Non-profit vs Private Limited Company

Statement 1: True. A non-profit organisation cannot make a profit. Statement 2: False. A private limited company can pay dividends to its shareholders.

Yes, a non-profit organisation can generate revenue through donations, grants, and other sources. However, it cannot make a profit.

A private limited company is a type of business entity that is privately held by a small group of shareholders. It is separate from its owners and has limited liability.

<p>Dividends are payments made by a company to its shareholders as a distribution of profits. These payments are typically made in cash or additional shares of stock.</p> Signup and view all the answers