CSPR - Certified Specialist Payment Rep b b b b b
(HFMA) questions with correct answers
b b b b b
If a lessee is building up equity in equipment being leased, the lease is:
b b b b b b b b b b b b b
A. A capital lease.
b b b
B. An operating lease.
b b b
C. A noncancelable lease.
b b b
D. A cancelatable monthly lease agreement. - ANSWER>>A. A capital lease.
b b b b b b b b b b
Contribution margin is: b b
A. The difference between marginal revenue and the break-even point.
b b b b b b b b b
B. The difference between marginal revenue and marginal cost.
b b b b b b b b
C. Where marginal revenue equals marginal cost.
b b b b b b
D.the point where fixed cost produces a profit. - ANSWER>>B. The difference
b b b b b b b b b b b
between marginal revenue and marginal cost.
b b b b b b
Activity-based costing is - ANSWER>>A. Another term for the proportional b b b b b b b b b
allocation method
b b
**B. A method of determining product costs using cost drivers or activity
b b b b b b b b b b b
measures that cause indirect costs to be incurred
b b b b b b b b
C. Less expensive to determine due to the necessary data collection
b b b b b b b b b b
D. Generally considered a less accurate costing method
b b b b b b b
The break-even point is the level of sales volume of a product producing
b b b b b b b b b b b b
the exact amount of
b b . b b b
A. Contribution margin needed to cover fixed costs
b b b b b b b
B. Incremental cost needed to cover fixed costs
b b b b b b b
C. Contribution margin needed to cover incremental costs
b b b b b b b
D. Contribution margin needed to cover all costs - ANSWER>>A. Contribution
b b b b b b b b b b
margin needed to cover fixed costs
b b b b b b
Overhead is a common term for b b b b b
A. Direct Costs
b b
B. Variable Costs
b b
C. Fixed Costs
b b
D. Indirect Costs - ANSWER>>D. Indirect Costs
b b b b b b
Arrived at by a group or association of organizations with similar
b b b b b b b b b b
characteristics (for example, a published relative value scale).
b b b b b b b b
A. Predetermined
b
B. Negotiated
b
C. Customized standards - ANSWER>>A. Predetermined
b b b b b
,Based on the historical data of the specific institution for which the budget is
b b b b b b b b b b b b b
intended - ANSWER>>A. Predetermined
b b b b
**B. Negotiated
b
C. Customized standards
b b
Based on detailed time or activity studies within a specific department of a
b b b b b b b b b b b b
specific institution.
b b
A. Predetermined
b
B. Negotiated
b
C. Customized standards - ANSWER>>C. Customized standards
b b b b b b
Which type of cost behavior varies more or less in direct proportion to
b b b b b b b b b b b b
volume? - ANSWER>>**A. Variable cost
b b b b b
B. Fixed cost
b b
C. Semi-variable cost
b b
D. Semi-fixed cost
b b
The wage variance is determined by: - ANSWER>>A. The "difference in the
b b b b b b b b b b b
actual and budgeted paid hours" times the "budgeted wage rate."
b b b b b b b b b b
B. The "budgeted units of service" times the "budgeted labor hours per unit of
b b b b b b b b b b b b b
service" times the "actual average wage rate per hour."
b b b b b b b b b
C. The variance in the "labor hours per unit of service" times the "actual units
b b b b b b b b b b b b b b
of service" times the "budgeted average wage rate."
b b b b b b b b
**D. The "difference in the budgeted and actual average wage per
b b b b b b b b b b
hour" times the "actual paid hours."
b b b b b b
The hospital staffing for a regular acute unit is an example of -
b b b b b b b b b b b b
ANSWER>>**A. Semi- fixed or stepped variable cost
b b b b b b b
B. Variable cost
b b
C. Fixed cost
b b
D. A fixed cost pattern
b b b b
Which of the following is NOT a type of expense variance?
