Not for profit organizations incur financial activities for the smooth flow of the receipts and payments for the charitable purpose, preparation of financial statements are crucial for not for profit organizations as well, charitable organizations also conduct ratio analysis to measure the performance of the entity just like other organizations. Characters in the case: Not for profit organizations. Adequate information: Not for profit organization is an organization that if formed for the charitable purposes instead of making profits. To determine: The key reasons of which firms do ratio analysis.

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Chapter 17, Problem 3VC

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Case summary: Not for profit organizations incur financial activities for the smooth flow of the receipts and payments for the charitable purpose, preparation of financial statements are crucial for not for profit organizations as well, charitable organizations also conduct ratio analysis to measure the performance of the entity just like other organizations.

Characters in the case: Not for profit organizations.

Adequate information: Not for profit organization is an organization that if formed for the charitable purposes instead of making profits.

To determine: The key reasons of which firms do ratio analysis.

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