1. A nurse manager is responsible for overseeing the

budget of a hospital unit. She notices that the unit has been

spending more than the allocated amount on supplies and

equipment. What is the best strategy for her to reduce the

spending and stay within the budget?

a) Order supplies and equipment in bulk to get discounts

b) Negotiate with vendors for lower prices and better terms

c) Implement inventory control and monitor usage patterns

d) Cut down on staff hours and overtime pay

*Answer: c) Implement inventory control and monitor

usage patterns*

Rationale: Inventory control is a process of managing the

quantity, quality, and cost of supplies and equipment. It

involves tracking the inventory levels, ordering supplies

and equipment when needed, and avoiding overstocking or

understocking. By implementing inventory control, the

nurse manager can reduce wastage, theft, and spoilage of

supplies and equipment, and optimize the usage patterns

according to the demand and availability. Ordering in bulk,

negotiating with vendors, and cutting down on staff hours

may not be feasible or effective strategies for reducing

spending and staying within the budget.

2. A health insurance company is considering

implementing a value-based payment model for its

providers. This model rewards providers for delivering

high-quality care at lower costs, rather than paying them

based on the volume of services they provide. What are

some of the benefits of this model for the health insurance