Unlock document.
This document is partially blurred.
Unlock all pages and 1 million more documents.
Get Access
Leadership and Management for Nurses, 3e (Finkelman)
Chapter 5 Healthcare Economics
1) Choose the options that are examples of the microlevel view of healthcare finance. Select all
that apply.
1. Capitation
2. Managed care organization
3. Diagnostic-related groups
4. Budgeting
5. Cost center
2) Which statements regarding United States national healthcare expenditures should be included
in a classroom discussion of the topic? Select all that apply.
1. The largest portion of healthcare expenditures is found in non-hospital services.
2. Healthcare reimbursement in the United States occurs via a pluralistic payment system.
3. Pharmaceuticals and medical supplies do not necessarily affect national healthcare
expenditures.
4. The cost of premiums for employer-based health insurance continues to grow.
5. The average employee contribution to company-provided health insurance is increasing.
3) Which statements, made by a nursing student, would the faculty interpret as a good
understanding of the role of third-party payers in healthcare financing? Select all that apply.
1. Third-party payers have the power to influence care and reimbursement.
2. Third-party payers manage or administer the pool of money from individuals who decide to
join an insurance plan.
3. Third-party payers carry all the financial risk for healthcare.
4. Third-party payers pay or underwrite coverage for healthcare for another entity.
5. Third-party payers use reimbursement strategies primarily aimed at reducing the financial risk.
4) Which payment method offers to pay the provider a specific percentage of the provider's usual
charge?
1. Discounted fee-for-service
2. Per diem rates
3. Diagnosis-related groups
4. Capitation
5) Which statement best describes the impact diagnosis-related-groups (DRGs) have on the
healthcare system?
1. Coordination of all aspects of care has become less critical with this system.
2. The focus has changed from how much it costs to provide the care required to how much a
provider will be paid.
3. This system requires nurses to document care accurately.
4. Hospitals face a strong financial incentive to reduce the length of stay and minimize
procedures performed.
6) From this list of patients, choose the ones that would be eligible to receive Medicare Part A
benefits without paying premiums. Select all that apply.
1. An unemployed 16-year-old mother of a 6-month-old infant.
2. A 45-year-old father of three children receiving governmental financial assistance.
3. A 75-year-old retired postal worker who receives Social Security benefits.
4. A 66-year-old woman who never worked outside the home, but whose husband had Medicare-
covered government employment.
5. A 35-year-old man who can no longer work due to end-stage renal disease.
7) What is an important result of trying to lower hospital admissions that impacts acute care
nursing?
1. Patients are sicker on admission requiring more care.
2. Primary care has increased in the system.
3. The goal is to reduce Medicare readmissions within 40 days of discharge.
4. There is more staffing to care for patients in acute care.
8) You have been a nurse manager for 2 months and are told that the budget process will begin.
You ask for information about the process. What would you be told? Select all that apply.
1. The CNO and the CFO are responsible for the nursing department budget.
2. The budget is prepared and submitted to the CEO.
3. Your role is to act as a reviewer of the nursing department budget.
4. Budgeting requires compromises during the process.
5. Annual budgets are developed in a short-time period, such as a month.
9) The nurse managers of a hospital are working to identify the physical skills and actual nursing
time spent to accomplish specific procedures. This work is most closely associated with which
type of reimbursement strategy?
1. Discounted fee-for-service
2. Diagnostic-related group
3. Capitation
4. Resource-based relative value scale
10) The staff at a primary care office is asked to document the time the patient checks in, the
time the patient is called into the exam room, and the time the patient is checked out. This is an
example of what managed care strategy?
1. Provider performance
2. Length of stay management
3. Capitation
4. Formularies
11) The nursing unit is being asked to decrease costs by 10% this year. The manager takes this
request to the nursing staff for suggestions to meet the goal. Which suggestions would be helpful
in this endeavor?
1. Liability that is incurred from the acquisition of an asset
2. Costs that do not increase or decrease due to changes in volume
3. Smallest functional unit
4. A financial statement identifying assets and liabilities
5. A decrease in the organization's equity due to operations
Choices:
Balance sheet
Cost center
Expense
Fixed costs
Indirect costs
Liability
12) The nurse manager has been asked by the administration to research nursing salaries paid by
hospitals across the United States. Which factor is this nurse researching?
1. Variable costs
2. Unit of service
3. Indirect overhead
4. Wage index
