FACHE ACHE BOG ACTUAL TEST PAPER
2026 QUESTIONS WITH SOLUTIONS
GRADED A+
⩥ The principles of quality improvement require that healthcare
executives change their management philosophy from:
a. Finding fault with employees to finding problems in processes.
b. Finding fault with employees to involving them in the improvement
of processes.
c. Focusing on enhanced inspection techniques to focusing on variance.
d. Focusing on employees' roles to focusing on process outcomes.
Answer: a. Finding fault with employees to finding problems in
processes.
⩥ What type of problem arises when a healthcare executive knowingly
allows the organization to continue double billing?
a. An ethical problem for the healthcare executive, but may not be
grounds for dismissal if organizational policy is not clearly stated.
b. An actual conflict of interest, even absent a direct economic benefit to
the healthcare executive.
c. An ethical problem for the employee if the healthcare executive
receives direct economic benefit.
,d. An ethical problem if it clearly violates state or federal law. Answer:
b. An actual conflict of interest, even absent a direct economic benefit to
the healthcare executive.
⩥ Which of the following is a unit of measure commonly used to
determine physicians' clinical productivity?
a. RVU
b. CMS
c. IPO
d. CPU Answer: a. RVU
⩥ Which of the following third-party reimbursement methods provides
the largest financial incentive for the provider to reduce cost?
a. Charge-based
b. Cost-based
c. Prospective payment
d. Per diem Answer: c. Prospective payment
⩥ Statements of earnings, financial positions, changes in financial
position and retained earnings are required to be submitted yearly by all:
a. Publicly owned healthcare organizations.
b. Privately owned healthcare organizations.
c. Government owned healthcare organizations.
,d. Faith-based owned healthcare organizations. Answer: a. Publicly
owned healthcare organizations.
⩥ Which of the following is an Example of a capital expenditure?
a. Land that is purchased for resale.
b. Surgical equipment with a useful life of six months.
c. A building with a useful life of 20 years.
d. Medical supplies used for patient care. Answer: c. A building with a
useful life of 20 years.
⩥ What is the correct order of stages for accomplishing organization
change?
a. Identifying, planning, implementation, evaluation.
b. Planning, identifying, evaluation, implementation.
c. Evaluation, planning, implementation, identifying.
d. Planning, evaluation, identifying, implementation. Answer: a.
Identifying, planning, implementation, evaluation.
⩥ Boards make better strategic decisions if they use information that is:
a. Readily available on special board website.
b. Generated from computer studies of departmental activity reports.
c. Summarized in graphs for better understanding.
, d. Focused on measurable outcomes of service quality and economic
vitality. Answer: d. Focused on measurable outcomes of service quality
and economic vitality.
⩥ The central role of the health services organization board includes all
of the
following:
a. Setting the strategic plan and service values of the organization.
b. Support for assessing changing market needs.
c. Support in managing important service programs or departments.
d. Assuring the recruitment, hire, support and reward of the CEO.
Answer: c. Support in managing important service programs or
departments
⩥ The first role of the governing body is to:
a. Manage inputs of the healthcare organization to achieve the output
that are its goals.
b. Recruit members who understand the health services field.
c. Set objectives and develop policy to guide the organization in
achieving its mission.
d. Develop the operating plan and monitor departmental performance.
Answer: c. Set objectives and develop policy to guide the organization
in achieving its mission.
2026 QUESTIONS WITH SOLUTIONS
GRADED A+
⩥ The principles of quality improvement require that healthcare
executives change their management philosophy from:
a. Finding fault with employees to finding problems in processes.
b. Finding fault with employees to involving them in the improvement
of processes.
c. Focusing on enhanced inspection techniques to focusing on variance.
d. Focusing on employees' roles to focusing on process outcomes.
Answer: a. Finding fault with employees to finding problems in
processes.
⩥ What type of problem arises when a healthcare executive knowingly
allows the organization to continue double billing?
a. An ethical problem for the healthcare executive, but may not be
grounds for dismissal if organizational policy is not clearly stated.
b. An actual conflict of interest, even absent a direct economic benefit to
the healthcare executive.
c. An ethical problem for the employee if the healthcare executive
receives direct economic benefit.
,d. An ethical problem if it clearly violates state or federal law. Answer:
b. An actual conflict of interest, even absent a direct economic benefit to
the healthcare executive.
⩥ Which of the following is a unit of measure commonly used to
determine physicians' clinical productivity?
a. RVU
b. CMS
c. IPO
d. CPU Answer: a. RVU
⩥ Which of the following third-party reimbursement methods provides
the largest financial incentive for the provider to reduce cost?
a. Charge-based
b. Cost-based
c. Prospective payment
d. Per diem Answer: c. Prospective payment
⩥ Statements of earnings, financial positions, changes in financial
position and retained earnings are required to be submitted yearly by all:
a. Publicly owned healthcare organizations.
b. Privately owned healthcare organizations.
c. Government owned healthcare organizations.
,d. Faith-based owned healthcare organizations. Answer: a. Publicly
owned healthcare organizations.
⩥ Which of the following is an Example of a capital expenditure?
a. Land that is purchased for resale.
b. Surgical equipment with a useful life of six months.
c. A building with a useful life of 20 years.
d. Medical supplies used for patient care. Answer: c. A building with a
useful life of 20 years.
⩥ What is the correct order of stages for accomplishing organization
change?
a. Identifying, planning, implementation, evaluation.
b. Planning, identifying, evaluation, implementation.
c. Evaluation, planning, implementation, identifying.
d. Planning, evaluation, identifying, implementation. Answer: a.
Identifying, planning, implementation, evaluation.
⩥ Boards make better strategic decisions if they use information that is:
a. Readily available on special board website.
b. Generated from computer studies of departmental activity reports.
c. Summarized in graphs for better understanding.
, d. Focused on measurable outcomes of service quality and economic
vitality. Answer: d. Focused on measurable outcomes of service quality
and economic vitality.
⩥ The central role of the health services organization board includes all
of the
following:
a. Setting the strategic plan and service values of the organization.
b. Support for assessing changing market needs.
c. Support in managing important service programs or departments.
d. Assuring the recruitment, hire, support and reward of the CEO.
Answer: c. Support in managing important service programs or
departments
⩥ The first role of the governing body is to:
a. Manage inputs of the healthcare organization to achieve the output
that are its goals.
b. Recruit members who understand the health services field.
c. Set objectives and develop policy to guide the organization in
achieving its mission.
d. Develop the operating plan and monitor departmental performance.
Answer: c. Set objectives and develop policy to guide the organization
in achieving its mission.
