A Voluntary Health and Welfare Organization Received Unrestricted Cash Donations

question 78

Multiple Choice

A voluntary health and welfare organization received unrestricted cash donations of $20,000 from donors who attended a dinner held for the benefit of the organization.The costs of the dinner,including room rental,and other expenses,amounted to $7,000.On the statement of activities prepared for the voluntary health and welfare organization,the expenses of the dinner should be:

• A)reported as management and general expenses.
• B)netted against the $20,000 of contribution revenue.
• C)reported as fundraising costs.
• D)reported as programmatic expenses.

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Definitions:

Actor-Observer Effect

The tendency to attribute one's own actions to external causes while attributing others' actions to their character or personality.

Interested

Having an attraction or curiosity about something or someone.

Uninterested

describes a lack of interest or concern about something or someone.

Actor-Observer Effect

A psychological phenomenon where people tend to attribute their own actions to external factors while attributing others' actions to internal characteristics.