NAB Core Practice Exam Prep 2026 (110 Q&A) | Latest
Update 2026 | 100% Accurate Answers | Comprehensive
Review
1. Which quality measure assesses the percentage of long-stay residents with
urinary tract infections?
Percent of staff having a good feeling about residents
Percent of short-stay residents with pressure ulcers/injuries
Percent of long-stay residents with urinary tract infections
Percent of long-stay residents whose need for help with activities of
daily living has increased
2. Describe how fixed costs influence the financial management strategies of
nursing facilities.
Fixed costs have no impact on financial management strategies.
Facilities with high fixed costs must prioritize bed occupancy to
ensure revenue stability.
Low fixed costs lead to less emphasis on occupancy rates.
High fixed costs allow for more flexible management strategies.
3. If a nursing facility notices an increase in the percentage of long-stay
residents whose need for help with activities of daily living has increased,
what action should the facility administrator consider taking?
Evaluate and enhance resident care plans and staff training.
Reduce the number of staff to cut costs.
Focus solely on improving staff morale.
Ignore the increase as it is not a federal quality measure.
,4. When does discharge planning usually start for residents in a nursing facility?
Only when the physician orders it
After the first month of stay
When the resident requests it
At the time of admission
5. If a nursing facility is undergoing significant changes in its regulatory
environment, what management style might an administrator prioritize to
ensure compliance and quality care?
A transactional management style
A participative management style
An autocratic management style
A laissez-faire management style
6. Describe the difference between direct costs and indirect costs in the
context of nursing facility operations.
Direct costs are incurred by revenue centers, while indirect costs are
incurred by administrative departments.
Direct costs include all operational expenses, while indirect costs are
only those related to staff salaries.
Direct costs are expenses directly related to resident care, while
indirect costs are expenses not directly tied to care but necessary
for facility operations.
Direct costs are fixed expenses, while indirect costs are variable
expenses.
,7. The Direct Costs for healthcare services such at as cost of prescription or
physician visit is which type of direct cost?
Indirect cost
Direct Medical cost
Direct cost
Direct non-medical
Direct fixed cost
Direct variable cost
8. Why was OBRA (Omnibus Budget Reconciliation Act) passed?
As a response to reports of poor care and abuse in long-term care
facilities.
Because of complaints of uncooperative residents by CNA'S
To control costs in long-term care facilities
Because most long-term care facilities employed too many CNA'S
9. If a nursing facility administrator fails to adhere to day-to-day rules and
regulations, what potential impact could this have on the facility's operations?
Improved staff morale
Increased risk of regulatory violations
Enhanced resident satisfaction
Streamlined management processes
, 10. If a nursing facility administrator decides to expand their services to include
short-term rehabilitation residents in addition to their current focus, what
aspect of their marketing strategy are they adjusting?
Target audience
Service quality
Regulatory compliance
Product mix
11. In a facility having high fixed costs the pressure to keep beds filled is
__________________ in facilities with low fixed costs.
Stronger than
About the same as
More moderate than
Weaker than
12. If a nursing facility administrator notices a decline in resident satisfaction,
what management strategy should they implement to address this issue?
Increase the number of administrative staff.
Limit resident activities to save costs.
Conduct a staff training program focused on resident care.
Reduce the number of social workers on staff.
13. When the business environment is _____, an organization is more likely to
decentralize authority and empower its employees to make operating
decisions.
uncertain
Update 2026 | 100% Accurate Answers | Comprehensive
Review
1. Which quality measure assesses the percentage of long-stay residents with
urinary tract infections?
Percent of staff having a good feeling about residents
Percent of short-stay residents with pressure ulcers/injuries
Percent of long-stay residents with urinary tract infections
Percent of long-stay residents whose need for help with activities of
daily living has increased
2. Describe how fixed costs influence the financial management strategies of
nursing facilities.
Fixed costs have no impact on financial management strategies.
Facilities with high fixed costs must prioritize bed occupancy to
ensure revenue stability.
Low fixed costs lead to less emphasis on occupancy rates.
High fixed costs allow for more flexible management strategies.
3. If a nursing facility notices an increase in the percentage of long-stay
residents whose need for help with activities of daily living has increased,
what action should the facility administrator consider taking?
Evaluate and enhance resident care plans and staff training.
Reduce the number of staff to cut costs.
Focus solely on improving staff morale.
Ignore the increase as it is not a federal quality measure.
,4. When does discharge planning usually start for residents in a nursing facility?
Only when the physician orders it
After the first month of stay
When the resident requests it
At the time of admission
5. If a nursing facility is undergoing significant changes in its regulatory
environment, what management style might an administrator prioritize to
ensure compliance and quality care?
A transactional management style
A participative management style
An autocratic management style
A laissez-faire management style
6. Describe the difference between direct costs and indirect costs in the
context of nursing facility operations.
Direct costs are incurred by revenue centers, while indirect costs are
incurred by administrative departments.
Direct costs include all operational expenses, while indirect costs are
only those related to staff salaries.
Direct costs are expenses directly related to resident care, while
indirect costs are expenses not directly tied to care but necessary
for facility operations.
Direct costs are fixed expenses, while indirect costs are variable
expenses.
,7. The Direct Costs for healthcare services such at as cost of prescription or
physician visit is which type of direct cost?
Indirect cost
Direct Medical cost
Direct cost
Direct non-medical
Direct fixed cost
Direct variable cost
8. Why was OBRA (Omnibus Budget Reconciliation Act) passed?
As a response to reports of poor care and abuse in long-term care
facilities.
Because of complaints of uncooperative residents by CNA'S
To control costs in long-term care facilities
Because most long-term care facilities employed too many CNA'S
9. If a nursing facility administrator fails to adhere to day-to-day rules and
regulations, what potential impact could this have on the facility's operations?
Improved staff morale
Increased risk of regulatory violations
Enhanced resident satisfaction
Streamlined management processes
, 10. If a nursing facility administrator decides to expand their services to include
short-term rehabilitation residents in addition to their current focus, what
aspect of their marketing strategy are they adjusting?
Target audience
Service quality
Regulatory compliance
Product mix
11. In a facility having high fixed costs the pressure to keep beds filled is
__________________ in facilities with low fixed costs.
Stronger than
About the same as
More moderate than
Weaker than
12. If a nursing facility administrator notices a decline in resident satisfaction,
what management strategy should they implement to address this issue?
Increase the number of administrative staff.
Limit resident activities to save costs.
Conduct a staff training program focused on resident care.
Reduce the number of social workers on staff.
13. When the business environment is _____, an organization is more likely to
decentralize authority and empower its employees to make operating
decisions.
uncertain
