Which of the following statements is true about nonprofit organizations?

Question

Quizplus · Accepted Answer

Nonprofit organizations often rely on donations and grants, which can be limited resources. This can lead to competition between nonprofits for these resources.

Answer: C
 Nonprofit organizations have different goals than for-profit businesses. While they may still need to make a surplus, their ultimate goal is not to maximize profits or shareholder value. However, this does not mean that their managers do not need to develop careful strategies. They still need to carefully allocate resources and ensure the organization is sustainable.

Answer: E
 Nonprofits may still set performance goals, but they may be different from profit-making organizations. Instead of focusing on financial performance, nonprofits may focus on achieving outcomes related to their mission, such as increasing access to education or reducing homelessness.

Therefore, the only true statement is A.

Which of the Following Statements Is True About Nonprofit Organizations