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Nonprofit Management 4e
Michael J. Worth
Instructor Resource
Test Bank for Nonprofit Management:

Principles and Practice Fourth Edition
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Chapter 2 – Overview of the Nonprofit Sector

TEST BANK
1. Almost of the revenue of charitable nonprofits comes from government grants

and payments for services under programs such as Medicare and Medicaid.
a. one-fourth
*b. one-third
c. one-half
d. three-fourths
Answer Location: Introduction
Learning Objective:2-1
Cognitive Domain:Knowledge
Question Type: MC
2. A certain mistrust of this has been a pervasive and continuing aspect of American culture and
has provided philosophical support for private, voluntary initiatives throughout the nation’s
history.
*a. Government
b. Volunteers
c. Lawyers
d. Universities
Answer Location: America’s Nonprofit Sector:A Historical Overview
Learning Objective: 2-9
Cognitive Domain:Comprehension
Question Type: MC
3. Whose 1889 essay, titled “The Gospel of Wealth,” remains a classic statement of the
philosophy underpinning the American tradition of philanthropy?
a. John D. Rockefeller
b. Warren Buffet
*c. Andrew Carnegie
d. Theodore Roosevelt
Answer Location: 2-9
Learning Objective: America’s Nonprofit Sector:A Historical Overview
Question Type: MC
1
Michael J. Worth
Instructor Resource
4. What is defined as giving intended to meet current individual human needs or to alleviate
current human suffering?
a. Philanthropy
b. Voluntarism
c. Nonprofitism
*d.Charity
2
Michael J. Worth
Instructor Resource

Cognitive Domain: Comprehension
Question Type: MC
5. Which term is defined as nonprofits that have a social objective but blend traditional nonprofit
methods and commercial principles in their generation of revenue?
a. Charitable sector
*b. Social enterprise
c. Tax-exempt sector
d. Civil society
Answer Location: Alternatives to “Nonprofit”
Learning Objective: Comprehension
Cognitive Domain: 2-2
Question Type: MC
6. There are an increasing number of organizations that operate under both nonprofit and for-
profit legal forms that are often referred to as:
*a. hybrid organizations.
b. social sector organizations.
c. voluntary sector organizations.
d. civil service organizations.
Answer Location: Alternatives to “Nonprofit”
Cognitive Domain: Knowledge
Question Type: MC
7. The number of nonprofits operating in the United States today is approximately:

a. 3.5 million.
*b. 1.9 million.
c. 5.2 million.
d. 2.6 million.
Answer Location: Chapter Summary
Question Type: MC
8. In 2009, the nonprofit sector employed what percentage of the total workforce?
a. 5 percent
b. 20 percent
c. 30 percent
*d. 10 percent
Answer Location: Size of the U.S. Nonprofit Sector
3
Michael J. Worth
Instructor Resource
Question Type: MC
9. What were the total combined assets of all nonprofits in 2008?

a. $500 million
b. $20 billion
*c. $4.3 trillion
d. $800 billion
Question Type: MC
10. What is intended to encourage charitable giving and sustain the services provided by
charitable organizations?
a. Being classified as a 501(c)(3) organization
b. Receiving free health care vouchers in exchange for gifts
c. The lifting of limitations on lobbying
*d. Tax deductions for gifts
Answer Location: Differentiating the Nonprofit Sector
Question Type: MC
11. Whose article “Bowling Alone: America’s Declining Social Capital” discussed a decline in
civic engagement among Americans?
a. Michael Moore
b. Bill Gates
*c. Robert Putnam
d. Lester Salamon
Answer Location:Size of the U.S. Nonprofit Sector
Question Type: MC
12. A nonprofit that qualifies under Section 501(c)(3) cannot support candidates for public office
and must limit its expenditures on:
a. staff salaries.
*b. lobbying.
c. health care.
d. legal counsel.
Question Type: MC
4
Michael J. Worth
Instructor Resource
13. This principle prevents government funds from going directly to religious congregations or to
organizations that would use them for religious activities.
*a. Separation of church and state
b. Charitable choice provisions
c. Tax-exempt provisions
d. The nondistribution test
Answer Location:Differentiating the Nonprofit Sector
Question Type: MC
14. Which subsector of charitable nonprofits is the least professionalized?

a. Environmental organizations
b. Advocacy organizations
*c. Religious organizations
d. Arts and culture organizations
Question Type: MC
15. Organizations that are exempt under Section 501 (c)(4), whose purpose is to work for social
change are referred to by the Internal Revenue Service (IRS) as:
a. religious organizations.
b. environmental organizations.
c. arts and culture organizations.
*d.advocacy organizations.
Question Type: MC
16. The National Taxonomy of Exempt Entities (NTEE) divides nonprofit organizations into
categories based on the organization’s:
*a. purposes, activities, and programs.
b. budget and staff.
c. mission and vision statements.
d. type of clients served.
Question Type: MC
17. If measured by the total number of organizations, the largest subsector of charitable
nonprofits is the:
5
Michael J. Worth
Instructor Resource
a. health services sector.

