HAC Internal Controls & Fraud Prevention 2

Question 1

Which element of the COSO framework addresses an organization's shared values, ethics, and operating style?

Accepted Answer

Control Environment

Answer

The Control Environment is the foundation of the COSO framework and sets the tone through shared values, ethics, and management's operating style.

Question 2

A healthcare billing department employee creates fictitious patient accounts and posts payments to those accounts. This best describes which fraud scheme?

Accepted Answer

Ghost patient fraud

Answer

Ghost patient fraud involves creating fictitious patients to divert payments or inflate revenue figures.

Question 3

Under the False Claims Act, the qui tam provision allows:

Accepted Answer

Private individuals to file lawsuits on behalf of the government and share in any recovery

Answer

The qui tam provision lets private whistleblowers (relators) file FCA lawsuits on the government's behalf and receive 15–30% of any recovery.

Question 4

When an accounts payable clerk both approves invoices and issues payment checks, which internal control principle is violated?

Accepted Answer

Separation of duties

Answer

Separation of duties requires that authorization, custody, and recordkeeping functions be divided among different employees.

Question 5

A hospital CFO notices that supply expense increased 18% while patient volume grew only 4%. Which analytical procedure best investigates this discrepancy?

Accepted Answer

Ratio analysis of supply cost per adjusted patient day

Answer

Ratio analysis of supply cost per adjusted patient day normalizes for volume and isolates whether unit costs genuinely rose.

(HAC) Healthcare Accounting Certification Practice Test

(HAC) Healthcare Accounting Certification Practice Test

HAC Internal Controls & Fraud Prevention 2