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FACHE Practice Exam New Questions
2025 with 100% Correct Answers | Verified
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According to ACHE's Code of Ethics, one way that healtcare executives can avoid or minimoze the negative implications of conflict of interest ✔✔Make the conflict known to those in superior positions The principles of quality improvement require that healthcare exectutive change their management philosophy from ✔✔Finding fault with employees to finding problems in processes What type of problems arises when a healthcare executive knowingly allows the organization to continue double billing ✔✔An actual conflict of interest, even absent a direct economic benefit to the healthcare exective Which of the following is a unit of measure commonly used it determine physicians' clinical productivity ✔✔Relative Value Units (RVUs) Which of the following third-party reimbursement methods provides the largest financial incentives for the provider to reduce cost ✔✔Prospective payment (PPS)-Medicare payment based on predetermined-fixed amount
Statements of earnings, financial positions, changes in financial position and retained earnings are required to be submitted yearly by all ✔✔Publicly owned healthcare organizations Which of the following is an example of a capital expenditure ✔✔A building with a useful like of 20 years What is the correct order of stages for accomplishing organizational change ✔✔Identifying, planning, implementation, evaluation Boards make better strategic decisions of they use information that is ✔✔Focused on measurable outcomes of service quality and economic a validity The central role of the health services organization's board includes all of the following ✔✔Support in managing important service programs of departments the first role of the governing body is to ✔✔Set objectives and develop policy to guide the organization in ache ing its mission
A health services organization should use which of the following sequential processes to help establish human resources objectives and policies ✔✔Analyze the current HR situation, forecast HR demand, reconcile with the budget, forecast supply Probability models that forecast the internal flow of employees from one job category to another use a ✔✔Transition matrix--model internal flow of HR-historical movement of one job to another Forecasting the internal supply of employees as they move from their current jobs into others through promotions, lateral move and termination is called ✔✔Supply-push approach Which of the following describes the conflict management strategy that would have the most immediate effect on reducing conflict behavio ✔✔Imposition of formal authority to resolve or suppress conflict Multi-rather assessment (360 degrees feedback) of managers in healthcare organization's is best used ✔✔In the development of a specific action plan by appraises
Behaviorally anchored rating scales (BARS) for specific jobs can be ✔✔Used to identify component of job behaviors In the amount of charity care increased rom one reporting period to the next, which of the following would occur ✔✔Unrestricted net assets would decrease Which would be a reasonable basis on which to allocate administrative overhead cost ✔✔Amount of supplies used The effective cost of debt is roughly the same for both not-for-profit and investor-owned organization's becasue ✔✔The tax deductibility of interest for investor-owned firms offsets the lower coupon rate on tax-exempt debt The master site plan (or master facility plan) for healthcare organization ✔✔Describes future facility needs(either renovation or new construction) necessary to meet strategic and operational needs Which of the following statements best describes the statistics bedget ✔✔It provides input date for other budgets
Which of the following is a major priority for system development in the managed care environment ✔✔Development of operational inpatient systems Which of the following is considered the best source of information to help a healthcare organization improve its existing services ✔✔Weekly meetings with staff members to determine organizational deficiencies Which of the following is an example of an asset ✔✔Property, plant and equipment Which statement about short-term debt reduces liquitity ✔✔Increased use of short- term debt reduces liquidity Which of the following is likely to provide useful information for evaluating the profitability of a hospital's managed care business ✔✔Changes A master patient index MPI can best be described as ✔✔A relational database containing all identifications members assigned to patients
A typical use of the Internet by healthcare organization's is to ✔✔Advertise services available to the community The best way to facilitate information system integration with a healthcare organization is to ✔✔Standardize data definitions and data structures Which of the following is a developing technology that will help control unauthorized access to comprised informaiton ✔✔Biometric access control devices In negotiating a contract for an information system, healthcare organization's should ✔✔Form a negotiating team and utilize legal counsel Which of the following is the most important factor to consider in evaluating vendor software packages ✔✔Ability of the software to interface with existing systems The CIO for a healthcare organization is typically responsible for which of the following functions ✔✔Information systems and telecommunications
An efficient Formulatory and Therapeutics committee in many hospitals evaluates all of the following ✔✔Patients' current medication effectiveness Healthcare organizations often utilize special purpose software which allows rapid access to large archives of integrated data to assist management with decision making. This typically is referred to as an ✔✔Executive Decision Support Team Which of the following would represent the most common of adverse drug events (ADEs) ✔✔Lack of knowledge of drug What is the primary advantage of the corporate form of organization for a healthcare provider ✔✔It had limited liablity Law and tradition have established basic criteria for healthcare governing boards. One criteria is that ✔✔The actions of the board are reasonable and prudent continuous quality improvement assumes that ✔✔there is no upper limit to excellence
