A not-for-profit organization incurred $10,000 in management and general expenses in the current fiscal year. In the organization's statement of activities prepared in conformity with FASB standards, the $10,000 would be reported as:

Question

Biology

Lucas Fox

27 February, 01:31

A not-for-profit organization incurred $10,000 in management and general expenses in the current fiscal year. In the organization's statement of activities prepared in conformity with FASB standards, the $10,000 would be reported as:

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Answers (1)

Know the Answer?

Annalise Figueroa · Answer 1

The answer is: Supporting services expenses.

Explanation:

It is important to properly list the expenses of a nonprofit organization, this requires the management and categorization of each expense made by the institution. This is mainly required by donors who support the organization, and is a good way to prevent fraud and misuse of the money raised.