Which of the following characteristics would define an organization as governmental?
A) The power to enact and enforce a tax levy.
B) The potential for unilateral dissolution by a government with the net assets reverting to a government.
C) The receipt of grant money from a state or local government for the purpose of providing services to the public.
D) Both A and B

Question

Quizplus · Accepted Answer

The power to enact and enforce a tax levy (A) is a clear characteristic of governmental organizations. Additionally, the potential for unilateral dissolution by a government with the net assets reverting to a government (B) is also a characteristic of governmental organizations. Therefore, both A and B together define an organization as governmental. While receiving grant money from a state or local government (C) may indicate a relationship with the government, it alone does not define an organization as governmental.

Which of the Following Characteristics Would Define an Organization as Governmental