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Question - Please help answer the following questions in regards to Governmental & Non-Profit Accounting:
1. What are the distinguishing characteristics between a public charity and a private foundation? What is a public support test and how does it relate to public charities and private foundations?
2. Distinguish between program services expenses and supporting services expenses. Why is it important that not-for-profit organizations report expenses for program services separately from those for supporting services?
Reference - Reck, J. L., Lowensohn, S., & Neely, D. (2019). Accounting for governmental and nonprofit entities (18th ed.). McGraw Hill.
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