(COG) The initial pilot study for medical savings accounts (MSA) was authorized under O the Balanced Budget Reform Act of 1999. O the Medicare Prescription Drug, Improvement, and Modernization Act of 2003. the Health Insurance Portability and Accountability Act of 1996. O the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 O None of the above (CO E) Internal rate of return can be used to evaluate projects for a capital budget. The answer will be in O years. O dollars percentages. O comparative numbers for each alternative. O comparison to the payback period. (CO E) The toughest criterion to quantify, but one that must be documented for capital budget items, is who proposed the project (e.g., a valued physician). nonfinancial benefits, including community needs or medical staff politics. O prior submissions for the same project. o potential for related referrals. competitors with the same service whose volume will prevent us from ever being competitive on pricing (CO B) A major objective of healthcare financial management is to monitor physicians. This is important because O physicians represent approximately 32% of all healthcare spending. O physicians influence much of the spending attributable to hospitals and nursing homes. O physician negligence can expose the healthcare organization to legal liability. All of the above Both the first and third answers (CO B) Influencing method and amount of payment is one of the six major objectives of healthcare financial management. Which of the following is not a method of influencing the method or amount of payment and the associated risk? O Capitation with significant risk because the rate is agreed to before care is given Steep discounts even to the point of accepting less than the cost of the service to keep market share Assuming risk by accepting a prospective payment plan method of reimbursement Payments at charges from self-pay patients O None of the above (CO D) Working capital is O total current assets. O total assets. current assets less inventory. o cash and investments. O marketable securities and investments. (COD) In using short-term debt to finance temporary working capital needs, most healthcare organizations have a which is a formal line of credit with a bank. O mortgage O bond Issue revolving credit agreement O secured loan factored accounts receivable (CO C) Analyze the relative shifting of risk that takes place when a healthcare organization contracts under a capitation arrangement