©EVERLY 2025 ALL RIGHTS RESERVED
CHFM Finance and Administration. Exam
Questions And Answers Latest Updated 2025
100% Verified.
What does the acronym FTE stand for? - Answer✔Full Time Equivalent
What are the number of hours that make up an FTE? - Answer✔40 hours per week; 2080 hours
per year
40 hours per week x 52 weeks = 2,080 hours
What are budgeted hours? - Answer✔Budgeted hours are estimated hours that an employee
works per pay period in a particular assignment restricted by the planned expenditure for a
fiscal year.
How is overtime defined? - Answer✔Overtime is defined as greater than 40 hours per week or
greater than 2,080 hours per year.
Who is eligible for overtime under the Fair Labor Standards Act (FLSA)? - Answer✔Non-exempt
Employee
Exempt employee (salaried, not eligible for overtime) Non-exempt employee (eligible for
overtime) eligibility, recordkeeping and child labor standards affecting full-time and part-time
workers The Fair Labor Standards Act (FLSA) is a federal law which establishes minimum wage,
overtime pay sector and in federal, state and local governments.
1
, ©EVERLY 2025 ALL RIGHTS RESERVED
What is the definition of productive - Answer✔Productive time includes actual hours worked.
This includes training hours, overtime hours, meeting time, work order entry time, field service
work, etc.
What is the definition of non-productive time? - Answer✔Non-productive time includes
vacation time or paid time off (PTO), sick time, holidays and leave of absence.
How many paid FTE's would be required for two eight hour shifts for seven days assuming 10%
non-productive time? - Answer✔3.08 FTE's
2 employees x 8 hours x 7 days=112 hours
112 hours x .10 non-productive hours = 11.2 hours
112 hours + 11.2 hours 123.2 hours
123.2 hours /40 hours per week= 3.08 FTEs
List what is included in capital costs. - Answer✔Equipment cost
Renovation cost
New construction cost
Organizations set a capital threshold to determine between capital and operating expense. This
threshold varies by institution
List what included in operating costs. - Answer✔Salaries & benefits
Utilities cost
Supplies
Service contracts
Repairs & maintenance
2
CHFM Finance and Administration. Exam
Questions And Answers Latest Updated 2025
100% Verified.
What does the acronym FTE stand for? - Answer✔Full Time Equivalent
What are the number of hours that make up an FTE? - Answer✔40 hours per week; 2080 hours
per year
40 hours per week x 52 weeks = 2,080 hours
What are budgeted hours? - Answer✔Budgeted hours are estimated hours that an employee
works per pay period in a particular assignment restricted by the planned expenditure for a
fiscal year.
How is overtime defined? - Answer✔Overtime is defined as greater than 40 hours per week or
greater than 2,080 hours per year.
Who is eligible for overtime under the Fair Labor Standards Act (FLSA)? - Answer✔Non-exempt
Employee
Exempt employee (salaried, not eligible for overtime) Non-exempt employee (eligible for
overtime) eligibility, recordkeeping and child labor standards affecting full-time and part-time
workers The Fair Labor Standards Act (FLSA) is a federal law which establishes minimum wage,
overtime pay sector and in federal, state and local governments.
1
, ©EVERLY 2025 ALL RIGHTS RESERVED
What is the definition of productive - Answer✔Productive time includes actual hours worked.
This includes training hours, overtime hours, meeting time, work order entry time, field service
work, etc.
What is the definition of non-productive time? - Answer✔Non-productive time includes
vacation time or paid time off (PTO), sick time, holidays and leave of absence.
How many paid FTE's would be required for two eight hour shifts for seven days assuming 10%
non-productive time? - Answer✔3.08 FTE's
2 employees x 8 hours x 7 days=112 hours
112 hours x .10 non-productive hours = 11.2 hours
112 hours + 11.2 hours 123.2 hours
123.2 hours /40 hours per week= 3.08 FTEs
List what is included in capital costs. - Answer✔Equipment cost
Renovation cost
New construction cost
Organizations set a capital threshold to determine between capital and operating expense. This
threshold varies by institution
List what included in operating costs. - Answer✔Salaries & benefits
Utilities cost
Supplies
Service contracts
Repairs & maintenance
2
