ACHE BOG ACTUALEXAM SAMPLE TEST 2024-100
QUESTIONS AND ANSWERS.
CEO Compensation should be based on:
• the compensation arrangement with prior CEO
• executive compensation in local corporations with similar gross
revenuesc.present day salary plus cost-of living adjustment
d. what the institution would have to pay for a similarly prepared person if that personwere
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 planb.
focus on strategic planning
c. prepare the operating plan
d. review the performance of departmental managers - ANSWER a. approve
themission,vision, and long-range plan
The key to enhancing board effectiveness is:
a. getting the right people to serve on the boardb.
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 inthe
samemanner as other individuals:
• when not legally prohibited
• when they do not actively practice in the
organizationc.when they are not full-time employees
d. if they are not foreign nationals - ANSWER a. when not legally prohibited
The Chief Executive Officer:
• is a member of the board
• represents the board internally and
externallyc.is not a member of the board
d. has a contract with the board - ANSWER b. represents the board internally andexternally
Regarding the budget, the board:
a. does not use the budget exercise as a way to improve quality and productivityb.
getsinvolved 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:
• COO
• Medical Staff Medical Committeec.
Governing Body
d. CEO - ANSWER c. Governing Body
A correct statement regarding trustee serving as fiduciaries is that they can:
• be indicted for alleged theft of facility funds and improper expenditures of
facilityfunds for personal reasons.
• be released from responsibility by giving the audit committee final authority in
highriskareas of financial matters, without any action by the whole board
• be held personally liable for wrongful acts or omissions by corporate officers or
co-trustees by virtue of their position as trustees
• waive their fiduciary responsibility as a community organization - ANSWER a. be
indictedfor alleged theft of facility funds and improper expenditures of facility funds
forpersonal reasons.
Ultimate responsibility for the mission statement rests with the:a.
CEO and medical staff
• Governing Board
• Community and CEO
• 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 theorganization
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
thegoverning board, committee, and officers
Successful approaches to strategic planning include:
, • a well-written mission statement, long-range plane, and fiscal plan plus the
historyanddiscussion surrounding them
• avoidance of high risk decision
• not paying attention to competitor's activity
• using rules and past experiences as a guide to future action - ANSWER a. a well-
writtenmission statement, long-range plane, and fiscal plan plus the history and
discussion surrounding them
The primary challenge facing a prospector is:
• protecting and increasing current services (product) or market share
throughtechnical efficiency, cost improvements, or differentiation strategies
• managing diversification successfully, to guard against expanding too rapidly or
intoareasthey have little knowledge
• managing simultaneously the difficult task of pursuing new markets and
serviceswhileavoiding erosion of current services in existing markets
• creating stability by sticking with strategic plan long enough to accumulate
experienceand todevelop consistent leadership avoiding random diversification efforts. -
ANSWERb. managing diversification successfully, to guard against expanding too rapidly or
into areas they have little knowledge
In the introductory stage of a product life
cycle:a.the introductory stage can be short
b. the introductory stage can be longc.
sales and revenue growth is slow
c. all of the above - ANSWER c. all of the above
The primary task of marketing is to:
a. bring about voluntary and involuntary exchanges of valueb.
attract new advertiser
c. bring about exchanges of values
d. advertise new and existing services - ANSWER c. bring about exchanges of values
It would be incorrect to say that:
• an organization's image is a function of all that the organization has done as well
aswhat ithas attempted to communicate
• people's images of an organization always reflects their true attitudes toward
theorganization
• an organization's image is largely the result of public relations, advertising,
selling,andcommunication efforts.
• responsibility for the creation of the organization's image does not lie merely with
themarketer - ANSWER c. an organization's image is largely the result of public
relations, advertising, selling, and communication efforts.
QUESTIONS AND ANSWERS.
CEO Compensation should be based on:
• the compensation arrangement with prior CEO
• executive compensation in local corporations with similar gross
revenuesc.present day salary plus cost-of living adjustment
d. what the institution would have to pay for a similarly prepared person if that personwere
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 planb.
focus on strategic planning
c. prepare the operating plan
d. review the performance of departmental managers - ANSWER a. approve
themission,vision, and long-range plan
The key to enhancing board effectiveness is:
a. getting the right people to serve on the boardb.
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 inthe
samemanner as other individuals:
• when not legally prohibited
• when they do not actively practice in the
organizationc.when they are not full-time employees
d. if they are not foreign nationals - ANSWER a. when not legally prohibited
The Chief Executive Officer:
• is a member of the board
• represents the board internally and
externallyc.is not a member of the board
d. has a contract with the board - ANSWER b. represents the board internally andexternally
Regarding the budget, the board:
a. does not use the budget exercise as a way to improve quality and productivityb.
getsinvolved 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:
• COO
• Medical Staff Medical Committeec.
Governing Body
d. CEO - ANSWER c. Governing Body
A correct statement regarding trustee serving as fiduciaries is that they can:
• be indicted for alleged theft of facility funds and improper expenditures of
facilityfunds for personal reasons.
• be released from responsibility by giving the audit committee final authority in
highriskareas of financial matters, without any action by the whole board
• be held personally liable for wrongful acts or omissions by corporate officers or
co-trustees by virtue of their position as trustees
• waive their fiduciary responsibility as a community organization - ANSWER a. be
indictedfor alleged theft of facility funds and improper expenditures of facility funds
forpersonal reasons.
Ultimate responsibility for the mission statement rests with the:a.
CEO and medical staff
• Governing Board
• Community and CEO
• 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 theorganization
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
thegoverning board, committee, and officers
Successful approaches to strategic planning include:
, • a well-written mission statement, long-range plane, and fiscal plan plus the
historyanddiscussion surrounding them
• avoidance of high risk decision
• not paying attention to competitor's activity
• using rules and past experiences as a guide to future action - ANSWER a. a well-
writtenmission statement, long-range plane, and fiscal plan plus the history and
discussion surrounding them
The primary challenge facing a prospector is:
• protecting and increasing current services (product) or market share
throughtechnical efficiency, cost improvements, or differentiation strategies
• managing diversification successfully, to guard against expanding too rapidly or
intoareasthey have little knowledge
• managing simultaneously the difficult task of pursuing new markets and
serviceswhileavoiding erosion of current services in existing markets
• creating stability by sticking with strategic plan long enough to accumulate
experienceand todevelop consistent leadership avoiding random diversification efforts. -
ANSWERb. managing diversification successfully, to guard against expanding too rapidly or
into areas they have little knowledge
In the introductory stage of a product life
cycle:a.the introductory stage can be short
b. the introductory stage can be longc.
sales and revenue growth is slow
c. all of the above - ANSWER c. all of the above
The primary task of marketing is to:
a. bring about voluntary and involuntary exchanges of valueb.
attract new advertiser
c. bring about exchanges of values
d. advertise new and existing services - ANSWER c. bring about exchanges of values
It would be incorrect to say that:
• an organization's image is a function of all that the organization has done as well
aswhat ithas attempted to communicate
• people's images of an organization always reflects their true attitudes toward
theorganization
• an organization's image is largely the result of public relations, advertising,
selling,andcommunication efforts.
• responsibility for the creation of the organization's image does not lie merely with
themarketer - ANSWER c. an organization's image is largely the result of public
relations, advertising, selling, and communication efforts.
