FACHE Board of Governor’s Exam Questions With Answers Latest Updated 2024 (Graded A+)

FACHE Board of Governor’s Exam Questions With Answers Latest Updated 2024 (Graded A+) According to the ACHE's Code of Ethics, one way that healthcare executives can avoid or minimize the negative implications of conflict of interest is to: a. Develop a public relations plan to address potential conflict-of-interest scenarios. b. Not participate in the specific decision where conflict may exist. c. Ensure members submit annual lists of major activities and holdings for inspections. d. Make the conflict known to those in superior positions. - correct answerd. Make the conflict known to those in superior positions The principles of quality improvement require that healthcare executives change their management philosophy from: a. Finding fault with employees to finding problems in processes. b. Finding fault with employees to involving them in the improvement of processes. c. Focusing on enhanced inspection techniques to focusing on variance. d. Focusing on employees' roles to focusing on process outcomes. - correct answera. Finding fault with employees to finding problems in processes. What type of problem arises when a healthcare executive knowingly allows the organization to continue double billing? a. An ethical problem for the healthcare executive, but may not be grounds for dismissal if organizational policy is not clearly stated. b. An actual conflict of interest, even absent a direct economic benefit to the healthcare executive. c. An ethical problem for the employee if the healthcare executive receives direct economic benefit. d. An ethical problem if it clearly violates state or federal law. - correct answerb. An actual conflict of interest, even absent a direct economic benefit to the healthcare executive. Which of the following is a unit of measure commonly used to determine physicians' clinical productivity? FACHE BOG Practice Exam Questions With Answers Latest Update 2023/2024 Graded A+ a. RVU b. CMS c. IPO d. CPU - correct answera. RVU Which of the following third-party reimbursement methods provides the largest financial incentive for the provider to reduce cost? a. Charge-based b. Cost-based c. Prospective payment d. Per diem - correct answerc. Prospective payment Statements of earnings, financial positions, changes in financial position and retained earnings are required to be submitted yearly by all: a. Publicly owned healthcare organizations. b. Privately owned healthcare organizations. c. Government owned healthcare organizations. d. Faith-based owned healthcare organizations. - correct answera. Publicly owned healthcare organizations. Which of the following is an Example of a capital expenditure? a. Land that is purchased for resale. b. Surgical equipment with a useful life of six months. c. A building with a useful life of 20 years. d. Medical supplies used for patient care. - correct answerc. A building with a useful life of 20 years. What is the correct order of stages for accomplishing organization change? a. Identifying, planning, implementation, evaluation. b. Planning, identifying, evaluation, implementation. c. Evaluation, planning, implementation, identifying. d. Planning, evaluation, identifying, implementation. - correct answera. Identifying, planning, implementation, evaluation. Boards make better strategic decisions if they use information that is: a. Readily available on special board website. b. Generated from computer studies of departmental activity reports. c. Summarized in graphs for better understanding. d. Focused on measurable outcomes of service quality and economic vitality. - correct answerd. Focused on measurable outcomes of service quality and economic vitality. The central role of the health services organization board includes all of the following: a. Setting the strategic plan and service values of the organization. b. Support for assessing changing market needs. c. Support in managing important service programs or departments. d. Assuring the recruitment, hire, support and reward of the CEO. - correct answerc. Support in managing important service programs or departments The first role of the governing body is to: a. Manage inputs of the healthcare organization to achieve the output that are its goals. b. Recruit members who understand the health services field. c. Set objectives and develop policy to guide the organization in achieving its mission. d. Develop the operating plan and monitor departmental performance. - correct answerc. Set objectives and develop policy to guide the organization in achieving its mission. Internal members of the healthcare organization's governing body: a. Serve on an ad hoc basis and are rarely voting members. b. Are kept to a minimum due to concerns regarding confidentiality. c. Often include the CEO, medical director and CFO. d. Often include the executive staff in planning and information management - correct answerc. Often include the CEO, medical director and CFO. In assessing the advantage of using a focus group over a survey in evaluating a program, one could say that focus groups: a. Are likely to use a larger sample size. b. Are more useful in designing improvements to a program. c. Are more precise in designing improvements to a program. d. Are useful only when maintaining objectivity is not important - correct answerb. Are more useful in designing improvements to a program. From a marketing viewpoint, the development of standards of practice, clinical pathways, clinical guidelines and protocols can all be viewed as efforts to deal with which unique aspect of delivering services: a. Inseparability. b. Intangibility. c. Heterogeneity. d. Perishability. - correct answerc. Heterogeneity. What purpose do market plans fulfill for the healthcare organization? a. Provide a business plan (or plans) as a subset of the organization's marketing plan. b. Present general goals for the organization to attain in the next three to five years. c. Develop promotion methods to be used in attaining the organization's objectives. d. Provide specific objectives for utilization attainment the next fiscal year. - correct answerd. Provide specific objectives for utilization attainment the next fiscal year. The five major functions of marketing are: a. Identifying markets, promoting the organization, recruitment of providers, managing external relationships, patient selection. b. Identifying markets, health promotion, managing external relationships, patient selection, attracting capable workers. c. Identifying markets, promoting the organization, managing external relationship, convincing patients to select the organization, attracting capable workers. d. Identifying markets, promoting the organization, managing external relationships, strategic planning, physician recruitment. - correct answerc. Identifying markets, promoting the organization, managing external relationship, convincing patients to select the organization, attracting capable workers. Forecasting organizational need for human resources by focusing on specific position openings that are likely to occur and using these for planning is called: a. Demand-pull approach. b. Supply-push approach. c. Succession