Unlike general corporations, not-for-profit corporations have no shareholders and pay no dividends.

Question

Quizplus · Accepted Answer

Not-for-profit corporations are intended to serve a specific social purpose or cause, rather than generating profits for shareholders. As such, they do not have shareholders and are not obligated to pay dividends. Instead, any profits or excess funds are typically reinvested into the organization to further its mission.

Unlike General Corporations, Not-For-Profit Corporations Have No Shareholders and Pay