FEDERAL NURSING HOME ADMINISTRATOR
EXAM TEST PAPER 2026 FULL SOLUTION
VERIFIED
◉ equity Answer: the excess of a firms assets over its liabilities
equals the owner's equity
◉ first in, first out Answer: inventory process using oldest supplies
first
◉ Last in, last out Answer: method of assigning costs assumes that
the most recent purchases are sold first
◉ fixed costs Answer: costs that don't vary with number of patients
◉ funded depreciation Answer: used to finance replacement
equipment
◉ general ledger Answer: financial record summarizes all entries in
each journal for an accounting period, continuous record of account
balances and arriving at a trial balance
,◉ Intangible asset Answer: item or right that has no physical
substance and provides an economic benefit (reputation of facility)
◉ Journal Answer: book of original entry, first place a transaction is
formally recorded
◉ Liabilities Answer: debts owed to a person other than the owner
◉ long-term asset Answer: noncurrent assets like buildings and
equipment
◉ Office of Inspector General (OIG) Answer: identifies and
eliminates fraud, abuse and waste in Medicare and Medicaid.
◉ Operating margin Answer: total profit or loss as a percent of total
revenue
◉ retained earnings Answer: income left to a company after taxes
and dividends have been paid
◉ Return on Equity Answer: assessing a company's profitability.
Calculated by dividing annual net income by shareholder's equity.
, ◉ Statement of cash flows Answer: displays how the cash balance
has changed during a fiscal period
◉ Straight-line method of depreciation Answer: allocates equal
amounts of depreciation expense to each full period of the asset's
life
◉ variable cost Answer: cost that varies with the change in the
number of patients
◉ working capital Answer: excess of current assets over current
liabilities
◉ Preventative Maintenance Answer: assures equipment and
components operate in optimal conditions.
◉ Board of Directors Answer: has the ultimate legal responsibility
for the facility's operations
◉ Leadership Answer: collaboratively engaging colleagues toward a
shared vision
◉ Management Answer: getting tasks accomplished on a daily basis
EXAM TEST PAPER 2026 FULL SOLUTION
VERIFIED
◉ equity Answer: the excess of a firms assets over its liabilities
equals the owner's equity
◉ first in, first out Answer: inventory process using oldest supplies
first
◉ Last in, last out Answer: method of assigning costs assumes that
the most recent purchases are sold first
◉ fixed costs Answer: costs that don't vary with number of patients
◉ funded depreciation Answer: used to finance replacement
equipment
◉ general ledger Answer: financial record summarizes all entries in
each journal for an accounting period, continuous record of account
balances and arriving at a trial balance
,◉ Intangible asset Answer: item or right that has no physical
substance and provides an economic benefit (reputation of facility)
◉ Journal Answer: book of original entry, first place a transaction is
formally recorded
◉ Liabilities Answer: debts owed to a person other than the owner
◉ long-term asset Answer: noncurrent assets like buildings and
equipment
◉ Office of Inspector General (OIG) Answer: identifies and
eliminates fraud, abuse and waste in Medicare and Medicaid.
◉ Operating margin Answer: total profit or loss as a percent of total
revenue
◉ retained earnings Answer: income left to a company after taxes
and dividends have been paid
◉ Return on Equity Answer: assessing a company's profitability.
Calculated by dividing annual net income by shareholder's equity.
, ◉ Statement of cash flows Answer: displays how the cash balance
has changed during a fiscal period
◉ Straight-line method of depreciation Answer: allocates equal
amounts of depreciation expense to each full period of the asset's
life
◉ variable cost Answer: cost that varies with the change in the
number of patients
◉ working capital Answer: excess of current assets over current
liabilities
◉ Preventative Maintenance Answer: assures equipment and
components operate in optimal conditions.
◉ Board of Directors Answer: has the ultimate legal responsibility
for the facility's operations
◉ Leadership Answer: collaboratively engaging colleagues toward a
shared vision
◉ Management Answer: getting tasks accomplished on a daily basis
