Lab Management: Financial Management Exam Questions And Correct Answers

LAB MANAGEMENT: FINANCIAL
MANAGEMENT EXAM QUESTIONS AND
CORRECT ANSWERS

FinancialsxAccountingsx-sxANSWERS-primarilysxdedicatedsxtosxrecordingsxthesx"bottom-
linesxfinancial
position"sxofsxthesxorganization;sxitsxissxoftensxreferredsxtosxassxthe
scorekeepingsxfunction.

FinancialsxAccountingsx-sxANSWERS-Itssxfocussxissxonsxthesxcashsxflowsxand
financialsxpositionsxofsxthesxfirm.

Costsx(Managerial)sxAccountingsx-sxANSWERS-
Thesxprimarysxobjectivesxofsxcostsxaccountingsxissxtosxprovidesxthe
managersxwithsxinformationsxtosxoperatesxthesxbusiness.

budget.sx-sxANSWERS-Thesxmostsxprominent
documentsxgeneratedsxbysxcostsxaccountingsxissxthe?

thesxstatement
ofsxfinancialsxposition,sxalsosxreferredsxtosxassxthesxbalancesxsheet;sxthe
statementsxofsxincomesxandsxretainedsxearnings;sxandsxthesxstatementsxof
flowsxofsxfundssx-sxANSWERS-
Theresxaresxthreesxmainsxfinancialsxaccountingsxstatements:

statementsxofsxfinancialsxpositionsxorsxbalancesxsheetsx-sxANSWERS-issxthe
best-knownsxdocumentsxissuedsxbysxasxcompany.

Thesxstatementsxofsxincomesxandsxretainedsxearningssxandsxthe
statementsxofsxflowsxofsxfundssx-sxANSWERS-
fundssxaresxlesssxfamiliarsxbecausesxtheysxare
ofsxinterestsxmainlysxtosxinvestors.sxThesesxtwosxstatementssxare
concernedsxwithsxwheresxthesxcompanysxgetssxitssxcashsxandsxhowsxit
makessxasxprofit.

statementsxofsxflowsxofsxfundssx-sxANSWERS-issxasxstatementsxthatsxreflects
thesxrelativesxpositionsxofsxfundssxofsxthesxcompanysxoversxasxtwo-
periodsxhorizonsxandsxenablessxanalysissxofsxsourcessxandsxusessxof
fundssxforsxasxparticularsxperiodsxofsxtime.

Assetssx-sxANSWERS-
aresxthesxresourcessxthatsxthesxfirmsxusessxtosxconductsxitssxbusiness.

Assetssx-sxANSWERS-Theysxare
consumedsxorsxinsxaccountingsxterminology,sxtheysxexpiresxinsxthesxday-to-day

, operationsxofsxthesxenterprise.

TRUEsx-sxANSWERS-
T/Fsxenterprise.sxAssetssxmaysxbesxinsxthesxformsxofsxmoneysxassxcashsxin
thesxbanksxorsxaccountssxreceivablesx(moneysxowedsxthesxbusinesssxforsxservices
rendered)sxorsxinsxthesxformsxofsxcapitalsxsuchsxassxbuildingssxorsxequipment.

Equitiessx-sxANSWERS-Consistssxofsxtwosxparts:sxliabilitiessxandsxremainingsxvalue.

Liabilitiessx-sxANSWERS-aresxthesxsamesxforsxallsxenterprisessxandsxconsistsxofsxbills
owedsxorsxothersxobligations.

remainingsxvaluesx-sxANSWERS-companysxcansxbesxdescribedsxassxeither
stockholdersxequitysxorsxretainedsxearnings,sxdependingsxonsxthesxtype
ofsxcorporatesxstructure.

For-profitsx-sxANSWERS-Assets=sxEquitiessx(Liabilitiessx+sxStockholdersxEquity)

Not-for-profitsx-sxANSWERS-Assets=sxEquitiessx(Liabilitiessx+sxRetainedsxEarnings)

RecordingsxofsxFinancialsxActivitysx-sxANSWERS-
Thissxissxthesxmethodsxusedsxtosxrecordsxandsxreportsxincome
andsxcosts.

CashsxAccountingsxBasissx-sxANSWERS-
Insxthissxplan,sxbillssxaresxpaidsxassxtheysxaresxpresentedsxandsxrevenuesxissxcounted
whensxitsxissxactuallysxreceived,sxwithsxnosxeffortsxtosxassignsxcostssxandsxrevenues
tosxthesxeffortsxandsxtimesxframesxinsxwhichsxtheysxweresxgenerated.

AccrualsxAccountingsxBasissx-sxANSWERS-
Ansxaccountingsxmethodsxthatsxattemptssxtosxmeasuresxnetsxincomesxforsxa
particularsxperiodsxbysxmatchingsxexpensessxagainstsxrevenues.

ACCOUNTINGsxFORsxLABORATORYsxREVENUEsx-sxANSWERS-
Thissxsectionsxdiscussessxprofitsxandsxcostsxcenterssxand
recentsxchangessxinsxreimbursementsxrulessxthatsxhavesxaffectedsxthesxlaboratory.

Profitsxcentersx-sxANSWERS-issxasxdepartmentsxthatsxgeneratessxbillable
services.

Costsxcentersx-sxANSWERS-ansxareasxthatsxprovidesxservicessxthatsxbenefit
thesxentiresxinstitutionsxbutsxcannotsxbesxdirectlysxassignedsxan
individualsxchargeablesxitem.

TaxsxEquitysxandsxFiscalsxResponsibilitysxActsx(TEFRA)sx-sxANSWERS-
asxfederalsxprogramsxthat
setssxcapssxonsxthesxamountsxofsxrevenuesxpaidsxforsxhealthsxcaresxexpenditures.

DiagnosissxRelatedsxGroupssx(DRGs)sx-sxANSWERS-
asxfederalsxreimbursementsxsystemsxin