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FACHE (ACHE Board of Governors) Exam – Study Guide – 2025–2026 – Healthcare Leadership, Management Principles, and Executive Board Certification Review Material

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This document reviews key topics commonly covered on the FACHE / ACHE Board of Governors (BOG) exam, including healthcare leadership, organizational management, strategic planning, ethics, financial management, and healthcare systems operations. It is structured as a study guide to support understanding of executive-level healthcare administration concepts and board certification competencies. The material focuses on concept mastery and exam preparation rather than reproduction of actual exam questions or answers.

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Institution
FACHE - ACHE BOG
Course
FACHE - ACHE BOG

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FACHE - ACHE BOG EXAM SAMPLE
TEST QUESTIONS - HEALTHCARE
COMPLETE QUESTION WITH
CORRECT AND VERIFIED
ANSWERS GRADED A+ 100%
GUARANTEED PASS 2026 UPDATE
CEO Compensation should be based on:

a. the compensation arrangement with prior CEO

b. executive compensation in local corporations with similar gross revenues

c. present day salary plus cost-of living adjustment

d. what the institution would have to pay for a similarly prepared person if that person
were employed elsewhere - answer-d. what the institution would have to pay for a
similarly prepared person if that person were employed elsewhere



An essential function of the governing board is to:

a. approve the mission, vision, and long-range plan

b. focus on strategic planning

c. prepare the operating plan

d. review the performance of departmental managers - answer-a. approve the mission,
vision, and long-range plan



The key to enhancing board effectiveness is:

a. getting the right people to serve on the board

b. supporting and selecting the right CEO

c. orientating and training the CEO

d. organizing the board's work - answer-d. organizing the board's work

,Members of the medical staff are eligible for full membership on the governing board in
the same manner as other individuals:

a. when not legally prohibited

b. when they do not actively practice in the organization

c. when they are not full-time employees

d. if they are not foreign nationals - answer-a. when not legally prohibited



The Chief Executive Officer:

a. is a member of the board

b. represents the board internally and externally

c. is not a member of the board

d. has a contract with the board - answer-b. represents the board internally and
externally



Regarding the budget, the board:

a. does not use the budget exercise as a way to improve quality and productivity

b. gets involved in preparing budgets for all operational units

c. decides which personnel are needed in top management

d. establishes guidelines and makes final choices among competing opportunities -
answer-d. establishes guidelines and makes final choices among competing
opportunities



The individual or group responsible for establishing policy, maintaining quality of care,
and providing for institutional management planning is the:

a. COO

b. Medical Staff Medical Committee

c. Governing Body

d. CEO - answer-c. Governing Body

, A correct statement regarding trustee serving as fiduciaries is that they can:

a. be indicted for alleged theft of facility funds and improper expenditures of facility
funds for personal reasons.

b. be released from responsibility by giving the audit committee final authority in high
risk areas of financial matters, without any action by the whole board

c. be held personally liable for wrongful acts or omissions by corporate officers or co-
trustees by virtue of their position as trustees

d. waive their fiduciary responsibility as a community organization - answer-a. be
indicted for alleged theft of facility funds and improper expenditures of facility funds for
personal reasons.



Ultimate responsibility for the mission statement rests with the:

a. CEO and medical staff

b. Governing Board

c. Community and CEO

d. CEO - answer-b. Governing Board



A key reason for choosing board members is because:

a. other board members want to listen to their opinions.

b. of what they can do for the organization

c. have high status in the community

c. physicians will listen to them they can - answer-b. of what they can do for the
organization



The bylaws of healthcare organization should include which of the following?

a. Committee scope and function

b. The privileges of the medical staff

c. The names of the stockholders in the organization

c. Composition of the governing board, committee, and officers - answer-c.
Composition of the governing board, committee, and officers

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Institution
FACHE - ACHE BOG
Course
FACHE - ACHE BOG

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Uploaded on
May 10, 2026
Number of pages
28
Written in
2025/2026
Type
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Contains
Questions & answers

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