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Sample Test

Chapter 3 – Theories of the Nonprofit Sector and Nonprofit Organizations

TEST BANK

 

1.    Sociologists describe nonprofits as:

2.    the basis of a nation’s economy.

3.    the voice of the people.

4.    organizations that engage in irrational acts.

*d. mediating structures.

Answer Location: Nonprofit Theory across the Disciplines

Learning Objective: 3-1

Cognitive Domain: Knowledge

Question Type: MC

 

2.    Those who benefit without paying are called:

*a. free riders.

1.    externalities.

2.    consumers.

3.    resource leeches.

Answer Location: The Failure Theories

Learning Objective: 3-3

Cognitive Domain: Knowledge

Question Type: MC

 

3.    The type of market failure in which a breakdown in the ideal or typical relationship between a buyer and seller occurs is called:

4.    information asymmetry.

*b. contract failure.

1.    government failure.

2.    demand heterogeneity.

Answer Location: Market and Government Failures

Learning Objective: 3-1

Cognitive Domain: Knowledge

Question Type: MC

 

4.    This theory attributes the existence of nonprofit organizations to the vision and initiative of individuals who have created and built them.

5.    Failure theory

6.    Supply side theory

7.    Altruism theory

*d. Entrepreneurship theory

Answer Location: Supply-Side Theories

Learning Objective:3-1

Cognitive Domain: Knowledge

Question Type: MC

 

5.    According to Lohmann, after private goods and public goods, what is the third category of goods?

6.    Charitable goods

*b. Common goods

1.    Tax-exempt goods

2.    Dry goods

Answer Location: Theory of the Commons:An Interdisciplinary Approach

Learning Objective: 3-2

Cognitive Domain: Knowledge

Question Type: MC

 

6.    Salamon identifies nonprofitsas:

*a. self-governing.

1.    controlled by the government.

2.    controlled by individual owners.

3.    controlled by corporate sponsors.

Answer Location: Characteristics of Nonprofit Organizations

Learning Objective: 3-4

Cognitive Domain: Knowledge

Question Type: MC

 

7.    The is a guide for actions taken by nonprofit organizations and the principal standard against which performance should be measured.

8.    charter

9.    business plan

*c. mission statement

1.    core of values

Answer Location: Characteristics of Nonprofit Organizations

Learning Objective: 3-4

Cognitive Domain: Knowledge

Question Type: MC

 

8.    Nonprofits are driven by:

9.    the need to maximize profit.

*b. achievement of the missions for which they exist.

c.the need to meet the expectations of a majority.

1.    the success of fund-raising campaigns.

Answer Location: Characteristics of Nonprofit Organizations

Learning Objective: 3-4

Cognitive Domain: Knowledge

Question Type: MC

 

9.    enables the system to adapt to changing circumstances.

10.  Internal dynamics

11.  External forces

12.  Bureaucracies

*d. Feedback

Answer Location: Nonprofits as Open Systems

Learning Objective: 3-4

Cognitive Domain: Knowledge

Question Type: MC

 

10.  This type of system is entirely self-sufficient and impervious to influences from its environment.

11.  Nonprofit system

12.  Open system

*c. Closed system

1.    A hybrid system

Answer Location: Nonprofits as Open Systems

Learning Objective: 3-4

Cognitive Domain: Knowledge

Question Type: MC

 

11.  This theory explains the behavior of organizations in terms of their dependence on external constituencies.

*a. Resource dependence theory

1.    Institutional theory

2.    Supply-side theory

3.    Theory of the commons

Answer Location: Resource Dependency

Learning Objective: 3-3

Cognitive Domain: Knowledge

Question Type: MC

 

12.  One significant risk of resource dependency is actions taken by the nonprofit to alter its goals and activities to satisfy the contributor of funds. This is also called:

13.  performance measurement.

*b. goal displacement.

1.    information asymmetry.

2.    population ecology.

Answer Location: Resource Dependency

Learning Objective: 3-3

Cognitive Domain: Comprehension

Question Type: MC

 

13.  One way to reduce dependency and thus maintain more autonomy is to:

14.  use a single source of revenue.

15.  lobby for more government assistance.

16.  rewrite the mission statement.

*d. diversify the sources of revenue.

Answer Location: Resource Dependency

Learning Objective: 3-3

Cognitive Domain: Knowledge

Question Type: MC

 

14.  The concept that maintains that organizations in the same field become more like each other as a result of facing similar influences from their environments is:

15.  institutional theory.

