Responses
nonprofit organizations do not earn a profit.
nonprofit organizations do not earn a profit.
nonprofit organizations are not businesses.
nonprofit organizations are not businesses.
nonprofit organizations retain profit rather than distribute it to shareholders.
nonprofit organizations retain profit rather than distribute it to shareholders.
nonprofit organizations distribute profit to shareholders via dividends.
1 answer
The correct response is:
nonprofit organizations retain profit rather than distribute it to shareholders.
This is because nonprofit organizations do not operate for the purpose of making a profit for shareholders; instead, any surplus revenue is reinvested into the organization's mission and activities.
