What term describes a business organization set up for public benefit without the intent to make a profit?

What term describes a business organization set up for public benefit without the intent to make a profit?

• A. Corporation
• B. Non-profit
• C. Sole Proprietorship
• D. Partnership

Answer: (B)

The term that describes a business organization established for public benefit without the intent to make a profit is "non-profit." Non-profit organizations are primarily focused on serving a public or social purpose rather than generating income for owners or shareholders. These organizations often rely on donations, grants, and volunteers to support their mission, which may include activities related to education, healthcare, arts, environmental conservation, and social services. In contrast, a corporation is typically formed with the goal of earning profits for its shareholders. Sole proprietorships are owned and operated by a single individual who keeps all profits and is personally liable for debts, while partnerships involve two or more individuals sharing profits, losses, and management responsibilities. Therefore, the defining characteristic of a non-profit is its dedication to benefiting the community or specific groups without pursuing profit as a primary objective.

The term that describes a business organization established for public benefit without the intent to make a profit is "non-profit." Non-profit organizations are primarily focused on serving a public or social purpose rather than generating income for owners or shareholders. These organizations often rely on donations, grants, and volunteers to support their mission, which may include activities related to education, healthcare, arts, environmental conservation, and social services.

In contrast, a corporation is typically formed with the goal of earning profits for its shareholders. Sole proprietorships are owned and operated by a single individual who keeps all profits and is personally liable for debts, while partnerships involve two or more individuals sharing profits, losses, and management responsibilities. Therefore, the defining characteristic of a non-profit is its dedication to benefiting the community or specific groups without pursuing profit as a primary objective.