> d. focus on both nonfinancial and financial rewards
31. 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 - answers> c. must involve supervisor and subordinate in participative process

32. 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 d. appealing to superordinate goals - answers> a. smoothing
33. Work groups informally govern the amount and quality of work of individuals within the group through: a. performance norms b. behavior norms c. standard operation procedures d. job description - answers> a. performance norms
34. As a minimum, an organization demonstrates "good faith" in collective bargaining with a union by: a. appointing a representative who may not have the power to negotiate agreements to meet with the union b. rejection union proposals without having to offer counterproposals.

c. bargaining individually with employees or offering them individual contracts even though bargaining has been requested by the majority representative d. receiving union proposals and meeting with the union from time to time to discuss the proposals - answers> d. receiving union proposals and meeting with the union from time to time to discuss the proposals

35. Large, multidisciplinary work groups with health services organizations are likely to suffer from: a. "groupthink" when individuals strive toward harmony and unanimity at the expense of good decision making. b. "free-riding" when individuals can benefit from the work of the group without making a suitable contribution c. "risky shift" when individuals ignore potentially dangerous outcomes and choose high-risk alternatives d. "behavioral transference" when values and norms of other work groups are discounted - answers> b. "free-riding" when individuals can benefit from the work of the group without making a suitable contribution
36. The major benefit of integrative dimension of negotiation over the distributive dimension is that the: a. value of the Best Alternative to a Negotiated Agreement is increased b. value of the Best alternative to a Negotiated Agreement is decreased 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 - answers> d. amount of resources to be distributed is increased, allowing both parties to reach their reservation prices

37. 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 - answers> c. the use of an effective succession planning program
38. 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 c. decision on the financial merits of each proposal d. decision on the amount of funds to be borrowed for capital projects - answers> a. decision on which of the proposed capital projects will be funded

39. 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. - answers> a. decision on which of the proposed capital projects will be funded
40. 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 d. statement of retained earnings - answers> a. statement of cash flow
41. 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 - answers> a. 240,000 tests (.50 -.32 =. 18) (.18/43200 = 240,000)

42. 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 d. selection of the audit committee of the board - answers> a. selection of the internal auditor
43. Hampton Outpatient budgeted revenue from flu vaccinations at $20 per shot. Fixed cost total $5 per unit dose on 4,000 shots and remain unchanged within a relevant range of 1,500 shots to 6,400 shots. Variable cost of $10 per shot. After total revenue was budgets at $70,000, the clinic received a request from the local school district for flu vaccinations for its 1,000 students at a reasonable cost. If Hampton Clinic wants to increase operating income by $2,000, what should Hampton charge for additional shots. a. The variable cost plus the incremental profit margin per shot. b. The average cost per sot plus the per-unit profit c. The fixed cost per shot plus the variable cost. d. The variable costs plus the per-unit fixed cost. - answers> a. The variable cost plus the incremental profit margin per shot.

44. Financial risk is an element in capital investment decisions and is determined by: a. the riskiness of the firm to the equity holders, assuming no debt financing is used. b. The additional risk placed on the firm when debt financing is used c. the risk inherent in the firm's beta coefficient as determined by industry levels. d. the total riskiness of the firm's return on assets (ROA) and its market portfolio. - answers> b. The additional risk placed on the firm when debt financing is used
45. The asset turnover ratio is useful in measuring managerial performance because it indicates the: a. amount of resources required to generate a dollar of revenue b. profitability per dollar of revenue c. effectiveness of capital structure decisions d. effective use of current assets - answers> a. amount of resources required to generate a dollar of revenue
46. A weighted average cost of capital is the: a. accounting cost to the organization of producing all required returns to capital 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 - answers> b. economic cost to the organization of producing all required returns to capital

47. 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 - answers> d. borrowing and lending rates are equal with each period
48. 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 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 - answers> a. the economic break-even point provides the required rate of return to all suppliers of capital to the provider
49. 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 - answers> b. provider of the health service

