Which Is an Accurate Statement About the Positive Correlation Found

question 19

Multiple Choice

Which is an accurate statement about the positive correlation found between companies' sustainability performance and traditional financial performance?

• A) Efficient cost-cutting is likely to reduce the consumption of energy, water, packaging, and other resources
• B) Environmentally responsible companies are much more likely to underperform in the long run
• C) More social and environmental responsibility is negatively correlated with traditional financial performance
• D) All of these are accurate

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Definitions:

Pledges Receivable

Commitments made by donors to give a specific amount of money to an organization over a set period, recognized as receivables in accounting.

Donation Revenue

Income received by a non-profit organization through voluntary financial contributions from individuals, corporations, or other entities.

Provision for Uncollectible Pledges

Provision for Uncollectible Pledges is a reserve or expense recognized by nonprofits or businesses for pledges or receivables that are likely not to be collected.

Bad Debt Expense

Bad Debt Expense represents a charge to account for invoices that are not expected to be collected due to customers' inability to fulfill payment obligations.