b b b b b b b b b b
A. Price Variance
b b
B. Volume Variance
b b
C. Efficiency Variance
b b
D. Stepped Variance - ANSWER>>D. Stepped Variable
b b b b b b
When a hospital's actual patient census is greater than budgeted, the
b b b b b b b b b b
management views this as favorable. Generally, the effect on the actual
b b b b b b b b b b b
expenses being less than the budgeted amounts is: - ANSWER>>**A. Also
b b b b b b b b b b b
favorable
b
B. Unfavorable
b
C. Mostly favorable
b b
D. A positive volume variance
b b b b
,Which of the following is not one of the current trends moving away from the
b b b b b b b b b b b b b b
fee for service delivery payment system: - ANSWER>>A. MIPS
b b b b b b b b b
B. Comprehensive Care for Joint Replacement (CJR)
b b b b b b
C. Accountable Care Organizations (ACO)
b b b b
**D. Resource Based Relative Value System (RBRVS)
b b b b b b
Which type of payment method is intended to cover all inpatient services
b b b b b b b b b b b
utilized for each procedure (e.g., joint replacement) while the beneficiary is
b b b b b b b b b b b
in the hospital? - ANSWER>>A. Fee-for-service
b b b b b b
B. Per diem rate
b b b
**C. Case rate
b b
D. Capitation
b
Which one of the following options is a managed care product that is easy to
b b b b b b b b b b b b b b
evaluate? - ANSWER>>A. Capitation
b b b b
B. Fee schedule
b b
C. Case rate
b b
**D. Fee-for-service
b
Healthcare providers should develop different modeling tools depending on
b b b b b b b b
. - ANSWER>>**A. The reimbursement method proposed in the b b b b b b b b
contract.
b
B. Whether it will result in additional business.
b b b b b b b
C. Cost estimates for each scheduled rate
b b b b b b
D. What the cost structure would be
b b b b b b
Managed care arrangements generally result in providers: - ANSWER>>A.
b b b b b b b b
Receiving, on average, a higher level of reimbursement.
b b b b b b b b
**B. Assuming greater financial risk for the level of services provided.
b b b b b b b b b b
C. Relaxing their management for the level of services provided.
b b b b b b b b b
D. Being fairly and adequately reimbursed for the level of services provided.
b b b b b b b b b b b
Which option is NOT a general category of provider excess loss insurance? -
b b b b b b b b b b b b
ANSWER>>A. Per-Person
b b
B. Aggregate
b
C. Carve-Out
b
**D. Quality Indicators
b b
Which option is NOT a function of the Centers for Medicare and Medicaid
b b b b b b b b b b b b
Services (CMS)? - ANSWER>>A. Establishment and promulgation of clear
b b b b b b b b b
policy on eligibility for CMS programs, coverage and reimbursement of
b b b b b b b b b b
healthcare services, standards for providers and program administration
b b b b b b b b
B. Administration of comprehensive agreements with contractors and states
b b b b b b b b
that stipulate the conditions under which CMS programs are carried out, the
b b b b b b b b b b b b
performance standards that must be met in their administration, and the
b b b b b b b b b b b
programmatic results that are to be achieved
b b b b b b b
, C. Monitoring the performance of contractors and states in administering
b b b b b b b b b
CMS programs consistent with program and performance standards, as well
b b b b b b b b b b
as the direct monitoring of healthcare providers to make sure that
b b b b b b b b b b b
programmatic goals are achieved
b b b b
**D. Regulation of federal and state legislation related to life and safety
b b b b b b b b b b b
issues, business compliance, and licensure requirements. Regulatory
b b b b b b b
Environment and Corporate Compliance
b b b b
Accrued salaries and payroll Taxes -b b b b b
ANSWER>>**Yes No
b b
What is the second objective of risk management? - ANSWER>>A. To
b b b b b b b b b b
minimize the cost of financing the risk
b b b b b b b
B. To allow direct access the reinsurance market
b b b b b b b
NOT - C. To establish regulatory requirements that must be met to
b b b b b b b b b b b
operate an insurance company
b b b b
