Question

Carroll Design decided to give 10% of the proceeds from its recent IPO to the Greater Cincinnati Foundation to establish a donor advised fund so GCF can make scholarships to marginalized youth selected by Carroll. This action is considered ______.

Answer 1

Carroll Design's contribution of proceeds from its IPO to create a scholarship fund for marginalized youth via a donor advised fund is an act of corporate philanthropy, signifying social responsibility and community investment.

Step-by-step explanation:

The action described in the student's question, where Carroll Design decided to give 10% of the proceeds from its recent IPO to the Greater Cincinnati Foundation to establish a donor advised fund for scholarships to marginalized youth, is considered corporate philanthropy. This form of support is when a company donates some of its profits or resources to charitable causes. By establishing the fund, Carroll Design not only demonstrates social responsibility but also potentially improves its public image, engages employees, and invests in the community's future growth and well-being.