Question 1

A nurse is receiving a telephone order from a physician related to a patient concern.How would the nurse manager classify this nurse activity?&#10;A)Value care&#10;B)Necessary care&#10;C)Nonvalue added care&#10;D)Indirect care&#10;

Accepted Answer

Receiving a telephone order from a physician related to a patient concern is a necessary care activity, as it directly contributes to the patient's treatment and care plan. Value care refers to activities that lead to improved outcomes for the patient or healthcare system, while non-value added care refers to activities that do not directly contribute to patient care or outcomes. Indirect care activities are those that support or facilitate patient care, but do not involve direct interaction with the patient, such as ordering supplies or filling out paperwork.

Question 2

A nurse manager has to submit a budget for the medical-surgical unit.Which considerations should the nurse manager include when planning the budget? Select all that apply.&#10;A)Amount of resources that are available to support the nursing unit&#10;B)Responsibility for cost centers within the hospital facility&#10;C)Awareness of patient needs&#10;D)Staffing patterns&#10;E)Identification of the type of nursing care delivered&#10;

Accepted Answer

The nurse manager should consider the available resources, patient needs, staffing patterns, and the type of nursing care delivered when planning the budget to ensure efficient and effective allocation of funds. Responsibility for cost centers is typically a broader financial management concern.

Question 3

Which budgeting method is reflected by establishment of prioritization at the start of each fiscal year?&#10;A)Zero based&#10;B)Performance&#10;C)Incremental&#10;D)Flat percentage&#10;

Accepted Answer

Zero-based budgeting requires each department to justify all of their expenses for each new period, starting from a "zero base," with every function within an organization being analyzed for its needs and costs. This method involves prioritization of expenses as they must be justified from scratch.

Question 4

When calculating a full-time equivalent (FTE),which information is needed?&#10;A)Productive hours of nursing staff per nursing shift&#10;B)Amount of time that an employee works during the period of a year&#10;C)Average number of patients on a nursing unit on any given day&#10;D)Number of staff who have worked during a 24-hour period&#10;

Accepted Answer

To calculate FTE, one needs to know how much time an employee works during the period of a year. This can be expressed in terms of hours or as a percentage of a full-time employee (e.g. 0.5 FTE means the employee works half the time of a full-time employee). The other options may be useful in measuring productivity or patient load, but are not directly related to FTE calculation.

Question 5

Nurse managers are attending a training session to help them understand and apply concepts relative to budget planning.Which statement by a nurse manager would indicate that the training session has been effective?

A)"Incremental budgeting reflects prioritization of care."
B)"Performance budgeting focuses on individual measurement."
C)"Performance budgeting requires considerable time to implement."
D)"Zero-based budgeting encourages waste."

Accepted Answer

Performance budgeting indeed requires considerable time to implement because it involves a detailed analysis of the performance and outcomes of different programs or departments, rather than just allocating funds based on historical spending patterns. This approach demands thorough planning and evaluation, making it time-intensive.

Question 6

Which nursing action can have a direct impact on budgeting for the nursing unit?&#10;A)A nurse administers pain medication to a patient after performing a pain assessment.&#10;B)A registered nurse (RN)delegates the task of performing a dressing change to a licensed practical nurse (LPN).&#10;C)A nurse makes an attempt to initiate intravenous therapy on a patient only to find that one of the catheters was defective,and thus an additional catheter had to be used.&#10;D)A nurse calls the respiratory therapy department to request a breathing treatment for a patient.&#10;

Accepted Answer

Using an additional catheter due to a defective one can have a direct impact on budgeting for the nursing unit as it increases the cost for supplies. The other choices do not necessarily have a direct impact on budgeting. Administering pain medication, delegating tasks, and requesting treatments are all standard nursing responsibilities that may or may not have a financial impact.

Question 7

Nurse managers from different departments within the hospital are meeting to discuss requests to be submitted for consideration for the hospital's capital budget.Which information should be submitted for budgetary approval?

A)Requests for additional staffing
B)Need for equipment that is projected at a cost greater than nursing unit budget
C)Salaries for staff
D)Advertising requests to promote nursing unit

Accepted Answer

Capital budgets are used for significant investments in the hospital, such as purchasing equipment that exceeds the budget of individual departments. Requests for additional staffing, salaries, and advertising would typically fall under the operating budget, not the capital budget.

Deck 16: Budgeting Concepts