Fiction County Sheltered Workshop (FCSW) is a 501(c)(3) corporation. Day Services, a C corporation operating in the same county, has offered to buy FCSW. If this transaction occurs, which of the following happens to the money Day Services will pay for FCSW?

Question

Quizplus · Accepted Answer

When a nonprofit corporation like FCSW is sold, the proceeds from the sale must be used in a manner consistent with its nonprofit status. This typically means the money must be transferred to another nonprofit organization with a similar mission or purpose, ensuring the funds continue to be used for public or charitable purposes.

Fiction County Sheltered Workshop (FCSW) Is a 501(c)(3) Corporation