Question

Organizations that are formed to offer services to clients and not make a profit are ____, whereas, ________ are those organizations that are formed to make money, or profits, by offering products or services.
A. for-profit organizations; nonprofit organizations
B. nonprofit organizations; for-profit organizations
C. nonprofit organizations; associations
D. unions; associations
E. co-ops; for-profit organizations

Answer 1

Answer: Option (B)

Explanation:

A nonprofit organization is referred to as or known as a business organization which has been granted the tax-exempt by IRS since its is associated with a social cause and also tends to provide a public benefit. Donations which are made to the nonprofit organization are usually tax-deductible to the individual and organization that tends to make them. Also nonprofit organization does not pays any tax on the donations received.

For-profit corporation is referred to as or known as an organization that tends to aims at earning profit via its operations and thus is mostly concerned or inclined toward it's own interests.