HSA 464 Exam 1 Questions and
Answers A+ Graded (2025)
The .purpose .of .a .nonprofit .healthcare .facility .is .to .- .CORRECT .ANSWER-Provide
.healthcare .services .to .the .community
What .are .the .five .management .functions? .- .CORRECT .ANSWER-Planning,
.organizing, .staffing, .controlling, .directing
The .purpose .of .healthcare .financial .management .is .to: .- .CORRECT .ANSWER-
Provide .accounting .and .financial .information .that .assists .the .manager .in
.achieving .the .organization's .purpose
The .most .important .objective .of .healthcare .financial .management .is .to .-
.CORRECT .ANSWER-Generate .income
Managers .typically .represent .a .__________ .view .of .ethics, .whereas .clinicians
.typically .represent .a ._________ .view .of .ethics. .- .CORRECT .ANSWER-
Utilitarianism; .deontological
Healthcare .expenditures .as .a .percent .of .gross .domestic .product .are .about .-
.CORRECT .ANSWER-18%
By .type .of .service, .the .largest .healthcare .expenditure .are .- .CORRECT .ANSWER-
Hospitals
By .source .of .funds, .the .largest .healthcare .payer .is .- .CORRECT .ANSWER-Private
.Health .Insurance
The .worst .example .of .conflict .of .interest .is: .(2) .- .CORRECT .ANSWER--Conflict
.between .the .manager's .duties .to .the .organization
-When .managers .use .their .positions .of .authority .for .personal .gains
Why .should .financial .managers .be .concerned .with .quality .initiatives .in .the
.healthcare .organization? .- .CORRECT .ANSWER-Quality .initiatives .not .only .keep
.patients .and .accreditation .organizations .like .The .Joint .Commission .satisfied,
.but .they .also .contribute .to .the .profitability .of .the .organization .by .reducing
.liability .and .cost
, How .would .you .predict .that .financial .management .and .the .management
.functions .will .be .important .as .healthcare .changes .in .the .future? .- .CORRECT
.ANSWER-Financial .management .and .management .functions, .if .performed .well,
.will .keep .organizations .in .business .in .the . turbulent .economic .environment
.predicted .for .the .future
The .governing .body .of .a .healthcare .organization .is .responsible .for .- .CORRECT
.ANSWER-Proper .development, .utilization, .and .maintenance .of .all .resources
The .Sarbanes-Oxley .Act .was .enacted .to: .(2) .- .CORRECT .ANSWER--Hold .the .CEO
.personally .liable .for .financial .misreporting
-Require .for-profit .organizations .to .follow .strict .corporate .accountability
.standards
A .Chief .Financial .Officer's .(CFO) .duties .include .which .of .the .following: .(2) .-
.CORRECT .ANSWER--Reporting .to .governing .agencies
-Providing .protection .for .the .assets .of .the .organization
A .controller .is .also .known .as: .- .CORRECT .ANSWER-Chief .Accounting .Officer
Independent .auditors .are .responsible .for .ensuring .that: .- .CORRECT .ANSWER-
Accounting .reports .sent .to .external .agencies .in .the .correct .format
What .is .the .purpose .of .corporate .restructuring? .- .CORRECT .ANSWER-To
.maximize .the .economic .position .of .the .organization .by .forming .corporations
An .integrated .delivery .system: .(3) .- .CORRECT .ANSWER--Is .a .system .of
.providers
-Accepts .financial .responsibility .for .services
-Provides .a .variety .of .clinical .services
Which .of .the .following .paragraphs .is .included .only .if .GAAP .were .not .used .in
.preparing .financial .statements? .- .CORRECT .ANSWER-Explanatory .Paragraph
What .are .the .responsibilities .of .the .CFO? .- .CORRECT .ANSWER--Establish,
.coordinate, .and .maintain .an .integrated .control .plan
-Measure .performance .against .the .control .plan
-Measure .and .report .on .the .validity .of .business .objectives
-Report .to .government .agencies .and .supervise .all .matters .related .to .taxes
-Interpret .and .report .on .the .effect .of .external .influences
-Provide .protection .for .the .assets .of .the .business
What .are .the .characteristics .of .a .CFO? .- .CORRECT .ANSWER--Have .master's
.degrees
-Tend .to .be .CPA's
-Have .certification .in .HFMA
What .are .the .traits .of .a .CFO? .- .CORRECT .ANSWER--Strategic .thinking
-Ability .to .adjust .to .change
