In a large health care facility, the executive administrative leaders set the budget goals to decrease full-time equivalents by 3%,
eliminate the cost of agency nurses, reduce lost revenue from lost supplies by 1%, and provide a 0.5% hourly salary incentive for working on a float unit when the assigned unit has a low census. Nurse managers meet with nursing administrators to design their unit budgets to meet these established goals. The budget approach that is being used is the _____ approach.
a. top-down
b. participatory
c. iterative
d. incremental
ANS: A
Correct: Budget goals are established by administrators; unit managers do not contribute to goal setting, which is the primary principle of the top-down approach.
Incorrect:
b. Managers had no input into setting the budgetary goals; in the participatory approach to budgeting, the people responsible for achieving budgetary goals are included in goal setting.
c. The managers did not participate in setting budgetary goals; in the iterative budget approach, upper management defines strategic goals, then unit leaders develop their operating budgets to incorporate individual unit goals in conjunction with strategic goals of the organization.
d. Incremental is not a budgeting approach but rather a budgeting method in which the new budget is developed on the basis of an incremental increase from the prior budgeting period.
You might also like to view...
Which of the following terms denote learning that uses the Internet? Standard Text: Select all that apply
1. E-learning 2. Web-based learning 3. Internet training 4. Online learning 5. Computer-assisted learning
To prevent venous stasis and other circulatory complications, the nurse places pillows under the client's knees or calves
Indicate whether the statement is true or false
When the nurse communicates with a preschool child, he or she should communicate with:
a. fantasy and abstract language c. honesty and concrete language b. magical language d. stories about a hypothetical child
The nurse recommends follow-up auditory testing for a child who was exposed in utero to which one of the following?
a. Excessive oxygen b. Diabetes c. Respiratory infection d. Rubella