16.  goal displacement.

*c. isomorphism.

1.    task environment theory.

Answer Location: Resource Dependency

Learning Objective: 3-3

Cognitive Domain: Knowledge

Question Type: MC

 

15.  refers to the tendency of organizations to mimic each other, specifically in models to be adopted.

*a. Mimetic isomorphism

1.    Coercive isomorphism

2.    Normative isomorphism

3.    Institutional isomorphism

Answer Location: Isomorphism

Learning Objective: 3-3

Cognitive Domain: Knowledge

Question Type: MC

 

16.  Normative isomorphism arises when organizations are influenced by the same standards of:

17.  achievement.

*b. professional practice.

1.    bureaucracy.

2.    mimicry.

Answer Location: Isomorphism

Learning Objective: 3-3

Cognitive Domain: Knowledge

Question Type: MC

 

17.  When individuals do not have complete information or lack the ability to understand or judge the quality of the good they seek to purchase, there is:

18.  goal displacement.

19.  resource dependency.

*c. information asymmetry.

1.    consumer ignorance.

Answer Location: Market and Government Failure

Learning Objective: 3-1

Cognitive Domain: Comprehension

Question Type: MC

 

18.  An approach taken by some sociologists to explain the birth and death of organizations, which analyzes organizations in terms of population density, is:

19.  feedback.

20.  isomorphism.

21.  voluntary culture.

*d. population ecology.

Answer Location: Nonprofits as Open Systems

Learning Objective: 3-1

Cognitive Domain: Knowledge

Question Type: MC

 

19.  Great companies that produce excellent results have:

*a. strong cultures.

1.    weak cultures.

2.    flexible cultures.

3.    relaxed cultures.

Answer Location: Organizational Culture

Learning Objective: 3-3

Cognitive Domain: Comprehension

Question Type: MC

 

20.  According to Edgar Schein, logos, ceremonies, and symbols belong to this defined category of culture.

21.  Basic values

22.  Basic assumptions

23.  Voluntaristic values

*d. Artifacts and creations

Answer Location: Organizational Culture

Learning Objective: 3-3

Cognitive Domain: Knowledge

Question Type: MC

 

21.Mary is writing strict organizational policies for a public sector organization.Mary is practicing:

*a. bureaucracy.

b.open systems theory.

c.business sector practices.

d.experimentation.

Answer Location:Nonprofit Theory across the Disciplines

Learning Objective:3-1

Cognitive Domain:Comprehension

Question Type:MC

 

22.A nonprofit organization replaced the windows and painting the building it occupies.The beautification enhanced the image of the organization and improved the property values of the residences located across the street.This is an example of a(an):

a.nominal externality

1.    negative externality

*c.positive externality

d.neutral externality.

Answer Location:The Failure Theories

Learning Objective:3-1

Cognitive Domain: Comprehension

Question Type:MC

 

23.Mary went grocery shopping for food to feed her family.Mary is buying:

1.    public goods.

*b.private goods.

c.personal goods.

d.external goods.

Answer Location:The Failure Theories

Learning Objective:3-1

Cognitive Domain:Comprehension

Question Type:MC

 

24.A nonprofit organization is decides to manufacture its own brand of aspirin to sell to its clients.The nonprofit is applying:

a.altruism.

b.market failure theory.

c.gap failure.

*d.supply-side theory.

Answer Location:Nonprofit as Gap Fillers

Learning Objective:3-1

Cognitive Domain: Comprehension

Question Type:MC

 

25.A nonprofit organization provides training sessions to encourage its volunteers to embrace the organization’s vision, mission, and values.The nonprofit is applying:

a.market theory.

*b.institutional theory.

c.open systems theory.

d.closed systems theory.

Answer Location:Isomorphism

Learning Objective: 3-3

Cognitive Domain:Comprehension

Question Type:MC

 

26.Board members of a nonprofit organization are calculating the salary offer for a new CEO.The board wants to ensure the salary pays the new CEO fairly for the knowledge and skills he will provide the organization.The board members are practicing:

*a.nonprofit distributing.

b.noncompulsory distributions.

c.open compensation.

d.closed competition.

Answer Location:Characteristics of Nonprofit Organizations

Learning Objective:3-3

Cognitive Domain:Comprehension

Question Type:MC

 

27.Max Weber’s idea of bureaucracy as an ideal model for managing organizations is known as:

a.an organizational artifact.

