QUESTIONS 101-150 Flashcards
101 Economic order quantity refers to what? 1. Inventory control process 2. Vendor relations 3. Purchasing standard 4. Buying power
Inventory control process
102 Payroll accounts for how much of a nursing home cost? 1. 50% 2. 60% 3. 70% 4. 80%
70%
103 Fraud alerts are issued by whom? 1. Medicare 2. Medical 3. Office of the Inspector General 4. FBI
Office of the Inspector General
104 Medicare's payment system is know as what? 1. Case mix 2. Diagnostic related groups 3. Resource utilization 4. Prospective Payment System
Prospective Payment System
105 Computing how many residents a facility must have on a daily basis in order for expenses to equal revenues is called what? 1. Profit and loss 2. Break even analysis 3. Variance analysis 4. Vertical analysis
Break even analysis
106 Which of the following is a direct care cost? 1. CNA's 2. DON 3. Administrator 4. Admissions
CNA’s
107 Which of the following is an indirect care cost? 1. Licensed nurses 2. Administrator 3. CNA's 4. RNA's
Administrator
108
The best definition of working capital is what?
1. Current assets divided by current liabilities
2. Current assets minus current liabilities
3. Current assets plus current liabilities
4. Cash flow
Current assets minus current liabilities
109 What is it called when there is a comparison between budgeted and actual cost? 1. Break even analysis 2. Profit and loss analysis 3. Variance analysis 4. Income analysis
Variance analysis
110 Who files Form 940 and pays the (FUTA) Federal Unemployment Tax? 1. Employee 2. Employer 3. Half State and half employee 4. Half State and half FED
Employer
111
Employers quarterly tax return Form 941 must report what?
1. Amount of Federal Income tax withheld plus employer and employee FICA and Medicare taxes
2. FUTA tax liability is more than $100.00 per quarter
3. Only employer’s Federal tax and FICA and Medicare
4. Employee’s Federal, FICA and Medicare taxes
Amount of Federal Income tax withheld plus employer and employee FICA and Medicare taxes
112 Nursing facilities are required to furnish employees with a W-2 wage and tax statement by when? 1. Feb 30 2. Jan 31 3. Mar 1 4. April 15
Jan 31
113 If you wanted to check a facilities ability to pay current debt what method would you use? 1. Current liabilities 2. Current ratio 3. Current assets 4. Break even analysis
Current ratio
114
What is the formula for current ratio?
1. Current assets minus current liabilities
2. Current assets divided by current liabilities
3. Total investment divided by total savings
4. Assets equal liabilities plus owner’s equity
Current assets divided by current liabilities
115 What constitutes a current liability? 1. One and a half years past due 2. Due within one year 3. Due more than one year out 4. Two years over due
Due within one year
116 What constitutes a long term liability? 1. Due within the month 2. Due within one year 3. Due more than one year out from balance sheet date 4. Six months over due
Due more than one year out from balance sheet date
117
Hospitals control cost by accelerating discharges because they get paid for DRG’s regardless of length of stay?
TRUE OR FALSE
TRUE
118 Materiality principle is in reference to what? 1. Evidence 2. Accounting 3. Fair accounting 4. GAAP
GAAP
119
The boiler is covered under property insurance.
TRUE OR FALSE
FALSE
120
Vehicles are covered under comprehensive general liability insurance.
TRUE OR FALSE
FALSE
