BUSI 323 Exam 1

BUSI 323 Exam 1 Liberty University

1. True or False? Since most hospitals are not-for-profit, they are not generally business oriented.
2. True or False? All outpatient procedures have an assigned ambulatory payment classification code.
3. True or False? One of the advantages of a nonprofit organization compared with an investor-owned company is that the investor-owned company is subject to federal income taxes.
4. True or False? Data in the medical record is the primary source for documenting the provision of services.
5. True or False? Governmental healthcare organizations are able to raise funds through equity investments.
6. True or False? A hospital that is caring for a Medicare patient on an outpatient basis generally can increase its reimbursement by providing additional services.
7. True or False? Some benefits under Medicare Part A include hospital stays, skilled
8. True or False? The earnings of an investor-owned corporation can be subject to double taxation.
9. True or False? Claims editing is initiated once the claim has been submitted to the payer for payment.
10. True or False? A hospital that is caring for a Medicare patient on an inpatient basis generally can increase its reimbursement by providing additional services.
11. In most HCOs, the largest percentage of payments comes from which of the following?
12. What type of codes are referred to as current procedure terminology (CPT) codes that have been developed and maintained by the American Medical Association?
13. Which of the following is defined as direct coding of HCPCS codes into the charge master?
14. ICD-10-PCS codes are used to report which of the following?
15. Larger bundles across multiple providers have recently been created for payment purposes. Which of the following refers to these larger bundles because they involve a longer duration of patient care and involve more providers?
16. What factors contribute to the complexity of the revenue cycle in health care?
17. What is the main difference between the fee-for-service and capitation reimbursement methods?
18. What are the three primary forms of legal business organization? What are some of the advantages and disadvantages of each form?
19. What is the difference in the financial management responsibilities of the controller and treasurer?
20. What is charge explosion?
21. What is meant by the “revenue cycle”?
22. What is the registration process, including the activities that comprise it?
23. What are primary uses of financial information?
24. What are the six elements that should be present, at a minimum, in all charge masters?
25. Is profit maximization the same thing as shareholder wealth maximization?
26. What is the objective of investor-owned (for-profit) firms?
27. What are the objectives of not-for-profit firms?
28. What is the primary distinction between prospective payment and retrospective payment?
29. What are the primary responsibilities of the financial manager?