FACHE Practice Questions & Answers – Complete Compilation
1) Forecasting the internal supply of employees as they move from their current jobs into others
through promotions, lateral moves, and terminations is called:
Answer: Supply-push approach.
2) Conflict management strategy with the most immediate effect on reducing conflict behavior:
Answer: Imposition of formal authority to resolve or suppress conflict.
3) Multi-rater assessment (360-degree feedback) of managers in healthcare organizations is best
used:
Answer: In the development of a specific action plan by appraises.
4) Behaviorally anchored rating scales (BARS) for specific jobs can be:
Answer: Used to identify components of job behaviors.
5) If the amount of charity care increased from one reporting period to the next:
Answer: Unrestricted net assets would decrease.
6) Reasonable basis to allocate administrative overhead costs:
Answer: Amount of supplies used.
7) Effective cost of debt is roughly the same for both not-for-profit and investor-owned
organizations because:
Answer: The tax deductibility of interest for investor-owned firms offsets the lower coupon rate
on tax-exempt debt.
8) Master site plan (or master facility plan) for a healthcare organization:
Answer: Describes future facility needs (either renovation or new construction) necessary to
meet strategic and operational needs.
9) Statistics budget:
Answer: It provides input data for other budgets.
10) Facility area with highest safety and regulatory standards:
Answer: Patient care areas.
11) Best way to reduce/contain the costs of distributing supplies:
Answer: Minimize the number of times an item is handled from receipt to use.
12) Objective of maintenance and repair services:
Answer: Prevention.
, 13) Facility plan begins with an estimate of each service or department’s:
Answer: Operational needs.
14) Important principle for developing information systems:
Answer: Treat information as an essential organizational resource.
15) Major priority for system development in the managed care environment:
Answer: Development of operational inpatient systems.
16) Best source of information to improve existing services:
Answer: Weekly meetings with staff members to determine organizational deficiencies.
17) Example of an asset:
Answer: Property, plant, and equipment.
18) Short-term debt reduces liquidity:
Answer: Increased use of short-term debt reduces liquidity.
19) Useful information for evaluating the profitability of a hospital's managed care business:
Answer: Changes.
20) Master patient index (MPI):
Answer: A relational database containing all identification numbers assigned to patients.
21) Typical use of the Internet by healthcare organizations:
Answer: Advertise services available to the community.
22) Best way to facilitate information system integration:
Answer: Standardize data definitions and data structures.
23) Developing technology to control unauthorized access:
Answer: Biometric access control devices.
24) Contract negotiation for an information system:
Answer: Form a negotiating team and utilize legal counsel.
25) Most important factor in evaluating vendor software packages:
Answer: Ability of the software to interface with existing systems.
26) CIO responsibilities:
Answer: Information systems and telecommunications.
27) Consultant role in selecting an information system:
Answer: Provide technical information and an outside perspective.
1) Forecasting the internal supply of employees as they move from their current jobs into others
through promotions, lateral moves, and terminations is called:
Answer: Supply-push approach.
2) Conflict management strategy with the most immediate effect on reducing conflict behavior:
Answer: Imposition of formal authority to resolve or suppress conflict.
3) Multi-rater assessment (360-degree feedback) of managers in healthcare organizations is best
used:
Answer: In the development of a specific action plan by appraises.
4) Behaviorally anchored rating scales (BARS) for specific jobs can be:
Answer: Used to identify components of job behaviors.
5) If the amount of charity care increased from one reporting period to the next:
Answer: Unrestricted net assets would decrease.
6) Reasonable basis to allocate administrative overhead costs:
Answer: Amount of supplies used.
7) Effective cost of debt is roughly the same for both not-for-profit and investor-owned
organizations because:
Answer: The tax deductibility of interest for investor-owned firms offsets the lower coupon rate
on tax-exempt debt.
8) Master site plan (or master facility plan) for a healthcare organization:
Answer: Describes future facility needs (either renovation or new construction) necessary to
meet strategic and operational needs.
9) Statistics budget:
Answer: It provides input data for other budgets.
10) Facility area with highest safety and regulatory standards:
Answer: Patient care areas.
11) Best way to reduce/contain the costs of distributing supplies:
Answer: Minimize the number of times an item is handled from receipt to use.
12) Objective of maintenance and repair services:
Answer: Prevention.
, 13) Facility plan begins with an estimate of each service or department’s:
Answer: Operational needs.
14) Important principle for developing information systems:
Answer: Treat information as an essential organizational resource.
15) Major priority for system development in the managed care environment:
Answer: Development of operational inpatient systems.
16) Best source of information to improve existing services:
Answer: Weekly meetings with staff members to determine organizational deficiencies.
17) Example of an asset:
Answer: Property, plant, and equipment.
18) Short-term debt reduces liquidity:
Answer: Increased use of short-term debt reduces liquidity.
19) Useful information for evaluating the profitability of a hospital's managed care business:
Answer: Changes.
20) Master patient index (MPI):
Answer: A relational database containing all identification numbers assigned to patients.
21) Typical use of the Internet by healthcare organizations:
Answer: Advertise services available to the community.
22) Best way to facilitate information system integration:
Answer: Standardize data definitions and data structures.
23) Developing technology to control unauthorized access:
Answer: Biometric access control devices.
24) Contract negotiation for an information system:
Answer: Form a negotiating team and utilize legal counsel.
25) Most important factor in evaluating vendor software packages:
Answer: Ability of the software to interface with existing systems.
26) CIO responsibilities:
Answer: Information systems and telecommunications.
27) Consultant role in selecting an information system:
Answer: Provide technical information and an outside perspective.
