FACHE BOG Practice Exam Latest Update
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A Perfect Score
A balanced scorecard is a set of performance measurements used to:
a. Assess patient satisfaction.
b. Ensure the organization does not exceed one performance metric at the expense of another.
c. Provide a scorecard for annual performance monitoring.
d. Gather and monitor financial data. - Answer -b. Ensure the organization does not exceed one
performance metric at the expense of another.
A bar chart format, with the items rank ordered on a dependent variable, such as cost, profit, or
satisfaction that Examines the components of a problem in terms of their contribution to it is known as:
a. A run chart.
b. A frequency table.
c. Pareto analysis.
d. Deming cycle. - Answer -c. Pareto analysis
A food service director is assigned responsibility for environmental services. This is an Example of:
a. Redundant management.
b. Matrix management.
c. Oversight management.
d. Service line management. - Answer -b. Matrix management.
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. -
Answer -a. Analyze the current HR situation, forecast HR demand, reconcile with the budget,
forecast HR supply.
A healthcare executive is serving on the board of a community mental health center. The mental health
center board is evaluating proposals for inpatient psychiatric services. Proposals were received from the
executive's facility and several other facilities. The healthcare executive should:
a. Participate in the discussion and the vote if the benefits to the community outweigh possible conflicts
of interest.
b. Not participate in the discussion or the vote.
c. Declare a potential conflict-of-interest and excuse himself or herself from participating in both the
discussion and the vote.
d. Participate in the discussion but not vote on the proposals. - Answer -d. Participate in the
discussion but not vote on the proposals.
A major advantage of capitation for primary care gatekeepers is it:
a. Guarantees primary care physicians will make more money than they ever made in fee-for-service.
b. Encourages primary care physicians to be more judicious in their referrals to specialists.
c. Elevates the primary care physician's status in the eyes of his/her patients.
d. Makes it easier for health plans to collect utilization data from physicians. - Answer -b.
Encourages primary care physicians to be more judicious in their referrals to specialists.
A manager who seeks input from others prior to making a decision is
engaging in which leadership style?
a. Autocratic.
b. Participative.
c. Democratic.
d. Laissez-faire. - Answer -b. Participative.
A master patient index (MPI) can best be described as:
a. A relational database containing all identification numbers assigned to patients.
b. A system for converting social security numbers to medical record numbers.
c. A system for converting medical record numbers to patient account numbers.
d. A longitudinal record of all patient encounters for a fixed period of time. - Answer -a. A
relational database containing all identification numbers assigned to patients.
,A patient files a complaint relating to a negative hospital experience. The proper handling of this
patient's complaint is to:
a. Cite organizational policy.
b. Side against the organization.
c. Minimize the complaint.
d. Clarify the problem. - Answer -d. Clarify the problem.
A positive net present value indicates that the investment has a rate of return:
a. Higher than the discount rate used in the calculation.
b. Lower than the discount rate used in the calculation.
c. Equal to the discount rate used in the calculation.
d. Equal to the accounting profit averaged over the life of the investment - Answer -a. Higher than
the discount rate used in the calculation.
A privilege of confidentiality exists in a physician-patient relationship when the physician-acquired
information is:
a. Documented in the patient's medical records.
b. Substantiated by the patient's nurse.
c. Related to the care and treatment of the patient.
d. Confirmed and documented by the patient. - Answer -c. Related to the care and treatment of
the patient.
A successful healthcare organization usually has a unique and wellarticulated company philosophy that
presents a clear picture of the organization's objectives, norms and values. Employee motivation to
support this philosophy would be greatest when the company:
a. Maintains a program that provides employees with a wide variety of social, cultural and recreational
activities.
b. Emphasizes financial rewards, including strong employee benefits.
c. Provides a training program that is well communicated, understood by employees and enforced by
executive management.
d. Continues a major effort to articulate employee rights in such areas as grievances, affirmative action
and human rights issues. - Answer -c. Provides a training program that is well communicated,
understood by employees and enforced by executive management.
A typical use of the Internet by healthcare organizations is to:
a. Deliver educational programs to employees.
, b. Provide the medical staff with electronic access to patient records.
c. Advertise services available to the community.
d. Communicate financial information to business units of the organization. - Answer -c. Advertise
services available to the community.
Accident rates among personnel continue to rise and are distributed among all departments. What
would be your best initial action in finding a comprehensive solution to this problem?
a. Form a safety committee of key personnel to review reports of all accidents and make
recommendations for corrections.
b. Require each department head to analyze his/her department's accidents in order to determine the
causes and find methods of correction.
c. Institute a safety education program by departments.
d. Recommend that the personnel committee formulate an effective accident prevention program. -
Answer -a. Form a safety committee of key personnel to review reports of all accidents and make
recommendations for corrections.
According to CMS Conditions of Participation, under what circumstances,
if any, is it permissible to deny a patient access to his or her medical
record?
a. The information requested consists of psychotherapy notes.
b. The request comes from the patient's personal representative instead of directly from the patient (if
allowed under state law).
c. The provider organization will incur significant costs in copying or forwarding the requested records.
d. It is never permissible to deny a patient access to his or her records. - Answer -a. The
information requested consists of psychotherapy notes.
According to the ACHE Code of Ethics, what action can the Ethics
Committee take against an affiliate after a grievance procedure has been initiated?
a. Fine the affiliate.
b. Report the violation to the affiliate's employer.
c. Issue a written reprimand to the affiliate.
d. Recommend expulsion of the affiliate. - Answer -d. Recommend expulsion of the affiliate.
