NAB RCAL Exam Study Guide LATEST 2023
, NAB RCAL Exam Study Guide
1. Breakeven Point?: total cost = total revenue
2. Working capital ratio: current assets / current liabilities
3. Acid-test (quick) ratio: (cash + AR + short-term investments) / current liabilities
4. debt to assets ratio: total liabilities/total assets
5. FTE (full time equivalent): total number of hours per employee in a week / 40
(i.e. 12+14+40+30 div. by 40)
6. Profit margin: NOI/Tot. Revenue. Defined as "income to sales. 2 types, gross
prof margin and net prof margin)
7. Net Operating Income (NOI): Total (gross) Revenue - operating expenses
1/7
, 8. Occupancy rate: (# of resident days/facility beds) x 365
9. HCS: Hazard Communication Standard. OSHA standard requiring employers to
inform workers of potentially hazardous chemicals.
10. Balance sheet formula: Assets = Liabilities + Shareholders Equity
11. EBITDA: Earnings before interest, taxes, depreciation, and amortization
12. Amortization: the reduction of a loan balance through payments made over a
period of time
13. revenue cycle management: resident needs->service plan-
ning->staffing->billing/collections->
14. FICA SS Tax and Medicare Tax: 6.2% and 1.45%
15. 4 elements of a valid contract: agreement, consideration, contractual capac-
ity, legality (in writing) "ACCL"
2/7
, NAB RCAL Exam Study Guide
1. Breakeven Point?: total cost = total revenue
2. Working capital ratio: current assets / current liabilities
3. Acid-test (quick) ratio: (cash + AR + short-term investments) / current liabilities
4. debt to assets ratio: total liabilities/total assets
5. FTE (full time equivalent): total number of hours per employee in a week / 40
(i.e. 12+14+40+30 div. by 40)
6. Profit margin: NOI/Tot. Revenue. Defined as "income to sales. 2 types, gross
prof margin and net prof margin)
7. Net Operating Income (NOI): Total (gross) Revenue - operating expenses
1/7
, 8. Occupancy rate: (# of resident days/facility beds) x 365
9. HCS: Hazard Communication Standard. OSHA standard requiring employers to
inform workers of potentially hazardous chemicals.
10. Balance sheet formula: Assets = Liabilities + Shareholders Equity
11. EBITDA: Earnings before interest, taxes, depreciation, and amortization
12. Amortization: the reduction of a loan balance through payments made over a
period of time
13. revenue cycle management: resident needs->service plan-
ning->staffing->billing/collections->
14. FICA SS Tax and Medicare Tax: 6.2% and 1.45%
15. 4 elements of a valid contract: agreement, consideration, contractual capac-
ity, legality (in writing) "ACCL"
2/7
