HU Charity Navigator Discussion

Question Description

I need help with a Accounting question. All explanations and answers will be used to help me learn.

Charitable organizations raise funds for and support a variety of causes to support the common good. The compassion and generosity of individuals supply charities with large sums of money. Unfortunately, not all such organizations are what they purport to be. This provides opportunities for unscrupulous fund raising and illegal scams. Often these organizations have names similar to well-known and respected charities or the name is designed to appeal to patriotism (veterans, firefighters, policemen). For example, the highly rated American Cancer Society versus the low rated Cancer Fund of America. Several organizations rate charities: Charity Navigator (www.charitynavigator.org ), Charity Watch (www.charitywatch.org) , and Guidestar (www.guidestar.org).

Choose one of the rating organizations. List at least 4 measurements the organization uses to rate charities. Do you believe these criteria fairly rate charities?

Choose two charities about which you want more information. How do they rate?

Recently instances of fraud or at least significant mismanagement by charities have been newsworthy. Find at least one instance to share with your classmates. Where did you obtain the information?

After this exercise in the future are you more likely to research a charity asking for donations?

Explanation & Answer:

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