Question

A hospital offers several outreach and educational programs which positively impact the community in which it serves. Which of the following is not a reason why it would be in the organization’s best interest to chronicle each initiative, quantifying community impact where possible?

A)Community benefit reporting B)Tax exempt status justification C)Justification of payment in lieu of tax levels D)To justify management compensation

Answer 1

Answer:

Option A is not a reason

Explanation:

The hospital is affecting the community, it may not be in the best case of itself to possess community benefit reporting. This is noticeable and visible in the state it assists. Therefore, Community benefit reporting(Option A) is not a reason.

Though, the two options (Option B & Option C) can be needed to describe or maintain the firm's stand to tax help or government officials as well as spectators.

Furthermore, to draw the most suitable management specialists to do excellent jobs, the management shall need to prove management benefits(Option D) to its private stockholders.

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