Which of the Following Holds True When Not-For-Profit Organizations Are

question 31

Multiple Choice

Which of the following holds true when not-for-profit organizations are compared with for-profit organizations?​

• A)​Not-for-profit organizations tend to focus their marketing on just one public-their customers.
• B)​Not-for-profit organizations often possess some degree of monopoly power in a given geographical area.
• C)​Not-for-profit organizations depend on strategic alliances with for-profits to provide advertising and visibility.
• D)​A service user of a not-for-profit organization may have more control over the organization's destiny than customers of a profit-seeking firm.

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Definitions:

Cost Driver

A factor, such as machine-hours, beds occupied, computer time, or flight-hours, that causes overhead costs.

Fixed Costs

Costs that do not change with the level of production or sales, such as rent or salaries.

Flexible Budget

A budget that adjusts or varies with changes in volume or activity levels.

Level Of Activity

Refers to the volume of production or operations within a business, which can impact costs and efficiency.