23). Drucker also notes that every activity eventually becomes obsolete. Hence, the NPO should avoid:

a. Relying on easy-to-achieve measures for determining overall performance

b. Change

c. Balanced scorecards

d. Liquidity targets

24). Niven's balanced scorecard process includes a SWOT and wildcard analysis for all but this element:

a. Customer

b. Internal

c. Board

d. Financial

25). Strategic planning is critical to the NPO's success. The NPO should avoid all but one of these:

a. Allowing the mission to take a backseat to profitability

b. Narrowing the scope of services to increase liquidity unnecessarily

c. Surviving if the mission is forgotten

d. Using the mission to say no to the stockpiling of assets

26). Which of these items is a financial tool in supporting financial structure?

a. System of internal controls

b. Written financial policies

c. Written financial procedures

d. All of the above

27). What is "governance"?

a. The top executive of the NPO's board of trustees, e.g., the chairman

b. The combination of NPO officers and its trustees

c. Set of responsibilities that ensure NPO accountability, legitimacy, and sustainability

d. None of the above

28). Which of the following is not considered to be an element of organizational structure?

a. The NPO's trustees and officers

b. The NPO's staff and volunteers

c. The NPO's office layout

d. The NPO's independent contractors and constituents

29). An accountability structure details an NPO's various tasks and the related roles of its employees.

Which of the following is not a benefit to be derived from an accountability structure?

a. Provides accurate journal entries for updating the general ledger

b. Eliminates confusion about roles and responsibilities

c. Details how the work is to be done

d. Serves as a guide for measuring performance

30). Which of the following would not be considered a best practice with regard to NPO ethics?

a. Rationalization and application of situational ethics

b. Stretching payables beyond the vendor's due date

c. Converting an NPO into a for-profit business

d. All of the above