*b. human service sector.
c. religious sector.
d. international and foreign affairs sector.
Question Type: MC
18. If measured by total revenue, the number of employees, and its share of total wages and
salaries, which subsector of charitable nonprofits is the largest nonprofit sector?
*a. Health services sector
b. Human service sector
c. International and foreign affairs sector
d. Religious sector
Question Type: MC
19. These are organizations that exist for the sole purpose of directing money to other nonprofits.
a. Banks
b. International development entities
*c. Funding intermediaries
d. Advocacy organizations
Question Type: MC
20.What term is used to identify organizations that do not have to pay federal, state, or local
income taxes?
*a.Tax-exempt
b.Public
c.Private
d.Income-exempt
Answer Location:Alternatives to “Nonprofit”
Question Type:MC
21. Private foundations most often are funded by:

a. a vast number of corporate sponsors.
6
Michael J. Worth
Instructor Resource
*b. a single donor or a small number of donors.

c. U.S. Congress.
d. community organizations.
Question Type: MC
22. Unlike public charities, private foundations are not permitted to engage in:
a. fund-raising.
b. providing direct services.
*c. lobbying.
d. international exchange programs.
Question Type: MC
23. Salamon’s Anatomy classifies nonprofit organizations by:

*a. who receives the principal benefit of their activities.
b. the nature of their activities.
c. the amount of revenue received in a fiscal year.
d. whether they are eligible to receive tax-exempt gifts.
Answer Location: Differentiating the NonProfit Sector
Question Type: MC
24. Exempt activities are those that:

a. employ only volunteers.
b. provide direct service.
c. generate income for the organization.
*d. directly address a nonprofit organization’s social missions.
Answer Location:Commercialization and Tax Exemption
Question Type: MC
25.The two extreme spectrums that define a social enterprise are purely philanthropic and:
a.purely charitable.
*b.purely commercial.
c.purely hybrid.
d.purely foundational.
7
Michael J. Worth
Instructor Resource

Question Type: MC
26.Nonprofit organizations interested in achieving both social and economic value are referred to
as:
a.commercial.
b.philanthropic.
c.charitable.
*d.hybrids.
Question Type: MC
27.According to Sabeti a critical mass of organizations is occurring within the public, nonprofit,
and private sectors creating a:
a.hybrid sector.
b.multi-purpose sector.
*c.a fourth sector.
d.a new era sector.
Answer Location: Emerging New Models
Question Type: MC
28.Another name for social welfare organizations is:

a.nonprofit institutions serving households.
*b.advocacy organizations.
c.hybrid organizations.
d.charitable nonprofits.
Question Type: MC
29.In the social enterprise spectrum described by Dees and colleagues, which type of
organization uses only volunteers for its workforce?
*a.Purely philanthropic
b.Purely commercial
c.Purely charitable
d.Purely public
Question Type: MC
8
Michael J. Worth
Instructor Resource
30.The legal foundations of America’s nonprofit sector are drawn from:

a.natural law.
b.nonprofit law.
*c.English law.
d.philanthropy.
Question Type: MC
31. “The Gospel of Wealth” was written by John D. Rockefeller.

