Answer:
A). Prudent reserve
Multiple-choice options for this question.
A) .Prudent reserve B) Rainy day funds C) bonus pay
Step-by-step explanation:
The prudent reserve is the amount of money set aside for use should donations decrease. Nonprofit human services organization uses the prudent reserve to meet operational expenses in periods of low contributions. Therefore, the prudent reserve is a form of a saving plan sufficient to cover expenses for several months.
The recommendation is that Nonprofit human services organizations should have prudent reserves to cover at least three months but not more than one year.