MHA 710 Frequently Tested Exam
Questions With Verified Multiple Choice
and Conceptual Actual 100% Correct
Detailed Answers
Guaranteed Pass!!Current Update!!
1. Economies of scale exist when:
a. short-run average costs decline.
b. long-run average costs decline as output increases.
c. long-run average costs increase as output increases.
d. long-run average costs are constant.
e. short-run average costs increase. - ANSWER long-run average costs decline
as output increases.
2. This study was the catalyst for the early twentieth century reform of medical
education in the United States. What was it?
a. Kaiser Foundation Study
b. Coolidge Commission
c. Hill-Burton Committee
d. Mangrum Report
e. Flexner Report - ANSWER Flexner Report
,3. What is the most significant cost of attending medical school?
a. Tuition and fees
b. The income foregone
c. Room and board
d. Books and incidentals - ANSWER The income foregone
4. Compared to the not-for-profit organizational form, the for-profit environment
a. does not provide charity care.
b. lacks a profit motive.
c. provides patients with higher quality of care.
d. gives shareholders higher returns on their investment
e. allows for the transfer of assets. - ANSWER allows for the transfer of assets.
5. In order to be a successful price discriminator, a provider must have a degree of
market power (depicted by a downward-sloping demand curve) and meet what
other condition(s)?
a. Customers cannot know that different prices are being charged.
b. Markets must be segmentable, identifying differences in ability to pay.
c. Demand for services must be relatively price elastic.
d. The provider must have excess capacity to accommodate the extra business.
e. Profitable service expansion opportunities must be limited. - ANSWER
Markets must be segmentable, identifying differences in ability to pay.
6. The rate of return on an investment in medical education:
, a. is inversely related to income.
b. is inversely related to the number of years in the profession.
c. is inversely related to the length of time spent in formal schooling.
d. will increase with an increase in the availability of student loans.
e. is much higher than the rate of return on an undergraduate business degree. -
ANSWER is inversely related to the length of time spent in formal schooling.
7. The Medicare pay-as-you-go system is jeopardized by:
a. a reliance on the premiums paid by the elderly themselves to fund a majority of
the total cost of the system.
b. the rising costs of long-term care.
c. The changing demographics of the United States' population, with an increasing
percentage over the age of 65.
d. an overly generous fee schedule that pays physicians more than private
insurance for most procedures.
e. allowing physicians to balance bill their patients. - ANSWER The changing
demographics of the United States' population, with an increasing percentage
over the age of 65.
8. By the time a drug enters the clinical trial phase of testing on humans,
a.an average of five years of the overall patent life has already expired.
b. its approval is virtually assured.
c. it has already completed most of the investment in research and development.
d. the only step left in the process is testing to see if the drug accomplishes its
intended purpose.
Questions With Verified Multiple Choice
and Conceptual Actual 100% Correct
Detailed Answers
Guaranteed Pass!!Current Update!!
1. Economies of scale exist when:
a. short-run average costs decline.
b. long-run average costs decline as output increases.
c. long-run average costs increase as output increases.
d. long-run average costs are constant.
e. short-run average costs increase. - ANSWER long-run average costs decline
as output increases.
2. This study was the catalyst for the early twentieth century reform of medical
education in the United States. What was it?
a. Kaiser Foundation Study
b. Coolidge Commission
c. Hill-Burton Committee
d. Mangrum Report
e. Flexner Report - ANSWER Flexner Report
,3. What is the most significant cost of attending medical school?
a. Tuition and fees
b. The income foregone
c. Room and board
d. Books and incidentals - ANSWER The income foregone
4. Compared to the not-for-profit organizational form, the for-profit environment
a. does not provide charity care.
b. lacks a profit motive.
c. provides patients with higher quality of care.
d. gives shareholders higher returns on their investment
e. allows for the transfer of assets. - ANSWER allows for the transfer of assets.
5. In order to be a successful price discriminator, a provider must have a degree of
market power (depicted by a downward-sloping demand curve) and meet what
other condition(s)?
a. Customers cannot know that different prices are being charged.
b. Markets must be segmentable, identifying differences in ability to pay.
c. Demand for services must be relatively price elastic.
d. The provider must have excess capacity to accommodate the extra business.
e. Profitable service expansion opportunities must be limited. - ANSWER
Markets must be segmentable, identifying differences in ability to pay.
6. The rate of return on an investment in medical education:
, a. is inversely related to income.
b. is inversely related to the number of years in the profession.
c. is inversely related to the length of time spent in formal schooling.
d. will increase with an increase in the availability of student loans.
e. is much higher than the rate of return on an undergraduate business degree. -
ANSWER is inversely related to the length of time spent in formal schooling.
7. The Medicare pay-as-you-go system is jeopardized by:
a. a reliance on the premiums paid by the elderly themselves to fund a majority of
the total cost of the system.
b. the rising costs of long-term care.
c. The changing demographics of the United States' population, with an increasing
percentage over the age of 65.
d. an overly generous fee schedule that pays physicians more than private
insurance for most procedures.
e. allowing physicians to balance bill their patients. - ANSWER The changing
demographics of the United States' population, with an increasing percentage
over the age of 65.
8. By the time a drug enters the clinical trial phase of testing on humans,
a.an average of five years of the overall patent life has already expired.
b. its approval is virtually assured.
c. it has already completed most of the investment in research and development.
d. the only step left in the process is testing to see if the drug accomplishes its
intended purpose.