a. True
*b. False
Answer Location:America’s Nonprofit Sector:A Historical Overview
Question Type: TF
32. Giving intended to meet current individual human needs or to alleviate current human
suffering is referred to as charity.
*a. True
b. False
Question Type: TF
33. A nonprofit classified as 501(c)(3) cannot support candidates for public office and must limit
its expenditures on lobbying.
*a. True
b. False
Question Type: TF
34. The National Geographic Society is a nonprofit organization that also has a for-profit
subsidiary.
*a. True
b. False
Question Type: TF
9
Michael J. Worth
Instructor Resource
35. The person credited with helping to establish the distinction between the concepts of charity
and philanthropy was Warren Buffet.
a. True
*b. False
Question Type: TF
36. Increased government spending on social programs in the 1960s and early 1970s began with
President Lyndon B. Johnson.
*a. True
b. False
Question Type: TF
37. Beginning in the 1980s, federal spending for many social programs was sharply reduced
under President Gerald R. Ford.
a. True
*b. False
Question Type: TF
38. Some believe thatcommercialization of the nonprofit sector may result in profit being placed
ahead of mission.
*a. True
b. False
Question Type: TF
39. Museums, orchestras, and colleges and universities are classified as 501 (c)(3) by the IRS.
*a. True
b. False
Question Type: TF
10
Michael J. Worth
Instructor Resource
40. Gifts to religious congregations are tax deductible because congregations are required to
register with the IRS.
a. True
*b. False
Question Type: TF
41.Identify and explain the three ancient traditions in which the roots of America’s nonprofit
sector lie.
Ans: Varies
Answer Location: Chapter Summary
Cognitive Domain: Analysis
Question Type: ESS
42.Back up the case made for giving by Andrew Carnegie in his “Gospel of Wealth.”
Ans: Varies
Cognitive Domain: Application
Question Type: ESS
43. Compare and contrastcharity and philanthropy.

Ans: Varies
Question Type: ESS
44. Explainthe three things that an organization must demonstrate to be recognized as tax-exempt
under Section 501 (c)(3)?
Ans: Varies
Question Type: ESS
45. Ascertain the characteristics of organizations that are purely philanthropic.
11
Michael J. Worth
Instructor Resource
Ans: Varies
Cognitive Domain: Application
Question Type: ESS
46. Select either The National Geographic Society or The Smithsonian Institution and explain the
complexity of its structure as opposed to a traditional nonprofit.
Ans: Varies
Question Type: ESS
47.Analyze the terms “third sector, fourth sector, charitable sector, voluntary sector, independent
sector, and tax-exemptsector.”Explain what characteristic(s) distinguish each term.
Ans. Varies
Question Type:ESS
12
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will be sewed by arbitration at an early day. Under the
circumstances the Commission, while continuing its deliberations
in the preparation and orderly arrangement of many valuable maps,
reports, and documents, which have been procured and used in the
course of its labors, does not propose to formulate any decision
for the present of the matters subject to its examination. It
will continue its sessions from time to time, but with the hope
and expectation that a friendly and just settlement of all
pending differences between the nations interested will make
any final decision on its part unnecessary." This hope was
substantially realized a few days later, when a convention
embodying the agreement of the United States and Great Britain
was signed by Secretary Olney and the British Ambassador, Sir
Julian Pauncefote. The agreement was carried to its next stage on
the 2d of February, 1897, when a treaty between Great Britain and
the United States of Venezuela was signed at Washington, which
provided as follows:
{692}
"Article I.
An Arbitral Tribunal shall be immediately appointed to
determine the boundary-line between the Colony of British
Guiana and the United States of Venezuela.
"Article II.
The Tribunal shall consist of five Jurists: two on the part of
Great Britain, nominated by the Members of the Judicial
Committee of Her Majesty's Privy Council, namely, the Right
Honourable Baron Herschell, Knight Grand Cross of the Most
Honourable Order of the Bath, and the Honourable Sir Richard
Henn Collins, Knight, one of the Justices of Her Britannic
Majesty's Supreme Court of Judicature; two on the part of
Venezuela, nominated, one by the President of the United
States of Venezuela, namely, the Honourable Melville Weston
Fuller, Chief Justice of the United States of America, and one
nominated by the Justices of the Supreme Court of the United
States of America, namely, the Honourable David Josiah Brewer,
a Justice of the Supreme Court of the United States of
America; and of a fifth Jurist to be selected by the four
persons so nominated, or in the event of their failure to
agree within three months from the date of the exchange of
ratifications of the present Treaty, to be selected by His
Majesty the King of Sweden and Norway. The Jurist so selected
shall be President of the Tribunal. In case of the death,
absence, or incapacity to serve of any of the four Arbitrators
above named, or in the event of any such Arbitrator omitting
or declining or ceasing to act as such, another Jurist of
repute shall be forthwith substituted in his place. If such
vacancy shall occur among those nominated on the part of Great
Britain, the substitute shall be appointed by the members for
the time being of the Judicial Committee of Her Majesty's
Privy Council, acting by a majority, and if among those
nominated on the part of Venezuela, he shall be appointed by
the Justices of the Supreme Court of the United States, acting
by a majority. If such vacancy shall occur in the case of the
fifth Arbitrator, a substitute shall be selected in the manner
herein provided for with regard to the original appointment.
"Article III.
The Tribunal shall investigate and ascertain the extent of the
territories belonging to, or that might lawfully be claimed
by, the United Netherlands or by the Kingdom of Spain
respectively at the time of the acquisition by Great Britain
of the Colony of British Guiana, and shall determine the
boundary-line between the Colony of British Guiana and the
United States of Venezuela.
"Article IV.
In deciding the matters submitted, the Arbitrators shall
ascertain all facts which they deem necessary to a decision of
the controversy, and shall be governed by the following Rules,
which are agreed upon by the High Contracting Parties as Rules
to be taken as applicable to the case, and by such principles
of international law not inconsistent therewith as the
Arbitrators shall determine to be applicable to the
case:—
Rules.
(a.) Adverse holding or prescription during a period of fifty
years shall make a good title. The Arbitrators may deem
exclusive political control of a district, as well as actual
settlement thereof, sufficient to constitute adverse holding
or to make title by prescription.
(b.) The Arbitrators may recognize and give effect to rights

