HCM Exit Exam | latest 2023/2024 with complete solution

HCM Exit Exam | latest 2023/2024 with complete solution Which of the following is NOT a classical insurance principle? - The possibility of moral hazard must exist Why do physicians like PPOs? - There is more control over cost __________ is often identified as the factor most responsible for demand pull inflation in medical care. - The presence of third party payers Who provides most long-term care services? - (Informal) Family caregivers or (Formal) CNA's A cost that has already occurred or irrevocably committed is a: - Sunk Cost What is an example of variable cost? - Drugs Explain the sentence: "In the long-term, all costs are variable". - If a company begins to lose revenue, the company will begin to shed facilities and employees If the cafeteria has 3,250,000 in overhead costs to be allocated on patient days and patient days are 18,259,000 then the allocation rate is? - 178 Which of the following is an example of direct healthcare cost? - Co-payment paid to a doctor's office What two characteristics make a good cost drive? - Fairness and cost control . What are the four steps in the cost allocation process? - 1. IDENTIFY COST POOL 2. DETERMINE COST DRIVER 3. CALCULATE ALLOCATION RATE 4. DETERMINE ALLOCATION AMOUNT A projected cash flow statement uses.. - Cash accounting In accrual accounting, as opposed to cash accounting: - Accounts receivable are recorded Which of the following is an example of a partnership? Proprietorship? - Easy to start/ Easy to form, subject to few regulations, no income tax The yield to maturity on a bond is the: - Expected rate on return The coupon rate on a bond is the interest rate you earn on a bond regardless of the price you paid: - False Which financial statement is a snapshot of the organization's financial picture at one point in time? - Balance Sheet Which financial statement presents the activity of the business for the previous time period? - Statement of cash flows Which financial statement shows the company's use and acquisition of funds for a given period of time? - Income statement Opportunity cost - Return of alternative investment of funds Mrs. Smith purchases taxable bonds that earn 8% interests. If Mrs. Smith's tax rate is 28%, what is the interest's rate? - 5.76% Mrs. Smith purchases taxable bonds that earn 9% interests. If Mrs. Smith's tax rate is 28%, what is the interest's rate? - 6.48% What is the primary reason for quality management? - Continuous improvement What are the common components of quality management? - Measurement, assessment, and improvement Measure that could be used by a rehabilitation facility to evaluate the STRUCTURAL aspects - Number of certified nursing assistants on each shift Percentage of patients who develop deep vein thrombosis following a surgical procedure - Outcome measure A PROCESS measure of performance for a hospital emergency department - Percent of time staff confirm patient ID before giving medication For the performance measure, "Percent of staff who comply with hand hygiene requirements" what population would be included in the numerator? - Number of staff observed in compliance with hand hygiene requirements. A PROCESS measure that could be used by a family practice clinic to evaluate the quality of care provided to adult patients with asthma. - Percent of patients that receive instructions in the use of their medications What are two types of variations in quality management? - Common cause variation (predictable) and Special cause variation (Abnormal and not predictable). The law of demand - States that if all else is equal (ceteris paribus), as price falls, the quantity demanded rises, and as price rises, the quantity demanded falls. Product A raises the price of their product by 4% and sales decline by 4%. Sales of product B also decrease by 3%. Are products A and B complements or substitutes? - Complements What happens to inferior goods as incomes rise and price remains constant? - Demand falls Market elasticity is estimated to be -0.2. My organization enjoys a 10% share of the market. What is my firm (organizational) elasticity? - -2.0 Cost benefit analysis is a form of utilitarianism - True Quality Adjusted Life Year (QALY) - the time spent in a health state (for a particular disease with specific symptom severity) multiplied by the unity score of that state Economies of scale - Large firms that have a cost advantage; Firms that produce several kinds of goods and services at a lower cost than firms that produce one Economies of scope - Multiproduct firms that have a cost advantage When large companies have lower costs because they spread fixed costs over more products: - Economies of Scale Fee for service payment schemes incentivize physicians to which of the following? Reduce the number of days a patient stays in the hospital Perform only those diagnostic tests that are absolutely necessary Redesign inefficient processes and practices None of the above - None of the above Which of these mechanisms is not used by insurance companies to contain costs? - Fee-for-service reimbursements In order for diversification to be useful in managing risk, potential payoffs must be: - Negatively coorelated We discussed conditions that may contribute to market failure. The condition whereby consumers are willing, -but unable - to make market transactions is what? - Incomplete market To maximize profits an organization should expand when: - MRMC What two data would I need to calculate the best price for a product line? - Marginal Cost and Elasticity The systematic study of individual and group dynamics within an organization setting is known as: - Organizational behavior The study of organizational behavior provides a set of tools that help: - People understand, analyze, and describe what goes on in an organization Transformational leaders do all the following for their subordinates EXCEPT: - Increase awareness of their dependence on the organization The type of leader that guides or motivates followers in the direction of established by clarifying role and task requirements is a - Transactional leader A set of congruent behaviors, practices, attitudes and policies that come together, in a system, agency or among professionals that enables effective work in cross- cultural situations is referred to as: - Cultural competency An important but simple lesson provided by Maslow's hierarchy of need theory is that - what motivates