MHA Cheat Sheet 2026

The 30 highest-yield MHA facts, distilled from real exam questions. Print it, save it as a PDF, or study it here — free, no sign-up.

1. In healthcare operations, what is a 'kanban' system used for? → A visual inventory management system that signals when supplies need to be reordered
2. Which financial statement shows a healthcare organization's revenues, expenses, and net income over a specific period? → Income statement
3. Which reimbursement model pays providers a set amount per patient per month regardless of services used? → Capitation
4. The Hospital Readmissions Reduction Program (HRRP) penalizes hospitals for excess readmissions primarily to: → Incentivize better discharge planning and post-acute care coordination
5. Which US health policy act protects employees' rights to continue employer-sponsored health coverage after leaving a job? → COBRA
6. In healthcare finance, the difference between a hospital's charges and the actual payments received from payers is called: → Contractual adjustment (or allowance)
7. Which budgeting approach starts from a zero base each period, requiring all expenses to be justified anew? → Zero-based budgeting
8. Medicare Part A primarily covers: → Inpatient hospital stays, skilled nursing facilities, hospice, and some home health care
9. The organization or facility itself doing a compliance evaluation to search for irregularities, mistakes, and other misbehavior. → Internal Audit
10. Operational plans are used by managers to __. → Regulate the day-to0day affairs of each department
11. The Medicare Prospective Payment System (PPS) was introduced in 1983 primarily to address which problem? → Rapid escalation of hospital costs under cost-based reimbursement
12. Under the Navy Directive Issuance System, a notice has the same legal significance as an order. → False
13. What is the name of the well-known feedback system that W. Edwards Deming created? → Plan-Do-Check-Act
14. Which process improvement methodology uses Define, Measure, Analyze, Improve, and Control phases? → Six Sigma DMAIC
15. What source would you consult for formatting guidelines and examples for a naval message? → Navy Correspondence Manual
16. The 'two-midnight rule' issued by CMS is relevant to which aspect of hospital reimbursement? → Determining when a patient qualifies for inpatient admission status versus observation
17. Under value-based purchasing (VBP) programs, hospitals that perform poorly on quality metrics face: → A reduction in their Medicare base payment rates
18. What does 'operating margin' indicate about a healthcare organization? → The percentage of revenue remaining after all operating expenses
19. Which of the following is a primary responsibility of the Occupational Safety and Health Administration (OSHA) within a healthcare organization? → Enforcing standards to ensure a safe and healthy work environment for employees.
20. What is the primary purpose of Diagnosis-Related Groups (DRGs) in hospital reimbursement? → To reimburse hospitals a fixed amount based on patient diagnosis
21. What does the 'dual eligible' designation mean in US health coverage policy? → Individuals who qualify for both Medicare and Medicaid simultaneously
22. Which payment arrangement places the greatest financial risk on the provider organization? → Global capitation with full risk for all services
23. Under value-based purchasing (VBP), Medicare adjusts hospital payments based primarily on what? → Quality and patient experience scores
24. What is the 'Medicare disproportionate share hospital' (DSH) adjustment designed to do? → Provide additional payment to hospitals serving a high proportion of low-income patients
25. The NAVMED 6320/19 What time must the daily Morning Report of the Sick be handed in to the commanding officer? → 1000
26. A Federally Qualified Health Center (FQHC) receives what type of enhanced reimbursement from Medicare and Medicaid? → A Prospective Payment System (PPS) rate based on encounter type
27. Virus or bacteria that can make you sick or sicken you. → Pathogen
28. A strategy for compensating a provider in one go depending on the expected level of care for a certain illness. → Episodic care
29. Which hospital operational metric measures the percentage of staffed beds occupied by patients? → Bed occupancy rate
30. Which federal program provides health insurance coverage to individuals aged 65 and older and certain disabled persons? → Medicare