NAB Exam- (Everything that is needed to
know)
A line authority position is characterized by correct answerDecision making vested in the supervisor
An example of line authority is correct answerAdministrator
Major schools of thought regarding source of authority are correct answerformal and subordinate
acceptance
The scope of authority in the operation of the nursing facility is greatest at which level correct
answerOwnership
Ultimate authority in a private corporate nursing facility is with the correct answerBoard of directors
Managerial authority is power correct answerto command, issue orders or exact action by subordinates
Decentralized authority is characterized by correct answerprocess of delegating authority
Centralized authority is correct answervesting decision making in top managment
Authority vested in a supervisory nurse is correct answermiddle management authority
Decision making authority is when a supervisor correct answerhires, fires and makes judgmental
decisions
Concepts of modern management recommend that an effective administrator will delegate correct
answeroperational authority
,Unity of command refers to correct answerreporting to one supervisor
Which of the following forms of business is considered the oldest form of business correct answersole
proprietorship
The term proprietorship as it relates to the nursing facility industry means correct answerprivately
owned
The majority of nursing facility beds in the united states are owned by correct answercorporations
Which of the following forms of ownership must have articles drawn up and reduced to writing? correct
answercorporation
Under which form of ownership would the administrator have the greatest latitude of authority and
decision making? correct answerSole proprietorship
All but one are considered advantages of sole proprietorship correct answerUnlimited liability
All but one are considered disadvantages of a partnership correct answerRetention of valuable
employees
A corporation is correct answera legal entity created by law to carry on a business or profession
Which one of the following forms of business ownership is considered the most important? correct
answerCorporation
A nonprofit corporation is one which correct answermakes a profit but returns it to the operation of
business
Pursuant to the Code of Federal Regulations, 42 CFR part 483, a facility wishing to participate in
medicare must have correct answera governing body
,The role of the governing body pursuant to the Code of Federal Regulation 42 CFR Part 483 is to correct
answerestablish and implement policies regarding management and operation of the facility
The Code of Federal Regulations 42 CFR part 483 requires that the facility disclose correct
answerofficers, directors, agents, or management employees
The role of the administrator in a modern nursing facility is to correct answeradvise the governing body
and carry out their decisions
According to the Code of Federal Regulations 42 CFR Part 483 the administrator appointed by the
governing body must be correct answerlicensed by the state and responsible for the management of the
facility
An objective may be defined as correct answerorganizing
The first step in planning is correct answersetting the objectives of the organization
Effective management is best carried out by following which method? correct answermanagement by
objectives
Management by objectives involves correct answerplurality of objectives
Which of the following objectives would be considered first in establishing a new nursing facility?
correct answerType of facility
An administrator of a proprietary nursing facility should be primarily concerned with which one of the
following objectives? correct answerQuality of care
Which one of the functions of management would be accomplished first? correct answerplanning
, Relative to setting objectives, which task listed below would be of primary importance for the
administrator to accomplish? correct answerconstantly review and reassess objectives of the nursing
facility
Which one of the following statements is true? correct answerEvery department in the nursing facility
should have goals or objectives
Since there is a plurality of objectives in a nursing facility, the facility should concern itself with correct
answerlong and short term goals
Planning is primarily concerned with correct answeruse of facts to determine course of action for the
future
Strategic planning correct answerhelps the facility to re evaluate its mission and identify its long term
goals.
Planning on a broad scale is carried on primarily by a correct answeradministrator
Planning involves all but one of the following correct answerpersonnel decisions
Which of the following is not a function of the administrator? correct answerultimate approval of all
policies (governing board does that)
Planning at the top level of management is best characterized as correct answerbroad, far-reaching, and
basic
In the process of planning, which guideline should be followed? correct answerinvolve as many
managers as possible
Considering the functions of management such as: directing, organizing, coordination, controlling and
planning, which of these functions would be first? correct answerplanning
know)
A line authority position is characterized by correct answerDecision making vested in the supervisor
An example of line authority is correct answerAdministrator
Major schools of thought regarding source of authority are correct answerformal and subordinate
acceptance
The scope of authority in the operation of the nursing facility is greatest at which level correct
answerOwnership
Ultimate authority in a private corporate nursing facility is with the correct answerBoard of directors
Managerial authority is power correct answerto command, issue orders or exact action by subordinates
Decentralized authority is characterized by correct answerprocess of delegating authority
Centralized authority is correct answervesting decision making in top managment
Authority vested in a supervisory nurse is correct answermiddle management authority
Decision making authority is when a supervisor correct answerhires, fires and makes judgmental
decisions
Concepts of modern management recommend that an effective administrator will delegate correct
answeroperational authority
,Unity of command refers to correct answerreporting to one supervisor
Which of the following forms of business is considered the oldest form of business correct answersole
proprietorship
The term proprietorship as it relates to the nursing facility industry means correct answerprivately
owned
The majority of nursing facility beds in the united states are owned by correct answercorporations
Which of the following forms of ownership must have articles drawn up and reduced to writing? correct
answercorporation
Under which form of ownership would the administrator have the greatest latitude of authority and
decision making? correct answerSole proprietorship
All but one are considered advantages of sole proprietorship correct answerUnlimited liability
All but one are considered disadvantages of a partnership correct answerRetention of valuable
employees
A corporation is correct answera legal entity created by law to carry on a business or profession
Which one of the following forms of business ownership is considered the most important? correct
answerCorporation
A nonprofit corporation is one which correct answermakes a profit but returns it to the operation of
business
Pursuant to the Code of Federal Regulations, 42 CFR part 483, a facility wishing to participate in
medicare must have correct answera governing body
,The role of the governing body pursuant to the Code of Federal Regulation 42 CFR Part 483 is to correct
answerestablish and implement policies regarding management and operation of the facility
The Code of Federal Regulations 42 CFR part 483 requires that the facility disclose correct
answerofficers, directors, agents, or management employees
The role of the administrator in a modern nursing facility is to correct answeradvise the governing body
and carry out their decisions
According to the Code of Federal Regulations 42 CFR Part 483 the administrator appointed by the
governing body must be correct answerlicensed by the state and responsible for the management of the
facility
An objective may be defined as correct answerorganizing
The first step in planning is correct answersetting the objectives of the organization
Effective management is best carried out by following which method? correct answermanagement by
objectives
Management by objectives involves correct answerplurality of objectives
Which of the following objectives would be considered first in establishing a new nursing facility?
correct answerType of facility
An administrator of a proprietary nursing facility should be primarily concerned with which one of the
following objectives? correct answerQuality of care
Which one of the functions of management would be accomplished first? correct answerplanning
, Relative to setting objectives, which task listed below would be of primary importance for the
administrator to accomplish? correct answerconstantly review and reassess objectives of the nursing
facility
Which one of the following statements is true? correct answerEvery department in the nursing facility
should have goals or objectives
Since there is a plurality of objectives in a nursing facility, the facility should concern itself with correct
answerlong and short term goals
Planning is primarily concerned with correct answeruse of facts to determine course of action for the
future
Strategic planning correct answerhelps the facility to re evaluate its mission and identify its long term
goals.
Planning on a broad scale is carried on primarily by a correct answeradministrator
Planning involves all but one of the following correct answerpersonnel decisions
Which of the following is not a function of the administrator? correct answerultimate approval of all
policies (governing board does that)
Planning at the top level of management is best characterized as correct answerbroad, far-reaching, and
basic
In the process of planning, which guideline should be followed? correct answerinvolve as many
managers as possible
Considering the functions of management such as: directing, organizing, coordination, controlling and
planning, which of these functions would be first? correct answerplanning