Answers A+ Graded (2025)
The .purpose .of .a .nonprofit .healthcare .facility .is .to .- .CORRECT .ANSWER-Provide
.healthcare .services .to .the .community
What .are .the .five .management .functions? .- .CORRECT .ANSWER-Planning,
.organizing, .staffing, .controlling, .directing
The .purpose .of .healthcare .financial .management .is .to: .- .CORRECT .ANSWER-
Provide .accounting .and .financial .information .that .assists .the .manager .in
.achieving .the .organization's .purpose
The .most .important .objective .of .healthcare .financial .management .is .to .-
.CORRECT .ANSWER-Generate .income
Managers .typically .represent .a .__________ .view .of .ethics, .whereas .clinicians
.typically .represent .a ._________ .view .of .ethics. .- .CORRECT .ANSWER-
Utilitarianism; .deontological
Healthcare .expenditures .as .a .percent .of .gross .domestic .product .are .about .-
.CORRECT .ANSWER-18%
By .type .of .service, .the .largest .healthcare .expenditure .are .- .CORRECT .ANSWER-
Hospitals
By .source .of .funds, .the .largest .healthcare .payer .is .- .CORRECT .ANSWER-Private
.Health .Insurance
The .worst .example .of .conflict .of .interest .is: .(2) .- .CORRECT .ANSWER--Conflict
.between .the .manager's .duties .to .the .organization
-When .managers .use .their .positions .of .authority .for .personal .gains
Why .should .financial .managers .be .concerned .with .quality .initiatives .in .the
.healthcare .organization? .- .CORRECT .ANSWER-Quality .initiatives .not .only .keep
.patients .and .accreditation .organizations .like .The .Joint .Commission .satisfied,
.but .they .also .contribute .to .the .profitability .of .the .organization .by .reducing
.liability .and .cost
, How .would .you .predict .that .financial .management .and .the .management
.functions .will .be .important .as .healthcare .changes .in .the .future? .- .CORRECT
.ANSWER-Financial .management .and .management .functions, .if .performed .well,
.will .keep .organizations .in .business .in .the . turbulent .economic .environment
.predicted .for .the .future
The .governing .body .of .a .healthcare .organization .is .responsible .for .- .CORRECT
.ANSWER-Proper .development, .utilization, .and .maintenance .of .all .resources
The .Sarbanes-Oxley .Act .was .enacted .to: .(2) .- .CORRECT .ANSWER--Hold .the .CEO
.personally .liable .for .financial .misreporting
-Require .for-profit .organizations .to .follow .strict .corporate .accountability
.standards
A .Chief .Financial .Officer's .(CFO) .duties .include .which .of .the .following: .(2) .-
.CORRECT .ANSWER--Reporting .to .governing .agencies
-Providing .protection .for .the .assets .of .the .organization
A .controller .is .also .known .as: .- .CORRECT .ANSWER-Chief .Accounting .Officer
Independent .auditors .are .responsible .for .ensuring .that: .- .CORRECT .ANSWER-
Accounting .reports .sent .to .external .agencies .in .the .correct .format
What .is .the .purpose .of .corporate .restructuring? .- .CORRECT .ANSWER-To
.maximize .the .economic .position .of .the .organization .by .forming .corporations
An .integrated .delivery .system: .(3) .- .CORRECT .ANSWER--Is .a .system .of
.providers
-Accepts .financial .responsibility .for .services
-Provides .a .variety .of .clinical .services
Which .of .the .following .paragraphs .is .included .only .if .GAAP .were .not .used .in
.preparing .financial .statements? .- .CORRECT .ANSWER-Explanatory .Paragraph
What .are .the .responsibilities .of .the .CFO? .- .CORRECT .ANSWER--Establish,
.coordinate, .and .maintain .an .integrated .control .plan
-Measure .performance .against .the .control .plan
-Measure .and .report .on .the .validity .of .business .objectives
-Report .to .government .agencies .and .supervise .all .matters .related .to .taxes
-Interpret .and .report .on .the .effect .of .external .influences
-Provide .protection .for .the .assets .of .the .business
What .are .the .characteristics .of .a .CFO? .- .CORRECT .ANSWER--Have .master's
.degrees
-Tend .to .be .CPA's
-Have .certification .in .HFMA
What .are .the .traits .of .a .CFO? .- .CORRECT .ANSWER--Strategic .thinking
-Ability .to .adjust .to .change
