To Build a Financial Structure Capable of Sustaining an Organization

question 87

Multiple Choice

To build a financial structure capable of sustaining an organization and funding the group's activities, what do most interest groups primarily rely on?

• A)public expenditures and tax credits
• B)grants from charitable foundations
• C)research contracts and royalties from intellectual properties
• D)selling of ancillary services such as insurance or vacation tours
• E)membership dues and voluntary contributions

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Definitions:

Exercise Price

The pre-determined price at which the holder of an option can buy (in the case of a call option) or sell (in the case of a put option) the underlying asset.

Stock Price

The cost of purchasing a single share of a company's stock.

In The Money

refers to a financial term describing an option that has intrinsic value, meaning for a call option, the market price is above the strike price, and for a put option, the market price is below the strike price.

Put Option

A financial contract giving the holder the right, but not the obligation, to sell a specified amount of an underlying asset at a set price within a certain time frame.