DeVry HSM 340 Final Exam - Updated 2014
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1. (TCO 4) When would it make sense to use a flexible budget as compared to a
budget? (Points : 30)
Question 2. 2. (TCO 7) Explain the difference between a horizontal merger and a vertical merger. (Points : 30)
Question 3. 3. (TCO 1) Describe the Outpatient Code Editor. (Points : 30)
Question 4. 4. (TCO 1) What is the primary provision of the EMTALA. (Points : 3
Question 5.5.(TCO 3) Use the following data to calculate the variances in problem.
Your hospital has been approached by a major HMO to perform all their MS-DRG 470 cases (major joint procedures). They have offered a flat price of $10,000 per case. You have reviewed your charges for MS-DRG 470 during the last year and found the following profile:
Estimate the variable cost per MS-DRG 470 using the departmental cost/charge ratios and variable cost percentages.
(Points : 10)
Question 6. 6. (TCO 2) How are revenues and expenses defined under accrual accounting? (Points : 10)
Question 7. 7. (TCO 2) What is an accounting entity? (Points : 10)
Question 8. 8. (TCO 5) Define an annuity. (Points : 10)
Question 9. 9. (TCO 5) What avenues are available for for-profit healthcare providers to increase their equity position? (Points : 10)
Question 10. 10. (TCO 6) What is the working capital cycle and why must it be managed? (Points : 10)
Question 11. 11. (TCO 6) Define working capital. What is the difference between working capital and net working capital? (Points : 10)
Question 12. 12. (TCO 5) Explain from your findings in problem 6 why the investment increases in value when the number of compounding periods...