and claims resting on any other ground whatever valid
according to international law, and on any principles of
international law which the Arbitrators may deem to be
applicable to the case, and which are not in contravention of
the foregoing rule.
(c.) In determining the boundary-line, if territory of one

Party be found by the Tribunal to have been at the date of
this Treaty in the occupation of the subjects or citizens of
the other Party, such effect shall be given to such occupation
as reason, justice, the principles of international law, and
the equities of the case shall, in the opinion of the
Tribunal, require. …
Article XIII.
The High Contracting Parties engage to consider the result of
the proceedings of the Tribunal of Arbitration as a full,
perfect, and final settlement of all the questions referred to
the Arbitrators:"
Great Britain, Papers by Command:

Treaty Series Number 5, 1897.
Before the Arbitrators named in the treaty had entered on

their duties, a vacancy in the tribunal was created by the
death of Baron Herschell, and the Lord Chief Justice of
England, Lord Russell of Killowen, was appointed in his place.
His Excellency, Frederic de Martens, Privy Councillor and
Permanent Member of the Council of the Ministry of Foreign
Affairs in Russia, was selected to be the fifth Arbitrator. As
thus constituted, the Arbitral Tribunal met in Paris on the
15th of June, 1899. In the hearings before it, Venezuela was
represented by Benjamin Harrison, ex-President of the United
States, and other counsel; the British government by Sir
Richard Webster, Attorney-General of Great Britain, and
others. The decision of the Tribunal, which is said to have
been rendered with unanimity, was announced on the 3d of
October, 1899, as follows:
"We the undersigned Arbitrators do hereby make and publish our

decision, determination, and Award of, upon, and concerning
the questions submitted to us by the said Treaty of
Arbitration, and do hereby, conformably to the said Treaty of
Arbitration, finally decide, award, and determine that the
boundary-line between the Colony of British Guiana and the
United States of Venezuela is as follows:
Starting from the coast at Point Playa, the line of boundary

shall run in a straight line to the River Barima at its
junction with the River Mururuma, and thence along the
mid-stream of the latter river to its source, and from that
point to the junction of the River Haiowa with the Amakuru,
and thence along the mid-stream of the Amakuru to its source
in the Imataka Ridge, and thence in a south-westerly direction
along the highest ridge of the spur of the Imataka Mountains
to the highest point of the main range of such Imataka
Mountains opposite to the source of the Barima, and thence
along the summit of the main ridge in a south-easterly
direction of the Imataka Mountains to the source of the
Acarabisi, and thence along the mid-stream of the Acarabisi to
the Cuyuni, and thence along the northern bank of the River
Cuyuni westward to its junction with the Wenamu, and thence
following the mid-stream of the Wenamu to its westernmost
source, and thence in a direct line to the summit of Mount
Roraima, and from Mount Roraima to the source of the Cotinga,
and along the mid-stream of that river to its junction with
the Takutu, and thence along the mid-stream of the Takutu to
its source, thence in a straight line to the westernmost point
of the Akarai Mountains, and thence along the ridge of the
Akarai Mountains to the source of the Corentin called the
Cutari River.
{693}
Provided always that the line of delimitation fixed by this
Award shall be subject and without prejudice to any questions
now existing, or which may arise, to be determined between the
Government of her Britannic Majesty and the Republic of
Brazil, or between the latter Republic and the United States
of Venezuela.
"In fixing the above delimitation the Arbitrators consider and

