______ funds are created when individuals or organizations contribute resources with the agreement that principal and/or income will be used to benefit individuals or nongovernmental organizations.

Question

Quizplus · Accepted Answer

Private-purpose trusts are created for the purpose of benefiting specific individuals or non-governmental organizations. They are funded by individuals or organizations who contribute resources with the understanding that the principal and/or income will be used for a particular cause or purpose. Agency funds are managed by one organization on behalf of another. Investment trusts are managed like mutual funds, investing in a portfolio of securities. Permanent funds are meant to exist indefinitely, with only the earnings from the principal being used for their designated purposes.

______ Funds Are Created When Individuals or Organizations Contribute Resources