*b.bureaucracy.

c.a learning organization.

d.a closed system.

Answer Location:Nonprofits as Open Systems

Learning Objective:3-4

Cognitive Domain:Knowledge

Question Type:MC

 

28.The CEO of a nonprofit organization is preparing a data information system to monitor if organizational donations are meeting an organizational goal.The CEO is controlling his organization’s performance through the use of:

a.input measures.

b.impact measures.

*c.outcome measures.

d.mimetic measures.

Answer Location:Resource Dependency

Learning Objective:3-1

Cognitive Domain:Comprehension

Question Type:MC

 

29._______ scientists study nonprofits organizations from the perspective of power relationships between citizens and government.

a.Behavioral

b.Business

c.Sociology

*d.Political

Answer Location:Nonprofit Theory across the Disciplines

Learning Objective:3-1

Cognitive Domain:Knowledge

Question Type:MC

 

30.A majority of citizens in a community do not agree with a minority of citizens that the community needs a nonprofit organization to serve the needs of homeless citizens.This sentence is an example of:

*a.demand heterogeneity.

b.governmentfailure.

c.an externality.

d.an interdisciplinary perspective.

Answer Location:Market and Government Failure

Learning Objective:3-1

Cognitive Domain:Comprehension

Question Type:MC

 

31.  Nonprofit functions differ from government in that they have more flexibility in responding to the interests and needs of diverse groups.

*a. True

1.    False

Answer Location: Nonprofit Theory across the Disciplines

Learning Objective: 3-4

Cognitive Domain: Comprehension

Question Type: TF

 

32.  Nonprofits are not allowed to undertake experimentation with regard to research and development of new programs.

33.  True

*b. False

Answer Location: Nonprofit Theory across the Disciplines

Learning Objective:3-2

Cognitive Domain: Knowledge

Question Type: TF

 

33.Failure theories explain their role by what others do.

a.True

*b.False

Answer Location:Nonprofits as Gap Fillers

Learning Objective:3-1

Cognitive Domain:Knowledge

Question Type: TF

 

34.  According to the “trust theory” of nonprofits, scholars believe the public trusts nonprofits because they believe nonprofit leaders are driven by altruistic motivations.

*a. True

1.    False

Answer Location: Nonprofits as Gap Fillers

Learning Objective: 3-1

Cognitive Domain: Comprehension

Question Type: TF

 

35.Nonprofits may not receive any funding from the government.

1.    True

*b. False

Answer Location: Characteristics of Nonprofit Organizations

Learning Objective: 3-2

Cognitive Domain: Knowledge

Question Type: TF

 

36.  Control of the nonprofit lies with the executive director or CEO.

37.  True

*b. False

Answer Location: Characteristics of Nonprofit Organizations

Learning Objective: 3-4

Cognitive Domain: Knowledge

Question Type: TF

 

37.  Excess revenues gained by a nonprofit must be reinvested in the organization.

*a. True

1.    False

Answer Location: Characteristics of Nonprofit Organizations

Learning Objective: 3-3

Cognitive Domain: Knowledge

Question Type: TF

 

38.  The term “open systems” means that nonprofits are dependent on and interact with their external environment.

*a. True

1.    False

Answer Location: Nonprofits as Open Systems

Learning Objective: 3-3

Cognitive Domain: Knowledge

Question Type: TF

 

39.  The term “resource dependency” means that nonprofits are not dependent on external constituencies for revenue and other resources.

40.  True

*b. False

Answer Location: Resource Dependency

Learning Objective: 3-3

Cognitive Domain: Knowledge

Question Type: TF

 

40.  The organizational culture in a nonprofit refers to the unwritten rulesdetermine “how things are done.”

*a. True

1.    False

Answer Location: Organizational Culture

Learning Objective: 3-3

Cognitive Domain: Knowledge

Question Type: TF

 

41.  Name and examinethe four major functions identified by political scientists that nonprofits perform in relation to government.

