Which of the Following Is a Legitimate Reason for a Private

question 136

Multiple Choice

Which of the following is a legitimate reason for a private not-for-profit organization to have a surplus (increase in net assets) ?

• A) To establish working capital.
• B) To retire debt.
• C) Both (a) and (b) above.
• D) None of the above, not-for-profits should not have surpluses.

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Definitions:

Impersonal Expressions

Impersonal expressions are phrases or sentences that don't refer directly to a specific person, often used to create a sense of objectivity or formality.

Incentives

Rewards or motivations provided to encourage specific behaviors or actions.

Negative Information

Details or data that present an adverse or undesirable aspect, potentially influencing perceptions or decisions negatively.

Positive Emphasis

A communication strategy that focuses on optimistic or constructive aspects of a message to influence the receiver's perception positively.