Assets of the unrestricted fund of a nonprofit organization may be transferred to a restricted fund by the organization's board of directors.

Question

Quizplus · Accepted Answer

Assets of an unrestricted fund are freely available for use in any of the organization's operations, while assets in a restricted fund are subject to limitations set by donors or grantors. The organization's board of directors cannot transfer assets from an unrestricted fund to a restricted fund without violating the terms set by the donors or legal restrictions.

Assets of the Unrestricted Fund of a Nonprofit Organization May