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:
Questions with Correct Answers Graded
A Perfect Score
A balanced scorecard is a set of performance measurements used to:
a. Assess patient satisfaction.
b. Ensure the organization does not exceed one performance metric at the expense of another.
c. Provide a scorecard for annual performance monitoring.
d. Gather and monitor financial data. - Answer -b. Ensure the organization does not exceed one
performance metric at the expense of another.
A bar chart format, with the items rank ordered on a dependent variable, such as cost, profit, or
satisfaction that Examines the components of a problem in terms of their contribution to it is known as:
a. A run chart.
b. A frequency table.
c. Pareto analysis.
d. Deming cycle. - Answer -c. Pareto analysis
A food service director is assigned responsibility for environmental services. This is an Example of:
a. Redundant management.
b. Matrix management.
c. Oversight management.
d. Service line management. - Answer -b. Matrix management.
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. -
Answer -a. Analyze the current HR situation, forecast HR demand, reconcile with the budget,
forecast HR supply.
A healthcare executive is serving on the board of a community mental health center. The mental health
center board is evaluating proposals for inpatient psychiatric services. Proposals were received from the
executive's facility and several other facilities. The healthcare executive should:
a. Participate in the discussion and the vote if the benefits to the community outweigh possible conflicts
of interest.
b. Not participate in the discussion or the vote.
c. Declare a potential conflict-of-interest and excuse himself or herself from participating in both the
discussion and the vote.
d. Participate in the discussion but not vote on the proposals. - Answer -d. Participate in the
discussion but not vote on the proposals.
A major advantage of capitation for primary care gatekeepers is it:
a. Guarantees primary care physicians will make more money than they ever made in fee-for-service.
b. Encourages primary care physicians to be more judicious in their referrals to specialists.
c. Elevates the primary care physician's status in the eyes of his/her patients.
d. Makes it easier for health plans to collect utilization data from physicians. - Answer -b.
Encourages primary care physicians to be more judicious in their referrals to specialists.
A manager who seeks input from others prior to making a decision is
engaging in which leadership style?
a. Autocratic.
b. Participative.
c. Democratic.
d. Laissez-faire. - Answer -b. Participative.
A master patient index (MPI) can best be described as:
a. A relational database containing all identification numbers assigned to patients.
b. A system for converting social security numbers to medical record numbers.
c. A system for converting medical record numbers to patient account numbers.
d. A longitudinal record of all patient encounters for a fixed period of time. - Answer -a. A
relational database containing all identification numbers assigned to patients.
,A patient files a complaint relating to a negative hospital experience. The proper handling of this
patient's complaint is to:
a. Cite organizational policy.
b. Side against the organization.
c. Minimize the complaint.
d. Clarify the problem. - Answer -d. Clarify the problem.
A positive net present value indicates that the investment has a rate of return:
a. Higher than the discount rate used in the calculation.
b. Lower than the discount rate used in the calculation.
c. Equal to the discount rate used in the calculation.
d. Equal to the accounting profit averaged over the life of the investment - Answer -a. Higher than
the discount rate used in the calculation.
A privilege of confidentiality exists in a physician-patient relationship when the physician-acquired
information is:
a. Documented in the patient's medical records.
b. Substantiated by the patient's nurse.
c. Related to the care and treatment of the patient.
d. Confirmed and documented by the patient. - Answer -c. Related to the care and treatment of
the patient.
A successful healthcare organization usually has a unique and wellarticulated company philosophy that
presents a clear picture of the organization's objectives, norms and values. Employee motivation to
support this philosophy would be greatest when the company:
a. Maintains a program that provides employees with a wide variety of social, cultural and recreational
activities.
b. Emphasizes financial rewards, including strong employee benefits.
c. Provides a training program that is well communicated, understood by employees and enforced by
executive management.
d. Continues a major effort to articulate employee rights in such areas as grievances, affirmative action
and human rights issues. - Answer -c. Provides a training program that is well communicated,
understood by employees and enforced by executive management.
A typical use of the Internet by healthcare organizations is to:
a. Deliver educational programs to employees.
, b. Provide the medical staff with electronic access to patient records.
c. Advertise services available to the community.
d. Communicate financial information to business units of the organization. - Answer -c. Advertise
services available to the community.
Accident rates among personnel continue to rise and are distributed among all departments. What
would be your best initial action in finding a comprehensive solution to this problem?
a. Form a safety committee of key personnel to review reports of all accidents and make
recommendations for corrections.
b. Require each department head to analyze his/her department's accidents in order to determine the
causes and find methods of correction.
c. Institute a safety education program by departments.
d. Recommend that the personnel committee formulate an effective accident prevention program. -
Answer -a. Form a safety committee of key personnel to review reports of all accidents and make
recommendations for corrections.
According to CMS Conditions of Participation, under what circumstances,
if any, is it permissible to deny a patient access to his or her medical
record?
a. The information requested consists of psychotherapy notes.
b. The request comes from the patient's personal representative instead of directly from the patient (if
allowed under state law).
c. The provider organization will incur significant costs in copying or forwarding the requested records.
d. It is never permissible to deny a patient access to his or her records. - Answer -a. The
information requested consists of psychotherapy notes.
According to the ACHE Code of Ethics, what action can the Ethics
Committee take against an affiliate after a grievance procedure has been initiated?
a. Fine the affiliate.
b. Report the violation to the affiliate's employer.
c. Issue a written reprimand to the affiliate.
d. Recommend expulsion of the affiliate. - Answer -d. Recommend expulsion of the affiliate.
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:
