Page 1 of 62
“NAB CORE EXAM” LATEST EXAM 2025
– 2026 SOLVED QUESTIONS &
ANSWERS VERIFIED 100% GRADED A+
(LATEST VERSION) WELL REVISED AND
HIGHLY RECOMMENDALE 100%
GUARANTEE PASS
NAB Core Practice Exam 110 Questions
A care recipient has been diagnosed with a terminal disease to participate in
therapies to prolong life. The healthcare organization should offer consultation
on which of the following services?
1. Physiatrist
2. Oncology
3. Palliative care
4. Hospice care
3. Palliative care
A direct cost is:
1. allocated equally to all areas of the budget
2. charged to a specific billing period
3. documented by proper accounting procedures
4. linked to a specific objective, responsibility, or function
4. linked to a specific objective, responsibility, or function
A guest falls and is injured while visiting a healthcare organization's office.
Which one of the following types of insurance would cover this injury?
1. General liability insurance
2. Property insurance
3. Professional liability insurance
4. Workers' compensation insurance
, Page 2 of 62
1. General liability insurance
When the actual supply cost substantially exceeds the expected cost, the
administrator should initially:
1. tightly control products
2. investigate probable breach of security
3. review production schedules
4. examine methods of inventory
2. investigate probable breach of security
Which type of financial statement is derived from analysis of other statements
and has more detail on financial activity?
1. Profit and loss
2. Cash flow
3. Changes in financial position
4. Retained earnings
1. Profit and loss
Most often a third-party payer, such as a Medicaid or a long-term insurer, will
negotiate a lower rate for services rendered. The difference of funds that is
uncollectables between the full charges and the amount that is actually paid
by a third party payer is called:
1. expense allowances
2. deductions from revenue
3. contractual allowances
4. revenue write-off
3. contractual allowances
If overall revenue declines and census remains stable, an important financial
area to review would be:
1. balance depreciation
2. asset allocation
3. ancillary revenue
4. interest income revenue
3. ancillary revenue
A healthcare organization has just purchased equipment for a total cost of
$15,000. The equipment has a useful life of five years and the administrator is
planning to charge a depreciation expense of $3,000 per year. Which
depreciation method is being used?
1. Sum of the years' digits depreciation
2. Declining balance depreciation
3. Straight-line depreciation
4. Accelerated depreciation
3. Straight-line depreciation
Utilizing the FIFO inventory method, which supply would be used last?
Supply A 12/1/2016 Supply B 12/20/2016 Supply C 1/4/2017 Supply D 2/3/2017
1. Supply A
2. Supply B
3. Supply C
4. Supply D
1. Supply A
Which of the following best describes a primary difference between a not-
forprofit and a for-profit organization?
1. A for-profit organization may distribute profits to its shareholders
, Page 3 of 62
2. A for-profit organization receives pledges as part of its revenue base
3. A not-for-profit organization may pay bonuses out of its profits
4. A not-for-profit organization need not record charitable contributions
1. A for-profit organization may distribute profits to its shareholders
The LIFO and FIFO methods of inventory costing both accounts for the effects
of which of the following factors on the price of inventory?
1. Salvage value
2. Depreciation.
3. Supply and demand
4. Inflation and deflation
2. Depreciation.
The operating performance for a specific span of time is measured by the:
1. operating budget
2. balance sheet
3. statement of financial condition
4. income statement
4. income statement
An employee who believes that he or she has been discriminated against
according to the Americans with Disabilities Act (ADA) must file a complaint
with the:
1. Social Security Administration (SSA)
2. National Labor Relations Board (NLRB)
3. Occupational Safety and Health Administration (OSHA)
4. Equal Employment Opportunity Commission (EEOC)
4. Equal Employment Opportunity Commission (EEOC)
A healthcare organization's employee handbook:
1. is generally considered the property of the employer
2. can be considered an enforceable contact between employer and employee
3. should be written clearly enough to leave no latitude for interpretation
4. should be written in lay terms and kept in the administrator's office
3. should be written clearly enough to leave no latitude for interpretation
An employee with 30 years' experience at a healthcare organization was not
chosen to attend a training and ask the supervisor why. The supervisor said,
"You've been with the company for a long time, and I assumed you would
retire before then." In doing so, the supervisor:
1. did not discriminate, by assuming someone of retirement age would retire 2.
