Nonprofit Nonprofit Governance 3

Question 1

What is board succession planning?

Accepted Answer

A proactive strategy to identify and develop future board leaders

Answer

Board succession planning ensures continuity of leadership by identifying and preparing qualified candidates for key board roles before vacancies occur.

Question 2

Which document legally creates a nonprofit corporation in the US?

Accepted Answer

Articles of Incorporation

Answer

Articles of Incorporation is the state-filed document that legally establishes a nonprofit as a corporation.

Question 3

What is the purpose of a board self-assessment?

Accepted Answer

To evaluate the board's effectiveness and identify areas for improvement

Answer

A board self-assessment allows board members to collectively evaluate governance practices and improve their effectiveness as a governing body.

Question 4

What is term limits in nonprofit governance?

Accepted Answer

Restrictions on the number of consecutive terms a board member may serve

Answer

Term limits are governance policies that restrict how long a board member can continuously serve, encouraging fresh perspectives and leadership turnover.

Question 5

What is the relationship between a nonprofit's board and its Executive Director?

Accepted Answer

The board hires, evaluates, and supports the Executive Director who manages day-to-day operations

Answer

The board is responsible for hiring, evaluating, and supporting the Executive Director, who then leads staff and manages operations.

Nonprofit Practice Test

Nonprofit Practice Test

Nonprofit Nonprofit Governance 3