ACE ACE Financial Management & Duplicate Discount Prevention

Question 1

How is the 340B ceiling price for a drug generally calculated?

Accepted Answer

Average Manufacturer Price (AMP) minus the Unit Rebate Amount (URA)

Answer

Average Wholesale Price (AWP) minus 15%

Answer

Wholesale Acquisition Cost (WAC) plus a 5% handling fee

Answer

Best Price divided by two

Question 2

What is the primary financial benefit that 340B covered entities derive from the program?

Accepted Answer

The ability to purchase outpatient drugs at significantly discounted prices, generating savings

Answer

Federal grants deposited directly into the entity's operating account

Answer

Exemption from state pharmacy licensing fees

Answer

Priority access to Medicare Part D formularies

Question 3

According to the 340B statute, how should savings generated by the program be used?

Accepted Answer

Reinvested to expand services and reduce costs for vulnerable and underserved patients

Answer

Transferred to the federal government as a tax payment

Answer

Paid as bonuses to the covered entity's executive leadership

Answer

Deposited into a restricted reserve fund inaccessible for five years

Question 4

What financial metric is most commonly used by covered entities to demonstrate the value of their 340B program?

Accepted Answer

340B savings (the difference between acquisition cost and reimbursement or market price)

Answer

Total number of prescriptions filled per year

Answer

The entity's overall operating margin

Answer

Number of contract pharmacy locations registered

Question 5

What is the role of the Office of Pharmacy Affairs (OPA) in relation to 340B ceiling prices?

Accepted Answer

OPA oversees the 340B program and maintains the ceiling price database accessible to covered entities

Answer

OPA sets retail drug prices for all US pharmacies

Answer

OPA negotiates drug prices directly with foreign governments

Answer

OPA manages Medicare Part B reimbursement rates

Question 6

If a manufacturer charges a covered entity more than the 340B ceiling price, what recourse does the entity have?

Accepted Answer

Submit a dispute through the HRSA Administrative Dispute Resolution (ADR) process

Answer

File a complaint with the FDA's Center for Drug Evaluation and Research

Answer

Sue the manufacturer in federal district court directly

Answer

Request a price adjustment from the wholesaler only