Federal Nursing Home Administrator Practice Exam

How is the average percent of occupancy in a facility calculated?

1. By counting the number of staff

2. By dividing the total census by the total number of days and multiplying by 100

3. By calculating total revenue from bed charges

4. By summing all available beds

The correct answer is: By dividing the total census by the total number of days and multiplying by 100

The average percent of occupancy in a facility is calculated by dividing the total census (the number of residents in the facility at a given time) by the total number of bed days available and then multiplying by 100 to express it as a percentage. This formula provides insight into how effectively the facility is utilizing its available beds and helps in evaluating operational efficiency. Understanding this metric is crucial for nursing home administrators as it directly relates to financial health and resource management. A higher occupancy percentage can indicate a facility's demand and success in attracting residents, while a lower percentage may signal potential issues that need addressing, such as marketing strategies or service improvements. Other options do not provide an accurate method for calculating occupancy. Counting the number of staff does not relate to occupancy rates, calculating total revenue from bed charges focuses on financials rather than physical occupancy, and simply summing available beds does not account for the actual utilization of those beds by residents. Therefore, the correct calculation method is essential for a comprehensive understanding of occupancy in nursing facilities.