QUIZZES FOR HC FINANCE HIM 420 | 131 UESTIONS AND
ANSWERS | 2026 UPDATE | WITH COMPLETE SOLUTION
Equity is the Answer - money value of property and the ownership right in
property
At the General Care Clinic, if total assets are $100,000, long term assets are
$60,000 and other assets are $10,000, what is the current asset amount?
Answer - $30,000
The book and records of the financial information system for the organization
serve to capture Answer - transactions
Fred is responsible for revenue within his organization. Generally speaking,
Fred is responsible for Answer - Inflow
Many managers use which of the following two terms interchangeably? Answer
- Expense and cost
The three parts of the accounting equation must always balance among
themselves, because that is how they fit together Answer - True
A general services expense provides services necessary to maintain the patient,
but the service is not directly related to patient care Answer - True
Payer mix Answer - all of these are correct
,Equity of the business is affected by: Answer - revenues and expenses
Direct cost can be traced, while indirect costs have to be allocated Answer -
True
A report example has been provided within the "cost classifiction" chapter that
illustrates a rehab cost center's allocation of indirect cost. The indirect cost
"computer services" was allocated to three types of therapy according to the
number of computers in service for each therapy type. Assume the number of
computers has been changed to 20. If the indirect cost per computer remains
at $5,000, what is now the total computer service indirect cost? Answer -
$100,000
Mountain View Nursing Facility uses a chart of accounts format that is made up
of three sets of digits. The first set of digits represents the financial statement
element, the second is for a primary subclassification, and the third is for a
secondary subclassification. To which of these three sets of digits would "petty
cash for the front office" belong? Answer - secondary subclassification
One method of grouping revenue is by revenue source. Some grouping by
revenue source may typically include Answer - All of these are correct
The purpose of an organization chart includes Answer - all of these are correct
If a certain method of grouping revenue for planning and control is generally
accepted in other healthcare facilities, it is not strictly necessary for such a
method to be consistent with the current structure of the facility where it is in
use Answer - False
Propriety entity subgroups include Answer - none of the above
, One way to think of product cost is as necessary to the department, unit, and
so on, to deliver the service, while period costs are necessary to support the
existence of the organization itself. Answer - True
A mortgage payable Answer - is recognized as a liability
typically has a portion recorded as a short term payable
typically has a larger portion recorded as a long term payable
At ABC clinic, if assets equal $50,000 and liabilities equal $30,000, what is the
total of liabilities and net worth? Answer - $50,000
___________ assets is another term for short term assets Answer - current
If the contribution margin is expressed as a percentage of net revenues, it is
often called the: Answer - profit-volume (PV) ratio
When activity levels or volume of operations change, semivariable costs are
those that: Answer - vary, but not in direct proportion.
In the Riverside Nursing Facility, what monthly cost changes proportionately
with the number of patients in house (the volume)? Answer - variable cost
When comparing the high-low method of analyzing mixed costs to the scatter
graph method, the scatter graph finds the mixed cost's average rate of
variability more accurately. Answer - true
ANSWERS | 2026 UPDATE | WITH COMPLETE SOLUTION
Equity is the Answer - money value of property and the ownership right in
property
At the General Care Clinic, if total assets are $100,000, long term assets are
$60,000 and other assets are $10,000, what is the current asset amount?
Answer - $30,000
The book and records of the financial information system for the organization
serve to capture Answer - transactions
Fred is responsible for revenue within his organization. Generally speaking,
Fred is responsible for Answer - Inflow
Many managers use which of the following two terms interchangeably? Answer
- Expense and cost
The three parts of the accounting equation must always balance among
themselves, because that is how they fit together Answer - True
A general services expense provides services necessary to maintain the patient,
but the service is not directly related to patient care Answer - True
Payer mix Answer - all of these are correct
,Equity of the business is affected by: Answer - revenues and expenses
Direct cost can be traced, while indirect costs have to be allocated Answer -
True
A report example has been provided within the "cost classifiction" chapter that
illustrates a rehab cost center's allocation of indirect cost. The indirect cost
"computer services" was allocated to three types of therapy according to the
number of computers in service for each therapy type. Assume the number of
computers has been changed to 20. If the indirect cost per computer remains
at $5,000, what is now the total computer service indirect cost? Answer -
$100,000
Mountain View Nursing Facility uses a chart of accounts format that is made up
of three sets of digits. The first set of digits represents the financial statement
element, the second is for a primary subclassification, and the third is for a
secondary subclassification. To which of these three sets of digits would "petty
cash for the front office" belong? Answer - secondary subclassification
One method of grouping revenue is by revenue source. Some grouping by
revenue source may typically include Answer - All of these are correct
The purpose of an organization chart includes Answer - all of these are correct
If a certain method of grouping revenue for planning and control is generally
accepted in other healthcare facilities, it is not strictly necessary for such a
method to be consistent with the current structure of the facility where it is in
use Answer - False
Propriety entity subgroups include Answer - none of the above
, One way to think of product cost is as necessary to the department, unit, and
so on, to deliver the service, while period costs are necessary to support the
existence of the organization itself. Answer - True
A mortgage payable Answer - is recognized as a liability
typically has a portion recorded as a short term payable
typically has a larger portion recorded as a long term payable
At ABC clinic, if assets equal $50,000 and liabilities equal $30,000, what is the
total of liabilities and net worth? Answer - $50,000
___________ assets is another term for short term assets Answer - current
If the contribution margin is expressed as a percentage of net revenues, it is
often called the: Answer - profit-volume (PV) ratio
When activity levels or volume of operations change, semivariable costs are
those that: Answer - vary, but not in direct proportion.
In the Riverside Nursing Facility, what monthly cost changes proportionately
with the number of patients in house (the volume)? Answer - variable cost
When comparing the high-low method of analyzing mixed costs to the scatter
graph method, the scatter graph finds the mixed cost's average rate of
variability more accurately. Answer - true