Ans: Varies

Answer Location:Nonprofit Theory across the Disciplines

Learning Objective:3-1

Cognitive Domain: Analysis

Question Type: ESS

 

42.  Demonstrate how can nonprofits act as gap fillers in the context of the failure theories?

Ans: Varies

Answer Location: The Failure Theories

Learning Objective: 3-1

Cognitive Domain: Application

Question Type: ESS

 

43.  Write about the various circumstances in which government failure can occur.

Ans: Varies

Answer Location: Market and Government Failures

Learning Objective:3-1

Cognitive Domain: Application

Question Type: ESS

 

44.  Analyze if religious worship is a private, public, or common good

Ans: Varies

Answer Location: Changing Definitions of Private, Public, and Common

Learning Objective: 3-2

Cognitive Domain: Analysis

Question Type: ESS

 

45.  Choose andinterpret three of the five common characteristics of nonprofit organizations.

Ans: Varies

Answer Location: Characteristics of Nonprofit Organizations

Learning Objective:3-4

Cognitive Domain: Analysis

Question Type: ESS

 

46.Produce an example for each of Edgar Schein’s three categories of organizational culture a nonprofit organization could use.

Ans. Varies

Answer Location:Organizational Culture

Learning Objective:3-3

Cognitive Domain:Application

Question Type:ESS

 

47.Sketch a simplistic model of a nonprofit organization operating as an open system.Label each part of the system.

Ans.Varies

Answer Location:Nonprofits as Open Systems

Learning Objective:3-4

Cognitive Domain:Application

Question Type:ESS

 

48.Explain the three types of isomorphism as defined by Powell and DiMaggio and provide an example of a nonprofit organization that demonstrates each type.

Ans.Varies

Answer Location:Isomorphism

Learning Objective: LO 3-1

Cognitive Domain:  Analysis

Question Type:ESS

 

Chapter 4 – Nonprofit Governing Boards

TEST BANK

 

1.    Elected boards are most common in:

2.    public organizations.

*b. member-serving and advocacy organizations.

1.    charitable nonprofits.

2.    companies headed by a CEO.

Answer Location: Elected Boards

Learning Objective: 4-1

Cognitive Domain: Knowledge

Question Type: MC

 

2.    In a self-perpetuating board, new members are selected by:

3.    the membership of the organization.

4.    the CEO.

*c. the existing members of the board.

1.    a selection committee.

Answer Location: Self-Perpetuating Boards

Learning Objective: 4-1

Cognitive Domain: Knowledge

Question Type: MC

 

3.    An ex-officio seat on a board is held by:

*a. the individual who holds a certain office or position.

1.    a randomly selected individual.

2.    the highest ranking officer in the organization.

3.    an individual appointed by the most senior member of the board.

Answer Location: Appointed and Hybrid Boards

Learning Objective: 4-1

Cognitive Domain: Knowledge

Question Type: MC

 

4.    Financial penalties to punish individuals who engage in or permit improper transgressions are called:

5.    give or get policies.

*b. intermediate sanctions.

1.    excess benefit transactions.

2.    means to an end.

Answer Location: Intermediate Sanctions

Learning Objective: 4-3

Cognitive Domain: Knowledge

Question Type: MC

 

5.    Establishing the organization mission is the responsibility of its:

6.    human resources department.

7.    CEO.

8.    members.

*d. board.

Answer Location: The Governing Board’s Functional Responsibilities

Learning Objective: 4-3

Cognitive Domain: Comprehension

Question Type: MC

 

6.    When a board is operating in the fiduciary mode, it is concerned with:

7.    the organization’s long-term directions and goals.

8.    specific criteria for monitoring and evaluating the CEO’s performance.

*c. matters such as stewardship of tangible assets, faithfulness to mission, performance accountably, and obedience to law.

1.    creative, out-of-the-box thinking in which visionary leaders often engage.

Answer Location: The Governing Board’s Functional Responsibilities

Learning Objective: 4-3

Cognitive Domain: Knowledge

Question Type: MC

 

7.    The model of organizations that conceives of the board as the top of a hierarchy and the CEO as merely its agent is:

8.    the governance-as-leadership model.

9.    the policy governance model.

*c. purposive-rational model.

1.    self-perpetuating model.

Answer Location: Herman and Heimovics: Psychological Centrality and Board-centered Leadership

Learning Objective: 4-4

Cognitive Domain: Knowledge

Question Type: MC

 

8.    According to BoardSource, exceptional boards shape and uphold their organization’s mission, articulate a compelling vision, and ensure the congruence between:

*a. decisions and core values.

1.    its direction and its financial goals.

2.    the CEO and members of the board.

3.    its governance duties and is organizational priorities.

Answer Location: The Search for Best Practices

Learning Objective: 4-7

Cognitive Domain: Knowledge

Question Type: MC

 

9.    Today’s boards are being exhorted not only to raise money and promote the organization but also to:

10.  encourage more cooperation between the CEO and the board.

