CFRE Fundraising Ethics and Accountability

Question 1

The AFP Code of Ethical Standards requires fundraisers to disclose which of the following?

Accepted Answer

Conflicts of interest that could affect professional judgment

Answer

The names of all major donors

Answer

The salaries of all fundraising staff

Answer

Internal board meeting minutes

Question 2

Which compensation arrangement is considered unethical by the AFP Code of Ethical Standards?

Accepted Answer

Percentage-based compensation tied directly to the amount of funds raised

Answer

A base salary plus performance bonus tied to organizational metrics

Answer

Hourly consulting fees for campaign planning

Answer

Annual salary with a cost-of-living increase

Question 3

What does 'donor bill of rights' primarily protect?

Accepted Answer

Donors' rights to be informed, treated with respect, and have their gifts used as intended

Answer

The organization's right to keep donor information confidential

Answer

Fundraisers' rights to commission-based pay

Answer

Volunteers' rights in fundraising campaigns

Question 4

Under AFP ethical standards, a fundraiser who learns of illegal activity within their organization should:

Accepted Answer

Report it through appropriate channels, which may include legal authorities

Answer

Ignore it to protect organizational reputation

Answer

Only disclose it after leaving the organization

Answer

Keep it confidential as part of professional loyalty

Question 5

Which principle underpins the concept of 'philanthropic freedom'?

Accepted Answer

Donors have the right to make charitable gifts to any legal organization without coercion

Answer

Organizations can restrict donor giving to specific programs only

Answer

Governments should control how charitable funds are distributed

Answer

Fundraisers must approve all gifts before they are accepted

Question 6

A fundraiser is offered a personal gift (e.g., tickets to a sporting event) by a donor. According to AFP standards, what should the fundraiser do?

Accepted Answer

Decline or disclose the gift according to organizational policy to avoid a conflict of interest

Answer

Accept the gift as a reward for good relationship-building

Answer

Accept only if the value is under $50

Answer

Accept the gift privately and not disclose it