Health care finance post-test

Please answer questions from attached file.

Question 1 1. Accounts receivable (net) increased by $500,000 during the year. This increase has what effect on cash flow? A. Reduces it B. Increases it C. No effect D. All of the Above 5 points Question 2 1. The cash budget focuses on which of the following major activities: A. Purchasing of resources B. Collection C. Production/sale of service D. All of the above 5 points Question 3 1. The heading of every financial statement should contain the: A. name, title, and place of business B. name, title, and specific date of statement C. name, title, specific date of statement, and unit of measurement D. title, name, type of ownership, and unit of measurement 5 points Question 4 1. The statistics budget: A. forecasts operating revenues that will be earned during the budget period B. identifies the amount of service that will be provided by departmental area C. represents an organization's expected cash inflows and outflows based on the previous years' cash flows D. identifies operating expenses that are expected to be incurred during the budget period 5 points Question 5 1. A statement that reports inflows and outflows of cash during the accounting period in the categories of operations, investing, and financing, is called a(an): A. Income statement B. Statement of retained earnings C. Balance sheet D. Statement of cash flows 5 points Question 6 1. Which of the following is not a \"principle\" of financial accounting? A. Historical cost B. Revenue recognition C. Continuity D. Matching 5 points Question 7 1. Which of the following is not one of the four critical questions that must be answered for dashboard reporting? A. What is the firm's strategic vision? B. What is most important to the firm's success? C. What are the critical drivers that influence performance attainment? D. What are the most relevant measures that reflect critical driver relationships? 5 points Question 8 1. What is net working capital? A. Current assets less long-term liabilities B. Current assets less current liabilities C. The amount of permanent financing required to finance working capital or current assets. D. Both B and C 5 points Question 9 1. What of the following is not one of the characteristics of long-term debt financing? A. Cost B. Control C. Risk D. Inventory 5 points Question 10 1. Which of the following tends to insulate management somewhat from the financial results of poor financial planning? (Pick the best answer.) A. Capitated rates B. Cost reimbursement C. Bundled services D. Charge payment 5 points Question 11 1. The Catholic Healthcare Association recognizes which of the following as legitimate areas of community benefit? A. Bad Debts B. Unreimbursed Medicare Costs C. Both A and B D. Neither A nor B 5 points Question 12 1. The controller in a hospital is usually responsible for which of the following activities (choose all that apply): A. Collection of accounts receivable B. Developing budgets C. Filing Medicare cost reports D. Arranging hospital loans 5 points Question 13 1. A department manager most often uses his or her hospitals' financial information for which of the following uses: A. Assess the financial condition of the hospital B. Assess the efficiency of operations C. Evaluate the hospital's stewardship D. Assess the effectiveness of operations 5 points Question 14 1. The working capital cycle looks at which of the following: A. Obtaining cash B Turning cash into resources and paying bills C. billing and collecting revenues earned D. All of the above 5 points Question 15 1. You have just advance refunded $50 million of outstanding tax-exempt revenue bonds with $40 million of new debt, which created a gain after considering reimbursement effects of $5.0 million. What could account for this? A. Higher interest rate on the refunding issue B. Lower interest rate on the refunding issue C. Positive arbitrage on the refunding issue D. None of the above 5 points Question 16 1. A not-for profit nursing home has total expenses of $20 million. Sales tax in the state is 7%. Expenses are broken down into salaries ($12 million), supplies ($6 million), and pharmacy ($2 million). The benefit received by the nursing home from the sales tax exemption assuming that pharmacy items are exempt from state sales tax is? A. $1.4 million B. $1.26 million C. $420,000 D. $480,000 5 points Question 17 1. The following is an example of a _____________ budget: \"The budget for the radiology department is different at 90 percent occupancy than at 80 percent occupancy.\" A. rolling B. forecast C. flexible D. fixed 5 points Question 18 1. What should be a firm's primary long-term financial objective? A. profit growth B. debt growth C. asset growth D. equity growth 5 points Question 19 1. Strategic planning should _________ financial planning. A. follow B. precede C. be contemporaneous with D. None of the above 5 points Question 20 1. Which of the following is an element of budgeted financial requirements that is not included in budgeted expenses? A. Interest expense B. Increases in working capital C. Labor expense D. A and B E. None of the above