one worker may not motivate another Maslow's hierarchy of needs is arranged in the following order: - Physiological, safety security, social love belonging, esteem, and self -actualization Effective communication requires that the sender translate the message into a form that: - Can be understood by the receiver Any inconsistency that a person perceives between two or more of ones attitudes or between ones behavior and attitudes is referred to as: - cognitive dissonance The management theory that views workers as disliking work, avoiding it whenever possible, have little desire for responsibility and have little aptitude for creativity in solving organizational problems, etc., is: - theory x The management theory that views workers as self- motivating, interested in their work, having a need to achieve and be recognized, etc., is: - theory y _______ involves the self - assessment of one's own feelings and the feeling of others to guide one's own thinking and action. - emotional intelligence _________ is the phenomenon that occurs when group members become so enamored of seeking concurrence that the norm for consensus overrides the realistic appraisal of alternative courses of action. - Groupthink ______ is defined as the management of processes or systems that create goods and/ or provide services which include forecasting, capacity planning, scheduling, assuring quality, etc. - operation management A service is a time perishable, intangible experience performed for a customer acting in the role of a co-producer - true A hospital room not occupied best illustrates the characteristic of services: - time perish ability From an operational perspective, health services are time-perishable. An opportunity to provide a service, if forgone, is lost forever. - true When customer expectations are confirmed by perceptions, service quality is considered satisfactory. - true Which of the following dimensions of service quality is MOST important to customers? - reliability The critical path refers to the sequence of activities that represent the longest time path through a project network. - true Daily work shift scheduling is used to: - manage capacity Most queuing policy is based on: - a first come, first served expectation The typical human resources department is involved in employee activities related to recruitment, compensation, and benefits, training, and development, and employee relations. - True Which one of the types of training presented below is described as training employees to perform operations in areas other than their assigned job? - Cross-functional training Which level of compensation is intangible and may include rewards such as verbal praise, feelings of accomplishment, recognition, or belonging? - intrinsic compensation Which level of compensation is tangible and may include both monetary and nonmonetary like money, benefits, working conditions, and stock options? - extrinsic compensation Which organization strives to "assure safe and healthful working conditions for working men and women..." and mandates that " each employer shall furnish to each of his/her employers employment and place of employment which are free from recognized hazards that are causing or are likely to cause death or serious physical harm to his her employees? - OSHA Ergonomics is the practice of designing equipment and work tasks to conform to the capacity of the worker, it provides a means for adjusting the work environment and work practices to prevent injuries before they occur. - True The body of law that consists of principles derived from judicial decisions is also frequently referred to as - Case law The four elements that must be proven to recover money for your injuries in a trial are duty, breach, injury and ___________ - Causation All of the following are required in order to establish a tort liability, except: - The wrongdoer must have intended for the harm to occur A pharmacists who submits claims for reimbursement on brand name medications rather than on the less expensive generic drugs actually dispensed is committing: - Fraud Why can hospitals not be held liable for the negligent actions of a physician granted privileges to admit patients to the hospital? - Hospital can, indeed, be held responsible for physician negligence Under what standard is a jury charged with evaluating the conduct of a defendant accused of negligent conduct? - Conduct consistent with that of a reasonably prudent person An individual utilized to assists in establishing the standard of care required in a given situation is referred to as a/ an: - expert witness Damages that are awarded to compensate for gross negligence and to deter the wrongdoer are known as: - punitive damages The voluntary agreement by a person in the possession and exercise of sufficient mentally to make an intelligent choice to allow something proposed by another is: - consent Which of the following is NOT considered essential information provided to the patient when obtaining informed consent? - The cost of the procedure (good faith estimate of costs) Informed consent implies that the patient understands: - all of the answers are correct In which of the following events has the hospital violated Title 2 of HIPAA for disclosure of private health information unless a patient authorized the release? - Release to the public of medical records held by government- owned hospital Title 2 of HIPAA requires that organizations handling protected health information (PHI) keep your information safe using: - All of these safeguards The difference between express and implied contract is that an express contract is: - Either written or verbal With which of the following does the ultimate responsibility for the quality of services performed in a hospital lie? - Governing board The baby boomer generation refers to those Americans born between: - Women have longer life expectancy than men. - true Social Security began in - 1935 The major source of income for older adults include: - social security, private pension, assets, and investments The Medicare program can best be described as: - an entitlement COBRA - A program that gives workers and their families the right to continue their healthcare coverage for a limited time under certain circumstances, such as loss of a job What two ethical principles are conflicting with the consent to treat? - autonomy and paternalism An advance directive is a good example of which ethical pri