analysis. d. Transition matrix. - correct answera. Demand-pull approach. A health services organization should use which of the following sequential processes to help establish human resources (HR) objectives and policies? a. Analyze the current HR situation, forecast HR demand, reconcile with the budget, forecast HR supply. b. Design HR recruitment and selection activities, develop an HR compensation plan, and establish HR appraisal systems. c. Determine best HR job structure, perform HR job evaluations, establish HR training and development plan. d. Conduct HR job analysis, determine best HR job structure, and establish HR information system. - correct answera. Analyze the current HR situation, forecast HR demand, reconcile with the budget, forecast HR supply. Probability models that forecast the internal flow of employees from one job category to another use a: a. Graphic rating approach. b. Supply-push approach. c. Transition matrix. d. Curriculum path. - correct answerc. Transition matrix. Forecasting the internal supply of employees as they move from their current jobs into others through promotions, lateral moves and terminations is called: a. Graphic rating approach. b. Supply-push approach. c. Demand-pull approach d. Rating scale method. - correct answerb. Supply-push approach. Which of the following describes the conflict management strategy that would have the most immediate effect on reducing conflict behavior? a. Imposition of formal authority to resolve or suppress conflict. b. Implementation of substantial, super-ordinate goals that require cooperation among units. c. Rotation of members of one unit into another unit. d. Provision of intergroup training that requires listing of perceptions and identifying differences. - correct answera. Imposition of formal authority to resolve or suppress conflict. Multi-rater assessment (360 degrees feedback) of managers in healthcare organizations is best used: a. In the development of a specific action plan by appraises. b. As part of a training or coaching session. c. As part of the performance appraisal system of the organization. d. When the appraisers are held accountable for their ratings. - correct answera. In the development of a specific action plan by appraises. Behaviorally anchored rating scales (BARS) for specific jobs can be: a. Used to identify components of job behaviors. b. Developed in a short period of time. c. Used for evaluation but not for employee development. d. Subjective on some scale items. - correct answera. Used to identify components of job behaviors. If the amount of charity care increased from one reporting period to the next, which of the following would occur? a. Provision for bad debts would increase. b. Unrestricted net assets would increase. c. Unrestricted net assets would neither, increase or decrease. d. Unrestricted net assets would decrease. - correct answerd. Unrestricted net assets would decrease. Which would be a reasonable basis on which to allocate administrative overhead costs? a. Salaries. b. Amount of supplies used. c. Hours worked. d. Square footage. - correct answerb. Amount of supplies used. The effective cost of debt is roughly the same for both not-for-profit and investor-owned organizations because: a. Both types of organizations can issue tax-exempt debt. b. The interest rate is the same on both tax-exempt and regular debt. c. Neither type of organization can issue tax-exempt debt. d. The tax deductibility of interest for investor-owned firms offsets the lower coupon rate on tax-exempt debt. - correct answerd. The tax deductibility of interest for investor-owned firms offsets the lower coupon rate on tax-exempt debt. The master site plan (or master facility plan) for a healthcare organization: a. Describes future facility needs (either renovation or new construction) necessary to meet strategic and operational needs. b. Provides detailed design documents for all construction programs along with specific costs for each project. c. Must be prepared by an outside planning or architectural firm to ensure sufficient objectivity. d. Is necessary to ensure that the organization complies with certificate of need and other regulatory requirements. - correct answera. Describes future facility needs (either renovation or new construction) necessary to meet strategic and operational needs Which of the following statements best describes the statistics budget? a. It combines volume and expense rates to forecast costs. b. It is a profit forecast for the coming year. c. It combines volume and reimbursement data to forecast revenues. d. It provides input date for other budgets. - correct answerd. It provides input date for other budgets. All areas of healthcare facilities are subject to safety, convenience and other regulatory requirements as dictated by the state life safety codes, JCAHO, OSHA, state fire marshal, etc. Which area of the facility typically has the highest standards? a. The energy plant. b. Highly used public areas. c. Areas under construction. d. Patient care areas. - correct answerd. Patient care areas. The best way to reduce/contain the costs of distributing supplies throughout an organization is to: a. Purchase the most modern supply distribution system for your organization. b. Minimize the number of times an item is handled from the time it is received by the organization to the time it is used. c. Utilize a computerized materials management system that allows the organization to minimize inventory levels. d. Negotiate a contract with an outside vendor who specializes in supply distribution to provide these services. - correct answerb. Minimize the number of times an item is handled from the time it is received by the organization to the time it is used. The objective of maintenance and repair services is to keep the facility and its equipment operating like new. This goal is best achieved by emphasizing: a. Prevention. b. Efficiency. c. Productivity. d. Safety. - correct answera. Prevention. The facility's plan for a healthcare organization may include plans for renovation or new construction, energy requirements, acquisition of new property, financing options, etc. However, the facility plan begins with an estimate of each service or department's: a. Operational needs. b. Parking needs. c. Staffing needs. d. Equipment needs. - correct answera. Operational needs. An important management principle that should guide the development of information systems in healthcare organizations is to: a. Treat information as an essential organizational resource. b. Delegate all decisions about information technology to technical specialists. c. Employ consultants to set priorities for systems to be developed. d. Always buy the newest system available to avoid technical obsolescence - correct answera. Treat information as an essential organizational resource. Which of the following is a major priority for system development in the managed care environment? a. Development of enterprise-wide computer networks. b. Development of repositories of computerized patient records. c. Development of operational inpatient systems. d. Development of strategic decision support systems. - correct answerc. Development of operational inpatient systems.