NAB RCAL Exam Study Guide with Complete Solution

NAB RCAL Exam Study Guide with Complete Solution Breakeven Point? total cost = total revenue Working capital ratio current assets / current liabilities Acid-test (quick) ratio (cash + AR + short-term investments) / current liabilities debt to assets ratio total liabilities/total assets FTE (full time equivalent) total number of hours per employee in a week / 40 (i.e. 12+14+40+30 div. by 40) Profit margin NOI/Tot. Revenue. Defined as "income to sales. 2 types, gross prof margin and net prof margin) Net Operating Income (NOI) Total (gross) Revenue - operating expenses Occupancy rate (# of resident days/facility beds) x 365 HCS Hazard Communication Standard. OSHA standard requiring employers to inform workers of potentially hazardous chemicals. Balance sheet formula Assets = Liabilities + Shareholders Equity EBITDA Earnings before interest, taxes, depreciation, and amortization Amortization the reduction of a loan balance through payments made over a period of time revenue cycle management resident needs-service planning-staffing-billing/collections- FICA SS Tax and Medicare Tax 6.2% and 1.45% 4 elements of a valid contract agreement, consideration, contractual capacity, legality (in writing) "ACCL" Liability insurance usually covers.. Bodily injury and property damage Lock out tag out For all electrical equipment safe electrical practices National Electrical Code or NEC Following NFPA Life Safety Code fire plan, regular fire drills, detectors, training on procedure, non combustable furnishing/draperies Extinguisher class A ordinary combustibles such as wood/paper Extinguisher Class B For flammable liquids and gas fires (grease, paint) Extinguisher class C Live electrical equipment (panelling) Extinguisher class D Combustable metals (aluminum) Extinguisher class K Commercial cooking equipment (cooking oil, animal fats) PASS (Fire Safety) P - Pull the pin. A - Aim at the base of the fire, not at the flames. S - Squeeze the lever. S - Sweep the nozzle from side to side. R.A.C.E. (Fire safety) rescue, alarm, contain, extinguish Accrual Basis Accounting reporting income when it is earned and expenses when they are incurred Cash Basis Accounting Reporting income when the cash is received and expenses when the cash is paid. LLC (Limited Liability Company) Limited liability, pass through income taxation, flexibility S corporation A unique government creation that looks like a corporation but is taxed like sole proprietorships and partnerships Net Worth Formula Assets - Liabilities Dementia Living Environment Residential living with clinical aspects. safe, quiet, secured