100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
logo-home
NAB CORE EXAM QUESTIONS AND ANSWERS COMPLETE RATED A ACCURATE AND VERIFIED $16.49   Add to cart

Exam (elaborations)

NAB CORE EXAM QUESTIONS AND ANSWERS COMPLETE RATED A ACCURATE AND VERIFIED

 2 views  0 purchase
  • Course
  • NAB CORE.
  • Institution
  • NAB CORE.

NAB CORE EXAM QUESTIONS AND ANSWERS COMPLETE RATED A ACCURATE AND VERIFIED

Preview 4 out of 39  pages

  • November 1, 2024
  • 39
  • 2024/2025
  • Exam (elaborations)
  • Unknown
  • NAB CORE.
  • NAB CORE.
avatar-seller
saraciousstuvia
NAB CORE EXAM QUESTIONS AND
ANSWERS COMPLETE RATED A
ACCURATE AND VERIFIED.
Which of the following best describes a primary difference between a not-for-
profit and a for-profit organization?
1. A for-profit organization may distribute profits to its shareholders*
2. A for-profit organization receives pledges as part of its revenue base
3. A not-for-profit organization may pay bonuses out of its profits
4. A not-for-profit organization need not record charitable contributions
Verified Answer - For-Profit vs. Not-for-Profit:
• Correct Answer: 1. A for-profit organization may distribute profits to its
shareholders.
• Explanation: A primary distinction between these types of organizations
is that for-profits can distribute profits to owners or shareholders, while
not-for-profits reinvest earnings into their mission.




What type of financial statement is derived from analysis of other statements
and has more detail on financial activity?
1. Profit and loss*
2. Cash flow
3. Changes in financial position
4. Retained earnings
Verified Answer - Derived Financial Statement:

, • Correct Answer: 1. Profit and loss.
• Explanation: A profit and loss statement provides detailed insights into
financial performance, derived from more extensive analyses of other
financial statements.


Under FIFO inventory method which supply would be used last?
1. Supply A - 12/1/16*
2. Supply B - 12/20/16
3. Supply C - 1/4/17
4. Supply D - 2/3/17
Verified Answer - FIFO Method (Inventory):
• Correct Answer: 1. Supply A - 12/1/16.
• Explanation: FIFO means the oldest inventory items (from 12/1/16) are
used or sold first.


A healthcare organization has just purchased equipment for a total cost of
$15,000. The equipment has useful life of five years and the administrator is
planning to charge a depreciation expense of $3,000 per year. Which
depreciation method is being used?
1. Sum of the years' digits depreciation
2. Declining balance depreciation
3. Straight-line depreciation*
4. Accelerated depreciation
Correct Answer: 3. Straight-line depreciation.
Explanation: Charging an equal depreciation expense each year, as in this
scenario, is characteristic of the straight-line method

,The LIFO and FIFO methods of inventory costing both account for the effects of
which of the following factors on the price of inventory?
1. Salvage value
2. Depreciation value*
3. Supply and demand
4. Inflation and deflation
Verified Answer - LIFO and FIFO Inventory Factors:
• Correct Answer: 4. Inflation and deflation.
• Explanation: These methods consider the effects of inflation and
deflation on inventory valuation.


A guest falls and is injured while visiting a healthcare organization office. Which
of the following types of insurance would cover this injury?
1. General liability insurance*
2. Property insurance
3. Professional liability insurance
4. Workers' compensation insurance
Verified Answer - Insurance Coverage for Injury:
• Correct Answer: 1. General liability insurance.
• Explanation: General liability covers injuries sustained by guests on the
property.


Most often a third party payer, such as Medicaid or a long-term insurer, will
negotiate a lower rate for services rendered. The difference of funds that is

, uncollectables between the full charges and the amount that is actually paid by
a third party payer is called __________________.
1. Expense allowances
2. Deductions from revenue
3. Contractual allowances*
4. Revenue write-off
Verified Answer - Uncollectable Funds Term:
• Correct Answer: 3. Contractual allowances.
• Explanation: This term represents the difference between billed charges
and the amount paid by third-party payers.


If overall revenue declines and census remains stable, an important financial
area to review would be __________________.
1. Balance depreciation
2. Asset allocation
3. Ancillary revenue*
4. Interest income revenue
Verified Answer - Stable Census, Declining Revenue:
• Correct Answer: 3. Ancillary revenue.
• Explanation: Ancillary revenue, such as from additional services, may
decline even when census remains steady.


When the actual supply cost substantially exceeds the expected cost, the
administrator should initially __________________.
1. Tightly control products

The benefits of buying summaries with Stuvia:

Guaranteed quality through customer reviews

Guaranteed quality through customer reviews

Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.

Quick and easy check-out

Quick and easy check-out

You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.

Focus on what matters

Focus on what matters

Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!

Frequently asked questions

What do I get when I buy this document?

You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.

Satisfaction guarantee: how does it work?

Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.

Who am I buying these notes from?

Stuvia is a marketplace, so you are not buying this document from us, but from seller saraciousstuvia. Stuvia facilitates payment to the seller.

Will I be stuck with a subscription?

No, you only buy these notes for $16.49. You're not tied to anything after your purchase.

Can Stuvia be trusted?

4.6 stars on Google & Trustpilot (+1000 reviews)

85169 documents were sold in the last 30 days

Founded in 2010, the go-to place to buy study notes for 14 years now

Start selling
$16.49
  • (0)
  Add to cart