Mention the key advantages and limitations of nonprofit corporations.
What will be an ideal response?
Answers will vary. The following are the key advantages of nonprofit corporations:Earnings are exempt from federal and state income taxes.Members and directors have limited liability.Individuals who contribute money or property to the nonprofit can take a tax deduction, making it easier for these organizations to raise funds from donations.The following are the limitations of nonprofit corporations:It has members (who may pay dues) but cannot have stockholders.It cannot distribute dividends to members.It cannot contribute funds to a political campaign.It must keep accurate records and file paperwork to document tax-exempt status.
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Referring to Table 2.1, the United Kingdom gains most from trade if
a. 1 ton of steel trades for 2 televisions. b. 1 ton of steel trades for 3 televisions. c. 2 tons of steel trade for 4 televisions. d. 2 tons of steel trade for 5 televisions.
Gorilla, Corp implemented a defined-benefit pension plan for its employees on January 2, 2012 . The following data are provided for year 2012, as of December 31 Accumulated benefit obligation $103,000 Plan assets at fair value 78,000 Net period pension expense 90,000 Employer's contribution 70,000 What amount should Gorilla record as additional minimum pension liability at December 31, 2012?
a. $0 b. $5,000 c. $20,000 d. $45,000
Which type of decisions are generally made by following company policies and guidelines that have been put in place to deal with specific issues?
A. executive decisions B. strategy decisions C. programmed decisions D. nonprogrammed decisions
A formal entrance into a contract between a client and an accountant is known as an ________
A) abatement B) arraignment C) easement D) engagement