EXAM (JAMES ALLEN) QUESTIONS
WITH VERIFIED ANSWERS || LATEST
UPDATED 2025
,1. The most likely single cause for the series of bankruptcies among larger nursing
home chains around the year 2000 was ____.
1. Too small increases in government reimbursement rates
2. Paying too much for acquisitions in 1998 and 1999
3. Not taking advantage of falling interest rates
4. Thinking too small - ANSWER2
2. In a chance conversation with the owner of an eight-facility chain, the newly hired
administrator for the oldest facility in the chain indicates that, because the mortgage is
fully retired, the administrator will concentrate more on being effec- tive than efficient
since the Quality Indicators are all at or above the state's aver-age. The owner would
likely ____.
1. Be pleased
2. Be distressed
3. Be content
4. Praise the newly hired administrator - ANSWER2
3.
Occupancy of Facility A has been a steady 70% since the Prospective Payment System
was introduced. Two weeks ago, a new 120-bed, equally equipped facil- ity opened
several blocks away. The Facility A administrator tells the admissions counselor to
continue the usual recruitment approach. The chain owners ought to _____.
1. Rest comfortably
2. Seek a new administrator
3. Appoint a new admissions counselor
4. Take no action - ANSWER2
4. Bankruptcies among larger nursing home chains prior to 2000 _____.
1. Were frequent
2. Were ubiquitous
3. Were highly unusual
4. Were routinely declared to avoid too much accumulated debt - ANSWER3
5. Under the Prospective Payment System, nursing facilities' reimbursed costs _____.
1. Were about the same as previously
2. Were more bundled
3. Used an unbundled cost structure
4. Were reimbursement for actual costs - ANSWER2
6. In recent years, Medicare has _____.
1. Allowed facilities to make a modest profit
2. Shifted more costs onto nursing facilities
,3. Eased up on economic pressures previously placed on facilities
4. Remained relatively unchanged in its reimbursement structure - ANSWER2
7. The nurse newly promoted to director of nursing insists on giving four RN hours of
patient care each day on the Alzheimer's wing in the 175-bed facility. The administrator
should _____.
1. Praise the new director of nursing for her resident centeredness
2. Appoint an assistant director of nursing
3. Adapt the job description to fit her pattern
4. Seek a new director of nursing - ANSWER4
8. The applicant for the administrator position in a facility near a large teaching hospital
insists that, as before in his rural facility, if hied he would not let the Medicare
reimbursement policies affect his case mix. This applicant _____.
1. Should be hired
2. Is likely to succeed if hired
3. Can likely succeed in his goal
4. Is out of touch - ANSWER4
9. The newly hired assistant to the administrator insists that the organizational chart
dotted line between this position and the Department of Nursing be a solid line. The
administrator should _____.
1. Agree in general
2. Agree to this special case
3. Ask the director of nursing for his or her opinion 4. Be forewarned - ANSWER4
10. The medical supplies provider tells the administrator of a facility that has not paid
bills for the past 3 months but is now operating under a bankruptcy judge's approved
plan for restructuring, that no more deliveries will be made until past bills are fully paid.
The medical supplies provider _____.
1. Is smart to cut losses at that point
2. Does not understand how bankruptcy works 3. Will now likely get his past due bills
paid
4. Is farsighted - ANSWER2
11. An administrator who adopts the leadership-by-walking-around (LBWA) approach by
walking through the facility weekly and intently observing has _____.
1. Become an effective leader
2. Chosen a good management style 3. Failed to understand LBWA
4. Implemented a useful strategy - ANSWER3
12. The nursing facility administrator who, using the leadership-by-walking around
(LBWA) technique, succeeds in actually making appropriate corrections on the spot
during her rounds _____.
1. Is effectively implementing the concept
2. Gains additional power through the process 3. Exhibits appropriate leadership
, 4. Does not understand LBWA - ANSWER4
13. The rate of increase in the total number of nursing facilities in the United States
during the years 2008 to 2012 is _____.
1. Likely to be about level
2. Likely to double
3. Likely to triple to accommodate the baby boomer generation 4. Likely to decrease
markedly - ANSWER1
14. The applicant for administrator of the facility insists that he has successfully used
democratic leadership to the exclusion of all other leadership styles. The interviewer
should _____.
1. Recommend hiring this candidate
2. Praise the candidate
3. Be favorably impressed
4. Continue to interview candidates - ANSWER4
15. The candidate for administrator said that she used a variety of administrative styles,
but could not say exactly which she would use in every circumstance. The interviewer
should be _____.
1. Favorably impressed
2. Unfavorably impressed
3. Concerned about possible indecisiveness 4. Looking for one leadership style -
ANSWER1
16. The candidate for administrator indicated that he consistently chose the charis-
matic style of leadership. This should _____ the interviewer.
1. Reassure
2. Alert
3. Confirm the candidate's qualifications to 4. Please - ANSWER2
17. The costs of providing subacute care to nursing home residents _____. 1. Is
perhaps triple that of the more typical patient
2. Covered by Medicare
3. Absorbed by Medicaid if Medicare coverage is inadequate
4. Mostly covered by private insurance - ANSWER1
18. The nurse supervisor who had just been appointed director of nursing announced at
the first department head meeting that she had circulated a memo among the nurses
that only formal communications were to be allowed in the nursing department. The
administrator should _____.
1. Be relieved
2. Confirm the decision 3. Be supportive
4. Anticipate problems - ANSWER4