Virtues and risks of poverty
New Zealand Institute of Chartered Accountants
The article discusses the disadvantaged of a not-for-profit organisation having a surplus of financial accounts in seeking financial support from donors and funders in New Zealand. It states that to ensure financial accounts do not show a surplus, not-for-profit organisations separate some profitable activities into a separate organisation that are not included in consolidation. It emphasizes that separation of surplus can be useful for not-for-profits having large portion of restricted surplus.