An Alliance Between a Not-For-Profit Organization and a For-Profit Organization

question 13

Multiple Choice

An alliance between a not-for-profit organization and a for-profit organization:

• A)rarely benefits either party.
• B)often benefits both parties.
• C)typically benefits the not-for-profit more than the for-profit.
• D)typically benefits the for-profit more than the not-for-profit.

---

Definitions:

Liabilities

Financial obligations or debts that a company owes to others, which must be settled over time through the transfer of economic benefits including money, goods, or services.

Contingent Liabilities

Contingent liabilities are potential liabilities that may occur depending on the outcome of a future event.

Account

A record in bookkeeping that tracks financial transactions of a specific type, such as assets, liabilities, expenses, or revenue.

FUTA

The Federal Unemployment Tax Act, a United States federal law that imposes a payroll tax on businesses to fund state workforce agencies.