decide that in times of peace the Rivers Amakuru and Barima
shall be open to navigation by the merchant-ships of all
nations, subject to all just regulations and to the payment of
light or other like dues: Provided that the dues charged by
the Republic of Venezuela and the Government of the Colony of
British Guiana in respect of the passage of vessels along the
portions of such rivers respectively owned by them shall be
charged at the same rates upon the vessels of Venezuela and
Great Britain, such rates being no higher than those charged
to any other nation: Provided also that no customs duties
shall be chargeable either by the Republic of Venezuela or by
the Colony of British Guiana in respect of goods carried on
board ships, vessels, or boats passing along the said rivers,
but customs duties shall only be chargeable in respect of
goods landed in the territory of Venezuela or Great Britain
respectively."
Great Britain, Papers by Command:

Venezuela Number 7, 1899, pages 6-7.
VENEZUELA: A. D. 1898-1900.
Change in the Presidency.
Death of ex-President Crespo.
Revolution.
Rebellion.
General Joaquin Crespo retired from the presidency and was

succeeded by General Ignacio Andrade on the 1st of March,
1898. A revolutionary movement was soon started, with General
Hernandez at its head, and ex-President Crespo, who led the
forces of the government against it, was killed in a charge,
on the 16th of April. Hernandez was surprised and captured a
few weeks later, and the rebellion then subsided for a time.
In the spring of 1899 Hernandez was set at liberty by Andrade,
who, meantime, had crushed a minor revolt, undertaken by one
General Guerra. August found the harassed President assailed
by a fresh rising, started by General Cipriano Castro, and the
restless revolutionist, Hernandez, was soon in league with it.
This proved to be a revolution in earnest, and, after hard
fighting, President Andrade fled from the capital and the
country in October; Puerto Cabello, the last town to hold out
for him, was bombarded and stormed the following month, and a
new government was established, nominally under the Vice
President, Rodriguez, but with Castro for its actual head.
Before this had been fully accomplished, however, Hernandez
was in arms against Castro, with his accustomed ill-success.
Before the year closed he had fled the country; but early in
1900 he was once more in the field, maintaining a troublesome
war until May, when he was defeated, and again a prisoner in
his opponents' hands.
VICTORIA, Queen:
The Diamond Jubilee celebration of her accession to the throne.
See (in this volume)

ENGLAND: A. D. 1897 (JUNE).
VICTORIA, Queen:
Her death and funeral.
Tributes to her character.

ENGLAND: A. D. 1901 (JANUARY).
VICTORIA.

AUSTRALIA; and CONSTITUTION OF AUSTRALIA.
VICTORIAN ORDER, The.
A new order of knighthood, to be known as the Victorian Order,

and to be conferred as a mark of high distinction, was
instituted by Queen Victoria on the 21st of April, 1896.
VIENNA: A. D. 1895-1896.
Anti-Semitic agitation.

AUSTRIA-HUNGARY: A. D. 1895-1896.
VIENNA: A. D. 1897.
Scenes in the Reichsrath.

AUSTRIA-HUNGARY: A. D. 1897 (OCTOBER-DECEMBER).
VIENNA: A. D. 1900.
Census.
According to a report from the United States Consul at Vienna,

the census taken December 31, 1900, shows a population of
1,635,647, or nearly 63,000 less than that of Chicago, when
the recent census of that city was taken. These figures show
Vienna to rank next after London, Paris and Berlin among the
European capitals, while in this country only New York and
Chicago are larger. In the last ten years Vienna has increased
21.9 per cent, or slightly faster than the average for the
whole United States. Of the two American cities larger than
Vienna New York increased in ten years 37.8 per cent. and
Chicago 54.4 per cent.
VIEQUEZ.

PORTO RICO: AREA AND POPULATION.
VILLIERS, Sir J. H. de:

Advice to President Kruger.

SOUTH AFRICA (THE TRANSVAAL): A. D. 1899 (MAY-AUGUST).
VIRDEN, Conflict with striking miners at.

INDUSTRIAL DISTURBANCES: A. D. 1898.
VIRGINIUS AFFAIR, The.

CUBA: A. D. 1868-1885.
VISAYAN ISLANDS, American occupation of the.

PHILIPPINE ISLANDS: A. D. 1899 (JANUARY-NOVEMBER).
VISAYANS, The.
PHILIPPINE ISLANDS: THE NATIVE INHABITANTS.
VOLKSRAAD, South African.

CONSTITUTION (GRONDWET) OF THE SOUTH AFRICAN
REPUBLIC.
VOLUNTARY SCHOOLS, English.

