Certified Nurse Manager and Leader (CNML) Practice Test

What do operating expenses typically include?

1. Salaries, supplies, and non-productive time

2. Only salaries and office supplies

3. Mortgage payments of the healthcare facility

4. Funding for community health initiatives

The correct answer is: Salaries, supplies, and non-productive time

Operating expenses represent the costs that a healthcare facility incurs during its normal operations. This includes a broad range of expenses essential for running the organization effectively. Salaries are a significant part of operating expenses since they are recurring and necessary for staff to deliver care and maintain services. Additionally, supplies contribute to operational costs, covering everything from medical supplies to equipment needed for day-to-day activities. Non-productive time is also included, as it accounts for hours paid to staff that may not directly contribute to patient care, such as training or administrative work. The comprehensive nature of operating expenses is vital to understanding the financial health of a facility. Items like mortgage payments would typically fall under fixed costs rather than operating costs, as they are not directly related to the day-to-day expenses of running the facility. Similarly, funding for community health initiatives is often handled separately from operating expenses and does not directly reflect the costs essential for maintaining normal operations. Thus, the inclusion of salaries, supplies, and non-productive time accurately captures what operating expenses typically encompass.