which of the following best describes the responsibility of a hospital with an emergency department (ED) when a person come to the ED for examination treatment ✔✔the hospital must provide an appropriate medical screening to determine whether an emergency condition exists and if you stabilize the condition What was the first major law to have a significant impact on individual privacy in the workplace ✔✔Civil Rights Act how does physician self-referral or Start law apply to Medicare payments ✔✔the law prohibits a provider from presenting a claim to Medicare or to any person or other entity for a prohibited DHS referral. Which of the following is not an advantage of an effective Corporate Compliance Program ✔✔a. Initiating immediate and appropriate corrective actions b. COSTS OF IMPLEMENTATION AND OPERATIONS c. Developing processes to allow employees to report potential problems A privilege of confidentiality exists in a physician-patient relationship when the physician- acquired information is ✔✔Related to the care and treatment of the patient
Which organizational theory is illustrated by governing activities with explicit and specific procedures, arranging offices in a hierarchical fashion, and selecting candidates on the basis of their technical comptentency ✔✔Bureaucratic in planning for future community health services, it is important to understand population health needs. Which ethnic category tend to proportionally use physician services ✔✔White Which of the following limitations would cause a hospital of OB unit to change in volume over a four year period ✔✔Market According to CMS Conditions of Participation, under what circumstances, if any, is it permissible to deny a patient access to his or her medical information ✔✔the information requested consists of psychotherapy notes The overall goal of the HIPAA Act of 1996 is ✔✔Improve portability and continuity of health insurance, combat fraud Congress enacted Start II to prohibit which of the following ✔✔a physician of an immediate family member from referring a patient to an entity with which they have a financial relationship
Which of the following activities should be performed by the Board of Directores ✔✔Hiring the CEO Performance improvement teams should consist of ✔✔Member of the involved microsystems The four important aspects of clinical support services are technical quality, patient satisfaction, continuity or integration, and ✔✔Appropriateness A bar chart format, with the items rank ordered on a dependent variable, such as cost, profit, or satisfaction that examines the components of a problems in terms of their contribution to it is known as ✔✔Pareto analysis Governing Boards are typically more effective at what size ✔✔ 10 - 15 What type of review involves evaluation of management staff by their superiors, subordinates, and internal and external customers ✔✔ 36 - annual review
In a unionized organization, what is the most effective contract dispute resolution finalizing alternative ✔✔Abritration (a form of alternative dispute resolution (ADR), is a technique for the resolution of disputes outside the courts. The parties to a dispute refer it to arbitration by one or more persons and agree to be bound by the arbitration decision. A third party reviews the evidence in the case and imposes a decision that is legally binding on both sides and enforceable in the courts. What does liquidity ration measure ✔✔a firm's ability to meet its current obligations in a timely manner The real value of financial statements lies in the fact they can be used to help ✔✔predict the firm's future financial condition Facing struggles such as declining profit margins, nonprofit healthcare organizations have become more dependent on what sources for financing capital needs ✔✔Philantropy You work for a county organization that has decided to issue bonds to fund a new building. what type of bond would be sold on behalf of your organations ✔✔Municipal bond
On a balance sheet, what does the difference between total current assets and total current liabilities indicate ✔✔Net working capital how should supervisors behave toward informal leaders in the organization ✔✔Maintain a positive attitude toward informal leaders Budgets for new capital expenditures include requests for ✔✔infrastructure The Capital Asset Pricing Model (CAPM), an equilibrium model, describes the relationship between which of the following ✔✔Market risk and required rate of return What is the most common operating indicator used to measure overall staff productivity ✔✔Full-time equivalent per adjusted average daily census Determining whether the help desk function is effective and whether projects are well managed are examples of measuring an information system department's ✔✔Operational compentency
When discharging a patient from a hospital, the institution can be held liable ✔✔for abandoning the patient if the patient is in need of further medical care Under the Emergency Medical Treatment and Active Labor Act (EMTALA) ✔✔Originated due to concerns of patient dumping Which of the following health maintenance organization models exerts maximum control over physician providers ✔✔Closed Panel (a health maintenance organization (HMO) in which physicians are either employees of the HMO or belong to a group of physician contracts with it) What is generally prohibited by Start II laws ✔✔A physician referring a patient to a service owned by the physician Under HIPAA, congress required the Secretary of HHS to adopt standards to ✔✔Provide for standard data elements and code sets Shewart process for performance improvement ✔✔Plan, Do, Check, Act Elements of a balanced scorecard ✔✔Financial
Learning and Growth Internal Processes Customers The CEO of a 125-bed hospital realizes that her hospital is surrounded by three similar institutions and determines that her institution has no competitive advantage. Which strategy should she pursue? ✔✔Prioritize market segments and heavily promote key groups If the average daily census on an inpatient surgical unit is 19 and the productivity hours per patient day target is 7.2, and the productive percentage calculation is 8.5, how many fulltime equivalents (FTEs) should be budgeted for productive core staffing ✔✔ 24 What is the revenue cycle process is a major impediment to prompt payment ✔✔Claim denial When evaluating capital budgeting performance, what is the best indicator of operating leverage ✔✔Expense ratio