ENGLAND: A. D. 1896-1897.
VOLUNTEERS OF AMERICA, The.

SALVATION ARMY.
VOTING, Plural or Cumulative, and Compulsory.

BELGIUM: A. D. 1894-1895.
{694}
WADAI.

NIGERIA, A. D. 1882-1899.
WALDECK-ROUSSEAU, M.:
The Ministry of.

FRANCE: A. D. 1899 (FEBRUARY-JUNE), and after.
WALES, The Prince or.
It has been announced that Prince George, Duke of Cornwall and

York, the only living son of King Edward VII., of England, and
heir to the British throne, will be created Prince of Wales,
by royal patent, after his return from Australia.

AUSTRALIA: A. D. 1901 (MAY).
WANA:
Inclusion in a new British Indian province.

INDIA: A. D. 1901 (FEBRUARY).
WAR:
Measures to prevent its occurrence and to mitigate its
barbarities.

PEACE CONFERENCE.
WAR BUDGETS:
Military and naval expenditures of the great Powers.
The following compilation of statistics of the military and

naval expenditure of the leading Powers (Great Britain
excepted) was submitted to the House of Representatives at
Washington by the Honorable George B. McClellan of New York,
in a speech, February 12, 1901, on the bill then pending in
Congress, to make appropriations for the support of the Army
of the United States. The tabulated statements were introduced
with explanations and comments as follows:
"For purposes of comparison, I have taken the armies and

navies of Austria-Hungary, France, the German Empire, Italy,
and Russia. I have not included Great Britain, for its
conditions have been abnormal for nearly two years. I have
based my estimates on the enlisted strength of the armies
referred to, excluding commissioned officers. The figures are
the most recent obtainable without direct communication with
foreign authorities and are for the most part for the last
fiscal year of the several countries, although in some cases
they are for 1898-99. The German naval budget does not include
the extraordinary expenditures for the new navy authorized by
the recent enactment of the Reichstag. This does not begin to
be effective until the next fiscal year. In estimating the
equivalent in dollars of the Italian budget I have allowed 6
per cent for the depreciation of the present paper currency—a
very moderate estimate. The Russian budget will appear
abnormally low, for I have recently seen it stated at
$159,000,000. This is because the ruble has been assumed to be
the gold ruble, worth 52 cents, but the budget is expressed in
paper rubles, and is now, under a recent order of M. Witte,
uniformly reckoned at two-thirds of the gold ruble. I have
therefore called it 34.6 cents."
As to the military expenditure of the United States, "the

House has during the present session appropriated, or is about
to appropriate, for the support of what may be called the
active Army, $152,068,100.84. The appropriations growing out
of past wars amount to a total of $154,694,292. I have charged
to this account every item that could by any possible
construction be assumed to refer to past wars and not to the
maintenance of the present Army. The pension appropriation
bill carried $145,245,230. The cost of administering the
Pension Bureau will amount to $3,352,790. The Record and
Pension Office costs $585,170. I have further included
appropriations for National and State Homes, back pay, etc.,
cemeteries, and $712,580 for extra clerks due to the Spanish
war. Adding the appropriations due to past wars to the
appropriation for the active Army, we find a total of
$306,762,392.84, which represents the total of our Army
budget. Taking the total cost of our active Army, and assuming
the enlisted strength of the Army to be 100,000, we find the
cost per annum of each enlisted man to be $l,520. Taking the
total Army budget, including appropriations arising from past
wars, we find the cost per annum of each enlisted man $3,067.
"Without including appropriations arising from past wars, we

find the cost of the Army per capita of population to be
$1.99. Including appropriations arising from past wars, we
find the cost of the Army per capita of population to be
$4.02. The army budget of Austria-Hungary is $67,564,446, the
cost of maintaining 1 enlisted man for one year being $183.86,
and the cost of the army per capita of population $1.50. The
army budget of France is $128,959,064, the cost of maintaining
1 enlisted man is $218.74, and the cost per capita of
population is $3.34. The army budget of the German Empire is
$156,127,743, the cost per annum of 1 enlisted man is $277.85,
the cost per capita of population is $2.98. The army budget of
Italy is $43,920,132, the cost of maintaining 1 enlisted man
per annum is $202.65, the cost per capita of population is
$1.39. The army budget of Russia is $99,927,997, the cost of
maintaining 1 enlisted man is $119.65, the cost per capita of
population is 77 cents.
"The appropriations for the support of the naval establishment