D. To minimize the establishment of a segregated cash account, or trust, from
b b b b b b b b b b b b
which claims are paid
b b b b
What is the purpose of an investment policy? - ANSWER>>A. To establish a
b b b b b b b b b b b b
framework to make investment decisions and evaluate results
b b b b b b b b
B. To form a cushion to protect creditors if the operating environment
b b b b b b b b b b b
were to deteriorate
b b b
NOT - C. To maximize returns while ensuring that there is cash on hand for
b b b b b b b b b b b b b b
day-to-day operations
b b
D. To define how the organization intends to match the maturity of the
b b b b b b b b b b b b
investments with the projected need for the proceeds
b b b b b b b b
What is the purpose of the IRS Form 990? - ANSWER>>**A. To provide
b b b b b b b b b b b b
information to the IRS and the public regarding the tax-exempt
b b b b b b b b b b
organization's programs
b b
B. To require recognition of post-employment costs on an accrual basis
b b b b b b b b b b
C. To report a more detailed break-down of an individual's compensation
b b b b b b b b b b
D. To require numerous disclosures regarding the compensation
b b b b b b b
arrangements for officers, directors, trustees, and key employees
b b b b b b b b
Which option is false concerning return on investment? - ANSWER>>A. The
b b b b b b b b b b
formula to calculate the return is income plus realized gains minus realized
b b b b b b b b b b b b
losses.
b
**B. The formula to calculate the return is losses plus realized gains minus
b b b b b b b b b b b b
realized income.
b b
C. The expected return from an investment is correlated to the risk profile.
b b b b b b b b b b b b
D. While it is difficult to quantify risk, it is easy to calculate the return of an
b b b b b b b b b b b b b b b b
investment
b
Health or social clubs dues or fees -
b b b b b b b
ANSWER>>**Yes No
b b
Under HIPAA and federal regulations, what is the difference between "fraud"
b b b b b b b b b b
and "abuse"? - ANSWER>>A. There is no difference.
b b b b b b b b
(HFMA) questions with correct answers
b b b b b
If a lessee is building up equity in equipment being leased, the lease is:
b b b b b b b b b b b b b
A. A capital lease.
b b b
B. An operating lease.
b b b
C. A noncancelable lease.
b b b
D. A cancelatable monthly lease agreement. - ANSWER>>A. A capital lease.
b b b b b b b b b b
Contribution margin is: b b
A. The difference between marginal revenue and the break-even point.
b b b b b b b b b
B. The difference between marginal revenue and marginal cost.
b b b b b b b b
C. Where marginal revenue equals marginal cost.
b b b b b b
D.the point where fixed cost produces a profit. - ANSWER>>B. The difference
b b b b b b b b b b b
between marginal revenue and marginal cost.
b b b b b b
Activity-based costing is - ANSWER>>A. Another term for the proportional b b b b b b b b b
allocation method
b b
**B. A method of determining product costs using cost drivers or activity
b b b b b b b b b b b
measures that cause indirect costs to be incurred
b b b b b b b b
C. Less expensive to determine due to the necessary data collection
b b b b b b b b b b
D. Generally considered a less accurate costing method
b b b b b b b
The break-even point is the level of sales volume of a product producing
b b b b b b b b b b b b
the exact amount of
b b . b b b
A. Contribution margin needed to cover fixed costs
b b b b b b b
B. Incremental cost needed to cover fixed costs
b b b b b b b
C. Contribution margin needed to cover incremental costs
b b b b b b b
D. Contribution margin needed to cover all costs - ANSWER>>A. Contribution
b b b b b b b b b b
margin needed to cover fixed costs
b b b b b b
Overhead is a common term for b b b b b
A. Direct Costs
b b
B. Variable Costs
b b
C. Fixed Costs
b b
D. Indirect Costs - ANSWER>>D. Indirect Costs
b b b b b b
Arrived at by a group or association of organizations with similar
b b b b b b b b b b
characteristics (for example, a published relative value scale).
