When the nurse manager conducts a qualitative analysis of budget variances, he or she is:
a. determining the percentage increase of supply usage from the last quarter to the current quarter.
b. identifying the overall increase in the dollar amount of salaries paid for overtime.
c. comparing productivity metrics across all nursing units in the facility.
d. reconciling with current conditions the underlying assumptions on which the budget was based.
ANS: D
Correct: Qualitative analysis of the budget explains why current conditions are different than they were when the budget was developed; new conditions might include greater patient acuity or additional physicians with increased admissions.
Incorrect:
a. The percentage of supply increase from last quarter is quantitative.
b. Identifying the degree of salary increase is quantitative; however, explaining why salaries increased would be qualitative.
c. Productivity metrics is a quantitative analysis.
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