NAB RCAL EXAM
BreakevenvtPoint?vt-vtanswer--totalvtcostvt=vttotalvtrevenue
Workingvtcapitalvtratiovt-vtanswer--currentvtassetsvt/vtcurrentvtliabilities
Acid-testvt(quick)vtratiovt-vtanswer--(cashvt+vtARvt+vtshort-termvtinvestments)vt/
vtcurrentvtliabilities
debtvttovtassetsvtratiovt-vtanswer--totalvtliabilities/totalvtassets
FTEvt(fullvttimevtequivalent)vt-vtanswer--
totalvtnumbervtofvthoursvtpervtemployeevtinvtavtweekvt/vt40vt(i.e.vt12+14+40+30vtdiv.vtbyvt40)
Profitvtmarginvt-vtanswer--NOI/
Tot.vtRevenue.vtDefinedvtasvt"incomevttovtsales.vt2vttypes,vtgrossvtprofvtmarginvtandvtnetvtpr
ofvtmargin)
NetvtOperatingvtIncomevt(NOI)vt-vtanswer--Totalvt(gross)vtRevenuevt-
vtoperatingvtexpenses
Occupancyvtratevt-vtanswer--(#vtofvtresidentvtdays/facilityvtbeds)vtxvt365
HCSvt-vtanswer--
HazardvtCommunicationvtStandard.vtOSHAvtstandardvtrequiringvtemployersvttovtinformvtw
orkersvtofvtpotentiallyvthazardousvtchemicals.
Balancevtsheetvtformulavt-vtanswer--Assetsvt=vtLiabilitiesvt+vtShareholdersvtEquity
EBITDAvt-vtanswer--Earningsvtbeforevtinterest,vttaxes,vtdepreciation,vtandvtamortization
Amortizationvt-vtanswer--
thevtreductionvtofvtavtloanvtbalancevtthroughvtpaymentsvtmadevtovervtavtperiodvtofvttime
revenuevtcyclevtmanagementvt-vtanswer--residentvtneeds->servicevtplanning->staffing-
>billing/collections->
FICAvtSSvtTaxvtandvtMedicarevtTaxvt-vtanswer--6.2%vtandvt1.45%
4vtelementsvtofvtavtvalidvtcontractvt-vtanswer--
agreement,vtconsideration,vtcontractualvtcapacity,vtlegalityvt(invtwriting)vt"ACCL"
Liabilityvtinsurancevtusuallyvtcovers..vt-vtanswer--Bodilyvtinjuryvtandvtpropertyvtdamage
Lockvtoutvttagvtoutvt-vtanswer--Forvtallvtelectricalvtequipment
, safevtelectricalvtpracticesvt-vtanswer--NationalvtElectricalvtCodevtorvtNEC
FollowingvtNFPAvtLifevtSafetyvtCodevt-vtanswer--
firevtplan,vtregularvtfirevtdrills,vtdetectors,vttrainingvtonvtprocedure,vtnonvtcombustablevtfurni
shing/draperies
ExtinguishervtclassvtAvt-vtanswer--ordinaryvtcombustiblesvtsuchvtasvtwood/paper
ExtinguishervtClassvtBvt-vtanswer--Forvtflammablevtliquidsvtandvtgasvtfiresvt(grease,vtpaint)
ExtinguishervtclassvtCvt-vtanswer--Livevtelectricalvtequipmentvt(panelling)
ExtinguishervtclassvtDvt-vtanswer--Combustablevtmetalsvt(aluminum)
ExtinguishervtclassvtKvt-vtanswer--
Commercialvtcookingvtequipmentvt(cookingvtoil,vtanimalvtfats)
PASSvt(FirevtSafety)vt-vtanswer--Pvt-vtPullvtthevtpin.
Avt-vtAimvtatvtthevtbasevtofvtthevtfire,vtnotvtatvtthevtflames.
Svt-vtSqueezevtthevtlever.
Svt-vtSweepvtthevtnozzlevtfromvtsidevttovtside.
R.A.C.E.vt(Firevtsafety)vt-vtanswer--rescue,vtalarm,vtcontain,vtextinguish
AccrualvtBasisvtAccountingvt-vtanswer--
reportingvtincomevtwhenvtitvtisvtearnedvtandvtexpensesvtwhenvttheyvtarevtincurred
CashvtBasisvtAccountingvt-vtanswer--
Reportingvtincomevtwhenvtthevtcashvtisvtreceivedvtandvtexpensesvtwhenvtthevtcashvtisvtpaid
.
