FACHE PRACTICE EXAM 2026/2027 | HEALTHCARE
MANAGEMENT | 75 VERIFIED Q&A | DETAILED
RATIONALES | PASS GUARANTEED – A+ GRADED
SECTION 1: HEALTHCARE LEADERSHIP AND GOVERNANCE – Questions 1–12
Q1: Leadership – Transactional Leadership
The student is reviewing leadership styles. Which leadership style focuses on rewards and
punishments to motivate employees?
A. Transformational leadership
B. Transactional leadership
C. Servant leadership
D. Laissez-faire leadership
Correct Answer: B
Rationale: Transactional leadership uses contingent rewards and management by exception to
motivate staff. It focuses on exchanges between leaders and followers. Transformational leadership
inspires change. Servant leadership prioritizes others. Laissez-faire is hands-off. [100% CORRECT]
Q2: Leadership – Authentic Leadership
The student is reviewing authentic leadership. What is the core characteristic of authentic
leadership?
A. Maintaining secrecy
B. Self-awareness and transparency
C. Avoiding relationships
D. Rigid control
Correct Answer: B
Rationale: Authentic leaders demonstrate self-awareness, relational transparency, balanced
processing, and internalized moral perspective. They lead with integrity and openness. [100%
CORRECT]
Q3: Governance – Chief Executive Officer
The student is reviewing governance. What is the primary role of the Chief Executive Officer (CEO) in
a healthcare organization?
A. Direct patient care
B. Operational and strategic management
C. Board governance
D. Clinical decision-making
Correct Answer: B
Rationale: The CEO is responsible for the overall operations, strategic direction, and financial
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performance of the organization. The board provides governance, and clinical staff provide patient
care. [100% CORRECT]
Q4: Leadership – Complexity Leadership Theory
The student is reviewing complexity leadership. What does complexity leadership theory
emphasize?
A. Simple linear processes
B. Adaptive responses to complex systems
C. Rigid hierarchical structures
D. Ignoring change
Correct Answer: B
Rationale: Complexity leadership theory focuses on enabling adaptive capacity, innovation, and
learning in complex healthcare environments. It recognizes organizations as complex adaptive
systems. [100% CORRECT]
Q5: Leadership – Emotional Intelligence
The student is reviewing emotional intelligence. Which component involves the ability to build
rapport and manage relationships?
A. Self-awareness
B. Self-regulation
C. Social skills
D. Motivation
Correct Answer: C
Rationale: Social skills involve proficiency in managing relationships, building networks, and finding
common ground. Self-awareness is knowing oneself. Self-regulation is managing oneself. Motivation
is inner drive. [100% CORRECT]
Q6: Leadership – Situational Leadership
The student is reviewing situational leadership. According to Hersey and Blanchard, which leadership
style is appropriate for a follower with moderate competence and low commitment?
A. Telling
B. Selling
C. Participating
D. Delegating
Correct Answer: B
Rationale: Selling (high task, high relationship) is for moderate readiness. The leader provides
direction and support to build commitment. Telling is for low readiness. Participating is for
moderate-high. Delegating is for high readiness. [100% CORRECT]
Q7: Leadership – Change Management
The student is reviewing change management. In Kotter's 8-Step Model, what is the second step?
A. Create urgency
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B. Form a powerful coalition
C. Create a vision
D. Empower action
Correct Answer: B
Rationale: Kotter's second step is to form a powerful coalition of people who can lead and support
the change effort. The first step is creating urgency. [100% CORRECT]
Q8: Leadership – Conflict Resolution
The student is reviewing conflict resolution. Which conflict resolution style involves one party giving
in to the other?
A. Compromise
B. Collaboration
C. Accommodation
D. Competition
Correct Answer: C
Rationale: Accommodation is a lose-win approach where one party gives in to maintain harmony.
Compromise is win-lose. Collaboration is win-win. Competition is win-lose (assertive). [100%
CORRECT]
Q9: Leadership – Delegation
The student is reviewing delegation. Which task can be delegated to a licensed practical nurse (LPN)?
A. Administering IV push medications
B. Performing initial patient assessment
C. Developing the nursing care plan
D. Administering oral medications to a stable patient
Correct Answer: D
Rationale: LPNs can administer oral medications to stable patients. IV push medications, initial
assessments, and care plan development require RN scope of practice. [100% CORRECT]
Q10: Leadership – Prioritization
The student is reviewing prioritization. Which patient should the nurse see first?
A. Patient with a blood pressure of 150/90
B. Patient with chest pain and diaphoresis
C. Patient requesting discharge instructions
D. Patient with a temperature of 99.5°F
Correct Answer: B
Rationale: Chest pain with diaphoresis indicates possible myocardial infarction, a life-threatening
emergency. ABCs and acute coronary syndrome take priority. [100% CORRECT]
Q11: Leadership – Just Culture
The student is reviewing just culture. In a just culture, what is the appropriate response to a human