NAB RCAL CORRECT TEST PAPER ANSWERS AND
QUESTIONS SET A+
✔✔Mission Statement - ✔✔Public document, short (tshirt), purpose of ALF
✔✔Vision statement - ✔✔Usually private internal documents, expresses what the
organization should become using the mission, where it wants to go strategically.
✔✔Organizational Values - ✔✔accompany mission statement, describes key behaviors
that are expected of staff
✔✔Cash Flow - ✔✔Cash receipts less cash disbursements from a given operation or
set of operations from a period of time
✔✔Balance sheet - ✔✔Snapshot/point in time of what a company owns and owes.
Summarizes assets, liabilities and shareholder equity at a specific point in time.
✔✔Income statement (or statement of financial position) - ✔✔How much revenue and
profit generated over a certain period of time
✔✔Interest coverage - ✔✔What portion of debt interest is covered by a company cash
flow situation (EBITDA/Interest expense)
✔✔Capital - ✔✔typically $500 or more, 1 year or more life. Money invested in company.
✔✔chart of accounts - ✔✔A list of every account (5 groups: ass, Lia, capital, Rev,
expenses)
✔✔Variable cost - ✔✔Fluctuate directly with changes in census (i.e. food, salary)
✔✔Fixed cost - ✔✔Do not relate to changes in census.
✔✔Direct cost - ✔✔Cost that are directly attributable to providing resident care (i.e.
salaries, payroll, pay taxes, benefits, supplies)
, ✔✔Indirect cost - ✔✔i.e. administrative salary, depreciation
✔✔5 steps of budgeting - ✔✔Assessing environment, Programming, Developing
operating budget, Building cash budget, Determing capital budget
✔✔How often should goals and objectives be evaluated? - ✔✔Annual basis, at least
✔✔Patient Self-Determination Act of 1990 - ✔✔protects patient rights including the right
to agree to or refuse medical treatment (gives patients right to choose health care
decisions when entering hospital)
✔✔DPOA vs POA - ✔✔DPOA just includes language that means the documents covers
individual when they become incapacitated
✔✔Quality Assurance - ✔✔looks at actions to ensure services conform to standards
✔✔Team building is a key component of which management style? - ✔✔Participatory
(encourages managers to share knowledge, work together)
✔✔advance directives - ✔✔A legal document designed to indicate a person's wishes
regarding care in case of a terminal illness or during the dying process
✔✔living will - ✔✔A document that indicates what medical intervention an individual
wants if he or she becomes incapable of expressing those wishes.
✔✔advisory board - ✔✔used by board of directors/governing body to provide guidance
regarding policy and procedure
✔✔Board of Directors/Governing body - ✔✔hires admin, delegates management,
develops mission and vision, fiduciary responsibility
✔✔4 components of leadership (influencing) - ✔✔Process, Influence others, occurs in
groups, attain goals and direct group
✔✔provides sweeping new legal protection for employees who report corporate
misconduct. Protects whistleblowers - ✔✔Sarbanes-Oxley Act of 2002
✔✔Applies to employers of 15 or more. Race, color, religion, gender, pregnancy, or
national origin. - ✔✔Civil Rights Act (1964) Title VII
✔✔Sexual harassment - unwelcome sexual advances, does not have to be the
harassed to report. Must be unwelcome, implicitly or explicitly affects an individuals
employment, work performance - ✔✔Civil Rights Act 1991
QUESTIONS SET A+
✔✔Mission Statement - ✔✔Public document, short (tshirt), purpose of ALF
✔✔Vision statement - ✔✔Usually private internal documents, expresses what the
organization should become using the mission, where it wants to go strategically.
✔✔Organizational Values - ✔✔accompany mission statement, describes key behaviors
that are expected of staff
✔✔Cash Flow - ✔✔Cash receipts less cash disbursements from a given operation or
set of operations from a period of time
✔✔Balance sheet - ✔✔Snapshot/point in time of what a company owns and owes.
Summarizes assets, liabilities and shareholder equity at a specific point in time.
✔✔Income statement (or statement of financial position) - ✔✔How much revenue and
profit generated over a certain period of time
✔✔Interest coverage - ✔✔What portion of debt interest is covered by a company cash
flow situation (EBITDA/Interest expense)
✔✔Capital - ✔✔typically $500 or more, 1 year or more life. Money invested in company.
✔✔chart of accounts - ✔✔A list of every account (5 groups: ass, Lia, capital, Rev,
expenses)
✔✔Variable cost - ✔✔Fluctuate directly with changes in census (i.e. food, salary)
✔✔Fixed cost - ✔✔Do not relate to changes in census.
✔✔Direct cost - ✔✔Cost that are directly attributable to providing resident care (i.e.
salaries, payroll, pay taxes, benefits, supplies)
, ✔✔Indirect cost - ✔✔i.e. administrative salary, depreciation
✔✔5 steps of budgeting - ✔✔Assessing environment, Programming, Developing
operating budget, Building cash budget, Determing capital budget
✔✔How often should goals and objectives be evaluated? - ✔✔Annual basis, at least
✔✔Patient Self-Determination Act of 1990 - ✔✔protects patient rights including the right
to agree to or refuse medical treatment (gives patients right to choose health care
decisions when entering hospital)
✔✔DPOA vs POA - ✔✔DPOA just includes language that means the documents covers
individual when they become incapacitated
✔✔Quality Assurance - ✔✔looks at actions to ensure services conform to standards
✔✔Team building is a key component of which management style? - ✔✔Participatory
(encourages managers to share knowledge, work together)
✔✔advance directives - ✔✔A legal document designed to indicate a person's wishes
regarding care in case of a terminal illness or during the dying process
✔✔living will - ✔✔A document that indicates what medical intervention an individual
wants if he or she becomes incapable of expressing those wishes.
✔✔advisory board - ✔✔used by board of directors/governing body to provide guidance
regarding policy and procedure
✔✔Board of Directors/Governing body - ✔✔hires admin, delegates management,
develops mission and vision, fiduciary responsibility
✔✔4 components of leadership (influencing) - ✔✔Process, Influence others, occurs in
groups, attain goals and direct group
✔✔provides sweeping new legal protection for employees who report corporate
misconduct. Protects whistleblowers - ✔✔Sarbanes-Oxley Act of 2002
✔✔Applies to employers of 15 or more. Race, color, religion, gender, pregnancy, or
national origin. - ✔✔Civil Rights Act (1964) Title VII
✔✔Sexual harassment - unwelcome sexual advances, does not have to be the
harassed to report. Must be unwelcome, implicitly or explicitly affects an individuals
employment, work performance - ✔✔Civil Rights Act 1991