discriminated against the employee because of the employee's age
3. discriminated against the employee, as the employee obviously had
seniority
4. did not discriminate, as the employee was not a high performer
2. discriminated against the employee because of the employee's age
In deciding which style of management to employ while running the day-to-day
operations of a healthcare organization, the administrator's best approach is
to:
1. use a mix of all styles while integrating it into the overall organization, goals,
and operation
2. consult with the governing body and comply with federal policies,
guidelines, and procedures
3. determine the strength and weaknesses of the staff and implement a
performance incentive program
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4. choose a firm and goal-oriented style in order to command respect from
colleagues and subordinates
1. use a mix of all styles while integrating it into the overall organization, goals, and
operation
If a medical device malfunctions, the Occupational Safety and Health
Administration (OSHA) requires the administrator to report the incident to the:
manufacturing producer
Emergency exits must have which of the following components?
1. Exit access (lit corridor), exit door (locked from inside or outside), and exit
discharge (access to street or public way)
2. Exit sign (must be lit), exit access (corridor), and exit (must be double
doors)
3. Exit sign, exit access (lit corridor), and exit door (locked from outside)
4. Exit access (lit corridor), exit (must be double doors), and exit discharge
(three feet of clear sidewalk)
1. Exit access (lit corridor), exit door (locked from inside or outside), and exit
discharge (access to street or public way)
Which of the following Occupational Safety and Health Administration (OSHA)
violations is least likely to be associated with a fine?
- 1. Serious
2. Non-serious
3. De minimus
4. imminent danger
3. De minimus
The administration of the budget by the administrator:
1. requires intervention by the governing body
2. is more costly than by staff
3. is a controlling function
4. is also part of the planning
1. requires intervention by the governing body
Healthcare organizations are in the business of marketing:
1. assistance
2. compassion
3. wellness
4. services
4. services
A care recipient in a long-term care healthcare organization disagrees with
management's decision regarding an aspect of care. The care recipient feels
that is could adversely affect the health, safety, welfare, or rights of care
recipients. The individual or group most responsible for acknowledging,
investing, and resolving the concern is the:
1. ombudsman
2. social worker
3. care recipient council president
4. governing body
2. social worker
Stakeholders are defined as:
1. any constituent group that has an interest in what outcomes the
organization procedures
2. the individuals who have the most to lose financially if the organization
“NAB CORE EXAM” LATEST EXAM 2025
– 2026 SOLVED QUESTIONS &
ANSWERS VERIFIED 100% GRADED A+
(LATEST VERSION) WELL REVISED AND
HIGHLY RECOMMENDALE 100%
GUARANTEE PASS
NAB Core Practice Exam 110 Questions
A care recipient has been diagnosed with a terminal disease to participate in
therapies to prolong life. The healthcare organization should offer consultation
on which of the following services?
1. Physiatrist
2. Oncology
3. Palliative care
4. Hospice care
3. Palliative care
A direct cost is:
1. allocated equally to all areas of the budget
2. charged to a specific billing period
3. documented by proper accounting procedures
4. linked to a specific objective, responsibility, or function
4. linked to a specific objective, responsibility, or function
A guest falls and is injured while visiting a healthcare organization's office.
Which one of the following types of insurance would cover this injury?
1. General liability insurance
2. Property insurance
3. Professional liability insurance
4. Workers' compensation insurance
, Page 2 of 62
1. General liability insurance
When the actual supply cost substantially exceeds the expected cost, the
administrator should initially:
1. tightly control products
2. investigate probable breach of security
3. review production schedules
4. examine methods of inventory
2. investigate probable breach of security
Which type of financial statement is derived from analysis of other statements
and has more detail on financial activity?
1. Profit and loss
2. Cash flow
3. Changes in financial position
4. Retained earnings
1. Profit and loss
Most often a third-party payer, such as a Medicaid or a long-term insurer, will
negotiate a lower rate for services rendered. The difference of funds that is
uncollectables between the full charges and the amount that is actually paid
by a third party payer is called:
1. expense allowances
2. deductions from revenue
3. contractual allowances
4. revenue write-off
3. contractual allowances
If overall revenue declines and census remains stable, an important financial
area to review would be:
1. balance depreciation
2. asset allocation
3. ancillary revenue
4. interest income revenue
3. ancillary revenue
A healthcare organization has just purchased equipment for a total cost of
$15,000. The equipment has a useful life of five years and the administrator is
planning to charge a depreciation expense of $3,000 per year. Which
depreciation method is being used?