*b. be more aggressive in monitoring performance.

1.    motivate its members.

2.    increase communication levels between the board and the rest of the organization.

Answer Location: The Challenge of Nonprofit Governance

Learning Objective: 4-7

Cognitive Domain: Knowledge

Question Type: MC

 

10.  The most common type of board in public organizations is a(n):

11.  elected board.

*b. appointed board.

1.    self-perpetuating board.

2.    advisoryboard

Answer Location: Appointed and Hybrid Boards

Learning Objective: 4-1

Cognitive Domain: Knowledge

Question Type: MC

 

11.  The concept that is defined as members of the board putting the interests of the organization above their own personal financial interests is called:

*a. loyalty.

1.    selflessness.

2.    care.

3.    obedience.

Answer Location: Care, Loyalty, Obedience

Learning Objective: 4-3

Cognitive Domain: Knowledge

Question Type: MC

 

12.  This concept states that a board member or officer of the organization cannot unreasonably benefit from the organization’s funds.

13.  Conflict of interest

*b. Private inurement

1.    Obedience

2.    Intermediate sanctions

Answer Location: Care, Loyalty, Obedience

Learning Objective: 4-3

Cognitive Domain: Knowledge

Question Type: MC

 

13.  Excess benefit transaction is:

*a. when a person’s compensation is deemed in excess of the value of his or her services.

1.    the responsibility of a board to make sure an organization is complying with law.

2.    how an organization keeps costs of benefits reasonable.

3.    a model of board-CEO relationship.

Answer Location: Intermediate Sanctions

Learning Objective: 4-3

Cognitive Domain: Knowledge

Question Type: MC

 

14.  In 2009, the IRS introduced a revised version of _______ which changed the original form from a financial report into a financial and governance report.

15.  Stern v. Lucy Webb Hayes National Training School for Deaconesses and Missionaries

16.  intermediate sanctions legislation

*c. Form 990

1.    the Sarbanes-Oxley Act

Answer Location: Form 990

Learning Objective: 4-3

Cognitive Domain: Knowledge

Question Type: MC

 

15.  No subject commands more ink, or more lung power, than the role of the board in:

*a. giving and raising philanthropic funds.

1.    administering benefits to its members.

2.    maintaining its members’ salaries.

3.    monitoring its moral responsibilities.

Answer Location: Ensure Sound Financial Management and the Organization’s Financial Stability

Learning Objective: 4-2

Cognitive Domain: Knowledge

Question Type: MC

 

16.  In Grant Thornton’s 2012 survey of nonprofit boards, what activity/responsibility was identified as the “most important focus”?

17.  Accountability items

18.  The organization’s reputation

*c. Strategic planning

1.    Ensuring effective programs

Answer Location: Establish Standards for Organizational Performance and Hold the Organization Accountable

Learning Objective: 4-3

Cognitive Domain: Knowledge

Question Type: MC

 

17.  In Carver’s policy governance model, he argues that the board should lead the organization by focusing its attention on establishing:

18.  board evaluations.

*b. policies.

1.    a group of advisors.

2.    senior management positions.

Answer Location: Carver’s Policy Governance Model

Learning Objective: 4-4

Cognitive Domain: Knowledge

Question Type: MC

 

18.  Chait, Ryan, and Taylor call for the board and the CEO to focus their attention on:

*a. the critical issues facing the organization.

1.    policies and their implementation.

2.    monetary goals.

3.    expansion.

Answer Location: Chapter Summary

Learning Objective: 4-4

Cognitive Domain: Knowledge

Question Type: MC

 

19.  Who did Herman and Heimovics find is actually seen as responsible for the organization’s success or failure?

20.  The board

21.  The shareholders

22.  The marketing department

*d. The CEO

Answer Location: Chapter Summary

Learning Objective: 4-4

Cognitive Domain: Knowledge

Question Type: MC

 

20.  In 2005, who assembled a panel of experts to identify those practices that lead to effective governance in an organization?

21.  The Stanford Social Innovation Review

22.  The federal government

*c. BoardSource

1.    Grant Thornton

Answer Location: The Search for Best Practices

Learning Objective: 4-7

Cognitive Domain: Knowledge

Question Type: MC

 

21.  Robert, the chair of a nonprofit board of directors, asked the CEO to provide the board an accurate report of the expenses incurred for a fundraiser.Robert is practicing which best practice recommended by BoardSource?

