Question

Budgeting in not-for-profit organizations

a. is not important because they are not profit-oriented.
b. usually starts with budgeting expenditures, rather than receipts.
c. is necessary only if some product is produced and sold.
d. consists entirely of budgeted contributions.

Answer 1

Budgeting in not-for-profit organizations usually starts with budgeting expenditures, rather than receipts, and is important for effective resource management and fulfilling the organization's mission.

Step-by-step explanation:

Budgeting in not-for-profit organizations usually starts with budgeting expenditures, rather than receipts.

This is because not-for-profit organizations typically rely on donations and grants, which are predictable and steady sources of income.

The budgeting process in not-for-profit organizations involves estimating and allocating funds for various programs and services that the organization provides.

It is important for not-for-profit organizations to carefully manage their resources and ensure that funds are used effectively to fulfill their mission and serve their beneficiaries.