Unit Yearly Budgets May Change Based on Variances

question 13

Multiple Choice

Unit yearly budgets may change based on variances.What does the nurse manager understand to be the cause of budget variances?

• A)A change in patient census
• B)An increase in staffing
• C)Implementation of new responsibilities
• D)New management

---

Definitions:

Normal Profit

The minimum level of profit needed for a company to remain competitive in the market, essentially covering opportunity costs.

Nonprice Competition

Strategies used by companies to attract customers through methods other than lowering prices, such as quality improvement, service, or branding.

Product Differentiation

The practice of individualizing a product or service in the marketplace to make it more enticing to a targeted audience.

Monopolistically Competitive

Refers to a market structure where many firms sell similar but not identical products, allowing for some degree of market power and product differentiation.