22.  Strategic thinking

*b. Ethos of transparency

1.    Continuous learning

2.    Revitalization

Answer Location:The Search for Best Practices

Learning Objective:4-7

Cognitive Domain:Comprehension

Question Type:MC

 

22.  A nonprofit board of directors asked an outside consulting organization to assess the organization’s program performance.The board is applying the best practice of:

23.  Strategic thinking

24.  Independent-mindedness

*c. Results-oriented

1.    Revitalization

Answer Location:The Search for Best Practices

Learning Objective:4-7

Cognitive Domain:Comprehension

Question Type:MC

 

23.  George retired from a local law firm and then volunteered to oversee a nonprofit’s legal records.George is performing the duties of a:

*a. corporate secretary.

1.    corporate clerk.

2.    bookkeeper.

3.    sergeant-at-arms.

Answer Location:Board Professionals

Learning Objective:4-3

Cognitive Domain:Comprehension

Question Type:MC

 

24.  A nonprofit board of directors has hired a consultant to help the directors think of new and creative ways to improve organizational performance.According to Chait, the board is operating in what type of mode?

25.  Fiduciary mode

26.  Evaluation mode

*c. Generative mode

1.    Strategic mode

Answer Location:Chair, Ryan and Taylor:Governance as Leadership

Learning Objective:4-4

Cognitive Domain:Comprehension

Question Type:MC

 

25.  A nonprofit organization’s finance committee is listening to the advice of a financial expert on how they should manage the organization’s investments.The board is practicing which duty?

26.  The duty of investment

*b. The duty of care

1.    The duty of loyalty

2.    The duty of obedience

Answer Location:Care, Loyalty, Obedience

Learning Objective:4-3

Cognitive Domain:Comprehension

Question Type:MC

 

26.  The board of directors of a nonprofit is debating if a proposed new program is offering falls within the organization’s mission.The board is applying which type of duty?

27.  The duty of investment

28.  The duty of care

29.  The duty of loyalty

*d. The duty of obedience

Answer Location:Care, Loyalty, Obedience

Learning Objective:4-3

Cognitive Domain:Comprehension

Question Type:MC

 

27.  A nonprofit board of directors is establishing ground rules that inform members what type of fundraising efforts would not be allowed.The board is setting a policy that Carver would refer to as:

28.  board–staff relationships.

29.  ends to be achieved.

30.  means to be achieved.

*d. means to the end.

Answer Location:Carver’s Policy Governance Model

Learning Objective:4-4

Cognitive Domain:Comprehension

Question Type:MC

 

28.  ______________ means that a person is perceived by himself and the board of directors as the organization’s formal authority.

29.  Social rationalism

30.  Purposive-rationality

*c. Psychological centrality

1.    Emergent perception

Answer Location:Herman and Heimovics:Psychological Centrality and Board-Centered Leadership

Learning Objective:4-4

Cognitive Domain:Comprehension

Question Type:MC

 

29.  Which type of board–CEO model suggests an organization’s strategic plan is simply a paperwork project?

30.  Purposive-rational model

31.  Psychological Centrality and Board Centered Leadership Model

*c. Social-constructionist model

1.    Governance as Leadership model

Answer Location:Herman and Heimovics:Psychological Centrality and Board-Centered Leadership

Learning Objective:4-4

Cognitive Domain:Comprehension

Question Type:MC

 

30.  Another name for a nominating committee is a(an):

31.  ad hoc committee

*b. governance committee

1.    naming committee

2.    stewardship committee

Answer Location:Governance Committee

Learning Objective: 4-3

Cognitive Domain:Knowledge

Question Type:MC

 

31.  In the study Daring to Lead, researchers found a negative correlation between the amount of time the CEO spends with the board and CEO and board member satisfaction.

32.  True

*b. False

Answer Location:Herman and Heimovics:Psychological Centrality and Board-Centered Leadership

Learning Objective:4-4

Cognitive Domain:Comprehension

Question Type:TF

 

32.  Chait writes that nonprofit boards should manage the organizations they serve.

33.  True

*b. False

Answer Location:Chait, Ryan and Taylor:Governance as Leadership

Learning Objective:4-4

Cognitive Domain:Comprehension

Question Type:TF

 

33.  The Panel on the Nonprofit Sector issues reports recommending practices similar to those outlined in the Sarbanes-Oxley Act.

*a. True

1.    False

Answer Location:Sarbanes-Oxley Act

Learning Objective: 4-3

Cognitive Domain:Knowledge

Question Type:TF

 

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