CSBI HFMA 2026 COMPREHENSIVE EXAM
SCRIPT COMPLETE ANSWER SET
◉liquidity. Answer: measures the ability of an entity to pay its
current obligations as they come due
◉capital structure. Answer: also known as SOLVENCY, this measures
how the assets for an entity are financed, as well as its ability to pay
its long-term debts
◉profitability. Answer: measures the extent to which the entity is
generating a surplus
◉operational metric. Answer:
◉average length of stay. Answer: sum of the patient days of all
inpatients discharged over a given period of time divided by the
number of discharges in same period
◉ratio analysis. Answer: simple ratios that describe the volume of
services provided to patients or members or the resources used to
provide services
,◉operational metric. Answer: used in businesses to assist managers
in understanding the relationships between elements in the
financial statements
◉direct cost. Answer: ____ are the costs that are incurred to provide
the services of a health care entity
◉indirect costs. Answer: ____ are the costs that are necessary to
operate the business but are not incurred in the provision of
services to patients, customers or clients
◉fixed costs. Answer: ____ are the costs that remain constant within
a range of operational volumes, regardless of the volume of services
provided
◉variable costs. Answer: ____ are the costs that vary directly with the
volume of services provided
◉cost allocation. Answer: a process by which indirect costs are
assigned to a part of the organization that actually provides services
to a patient or client
◉cost pool. Answer: the amount of indirect or overhead cost to be
allocated is called the _____.
, ◉cost driver. Answer: the _____ is the basis upon which a cost pool is
allocated among different revenue producing functions
◉activity based costing. Answer: the process of completing an ____
analysis can be broken into two steps - gathering total data and
activity statistics and then allocating the costs of activities to a
service.
◉full cost pricing. Answer: ____ where all direct and overhead costs
and a desired level of profit
◉marginal cost price setting. Answer: determining on how much
cost can be included in the price charged to a particular customer
based on a value judgement of how much customer volume will be
gained for that lower price
◉cost shifting price setting. Answer: _____ is frequently used in
physician clinics and hospitals, where lower prices received from
government insurers (medicare/medicaid) and negotiated from
insurers that have large numbers of members that can generate
large volumes of patient referrals. The lost revenue from discounts
given to those large volume buyers are then made up by higher
prices charged to other customers
SCRIPT COMPLETE ANSWER SET
◉liquidity. Answer: measures the ability of an entity to pay its
current obligations as they come due
◉capital structure. Answer: also known as SOLVENCY, this measures
how the assets for an entity are financed, as well as its ability to pay
its long-term debts
◉profitability. Answer: measures the extent to which the entity is
generating a surplus
◉operational metric. Answer:
◉average length of stay. Answer: sum of the patient days of all
inpatients discharged over a given period of time divided by the
number of discharges in same period
◉ratio analysis. Answer: simple ratios that describe the volume of
services provided to patients or members or the resources used to
provide services
,◉operational metric. Answer: used in businesses to assist managers
in understanding the relationships between elements in the
financial statements
◉direct cost. Answer: ____ are the costs that are incurred to provide
the services of a health care entity
◉indirect costs. Answer: ____ are the costs that are necessary to
operate the business but are not incurred in the provision of
services to patients, customers or clients
◉fixed costs. Answer: ____ are the costs that remain constant within
a range of operational volumes, regardless of the volume of services
provided
◉variable costs. Answer: ____ are the costs that vary directly with the
volume of services provided
◉cost allocation. Answer: a process by which indirect costs are
assigned to a part of the organization that actually provides services
to a patient or client
◉cost pool. Answer: the amount of indirect or overhead cost to be
allocated is called the _____.
, ◉cost driver. Answer: the _____ is the basis upon which a cost pool is
allocated among different revenue producing functions
◉activity based costing. Answer: the process of completing an ____
analysis can be broken into two steps - gathering total data and
activity statistics and then allocating the costs of activities to a
service.
◉full cost pricing. Answer: ____ where all direct and overhead costs
and a desired level of profit
◉marginal cost price setting. Answer: determining on how much
cost can be included in the price charged to a particular customer
based on a value judgement of how much customer volume will be
gained for that lower price
◉cost shifting price setting. Answer: _____ is frequently used in
physician clinics and hospitals, where lower prices received from
government insurers (medicare/medicaid) and negotiated from
insurers that have large numbers of members that can generate
large volumes of patient referrals. The lost revenue from discounts
given to those large volume buyers are then made up by higher
prices charged to other customers
