WGU D513 — Healthcare Financial
Management Practice Exam
, Operating margin is calculated by:
A. Total assets ÷ total liabilities
B. (Revenue − Expenses) ÷ Revenue × 100
C. Net income ÷ Equity
D. Cash flow ÷ Operating expenses
Rationale: Measures profitability relative to revenue.
3. Which budgeting method requires justification of all expenses from scratch?
A. Incremental budgeting
B. Zero-based budgeting
C. Flexible budgeting
D. Capital budgeting
Rationale: Zero-based budgeting starts from zero for each period.
4. Payback period is used to:
A. Track current liquidity
B. Determine how long to recoup an investment
C. Measure profitability ratios
D. Analyze variable costs
Rationale: Payback period = Investment ÷ Annual Cash Flow.
5. Which reimbursement system uses a fixed payment per diagnosis?
A. Fee-for-Service
B. Capitation
C. Prospective Payment System (PPS)
D. Bundled Payment
Rationale: PPS uses DRGs for predetermined payments.
6. Which cost is unavoidable even if patient volume decreases?
A. Variable cost
B. Fixed cost
C. Direct cost
D. Marginal cost
Rationale: Fixed costs stay the same regardless of volume.
Management Practice Exam
, Operating margin is calculated by:
A. Total assets ÷ total liabilities
B. (Revenue − Expenses) ÷ Revenue × 100
C. Net income ÷ Equity
D. Cash flow ÷ Operating expenses
Rationale: Measures profitability relative to revenue.
3. Which budgeting method requires justification of all expenses from scratch?
A. Incremental budgeting
B. Zero-based budgeting
C. Flexible budgeting
D. Capital budgeting
Rationale: Zero-based budgeting starts from zero for each period.
4. Payback period is used to:
A. Track current liquidity
B. Determine how long to recoup an investment
C. Measure profitability ratios
D. Analyze variable costs
Rationale: Payback period = Investment ÷ Annual Cash Flow.
5. Which reimbursement system uses a fixed payment per diagnosis?
A. Fee-for-Service
B. Capitation
C. Prospective Payment System (PPS)
D. Bundled Payment
Rationale: PPS uses DRGs for predetermined payments.
6. Which cost is unavoidable even if patient volume decreases?
A. Variable cost
B. Fixed cost
C. Direct cost
D. Marginal cost
Rationale: Fixed costs stay the same regardless of volume.