are by no means so widely distributed as are those for the
Army. The naval bill carries $77,016,635.60. In the
legislative, executive, and judicial bill there are carried
appropriations directly chargeable to the support of the Navy,
including pay of the clerical force in the Auditor's office,
the office of the Secretary, the office of the heads of the
bureaus, maintenance of building, and contingent expenses,
amounting to $399,150. In the sundry civil bill there are
carried, for printing and binding, appropriations amounting to
$127,000. Up to the present time the Secretary of the Treasury
has submitted to the House a statement of deficiencies for the
support of the naval establishment amounting to $2,491,549.64,
making a total of $80,034,335.24 that the House has
appropriated or is about to appropriate during the present
session for the support of the naval establishment. In
addition to this the legislative, executive, and judicial bill
carries an appropriation of $21,800 for the payment of extra
clerks whose employment is necessitated by the Spanish war,
making a total naval budget of $80,056,135.24.
"The naval budget of Austria-Hungary is $7,028,167, a cost per

capita of population of 15 cents. The naval budget of France
is $61,238,478, a cost per capita of population of $1.58. The
naval budget of the German Empire is $32,419,602, a cost per
capita of population of 62 cents. The naval budget of Italy is
$18,455,111, a cost per capita of population of 58 cents. The
naval budget of Russia is $48,132,220, a cost per capita of
population of 37 cents.
{695}
"The combined appropriations for the Army and Navy represent

the total war budget, or, as some European countries prefer to
call it, the 'defense budget.' The total war budget of the
United States, excluding appropriations due to past wars,
amounts to $233,102,435, or a cost per capita of population of
$3.03. Our total war budget, including appropriations due to
past wars, amounts to $386,818,527, a cost per capita of
population of $5.06. The total war budget of Austria-Hungary
is $74,592,613, a cost per capita of population of $1.66. The
total war budget of France is $190,197,542, a cost per capita
of population of $4.92. The total war budget of the German
Empire is $188,547,345, a cost per capita of population of
$3.60. The total war budget of Italy is $62,375,243, a cost
per capita of population of $1.97. The total war budget of
Russia is $148,060,017, a cost per capita of population of
$1.14. The combined total war budgets of France and of the
German Empire amount to $378,744,887, or $8,073,640 less than
that of the United States.
"The criticism has been made that there can be no comparison
between the cost of maintaining our Army and the cost of
maintaining those of Europe, for the reason that the European
private receives 'no pay' and ours receives $156 a year. As a
matter of fact, while service is compulsory on the Continent,
the continental private is paid a small sum, amounting on the
average to about $56 a year. In other words, our private
receives about $100 more than his comrade of Europe. This
criticism does not affect comparisons, as will be seen on the
consideration of a few figures. The war budget of the German
Empire is the largest in Europe. Were the Prussian private to
receive the same pay as our private the Prussian army budget
would be swelled to $212,354,343. Were the Russian private to
receive the same pay as our private the Russian budget would
be swelled to about $190,000,000 per annum. The difference in
pay does not account for the proportionate difference in the
size of the budgets, for were our Army to be increased to the
size of that of the German Empire our budget would be
increased by $702,644,320, making a total of $854,712,420,
without including expenses due to past wars, or, including
such expenses, making an Army budget of $1,009,406,712. Were
our Army to be increased to the size of Russia's, our budget
would be increased by $1,132,120,220, making a total Army
budget, without including appropriations due to past wars, of
81,284,188,320, or, including appropriations due to past wars,
making a total budget of $1,438,882,612.
"I submit these figures to the consideration of the House

without any comment whatsoever. Comment is unnecessary.
"TABLE A.
Analysis of the war budget of the United States as agreed to,
or about to be agreed to, by the House of Representatives,
first session Fifty-sixth Congress.
1. ARMY.
Appropriations for the active Army.
Army bill
$117,994,649.10
Military Academy bill
700,151.88
Fortification bill
7,227,461.00
Legislative, executive, and judicial bill:
Office of the Secretary of War

$104,150
Office of the Auditor for the War Department
318,300
Offices of heads of so-called "staff"
departments 653,826
Maintenance of three-eighths of Department
building 45,990
Rent
13,500
Stationery
32,500
Postage
1,000
Contingent expenses
58,000
Total
1,227,266.00
Sundry civil bill:

Arsenals and armories
281,550
Military posts
1,008,960
Bringing home dead
150,000
Maps, etc.
5,100
Printing and binding
241,000
Repairs, three-eighths Department building
31,500
Total
1,721,110.00
Deficiencies submitted:
December 11, 1900
12,062,223.36
January 21, 1901
5,835,239.50
January 26, 1001
5,300,000.00
Total
23,197,462.36
Total, active Army

