Which of the following is a legitimate reason for a private not-for-profit to generate a surplus?

Question

Quizplus · Accepted Answer

A private not-for-profit organization may generate a surplus for various reasons, including retiring debt and establishing working capital. Retiring debt can help in maintaining a good credit rating, which can attract more investors and supporters. Establishing working capital can ensure the financial stability of the organization and enable it to fund various programs and activities. Thus, both options A and B are legitimate reasons for a private not-for-profit organization to generate a surplus.

Which of the Following Is a Legitimate Reason for a Private