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4 votes
Which of the following is identified as a 501(c)(3)?

(1 point)
Responses

a lobbying firm
a lobbying firm

a private foundation
a private foundation

a private school
a private school

a company that donates its profits but has unrelated business income
#2
If you want to start an emergency savings fund and want to make sure your money is available at any given time, which is the best option for you?(1 point)
Responses

a money market mutual fund
a money market mutual fund

a mutual fund
a mutual fund

a CD
a CD

a bank savings account
#3
Which of the following is not a characteristic of a typical bank savings account?(1 point)
Responses

no restrictions on money withdrawals or deposits
no restrictions on money withdrawals or deposits

savings are easily accessible for the customer
savings are easily accessible for the customer

an average of 0.05% interest with no other restrictions
an average of 0.05% interest with no other restrictions

a high interest rate

1 Answer

3 votes

Final answer:

A 501(c)(3) can be a private foundation or private school, and not a lobbying firm. For an emergency savings fund, a bank savings account is best due to its liquidity and security. Typical bank savings accounts do not offer high interest rates.

Step-by-step explanation:

The entity identified as a 501(c)(3) is a private foundation, a private school, or other non-profit organizations that are established for charitable, religious, educational, scientific, or literary purposes. Lobbying firms, on the other hand, are not typically granted this status due to the nature of their work which involves attempting to influence legislation.

If you want to start an emergency savings fund and want your money to be available at any given time, the best option would be a bank savings account. This option provides ease of access to funds while keeping money secure.

A characteristic that is not typical of a bank savings account is offering a high interest rate. Usually, these accounts have low interest rates, but provide a high degree of liquidity and security for the depositor.

User Stewbob
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