Management Considerations

Question 1

for profit business

Answer 1

-profits raised by organization distributed to owners
-do NOT qualify for tax exemptions
-assets belong to owners and if company dissolves, distributed according to ownership interest
-raise capital by selling shares of ownership

Question 2

non-profit businesss

Answer 2

-profits raised by organization mnust be recirculated back into organization so it can fulfill its mission
-may qualify for tax exemptions
-assests belong to organization and if they are dissolved, donated to another NP
-raise capital by soliciting personal and business donations through grants

Question 3

feasibility study

Answer 3

-analysis and evaluation of proposed project to determine if its:
1. techincally feasbiel
2. feasible w/in estimated cost
3. profitable