b b b b b b b b
A. Predetermined
b
B. Negotiated
b
C. Customized standards - ANSWER>>A. Predetermined
b b b b b
,Based on the historical data of the specific institution for which the budget is
b b b b b b b b b b b b b
intended - ANSWER>>A. Predetermined
b b b b
**B. Negotiated
b
C. Customized standards
b b
Based on detailed time or activity studies within a specific department of a
b b b b b b b b b b b b
specific institution.
b b
A. Predetermined
b
B. Negotiated
b
C. Customized standards - ANSWER>>C. Customized standards
b b b b b b
Which type of cost behavior varies more or less in direct proportion to
b b b b b b b b b b b b
volume? - ANSWER>>**A. Variable cost
b b b b b
B. Fixed cost
b b
C. Semi-variable cost
b b
D. Semi-fixed cost
b b
The wage variance is determined by: - ANSWER>>A. The "difference in the
b b b b b b b b b b b
actual and budgeted paid hours" times the "budgeted wage rate."
b b b b b b b b b b
B. The "budgeted units of service" times the "budgeted labor hours per unit of
b b b b b b b b b b b b b
service" times the "actual average wage rate per hour."
b b b b b b b b b
C. The variance in the "labor hours per unit of service" times the "actual units
b b b b b b b b b b b b b b
of service" times the "budgeted average wage rate."
b b b b b b b b
**D. The "difference in the budgeted and actual average wage per
b b b b b b b b b b
hour" times the "actual paid hours."
b b b b b b
The hospital staffing for a regular acute unit is an example of -
b b b b b b b b b b b b
ANSWER>>**A. Semi- fixed or stepped variable cost
b b b b b b b
B. Variable cost
b b
C. Fixed cost
b b
D. A fixed cost pattern
b b b b
Which of the following is NOT a type of expense variance?
b b b b b b b b b b
A. Price Variance
b b
B. Volume Variance
b b
C. Efficiency Variance
b b
D. Stepped Variance - ANSWER>>D. Stepped Variable
b b b b b b
When a hospital's actual patient census is greater than budgeted, the
b b b b b b b b b b
management views this as favorable. Generally, the effect on the actual
b b b b b b b b b b b
expenses being less than the budgeted amounts is: - ANSWER>>**A. Also
b b b b b b b b b b b
favorable
b
B. Unfavorable
b
C. Mostly favorable
b b
D. A positive volume variance
b b b b
,Which of the following is not one of the current trends moving away from the
b b b b b b b b b b b b b b
fee for service delivery payment system: - ANSWER>>A. MIPS
b b b b b b b b b
B. Comprehensive Care for Joint Replacement (CJR)
b b b b b b
C. Accountable Care Organizations (ACO)
b b b b
**D. Resource Based Relative Value System (RBRVS)
b b b b b b
Which type of payment method is intended to cover all inpatient services
b b b b b b b b b b b
utilized for each procedure (e.g., joint replacement) while the beneficiary is
b b b b b b b b b b b
in the hospital? - ANSWER>>A. Fee-for-service
b b b b b b
B. Per diem rate
b b b
**C. Case rate
b b
D. Capitation
b
Which one of the following options is a managed care product that is easy to
b b b b b b b b b b b b b b
evaluate? - ANSWER>>A. Capitation
b b b b
B. Fee schedule
b b
C. Case rate
b b
**D. Fee-for-service
b
Healthcare providers should develop different modeling tools depending on
b b b b b b b b
. - ANSWER>>**A. The reimbursement method proposed in the b b b b b b b b
contract.
b
B. Whether it will result in additional business.
b b b b b b b
C. Cost estimates for each scheduled rate
b b b b b b
D. What the cost structure would be
b b b b b b
Managed care arrangements generally result in providers: - ANSWER>>A.
b b b b b b b b
Receiving, on average, a higher level of reimbursement.
