Which of the Following Would Result in Higher Income Under

question 7

Multiple Choice

Which of the following would result in higher income under the restricted fund basis as compared to the deferral method for a not-for-profit organization in its first year of operations?

• A)When unrestricted cash donations are received.
• B)When funds are expended on capital assets.
• C)Where pledges are received for a building to be constructed in a future year.
• D)When cash donations are received for land to be purchased in a future year.

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Definitions:

Team Leader

A person who guides, directs, and motivates team members to achieve set goals and objectives.

Negotiating

The process of discussing something formally in order to reach an agreement or compromise between two or more parties.

Moderately Aggressive

A behavior characterized by assertiveness and competitiveness, though not to an extreme or harmful degree.

Moderately Cooperative

Showing a willingness to work with others to a reasonable degree, balancing involvement with independence.