1. Which of the following is/are primary purposed of a professional strategic financial management function in an organization?
a. make sure that there are sufficient capital funds to support strategies
b. make sure that the available capital is allocated among strategy initiatives according to criteria that maintain creditworthiness and maximize the value created by the organization’s operations
c. track performance of new strategies as they are implemented to ensure they meet financial objectives and to anticipate any developing problems
d. All of the above
2. Which of the following is considered a benefit of formal strategic planning and management for a not-for-profit organization like the American Cancer Society, the Robert Wood Johnson Foundation, or a community health center?
a. Formal strategic planning enhances the efficient utilization of what are normally extremely limited resources.
b. the professionalism expressed by a formal strategic planning process may impress prospective donors and encourage larger contributions.
c. As a result of competent strategic management, a NFP organization is more likely to accomplish its charitable mission.
d. All of the above
3. Which of the following distinguishes public/government agencies from FP and NFP organization?
a. Acceptance of health care responsibilities that FP or NFP organizations generally avoid
b. An authoritarian power structure
c. Extensive strategic planning
d. Higher liabilities
4. Which of the following is true regarding government healthcare agencies?
a. They are under less public scrutiny than their for-profit counterparts.
b. They tend to have a monopoly position and do not have to contend with other agencies for funding.
c. They have a long tradition of vigorous strategic planning and management.
d. They are not subject to the control and influence of stakeholders.
5. Each of the following are of particular importance during strategic financial management except:
a. conducting strategic and financial planning simultaneously and together
b. overriding consciousness of the firm’s creditworthiness and how it will be affected by proposed strategies
c. allocating available capital to strategies through an objective and systematic process
d. periodically tracking the financial performance of implemented strategies