Question

Multiple choice Not For Profit Managment chapter 7 by Michael J Worth:

1.Betty’s Animal Farm has reached its maximum animal capacity and the board of director’s needs to decide whether to expand building capacity or to close the nonprofit. Betty’s Animal Farm has reached which stage of the nonprofit life cycle?

	a.	Produce and sustain.
	b.	Ground and grow.
	c.	Imagine and inspire.
	d.	Review and renew.

2.The Cat Shack nonprofit organization’s operating fund grew rapidly but has decreased greatly. According to Brothers and Sherman The Cat Shack would be at what stage of the life cycle?

	a.	Sustained arc.
	b.	High arc.
	c.	Middle arc.
	d.	Low arc .

3.Older nonprofit organization are less likely than younger organizations to focus on:

	a.	Ignoring strategic plans.
	b.	Applying organizational assessment tools.
	c.	Reducing bureaucratic practices.
	d.	Building relationships.

Answer 1

Answer 1 : d. Review and renew.

Note : During the review and renew stage of the non profit life cycle, organization determines whether to expand its operations or close the organization when the maximum capacity is been reached.

Answer 2 : b. High arc.

Note : As the organizations fund has increases and decreased rapidly therefore has reached the high arc stage where the revenue of the organization suddenly increases while decrease rapidly.

Answer 3 : d. Building relationships.

Note : As young organization try to create the market position therefore they concentrate upon building relationship with their suppliers, customers etc.