CNC Grant Writing & Proposal Budgets 2 — Questions and Answers
Question 1: What is a 'logic model' in the context of a grant proposal?
- A financial spreadsheet linking costs to activities
- A visual framework showing inputs, activities, outputs, and outcomes (Correct answer)
- A narrative section describing organizational history
- A chart comparing your budget to peer organizations
Correct answer: A visual framework showing inputs, activities, outputs, and outcomes
A logic model visually maps how program inputs and activities lead to intended outputs and long-term outcomes.
Question 2: Which budget line item category covers staff salaries and fringe benefits?
- Indirect costs
- Direct program costs
- Personnel costs (Correct answer)
- Capital expenditures
Correct answer: Personnel costs
Personnel costs encompass all compensation-related expenses including salaries, wages, and associated fringe benefits.
Question 3: A funder requires a '10% match.' On a $100,000 grant, the nonprofit must contribute:
- $10,000 in matching funds (Correct answer)
- $100,000 in matching funds
- $90,000 in matching funds
- $1,000 in matching funds
Correct answer: $10,000 in matching funds
A 10% match on a $100,000 grant means the nonprofit must provide $10,000 from non-federal or other eligible sources.
Question 4: What does 'scope creep' mean in grant project management?
- When indirect cost rates unexpectedly increase
- When project activities expand beyond the original approved proposal (Correct answer)
- When a grant period is extended by the funder
- When a co-applicant withdraws from the project
Correct answer: When project activities expand beyond the original approved proposal
Scope creep occurs when project activities gradually expand beyond what was approved, risking budget overruns and compliance issues.
Question 5: Which section of a grant proposal typically outlines how the project will continue after funding ends?
- Needs statement
- Evaluation plan
- Sustainability plan (Correct answer)
- Budget narrative
Correct answer: Sustainability plan
The sustainability plan demonstrates to funders how the program will remain viable after the grant period concludes.
Question 6: In federal grant budgeting, what is the purpose of an 'SF-424A' form?
- It certifies the organization's nonprofit status
- It provides budget information for non-construction federal grants (Correct answer)
- It reports on the use of indirect cost rates
- It discloses conflicts of interest among key personnel
Correct answer: It provides budget information for non-construction federal grants
The SF-424A is the standard federal form for submitting budget information for non-construction grant applications.
Question 7: What is a 'budget modification' or 'budget revision' in grant management?
- An initial draft of the proposed budget
- A funder-approved change to how grant funds are allocated across line items (Correct answer)
- A penalty assessed for overspending a budget category
- A mid-year financial audit required by the funder
Correct answer: A funder-approved change to how grant funds are allocated across line items
A budget modification is a formal, funder-approved adjustment that reallocates funds between budget line items after the grant is awarded.
CNC Grant Writing & Proposal Budgets 2
What is a 'logic model' in the context of a grant proposal?