b b b b b b b b
**B. Assuming greater financial risk for the level of services provided.
b b b b b b b b b b
C. Relaxing their management for the level of services provided.
b b b b b b b b b
D. Being fairly and adequately reimbursed for the level of services provided.
b b b b b b b b b b b
Which option is NOT a general category of provider excess loss insurance? -
b b b b b b b b b b b b
ANSWER>>A. Per-Person
b b
B. Aggregate
b
C. Carve-Out
b
**D. Quality Indicators
b b
Which option is NOT a function of the Centers for Medicare and Medicaid
b b b b b b b b b b b b
Services (CMS)? - ANSWER>>A. Establishment and promulgation of clear
b b b b b b b b b
policy on eligibility for CMS programs, coverage and reimbursement of
b b b b b b b b b b
healthcare services, standards for providers and program administration
b b b b b b b b
B. Administration of comprehensive agreements with contractors and states
b b b b b b b b
that stipulate the conditions under which CMS programs are carried out, the
b b b b b b b b b b b b
performance standards that must be met in their administration, and the
b b b b b b b b b b b
programmatic results that are to be achieved
b b b b b b b
, C. Monitoring the performance of contractors and states in administering
b b b b b b b b b
CMS programs consistent with program and performance standards, as well
b b b b b b b b b b
as the direct monitoring of healthcare providers to make sure that
b b b b b b b b b b b
programmatic goals are achieved
b b b b
**D. Regulation of federal and state legislation related to life and safety
b b b b b b b b b b b
issues, business compliance, and licensure requirements. Regulatory
b b b b b b b
Environment and Corporate Compliance
b b b b
Accrued salaries and payroll Taxes -b b b b b
ANSWER>>**Yes No
b b
What is the second objective of risk management? - ANSWER>>A. To
b b b b b b b b b b
minimize the cost of financing the risk
b b b b b b b
B. To allow direct access the reinsurance market
b b b b b b b
NOT - C. To establish regulatory requirements that must be met to
b b b b b b b b b b b
operate an insurance company
b b b b
D. To minimize the establishment of a segregated cash account, or trust, from
b b b b b b b b b b b b
which claims are paid
b b b b
What is the purpose of an investment policy? - ANSWER>>A. To establish a
b b b b b b b b b b b b
framework to make investment decisions and evaluate results
b b b b b b b b
B. To form a cushion to protect creditors if the operating environment
b b b b b b b b b b b
were to deteriorate
b b b
NOT - C. To maximize returns while ensuring that there is cash on hand for
b b b b b b b b b b b b b b
day-to-day operations
b b
D. To define how the organization intends to match the maturity of the
b b b b b b b b b b b b
investments with the projected need for the proceeds
b b b b b b b b
What is the purpose of the IRS Form 990? - ANSWER>>**A. To provide
b b b b b b b b b b b b
information to the IRS and the public regarding the tax-exempt
b b b b b b b b b b
organization's programs
b b
B. To require recognition of post-employment costs on an accrual basis
b b b b b b b b b b
C. To report a more detailed break-down of an individual's compensation
b b b b b b b b b b
D. To require numerous disclosures regarding the compensation
b b b b b b b
arrangements for officers, directors, trustees, and key employees
b b b b b b b b
Which option is false concerning return on investment? - ANSWER>>A. The
b b b b b b b b b b
formula to calculate the return is income plus realized gains minus realized
b b b b b b b b b b b b
losses.
b
**B. The formula to calculate the return is losses plus realized gains minus
b b b b b b b b b b b b
realized income.
b b
C. The expected return from an investment is correlated to the risk profile.
b b b b b b b b b b b b
D. While it is difficult to quantify risk, it is easy to calculate the return of an
b b b b b b b b b b b b b b b b
investment
b
Health or social clubs dues or fees -
b b b b b b b
ANSWER>>**Yes No
b b
Under HIPAA and federal regulations, what is the difference between "fraud"
b b b b b b b b b b
and "abuse"? - ANSWER>>A. There is no difference.
b b b b b b b b
