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LSUS MHA 706 MIDTERM EXAM QUESTIONS AND ANSWERS 2024
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LSUS MHA 706 MIDTERM EXAM QUESTIONS AND ANSWERS 2024
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LSUS MHA 706 MIDTERM 2024EXAM
ANSWER ALL QUESTIONS IN THIS SECTION
QUESTION 1
According to DuPont analysis, ROE can be calculated as the product of what three
financial ratios?
-Total Margin
-Total Asset Turnover
-Equity Multiplier
QUESTION 2
Limitations associated with financial condition analysis:
-Sometimes hard to tell if a given ratio is 'good' or 'bad'
-Different operating and accounting practices can distort comparisons
-Seasonal factors can distort ratios
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, LSUS MHA 706 MIDTERM 2024
EXAM
QUESTION 3
What financial statement can best show an organization's operations in regards to
liquidity?
Cash Budget
QUESTION 4
Select all of the correct ratios...
-Return on Assets = Net Income / Total Assets
-Total Margin = Net Income / Total Revenue
QUESTION 5
Long-Run
All cost are available
QUESTION 6
Semi-Fixed
Costs that partially depend on volume
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, LSUS MHA 706 MIDTERM 2024
EXAM
QUESTION 7
Fixed Costs
Costs that are independent of volume
QUESTION 8
Variable Costs
Costs that are dependent on volume
QUESTION 9
Possible negative outcomes with capitation
Providers may have a perverse incentive to reduce utilization (making it harder to
access care)
QUESTION 10
With Fee-for-Service (Volume Based) provider's financial risk is minimized if all
costs are...
Variable
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