H F M A Latest Update 2024-2025 265 Questions and 100% Verified Correct Answers Guaranteed A+
- CORRECT ANSWER: Whoever knowingly and willfully offers or pays any
remuneration (including any kickback,, bribe, or rebate))directly or indirectly, overtly or covertly, in cash or in kind to induce someone to -refer an indivula to a person for the furnishing or arranging for the furnishing of any item or service for which payment may be made in whole or in part under medicare or
-purchase, lease. Order or arrange for or. recommend purchasing, leasing or ordering any good, facility , service or item for which payment may. be made in whole or in part under medicare
Wil be guilty of a folio girl and upon conviction fined or imprisoned for not more than 5 years or both
2 components of cash management - CORRECT ANSWER: 1) internal cash
management 2)external cash management primarily involves the commercial banking functions
3 basic functions - CORRECT ANSWER: 1-establishment and promulgation of clear
policy on eligibility for cms programs, cover and reimbursement of healthcare services, standards for providers and program administration
2-administration of comprehensive agreements with contractors and states that stipulate the conditions under which cms programs are carried out, the performance standards that must be met in their administration, and the programmatic results that are to be achieved
3-monitoring the performance of contractors and states in administering cms programs.consistent with program and performance standards, as well as the direct monitoring of healthcare providers to make sure that programmatic. Goals are achieved.
- classes of net assets or net position - CORRECT ANSWER: -unrestricted net assets
or net. Position -temporarily restricted net assets or net position -permanently restricted net assets or net position
- types of controls budgets: - CORRECT ANSWER: Operating budgets
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Capital budget Cash budget
4 major sources of long term debt available - CORRECT ANSWER: 1) tax exempt
bonds 2)federal housing admin insured mortgages 3)public taxable bonds 4)conventional mortgage financing
4 phases of Medicare retrospective cost based reimbursement - CORRECT ANSWER:
Phase 1--determining allowable costs Phase2-cost finding phase3-cost apportionment Phase4-determining settlement
A machine costs us 15,000 we will have a net income of 6000 in year 1, 6000 year 2, 2500 year 3, 2500 year 4. The salvage value of the equipment is 2000. Assuming we can borrow money at 15% and the discount factors are .870 for year 1, .756 for year 2, .658 for year 3, and .572 for year 4 should we buy the equipments
- yes
B) no - CORRECT ANSWER: B
6000x.870=5220 6000x.756=4536 2500x.658=1645 2500x.572=1430 2000x.572=1144 Total 13,975
Accounting for current liabilities of health care organizations is similar to that if : A)other business enterprises B)deferred compensation arrangements C)governmental healthcare entities
D)compensated absences - CORRECT ANSWER: A
Provide compensated absences, such as. for holidays, vacations, sabbaticals leaves, and illnesses.
Accounting oversight and internal control LO 1)components of internal control 2)corporate accountability the sarbaens oxley act 3)corp reporting for public companies 4)pcaob
5)auditing processess - CORRECT ANSWER:
Activity based costing - CORRECT ANSWER: Activity based costing is a method of
determining product costs using cost driver as or activity measures, that cause indirect costs to be incurred. Ideal cost drivers are activities that pertain to each procedure in varying amounts.
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ABC is generally considered a more accurate costing method than the proportionate allocation method. It is how're often more expense to determine due to the necessary data collection
Additional data- for department heads to effectively respond to responsibility reporting
and provide variance explanations - CORRECT ANSWER: -org level balance sheet
-state of revenue and expenses -various supporting schedules (department/service line revenue and expenses, key volume statistics, financial ratios, quality factors and trends -capital expenditures as compared with budget for the department and entire organization
Additional reimbursements for inpatient prospective payments - CORRECT ANSWER:
Outliers-cases involving atypical costs Direct medical education-paid on a formula based on cost per resident from the base period
Indirect medical education -paid on a formula based on the increase in the intern and resident to bed ratio
Disproportionate share-ad additional amount determine by a formula. that is based on the percentage of supplemental security income
End stage renal disease services-a formula payment based on the weekly cost of dialysis
Medicare bad debts--medicare deductibles and coinsurance amounts that are not paid by beneficiaries are reimbursed based on an allowable percentage
Uncompensated care-defined by cms as charity and bad debts, which included non medicare. Bad debt and no reimbursable medicare bad debt
Adv and disadvantage of predetermined or synthetic standard - CORRECT ANSWER:
Advantages Minimal development Ease of development and implementation Not based on specific items and not specific to an individual facility Disadvantages Not customized thus less precise Not as well accepted May not be applicable directly to an individual with in a specific facility
Advance funding - CORRECT ANSWER: -new debt is issued for the purpose of
replacing an existing debt issue. 3 / 4
-advance refunding enable providers to restructure their long term liabilities, take adv. of reduced interest rates, or terminate restrictive bond covenants
Advance refunding Generally speaking a debtor may derecognize a liablity if and only if either of the following conditions are met: - CORRECT ANSWER: 1)the debtor pays the creditor and is relieved of its obligation for the liability. paying the creditor includes delivery of cash, other financial assets, goods, or services or re acquisition by the debtor of its outstanding debt securities, whether the securities are canceled or held as so called treasury bonds 2)the debtor is legally. Released from being the primary obligor under the liablity either judicially or by the creditor
Advantages and disadvantages customized or engineered standard - CORRECT
ANSWER: Advantages
More precise More supportable by individual data specific to the entity Offer the opportunity for departmental improvement becuase they are based on actual activity or procedure at hand
Disadvantages Very expensive Time consuming to develope Difficult to understand
Advantages and disadvantages of negotiated or historical standard - CORRECT
ANSWER: Advantages
Easy to develope Less expensive Less disruptive than a customized standard Department involvement and understanding may be better than with a predetermined standard, but less than with a customized standard
Disadvantages Less precise than customized standards Difficult to obtain agreement for change predictions based on historical results
All of the following are true of a bond transaction working except:
- it is formed at the time the borrower decides to begin the process of issue in deb
B)the borrowers management typically works with the organization financial advisor or investment banker to develop a preliminary structure for the debt C)preliminary discussion s with bond counsel may be held to determine any tax consequences D)generally the issuer , the borrower and the underwriter are only represented by legal
counsel at the end of the process - CORRECT ANSWER: D
Legal counsel is and must be involved through out the proces not just at the end.
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