DLM(ASCP) EXAM ACTUAL EXAM REAL EXAM
QUESTIONS AND CORRECT DETAILED ANSWERS
WITH RATIONALES|AGRADE (FINANCIAL
MANAGEMENT, OPERATIONS MANAGEMENT,
HUMAN RESOURCE MANAGEMENT, QUALITY
MANAGEMENT)||VERIFIED
/Project Volumes (forecasting stage) - Answer-based on expert opinion, stats, historical
data, shifts in patient mix, changes in medical staff composition, changes in
inflation/reimbursement ratws, expansion/cutbacks, population fluctuations based on
economy
/.Steps to creating a budget - Answer-1. project volumes
2. convert volumes to revenue
3. convert volumes into expense requirements
4. Adjust revenue/ expenses as necessary to meet budget margin
/.gross revenue - Answer-Rates x Production Unit (Billable test volume)
/.Expenses - Answer-salaries/wages, reference service, instrument lease, maintenance
contracts, education/travel
/.Financial Statements - Answer-convey the financial status of an organization
4 main types - income statement, balance sheet statement of changes in equity and
statement of cash flows.
/.income statement - Answer-summarizes the operations of an organization with a focus
on its revenues, expenses, and profitability. contains operational results over a period of
time.
/.depreciation - Answer-noncash charge against earnings on income statement that
reflect the "wear and tear" on a business' fixed assets (property and equipment). loss of
value
/.salvage value - Answer-amount received when final disposition occurs at end of the
asset's useful life.
/.annual depreciation - Answer-(initial cost - salvage value)/ useful life
/.Profit - Answer-net income -expense
, /.cashflow - Answer-net income + depreciation
/.Total Profit Margin - Answer-Net income divided by total revenues. It measures the
amount of total profit per dollar of total revenues.
/.fixed costs - Answer-cost not related to the volume of services delivered (ex. facilities
cost, lab admin, instrument leases, maintenance contracts)
/.variable cost - Answer-directly related to the volume of services delivered (ex.
supplies, labor costs)
/.Profit Analysis - Answer-technique use to analyze the effects of volume changes on
profit. can also be used to analyze effects of volume changes on costs.
/.Total Costs - Answer-fixed costs + variable costs
Variable costs = variable cost rate x volume
/.contribution margin - Answer-difference between per unit revenue and per unit variable
cost. gives the amount left to cover the fixed costs. after fixed costs are covered what's
left contributes to the profit.
/.accounting breakeven - Answer-Volume needed to produce zero profit. Revenues
cover all accounting costs.
Total Revenue (cost x volume) - Total Variable (variable cost rate x volume) - fixed
costs = $0
/.economic breakeven - Answer-occurs when all accounting costs plus a profit target are
covered
total revenue - total variable cost- fixed cost = profit
/.Surcharge/Cost Plus - Answer-used for reference/send out testing. Determine cost of
doing a procedure then add markup factor to get appropriate price.
/.weight value basis - Answer-each test performed is assigned a weight based on cost
of performing the test in relation to the procedure.
/.patient day factor - Answer-the number of patients in a hospital on a given day.
(average patient day/ daily census for the year) x 365
/.tests per patient days - Answer-test volume/ patient days
/.revenue per test - Answer-gross revenue/test volume
/.direct costs - Answer-test-specific costs (Variable)
examples - supplies, instrumentation, reagents, tech time
QUESTIONS AND CORRECT DETAILED ANSWERS
WITH RATIONALES|AGRADE (FINANCIAL
MANAGEMENT, OPERATIONS MANAGEMENT,
HUMAN RESOURCE MANAGEMENT, QUALITY
MANAGEMENT)||VERIFIED
/Project Volumes (forecasting stage) - Answer-based on expert opinion, stats, historical
data, shifts in patient mix, changes in medical staff composition, changes in
inflation/reimbursement ratws, expansion/cutbacks, population fluctuations based on
economy
/.Steps to creating a budget - Answer-1. project volumes
2. convert volumes to revenue
3. convert volumes into expense requirements
4. Adjust revenue/ expenses as necessary to meet budget margin
/.gross revenue - Answer-Rates x Production Unit (Billable test volume)
/.Expenses - Answer-salaries/wages, reference service, instrument lease, maintenance
contracts, education/travel
/.Financial Statements - Answer-convey the financial status of an organization
4 main types - income statement, balance sheet statement of changes in equity and
statement of cash flows.
/.income statement - Answer-summarizes the operations of an organization with a focus
on its revenues, expenses, and profitability. contains operational results over a period of
time.
/.depreciation - Answer-noncash charge against earnings on income statement that
reflect the "wear and tear" on a business' fixed assets (property and equipment). loss of
value
/.salvage value - Answer-amount received when final disposition occurs at end of the
asset's useful life.
/.annual depreciation - Answer-(initial cost - salvage value)/ useful life
/.Profit - Answer-net income -expense
, /.cashflow - Answer-net income + depreciation
/.Total Profit Margin - Answer-Net income divided by total revenues. It measures the
amount of total profit per dollar of total revenues.
/.fixed costs - Answer-cost not related to the volume of services delivered (ex. facilities
cost, lab admin, instrument leases, maintenance contracts)
/.variable cost - Answer-directly related to the volume of services delivered (ex.
supplies, labor costs)
/.Profit Analysis - Answer-technique use to analyze the effects of volume changes on
profit. can also be used to analyze effects of volume changes on costs.
/.Total Costs - Answer-fixed costs + variable costs
Variable costs = variable cost rate x volume
/.contribution margin - Answer-difference between per unit revenue and per unit variable
cost. gives the amount left to cover the fixed costs. after fixed costs are covered what's
left contributes to the profit.
/.accounting breakeven - Answer-Volume needed to produce zero profit. Revenues
cover all accounting costs.
Total Revenue (cost x volume) - Total Variable (variable cost rate x volume) - fixed
costs = $0
/.economic breakeven - Answer-occurs when all accounting costs plus a profit target are
covered
total revenue - total variable cost- fixed cost = profit
/.Surcharge/Cost Plus - Answer-used for reference/send out testing. Determine cost of
doing a procedure then add markup factor to get appropriate price.
/.weight value basis - Answer-each test performed is assigned a weight based on cost
of performing the test in relation to the procedure.
/.patient day factor - Answer-the number of patients in a hospital on a given day.
(average patient day/ daily census for the year) x 365
/.tests per patient days - Answer-test volume/ patient days
/.revenue per test - Answer-gross revenue/test volume
/.direct costs - Answer-test-specific costs (Variable)
examples - supplies, instrumentation, reagents, tech time
