Question

In what way is the Metropolitan Museum a non-profit organization?

a) It pays high salaries to its employees
b) It relies on donations and funding for its operations
c) It sells expensive tickets for admission
d) It invests its profits in the stock market

Answer 1

The Metropolitan Museum of Art is a non-profit because it relies on donations and funding for its operations, and it reinvests any surplus funds into the museum rather than distributing them as profits.

Step-by-step explanation:

The Metropolitan Museum of Art is considered a non-profit organization because it fits the criteria of being a non-profit, namely, that it relies on donations and funding for its operations. While it may charge for admissions and pay salaries, any surplus generated by the museum is not distributed to owners or shareholders, but instead reinvested back into the museum's operations, programs, and services for the public good. The non-profit status also means that the institution receives tax benefits to encourage charitable, educational, and cultural enrichment activities.