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MHA 710 Exam 3 – Comprehensive Questions, Answers, and Study Guide PDF for Healthcare Administration Students and Exam Preparation

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Prepare effectively for MHA 710 Exam 3 with this complete study guide PDF. Includes multiple-choice, true/false, and scenario-based questions with detailed answers and explanations. Covers key topics in healthcare administration, management, policy, and organizational leadership to help students reinforce knowledge and excel in exams.

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Uploaded on
October 22, 2025
Number of pages
36
Written in
2025/2026
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MHA 710/ MHA710 Exam 3- (New 2024/
2025) Questions and Verified Answers|
Grade A| 100% Correct when the


QUESTION
Starting salaries for female OB/GYNs are higher than those of male OB/GYNs. What is the best
explanation for this?
a. Female OB/GYNs have more human capital than male OB/GYNs.
b. Female OB/GYNs are smarter than male OB/GYNs.
c. The demand for female OB/GYNs is greater than the demand for male OB/GYNs.
d. The demand for female OB/GYNs is less than the demand for male OB/GYNs.
e. More males are in OB/GYN residency programs than females.


Answer:
c. The demand for female OB/GYNs is greater than the demand for male OB/GYNs.



QUESTION
This study was the catalyst for the early twentieth-century reform of medical education in the
United States. What was it?
a. Coolidge Commission
b. Hill-Burton Committee
c. Mangrum Report
d. Flexner Report
e. Kaiser Foundation Study


Answer:
d. Flexner Report



QUESTION
In the nineteenth century, hospitals had notorious reputations—they were questionable places to
visit, risky places to stay. What advances changed all this?
a. Development of the germ theory of disease

,b. Advances in medical technology
c. Availability of health insurance to pay the bills
d. All of the above


Answer:
d. All of the above



QUESTION
The dominant factor affecting medical care delivery and finance in the 1960s was
a. the Hill-Burton Act.
b. prospective payment for hospitals.
c. the creation of Medicare and Medicaid.
d. the explosive growth of managed care.
e. the passage of ERISA.


Answer:
c. the creation of Medicare and Medicaid.



QUESTION
The dominant factor affecting medical care delivery and finance in the 1980s was
a. the Hill-Burton Act.
b. prospective payment for hospitals.
c. The creation of Medicare and Medicaid.
d. the explosive growth of managed care.
e. ERISA.


Answer:
b. prospective payment for hospitals.



QUESTION
The dominant factor affecting medical care delivery and finance in the 1990s was
a. the Hill-Burton Act.
b. prospective payment for hospitals.
c. creation of Medicare and Medicaid.
d. the explosive growth of managed care.
e. ERISA.

,Answer:
d. the explosive growth of managed care.



QUESTION
Which of the following statements is true concerning the trend in hospital care between in-
patient and out-patient services since the mid-1980s?
a. Both have been declining.
b. Out-patient services have been static, while in-patient services have been declining.
c. Out-patient services have increased substantially because admissions are down.
d. Both have been growing.
e. There has been no noticeable trend in either in-patient or outpatient services.


Answer:
c. Out-patient services have increased substantially because admissions are down.



QUESTION
In order to be a successful price discriminator, a provider must have a degree of market power
(depicted by a downward-sloping demand curve) and meet what other condition(s)?
a. Prospective customers must be categorized according to willingness-to-pay.
b. Opportunities for resale of the good or service must be limited.
c. Customers cannot know that multiple prices are being charged.
d. The provider must have excess capacity to accommodate the extra business.
e. Both a and b.


Answer:
e. Both a and b.



QUESTION
Congressional studies report that Medicare payments fall 11 percent below the cost of treating
patients, while private insurance patients pay 29 percent more than cost. This phenomenon is
called
a. price discrimination.
b. the Medigap.
c. Cost shifting.
d. cost-plus pricing.

, e. revenue enhancing.


Answer:
c. Cost shifting.



QUESTION
The predominate organizational form for U.S. hospitals is not-for-profit. Why?
a. The profit motive corrupts human behavior.
b. For-profit hospitals do not provide charity care.
c. Private not-for-profit hospitals engage in most of the medical research.
d. The not-for-profit form provides the most benefits to physicians.
e. All of the above.


Answer:
d. The not-for-profit form provides the most benefits to physicians.



QUESTION
Using the physician-control model to explain hospital behavior leads to which of the following
conclusions?
a. Other medical inputs tend to be over used to maximize physicians' productivity.
b. The use of operating rooms will be maximized with little excess capacity.
c. Physicians will strive to use the nursing staff efficiently.
d. All investment decisions will be based on optimal resource use.
e. All of the above are conclusions of the physician-control model.


Answer:
a. Other medical inputs tend to be over used to maximize physicians' productivity.



QUESTION
The merger of two community hospitals located in the same geographic market is called
a. vertical integration.
b. horizontal integration.
c. a leveraged buyout.
d. a conglomerate merger.
e. a real shame, since one of the hospitals will likely close.
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