HCM 416 CHAPTER 1-5 QUIZZES QUESTIONS AND CORRECT ANSWERS

HCM 416 CHAPTER 1-5 QUIZZES
QUESTIONS AND CORRECT
ANSWERS
WhichA2ofA2theA2followingA2statementsA2aboutA2finance,A2accounting,A2andA2financialA2ma
nagementA2isA2mostA2correct?

a)A2AccountingA2isA2ofA2noA2valueA2inA2decisionA2making.
b)A2FinancingA2managementA2isA2ofA2noA2valueA2inA2decisionA2making.
c)A2FinancialA2managementA2isA2justA2theA2reportingA2ofA2pastA2organizationalA2activities.
d)A2FinancialA2managementA2providesA2theA2theory,A2concepts,A2andA2toolsA2necessaryA2t
oA2helpA2managersA2makeA2betterA2financialA2decisionsA2-A2Ans--
d)A2FinancialA2managementA2providesA2theA2theory,A2concepts,A2andA2toolsA2necessaryA2t
oA2helpA2managersA2makeA2betterA2financialA2decisions

WhichA2ofA2theA2followingA2areA2notA2financeA2activities?
a)A2PlanningA2andA2budgeting
b)A2FacilitiesA2management
c)A2FinancialA2reporting
d)A2FinancingA2decisionsA2-A2Ans--b)A2FacilitiesA2management

WhichA2ofA2theA2followingA2statementsA2aboutA2theA2financeA2departmentA2atA2largeA2heal
thcareA2organizationsA2isA2mostA2correct?

a)A2TheA2departmentA2isA2headedA2byA2theA2chiefA2financialA2officerA2(CFO)A2(sometimesA
2calledA2theA2viceA2president-finance)
b)A2TheA2CFOA2typicallyA2reportsA2directlyA2toA2theA2chiefA2executiveA2officerA2(CEO).
c)A2TheA2CFOA2usuallyA2isA2assistedA2byA2aA2comptrollerA2andA2treasurer.
d)A2AnswersA2a.,A2b.,A2andA2c.A2areA2correct.A2-A2Ans--
d)A2AnswersA2a.,A2b.,A2andA2c.A2areA2correct.

WhatA2isA2NOTA2anA2advantageA2ofA2aA2proprietorship?

a)A2UnlimitedA2liability
b)A2EaseA2ofA2formation
c)A2NoA2corporateA2incomeA2taxesA2-A2Ans--a)A2UnlimitedA2liability

WhatA2isA2aA2disadvantageA2ofA2beingA2aA2corporation?

a)A2UnlimitedA2life
b)A2LimitedA2liability
c)A2ExternalA2reportingA2
d)A2AnswersA2a.A2andA2b.A2areA2correctA2-A2Ans--c)A2ExternalA2reporting

, PickA2theA2answerA2thatA2doesA2NOTA2belong.A2

StockholdersA2have....

a)A2AA2possibleA2dividendA2and/orA2capitalA2gains
b)A2RightA2ofA2control
c)A2ClaimA2onA2residualA2liquidationA2proceeds
d)A2RightA2toA2companyA2productA2discountsA2-A2Ans--
d)A2RightA2toA2companyA2productA2discounts

AA2not-for-profitA2corporationA2canA2alsoA2beA2calledA2aA2529(b).A2

TrueA2orA2FalseA2-A2Ans--False

TheA2primaryA2goalA2ofA2investor-
ownedA2corporationsA2isA2shareholderA2wealthA2maximization.A2

TrueA2orA2FalseA2-A2Ans--True

WhatA2wasA2NOTA2oneA2ofA2theA2majorA2provisionsA2ofA2theA2PatientA2ProtectionA2andA2Af
fordableA2CareA2ActA2ofA22010?A2

a)A2FreeA2preventiveA2care
b)A2BanningA2ofA2preexistingA2conditionA2coverageA2limitations
c)A2ToA2reduceA2coverageA2forA210A2essentialA2healthA2benefitsA2-A2Ans--
c)A2ToA2reduceA2coverageA2forA210A2essentialA2healthA2benefits

AA2medicalA2homeA2isA2allA2ofA2theA2followingA2BUTA2.....

a)A2AA2mobileA2trailer/busA2thatA2travelsA2toA2individualsA2toA2deliverA2care
b)A2AA2team-basedA2modelA2ofA2careA2
c)A2ContinuousA2andA2coordinatedA2careA2-A2Ans--AA2mobileA2trailer/
busA2thatA2travelsA2toA2individualsA2toA2deliverA2care

ForA2insuranceA2toA2"work,"A2itA2mustA2haveA2theseA2basicA2characteristics.A2SelectA2allA2a
nswersA2thatA2apply.

a)NiceA2officeA2building
b)A2PaymentA2onlyA2forA2randomA2(unforeseenA2andA2unexpected)A2losses
c)A2RiskA2transfer
d)A2PoolingA2ofA2lossesA2-A2Ans--B,C,A2&A2D
*PaymentA2onlyA2forA2randomA2(unforeseenA2andA2unexpected)A2losses
*RiskA2transfer
*PoolingA2ofA2losses