Private Not-For-Profit Entities Are Usually Primarily Concerned with Which of the Following

question 20

Multiple Choice

Private not-for-profit entities are usually primarily concerned with which of the following performance measures?

• A) Their Program Expense Ratio.
• B) Return on Investment.
• C) Change in Net Assets.
• D) Ending Unrestricted Net Assets.

---

Definitions:

Novation

The act of replacing one obligation with another by mutual agreement between all parties involved, essentially creating a new contract while cancelling the old one.

Right of Recovery

The legal ability to reclaim goods or compensation under the terms of an agreement or through legal proceedings.

Trustee

A person licensed to receive and dispose of the assets of a bankrupt, then distribute the proceeds to the creditors.

Beneficiary

An individual or entity entitled to receive benefits or assets from a trust, will, or life insurance policy.