Which of the Following Is a Reason for Governmental and Not-For-Profit

question 38

Multiple Choice

Which of the following is a reason for governmental and not-for-profit entities to incorporate service efforts and accomplishments SEA measures into their management process?

• A)Measuring and reporting upon helps management determine short-term cash flow requirements.
• B)SEA measures allow management to make objective assessments about whether the goals of the government are worth achieving.
• C)SEA reporting fosters sound budgeting and administration.
• D)SEA fosters budgetary compliance and custodianship of resources.

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Definitions:

Par-value Share

A type of share that has a face value or nominal value assigned to it, which is the minimum price at which the shares can be issued.

Secured

A status indicating that a loan or credit has collateral attached to it, ensuring the lender's investment is protected.

Separate Legal Entity

The principle that a corporation exists separately from the people who created it.

Unanimous Shareholders' Agreement

An agreement among all shareholders of a corporation, often detailing the management, control, and direction of the corporation's affairs.