Which of the Following Statements About a Not-For-Profit Firm's Fund

question 8

Multiple Choice

Which of the following statements about a not-for-profit firm's fund capital is most correct?

• A) The sole source of fund capital is the excess of revenues over expenses.
• B) Fund capital has a zero opportunity cost.
• C) Fund capital can only come from donations.
• D) Fund capital does not change over time.
• E) Fund capital is equivalent to equity capital in investor-owned firms.

---

Definitions:

Freed Slaves

Individuals who were emancipated from slavery, especially in the United States following the Civil War.

Democrats

Members or supporters of the Democratic Party in the United States, one of the two major contemporary political parties, traditionally aligned with liberal policies and principles such as civil rights, social welfare, and labor rights.

Elections

The process through which individuals are selected for public office by voters, often through a democratic process involving casting ballots.