50. 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 - answers> c. Cash collected during period TO Revenue for period
51. 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
52. determine available staff for each department
53. d. forecast total admissions activity levels and patient days - answers> d. forecast total admissions activity levels and patient days
54. 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 - answers> b. operating expense

55. A technique used to shorten the in-house processing time of the accounts receivable cycle is a: a. "lock-box" agreement b. line of credit arrangement c. minimum balance agreement d. shorten write-off date - answers> a. "lock-box" agreement
56. Which of the following best describes a plan for the development of a facility' physical plant? a. a set of completed plans and specifications for all of the changes to be made to the physical plant b. a projection of the cash flow for the plant -related projects c. a listing of the changes, sequence, and cost to meet projected capacity requirements
57. a financial feasibility study of funding alternatives for plant development - answers> c. a listing of the changes, sequence, and cost to meet projected capacity requirements
58. In planning to purchase new equipment, a healthcare facility should always be sure: a. to speak with all suppliers and ask for presentations by suppliers b. that the purchase is part of the facility's capital plan c. to take the lowest bid

d. to take the recommendation of the medical director - answers> b. that the purchase is part of the facility's capital plan

59. The selection of major item of equipment should be: a. guided by a selection group composed of the users and maintainers of that equipment b. made by the medical director of the department c. the sole choice of the administrator d. the decision of the board of directors - answers> a. guided by a selection group composed of the users and maintainers of that equipment
60. An effective plan for equipment maintenance is: a. ensured by having all replacement parts in stock b. determine when the equipment is installed and need not be changed c. based on manufacture's recommendation and facility experience with the equipment d. ensured by having a computer based preventive maintenance system - answers> c. based on manufacture's recommendation and facility experience with the equipment
61. 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 - answers> c. monitor an established set of performance measures on a periodic basis

62. 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 d. prepare a master facility plan - answers> d. prepare a master facility plan
63. 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 - answers> b. the facility's strategic plan and volume projections
64. 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 - answers> b. reliability, safety and efficient operation guide the plan's design

65. The plan for maintenance of the physical plant should emphasize: a. customer satisfaction b. minimal downtime for equipment c. preventive maintenance d. rapid response to problems - answers> c. preventive maintenance
66. 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 - answers> c. the setting of individual computer applications
67. 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

d. technical staff from the organization and the vendor working together. - answers> c. the organization's legal counsel

68. To compete for managed care contracts, healthcare providers must be able to provide data to managed care organizations on: a. cost and quality of services provided b. medical technology employed in the delivery of care c. efficiency of internal operations d. number of personnel employed in the organization - answers> a. cost and quality of services provided
69. The chief information officer for a healthcare organization should supervise the following functions in the organization: a. information systems and telecommunications b. mix of services provided c. utilization review and risk management d. clinical engineering programs - answers> a. information systems and telecommunications
70. An important management principle that should guide the planning design, and implementation of information systems for healthcare organization is: a. always buy the newest system available to avoid technical obsolescence b. leave all decisions about information technology to technical specialist c. employ consultants to set priorities for system development

d. treat information as an essential institutional resource. - answers> d. treat information as an essential institutional resource

71. Membership of the healthcare information systems steering committee should comprise: a. the CEO, CIO, selected major user departments and the chair of the governing board b. representatives of administration, physicians leadership, information systems management, and major user departments c. the CIO and senior system analysts d. the CIO and outside technical consultants - answers> b. representatives of administration, physicians leadership, information systems management, and major user departments
72. 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 - answers> b. user requirements
73. 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 - answers> c. talking directly with others who have used the products you are considering

74. 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 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 - answers> b. the business, clinical and operating requirements of the emerging organization
75. 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 - answers> c. budgeting, cost accounting, case-mix analysis, and financial modeling
76. 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 c. entry laboratory and radiology orders from computer terminals d. processing of medical records abstracts - answers> a. computerized protocols to aid in diagnosis and treatment planning

77. 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 - answers> a. the original medical record of a patient being transferred from one healthcare organization to another may accompany the patient to new organization