BUSI 323
Financial Analysis &
Management
LATEST FINAL EXAM REVIEW
Q&S
©2024/2025
,1. Which financial ratio is most commonly used to assess a
hospital's ability to meet its short-term obligations?
- A) Debt-to-Equity Ratio
- B) Current Ratio
- C) Return on Assets
- D) Operating Margin
Answer: B) Current Ratio
Rationale: The current ratio is used to evaluate a company's
ability to pay off its short-term liabilities with its short-term assets.
2. What is the primary goal of value-based healthcare
reimbursement models?
- A) Increase volume of services provided
- B) Improve quality and efficiency of care
- C) Maximize hospital profitability
- D) Reduce the number of patient visits
Answer: B) Improve quality and efficiency of care
©2024/2025
, Rationale: Value-based reimbursement models aim to
enhance the quality of care provided to patients and promote
efficiency over volume.
3. A hospital informs patients in advance that they accept
insurance plan X but not Y. This practice is primarily related to
which financial concept?
- A) Budget Variance Analysis
- B) Revenue Cycle Management
- C) Capital Expenditure Planning
- D) Cost-Benefit Analysis
Answer: B) Revenue Cycle Management
Rationale: Revenue Cycle Management involves managing the
clinical and administrative functions to capture, manage, and collect
patient service revenue.
4. Which of the following is NOT considered a fixed cost in
hospital financial management?
- A) Salaries of administrative staff
- B) Utility expenses
- C) Cost of consumable medical supplies
- D) Depreciation of medical equipment
©2024/2025
Financial Analysis &
Management
LATEST FINAL EXAM REVIEW
Q&S
©2024/2025
,1. Which financial ratio is most commonly used to assess a
hospital's ability to meet its short-term obligations?
- A) Debt-to-Equity Ratio
- B) Current Ratio
- C) Return on Assets
- D) Operating Margin
Answer: B) Current Ratio
Rationale: The current ratio is used to evaluate a company's
ability to pay off its short-term liabilities with its short-term assets.
2. What is the primary goal of value-based healthcare
reimbursement models?
- A) Increase volume of services provided
- B) Improve quality and efficiency of care
- C) Maximize hospital profitability
- D) Reduce the number of patient visits
Answer: B) Improve quality and efficiency of care
©2024/2025
, Rationale: Value-based reimbursement models aim to
enhance the quality of care provided to patients and promote
efficiency over volume.
3. A hospital informs patients in advance that they accept
insurance plan X but not Y. This practice is primarily related to
which financial concept?
- A) Budget Variance Analysis
- B) Revenue Cycle Management
- C) Capital Expenditure Planning
- D) Cost-Benefit Analysis
Answer: B) Revenue Cycle Management
Rationale: Revenue Cycle Management involves managing the
clinical and administrative functions to capture, manage, and collect
patient service revenue.
4. Which of the following is NOT considered a fixed cost in
hospital financial management?
- A) Salaries of administrative staff
- B) Utility expenses
- C) Cost of consumable medical supplies
- D) Depreciation of medical equipment
©2024/2025
