ADMINISTRATION (2026 Edition)||
Questions And Answers With
Rationales/Graded A+/2026
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SECTION 1: HEALTHCARE SYSTEMS & DELIVERY MODELS
(Questions 1–12)
1. Which healthcare model is primarily government-funded and government-run,
typical in the UK?
a) Bismarck model
b) Beveridge model
c) National Health Service model
d) Out-of-pocket model
Rationale : The Beveridge model (UK) has government-funded and operated
healthcare. The Bismarck model uses insurance systems.
2. In 2026, which payment model is CMS most aggressively pushing via the
Innovation Center?
a) Fee-for-service
b) Capitation only
c) Episodes of care (Bundled payments)
d) Indemnity plans
,Rationale : Bundled payments and accountable care organizations are central to
value-based care reforms.
3. A hospital merging with a physician group to form a single legal entity is an
example of:
a) Vertical integration
b) Horizontal integration
c) Virtual integration
d) Reverse integration
Rationale : Horizontal integration involves merging same-level entities; vertical
would be hospital + insurer.
4. What is the primary role of a Health Information Exchange (HIE) in 2026?
a) Billing management
b) Interoperable patient data sharing across organizations
c) Staff scheduling
d) Medical device tracking
Rationale : HIE focuses on secure, interoperable data exchange to improve care
coordination.
5. A Patient-Centered Medical Home (PCMH) emphasizes:
a) Specialist referrals first
b) Fee discounts
c) Comprehensive primary care and care coordination
d) Telemedicine only for rural areas
Rationale : PCMH is a model of team-based, comprehensive primary care.
6. Which U.S. law expanded Medicaid and created health insurance marketplaces
in 2010?
a) HIPAA
b) Affordable Care Act
c) Medicare Modernization Act
d) 21st Century Cures Act
Rationale : The ACA (2010) reshaped U.S. health coverage.
7. The term population health management in 2026 refers to:
a) Treating only chronic diseases
b) Improving health outcomes of a defined group with data-driven
, interventions
c) Managing hospital capacity
d) Reducing emergency room staff
Rationale : Population health integrates data, social determinants, and proactive
care.
8. In managed care, a gatekeeper is typically:
a) A hospital administrator
b) A primary care physician controlling referrals
c) An insurance claims adjuster
d) A pharmacy benefit manager
Rationale : Gatekeepers manage access to specialists to control costs.
9. Which setting is most cost-effective for uncomplicated type 2 diabetes
management?
a) Hospital inpatient
b) ICU
c) Ambulatory care clinic
d) Skilled nursing facility
Rationale : Ambulatory care prevents hospitalizations for routine chronic disease
management.
10. The shift from volume to value means:
a) More patient visits generate higher revenue
b) Equipment volume determines reimbursement
c) Reimbursement tied to quality and outcomes
d) Patients pay per test
Rationale : Value-based care ties payment to outcomes, not volume.
11. A Dual Eligible beneficiary qualifies for:
a) Medicare and private insurance
b) Employer insurance and Medicaid
c) Medicare and Medicaid
d) VA benefits and Medicare
Rationale : Dual eligible means low-income seniors or disabled on both programs.