Which of the Following Is Not a Distinguishing Characteristic of a Private

question 41

Multiple Choice

Which of the following is not a distinguishing characteristic of a private not-for-profit organization according to FASB Statement No. 116?

• A) Operating purposes other than to provide goods or services at a profit.
• B) Absence of ownership interests like those of business enterprises.
• C) Commonly financed through voluntary contributions.
• D) Operate for the direct benefit of members.

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Definitions:

Motivating

The act of encouraging someone's excitement or eagerness to engage in an activity.

Inspiring

The act of motivating and stimulating others to engage, envision, or perform towards achieving particular goals or ideals with enthusiasm.

Resource Allocator

A role or mechanism within an organization responsible for distributing and managing resources effectively.

Distributing Resources

The process of allocating financial, human, and material resources among various projects, departments, or units within an organization.