1. Sum of the years' digits depreciation
2. Declining balance depreciation
3. Straight-line depreciation
4. Accelerated depreciation
3. Straight-line depreciation
Utilizing the FIFO inventory method, which supply would be used last?
Supply A 12/1/2016 Supply B 12/20/2016 Supply C 1/4/2017 Supply D 2/3/2017
1. Supply A
2. Supply B
3. Supply C
4. Supply D
1. Supply A
Which of the following best describes a primary difference between a not-
forprofit and a for-profit organization?
1. A for-profit organization may distribute profits to its shareholders
, Page 3 of 62
2. A for-profit organization receives pledges as part of its revenue base
3. A not-for-profit organization may pay bonuses out of its profits
4. A not-for-profit organization need not record charitable contributions
1. A for-profit organization may distribute profits to its shareholders
The LIFO and FIFO methods of inventory costing both accounts for the effects
of which of the following factors on the price of inventory?
1. Salvage value
2. Depreciation.
3. Supply and demand
4. Inflation and deflation
2. Depreciation.
The operating performance for a specific span of time is measured by the:
1. operating budget
2. balance sheet
3. statement of financial condition
4. income statement
4. income statement
An employee who believes that he or she has been discriminated against
according to the Americans with Disabilities Act (ADA) must file a complaint
with the:
1. Social Security Administration (SSA)
2. National Labor Relations Board (NLRB)
3. Occupational Safety and Health Administration (OSHA)
4. Equal Employment Opportunity Commission (EEOC)
4. Equal Employment Opportunity Commission (EEOC)
A healthcare organization's employee handbook:
1. is generally considered the property of the employer
2. can be considered an enforceable contact between employer and employee
3. should be written clearly enough to leave no latitude for interpretation
4. should be written in lay terms and kept in the administrator's office
3. should be written clearly enough to leave no latitude for interpretation
An employee with 30 years' experience at a healthcare organization was not
chosen to attend a training and ask the supervisor why. The supervisor said,
"You've been with the company for a long time, and I assumed you would
retire before then." In doing so, the supervisor:
1. did not discriminate, by assuming someone of retirement age would retire 2.
discriminated against the employee because of the employee's age
3. discriminated against the employee, as the employee obviously had
seniority
4. did not discriminate, as the employee was not a high performer
2. discriminated against the employee because of the employee's age
In deciding which style of management to employ while running the day-to-day
operations of a healthcare organization, the administrator's best approach is
to:
1. use a mix of all styles while integrating it into the overall organization, goals,
and operation
2. consult with the governing body and comply with federal policies,
guidelines, and procedures
3. determine the strength and weaknesses of the staff and implement a
performance incentive program
, Page 4 of 62
4. choose a firm and goal-oriented style in order to command respect from
colleagues and subordinates
1. use a mix of all styles while integrating it into the overall organization, goals, and
operation
If a medical device malfunctions, the Occupational Safety and Health
Administration (OSHA) requires the administrator to report the incident to the:
manufacturing producer
Emergency exits must have which of the following components?
1. Exit access (lit corridor), exit door (locked from inside or outside), and exit
discharge (access to street or public way)
2. Exit sign (must be lit), exit access (corridor), and exit (must be double
doors)
3. Exit sign, exit access (lit corridor), and exit door (locked from outside)
4. Exit access (lit corridor), exit (must be double doors), and exit discharge
(three feet of clear sidewalk)
1. Exit access (lit corridor), exit door (locked from inside or outside), and exit
discharge (access to street or public way)
Which of the following Occupational Safety and Health Administration (OSHA)
violations is least likely to be associated with a fine?
- 1. Serious
2. Non-serious
3. De minimus
4. imminent danger
3. De minimus
The administration of the budget by the administrator:
1. requires intervention by the governing body
2. is more costly than by staff
3. is a controlling function
4. is also part of the planning
1. requires intervention by the governing body
Healthcare organizations are in the business of marketing:
1. assistance
2. compassion
3. wellness
4. services
4. services
A care recipient in a long-term care healthcare organization disagrees with
management's decision regarding an aspect of care. The care recipient feels
that is could adversely affect the health, safety, welfare, or rights of care
recipients. The individual or group most responsible for acknowledging,
investing, and resolving the concern is the:
1. ombudsman
2. social worker
3. care recipient council president
4. governing body
2. social worker
Stakeholders are defined as:
1. any constituent group that has an interest in what outcomes the
organization procedures
2. the individuals who have the most to lose financially if the organization
