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Asked by Isabella Garcia on May 04, 2024

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One concern about earned-income strategies is they place limits on transparency due to contractual agreements.

Earned-Income Strategies

Approaches used by non-profits or social enterprises to generate revenue through business activities rather than donations or grants.

Transparency

The practice of openly and honestly disclosing information to stakeholders, promoting trust and accountability.

Contractual Agreements

Legally binding agreements between two or more parties that outline the terms, conditions, and obligations of each party.

  • Explain the regulatory and transparency concerns related to earned-income activities and their implications for nonprofit accountability.
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Adewoye AkinjideMay 08, 2024
Final Answer :
True
Explanation :
Earned-income strategies often rely on contracts with partners or customers, which can limit the amount of information that can be shared transparently. The terms of these agreements may require confidentiality or non-disclosure, which can make it difficult for organizations to fully disclose their financial and operational information.

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