Not-for-profit organizations
A) are content with small profits, whereas business firms want large profits.
B) are more important than business firms in the Canadian economy.
C) use the funds from government grants or from the sale of goods or services to provide service to the public.
D) sell only services, not goods.
E) are not allowed to operate in the manufacturing sector.

Question

Quizplus · Accepted Answer

Not-for-profit organizations rely on funds from government grants or the sale of goods or services to provide services to the public. They do not aim to make a profit for themselves, but rather to benefit the community they serve. Therefore, they are different from business firms, which seek to maximize profits for their owners or shareholders. While not-for-profit organizations may sometimes generate small surpluses, this is not their primary goal. Additionally, it would not be accurate to say that not-for-profit organizations are more important than business firms in the Canadian economy, as both sectors play important roles in creating jobs, generating economic growth, and meeting the needs of consumers.

Not-For-Profit Organizations