152,068,100.84
Appropriations growing out of past wars.
Pensions
$145,245,230.00
Salaries, Pension Bureau, etc.
3,352,700.00
Record and Pension Office
585,170.00
National Homes for Disabled Volunteer Soldiers
3,074,142.00
State Homes for Disabled Volunteer Soldiers
950,000.00
Back pay and bounty (civil war)
325,000.00
Arrears of pay (Spanish war)
200,000.00
National cemeteries
191,880.00
Artificial limbs and appliances
27,000.00
Headstones and burials
28,000.00
Apache prisoners
2,500.00
Secretary of War, extra clerks (Spanish war)
600,000.00
Auditor for War Department,
extra clerks(Spanish war)
112,580.00
Total.
154,694,292.00
Appropriations for the active Army

152,068,100.84
Total Army budget.

300,762,392.81
2. NAVY.
Naval bill
$77,016,635.60
Legislative, executive, and judicial bill:
Office of the Secretary of the Navy
$47,900.00
Office of the Auditor for the Navy
Department 68,080.00
Offices of heads of bureaus, etc.
224,430.00
Maintenance of three-eighths
of Department building
45,990.00
Contingent expenses
12,750.00
Total
$399,150.00
Sundry civil bill:

Printing and binding
127,000.00
Deficiencies submitted:
December 11, 1900
74,481.09
December 17, 1900
20,000.00
January 21, 1901
2,267,068.55
January 25, 1901
130,000.00
Total
2,491,549.64
Total, active Navy

80,034,335.24
Auditor for Navy Department,
extra clerks (Spanish war)
21,800.00
Total Navy budget

80,056,135.24
3. RECAPITULATION.
Active Army
$152,068,100.84
Active Navy
80,034,335.24
Total
$232,102,436.08
Army (past wars)

154,694,292.00
Navy (past wars)
21,800.00
Total War Budget
154,716,092.00
Total war budget

386,818,528.08
{696}
TABLE B. Analysis of war budgets of various armies.
Country Population Latest Total

Cost of Cost of Latest Cost of
Total war
by last Obtainable
enlisted maintaining army per obtainable
navy per budget Cost of army and
census Army Budget
strength, one enlisted capita of naval
capita of combined
peace
man for population budget population
per capita of
footing one year.

population.
Austria-Hungary 44,901,036 $67,564,446

368,002 $183.86 $1.50 $7,028,167
$0.15 $74,502,613 $1.66
France 38,517,975 128,959,064
589,541 218.74 3.34 61,238,478
1.58 190,197,542 4.92
German Empire 52,246,589 156,127,743
562,266 277.85 2.98 32,419,602
.62 188,547,345 3.60
Italy 31,479,217 43,020,132
216,720 202.65 1.39 18,455,111
.58 62,375,243 1.97
Russia 129,211,113 99,927,797
835,143 119.85 .77 48,132,220
.37 148,060,017 1.14

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Chapter 2 – Overview of the Nonprofit Sector

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Answer Location: America’s Nonprofit Sector:A Historical Overview

7. The number of nonprofits operating in the United States today is approximately:

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21. Private foundations most often are funded by:

*b. a single donor or a small number of donors.

23. Salamon’s Anatomy classifies nonprofit organizations by:

24. Exempt activities are those that:

Cognitive Domain: Knowledge

28.Another name for social welfare organizations is:

30.The legal foundations of America’s nonprofit sector are drawn from:

31. “The Gospel of Wealth” was written by John D. Rockefeller.

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Before the Arbitrators named in the treaty had entered on

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Starting from the coast at Point Playa, the line of boundary

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Great Britain, Papers by Command:

General Joaquin Crespo retired from the presidency and was

See (in this volume)

See (in this volume)

See (in this volume)

VICTORIAN ORDER, The.

A new order of knighthood, to be known as the Victorian Order,

See (in this volume)

See (in this volume)

According to a report from the United States Consul at Vienna,

See (in this volume)

VILLIERS, Sir J. H. de:

See (in this volume)

VIRDEN, Conflict with striking miners at.

See (in this volume)

VIRGINIUS AFFAIR, The.

See (in this volume)

VISAYAN ISLANDS, American occupation of the.

See (in this volume)

VOLKSRAAD, South African.

See (in this volume)

VOLUNTARY SCHOOLS, English.

See (in this volume)

VOLUNTEERS OF AMERICA, The.