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Discuss case of a not-for-profit hospital

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Question: The chief administrative officer of a not-for-profit hospital, Vera Thomas, is attempting to find resources to add a new wing to the hospital. For the past several years, many patients have been turned away because of a lack of space. The hospital has a large endowment, but all earnings from these funds are restricted to various operating purposes; for example, providing continuing education for nurses and maintaining the parking lot. Thomas approaches you and asks whether a recently received gift from T. W. Wealthy could be used to begin expansion. Wealthy donated $1 million to the hospital in his deceased wife's name. She recently died from cancer, and in her memory Wealthy established a cancer research fund. How would you respond to Ms. Thomas?

Reference no: EM131704440

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