Care Administration (CEHCA) - Full
Course Review||Questions And
Answers With Rationales/Graded
A+/2026 Update/100% Correct
/Instant Download
Exam Code: HCA-2026-FULL
Total Questions: 85
Time Allowed: 120 minutes
Passing Score: 75%
Instructions: Select the best answer for each question. Correct answers
are highlighted in bold. A rationale follows each question.
Section I: Health Care Systems & Delivery Models (Questions 1-15)
1. Which of the following best describes a vertically integrated health system?
A. Multiple independent hospitals sharing electronic health records
B. A single organization owning hospitals, physician practices, and an insurance
plan
C. A government agency regulating hospital admissions
D. A network of home health agencies only
Correct Answer: B
Rationale : Vertical integration combines different levels of care (e.g., primary,
hospital, insurance) under one ownership to coordinate services and reduce costs.
2. The primary goal of value-based purchasing (VBP) is to:
A. Reimburse providers based on number of patients seen
B. Reward health care organizations for quality, efficiency, and patient
satisfaction
,C. Eliminate private health insurance
D. Increase hospital bed capacity
Correct Answer: B
Rationale : VBP ties reimbursement to performance metrics, shifting from fee-for-
service to quality outcomes.
3. Accountable Care Organizations (ACOs) are designed to:
A. Limit patient choice of physicians
B. Reduce fragmentation and improve coordination of care for Medicare
patients
C. Increase hospital readmissions
D. Privatize Medicaid
Correct Answer: B
Rationale : ACOs are networks that share financial and medical responsibility for
providing coordinated care to a defined patient population.
4. Which health care delivery model focuses on a fixed payment per patient
per month regardless of services used?
A. Fee-for-service
B. Indemnity plan
C. Capitation
D. Retrospective billing
Correct Answer: C
Rationale : Capitation provides a predictable, prepaid amount per enrolled patient,
incentivizing preventive care.
5. The “Iron Triangle” of health care consists of:
A. Hospitals, doctors, insurers
B. Cost, quality, access
C. Prevention, treatment, rehabilitation
D. Federal, state, local
Correct Answer: B
Rationale : Balancing cost, quality, and access is the central challenge of health
care administration.
6. A Patient-Centered Medical Home (PCMH) emphasizes:
A. Specialist-led episodic care
, B. Comprehensive, coordinated, and accessible primary care
C. Hospital admissions as the primary treatment site
D. Direct payer negotiations without clinical oversight
Correct Answer: B
Rationale : PCMH strengthens primary care to reduce emergency visits and
improve chronic disease management.
7. Which of the following is a key characteristic of a Single-Payer System?
A. Multiple private insurance companies competing
B. Government financing of health care for all residents
C. No government involvement in health care
D. Only emergency services covered
Correct Answer: B
Rationale : In a single-payer system, the government collects funds and pays for
all medically necessary services.
8. The Emergency Medical Treatment & Active Labor Act (EMTALA)
requires hospitals that accept Medicare to:
A. Provide free primary care
B. Screen and stabilize any patient presenting to the emergency department
regardless of ability to pay
C. Discharge patients without follow-up
D. Refuse non-citizens
Correct Answer: B
Rationale : EMTALA prevents patient dumping and ensures access to emergency
care.
9. A Health Maintenance Organization (HMO) typically requires:
A. No primary care referral for specialists
B. A designated primary care provider and referrals for specialty care
C. Unlimited out-of-network coverage
D. No premiums
Correct Answer: B
Rationale : HMOs control costs by managing access through a gatekeeper PCP.
10. The term “population health management” refers to:
A. Individual patient billing