LLCvt(LimitedvtLiabilityvtCompany)vt-vtanswer--
Limitedvtliability,vtpassvtthroughvtincomevttaxation,vtflexibility
Svtcorporationvt-vtanswer--
Avtuniquevtgovernmentvtcreationvtthatvtlooksvtlikevtavtcorporationvtbutvtisvttaxedvtlikevtsolevtp
roprietorshipsvtandvtpartnerships
NetvtWorthvtFormulavt-vtanswer--Assetsvt-vtLiabilities
DementiavtLivingvtEnvironmentvt-vtanswer--
Residentialvtlivingvtwithvtclinicalvtaspects.vtsafe,vtquiet,vtsecured
EffectivevtClaimsvtManagementvtforvtworkingvtwithvtinsurancevtagenciesvt-vtanswer--
componentsvtofvtthevtclaimsvthandlingvtprocessvtincludevtdevelopingvtstrategiesvttovtcutvtc
ostsvtandvtreducevtfraudvtwhilevtkeepingvtcustomersvtsatisfied
BreakevenvtPoint?vt-vtanswer--totalvtcostvt=vttotalvtrevenue
Workingvtcapitalvtratiovt-vtanswer--currentvtassetsvt/vtcurrentvtliabilities
Acid-testvt(quick)vtratiovt-vtanswer--(cashvt+vtARvt+vtshort-termvtinvestments)vt/
vtcurrentvtliabilities
debtvttovtassetsvtratiovt-vtanswer--totalvtliabilities/totalvtassets
FTEvt(fullvttimevtequivalent)vt-vtanswer--
totalvtnumbervtofvthoursvtpervtemployeevtinvtavtweekvt/vt40vt(i.e.vt12+14+40+30vtdiv.vtbyvt40)
Profitvtmarginvt-vtanswer--NOI/
Tot.vtRevenue.vtDefinedvtasvt"incomevttovtsales.vt2vttypes,vtgrossvtprofvtmarginvtandvtnetvtpr
ofvtmargin)
NetvtOperatingvtIncomevt(NOI)vt-vtanswer--Totalvt(gross)vtRevenuevt-
vtoperatingvtexpenses
Occupancyvtratevt-vtanswer--(#vtofvtresidentvtdays/facilityvtbeds)vtxvt365
HCSvt-vtanswer--
HazardvtCommunicationvtStandard.vtOSHAvtstandardvtrequiringvtemployersvttovtinformvtw
orkersvtofvtpotentiallyvthazardousvtchemicals.
Balancevtsheetvtformulavt-vtanswer--Assetsvt=vtLiabilitiesvt+vtShareholdersvtEquity
EBITDAvt-vtanswer--Earningsvtbeforevtinterest,vttaxes,vtdepreciation,vtandvtamortization
Amortizationvt-vtanswer--
thevtreductionvtofvtavtloanvtbalancevtthroughvtpaymentsvtmadevtovervtavtperiodvtofvttime
revenuevtcyclevtmanagementvt-vtanswer--residentvtneeds->servicevtplanning->staffing-
>billing/collections->
FICAvtSSvtTaxvtandvtMedicarevtTaxvt-vtanswer--6.2%vtandvt1.45%
4vtelementsvtofvtavtvalidvtcontractvt-vtanswer--
agreement,vtconsideration,vtcontractualvtcapacity,vtlegalityvt(invtwriting)vt"ACCL"
Liabilityvtinsurancevtusuallyvtcovers..vt-vtanswer--Bodilyvtinjuryvtandvtpropertyvtdamage
Lockvtoutvttagvtoutvt-vtanswer--Forvtallvtelectricalvtequipment
, safevtelectricalvtpracticesvt-vtanswer--NationalvtElectricalvtCodevtorvtNEC
FollowingvtNFPAvtLifevtSafetyvtCodevt-vtanswer--
firevtplan,vtregularvtfirevtdrills,vtdetectors,vttrainingvtonvtprocedure,vtnonvtcombustablevtfurni
shing/draperies
ExtinguishervtclassvtAvt-vtanswer--ordinaryvtcombustiblesvtsuchvtasvtwood/paper
ExtinguishervtClassvtBvt-vtanswer--Forvtflammablevtliquidsvtandvtgasvtfiresvt(grease,vtpaint)
ExtinguishervtclassvtCvt-vtanswer--Livevtelectricalvtequipmentvt(panelling)
ExtinguishervtclassvtDvt-vtanswer--Combustablevtmetalsvt(aluminum)
ExtinguishervtclassvtKvt-vtanswer--
Commercialvtcookingvtequipmentvt(cookingvtoil,vtanimalvtfats)
PASSvt(FirevtSafety)vt-vtanswer--Pvt-vtPullvtthevtpin.
Avt-vtAimvtatvtthevtbasevtofvtthevtfire,vtnotvtatvtthevtflames.
Svt-vtSqueezevtthevtlever.
Svt-vtSweepvtthevtnozzlevtfromvtsidevttovtside.
R.A.C.E.vt(Firevtsafety)vt-vtanswer--rescue,vtalarm,vtcontain,vtextinguish
AccrualvtBasisvtAccountingvt-vtanswer--
reportingvtincomevtwhenvtitvtisvtearnedvtandvtexpensesvtwhenvttheyvtarevtincurred
CashvtBasisvtAccountingvt-vtanswer--
Reportingvtincomevtwhenvtthevtcashvtisvtreceivedvtandvtexpensesvtwhenvtthevtcashvtisvtpaid
.
LLCvt(LimitedvtLiabilityvtCompany)vt-vtanswer--
Limitedvtliability,vtpassvtthroughvtincomevttaxation,vtflexibility
Svtcorporationvt-vtanswer--
Avtuniquevtgovernmentvtcreationvtthatvtlooksvtlikevtavtcorporationvtbutvtisvttaxedvtlikevtsolevtp
roprietorshipsvtandvtpartnerships
NetvtWorthvtFormulavt-vtanswer--Assetsvt-vtLiabilities
DementiavtLivingvtEnvironmentvt-vtanswer--
Residentialvtlivingvtwithvtclinicalvtaspects.vtsafe,vtquiet,vtsecured
EffectivevtClaimsvtManagementvtforvtworkingvtwithvtinsurancevtagenciesvt-vtanswer--
componentsvtofvtthevtclaimsvthandlingvtprocessvtincludevtdevelopingvtstrategiesvttovtcutvtc
ostsvtandvtreducevtfraudvtwhilevtkeepingvtcustomersvtsatisfied
