Which of the following is not a feature of not-for-profit organisation?
(a) It is a separate legal entity.
(b) It is owned by an individual or group of individuals.
(c) It prepares its financial statements every year.
(d) It does not have a profit motive.
Answers
Answer:
I think (a) is the answer
Answer:
The correct option is B i.e., It is owned by an individual or group of individuals.
Explanation:
Not-For-Profit Organization is the organization which did not do its work to make profit instead of its main objective and work to achieve a specific goal for the welfare of the society or its members . It is also known as non-profit organizations.
The type of organization primarily runs its operations on donations, admission fees, membership fees or membership fees.
Characteristics of not for profit organisation:
1. Not-for-profit organisation is a separate legal entity promoted by individual or enterprises.
2. Their purpose is to further cultural, educational, religious, professional objective and rendering service to people at large.
3. It is set-up as a charitable society or trust.
4. Not-for -profit organisation does not function with the objective of earning profit.
5. Not-for-profit organisatio is managed by a group of individual often called Trustee or Managing Committee.
So, Not-for-profit organisation is managed by group not owned by an individual or group of individual.
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