CFRE Chapter 6 | Home Study Essentials: Fully
Solved Q&A for First-Attempt Exam Success
2025/2026
Board/Governing Body role - correct answer Legal corporate entity --
legally and morally accountable to its stakeholders and the communities.
Policy-making body with fiduciary responsibility
Charity - correct answer includes gifts to meet immediate human needs
Philanthropy - correct answer this is giving to strengthen the infrastructure
of society, that is, to develop institutions that serve human needs or
enhance human development over the long run
Development office - correct answer employees from this office are
primarily engaged in fund-raising
Institutional advancement - correct answer this describes the activities
performed by its members
Operating foundations - correct answer These foundations support their
own programs and generally do not make grants to other organizations
Fund-raising process - correct answer Determine priorities and develop
the case; identify and qualify prospects; cultivate relationships with
prospects; solicit the gift; acknowledge the gift and recognize the donor;
steward the gift and the relationship with the donor
Annual fund - correct answer funds that support current operating needs
, Major gift - correct answer gifts typically are at least five figures or more
and are often pledged to be paid over a period of 3 to 5 years
Principal gift - correct answer transformative gifts that have a significant
impact on the organization, and they may total in the millions of dollars
Regular gifts - correct answer gifts that people make on a recuring basis,
usually to support the annual fund
Special gifts - correct answer gifts are those that individual donors make
to meet some non-recurring need of the organization
Stretch gifts - correct answer giving that requires some real sacrifice on
the part of the donor
Charitable remainder trusts (charitable gift annuities) - correct answer
arrangement that provide for the donor or another beneficiary to receive
lifetime income, with the charitable organization not gaining full use of the
donated assets until after the death of the donor or the last income
recipient.
Aequential fund-raising - correct answer when prospects are solicited in a
planned sequence beginning with those closest to the organization and the
most promising prospects, proceeding later to those who are less related or
who are deemed to have less financial potential
Ability, linkage, interest - correct answer ability to give, linkage and
interest in organization
Solved Q&A for First-Attempt Exam Success
2025/2026
Board/Governing Body role - correct answer Legal corporate entity --
legally and morally accountable to its stakeholders and the communities.
Policy-making body with fiduciary responsibility
Charity - correct answer includes gifts to meet immediate human needs
Philanthropy - correct answer this is giving to strengthen the infrastructure
of society, that is, to develop institutions that serve human needs or
enhance human development over the long run
Development office - correct answer employees from this office are
primarily engaged in fund-raising
Institutional advancement - correct answer this describes the activities
performed by its members
Operating foundations - correct answer These foundations support their
own programs and generally do not make grants to other organizations
Fund-raising process - correct answer Determine priorities and develop
the case; identify and qualify prospects; cultivate relationships with
prospects; solicit the gift; acknowledge the gift and recognize the donor;
steward the gift and the relationship with the donor
Annual fund - correct answer funds that support current operating needs
, Major gift - correct answer gifts typically are at least five figures or more
and are often pledged to be paid over a period of 3 to 5 years
Principal gift - correct answer transformative gifts that have a significant
impact on the organization, and they may total in the millions of dollars
Regular gifts - correct answer gifts that people make on a recuring basis,
usually to support the annual fund
Special gifts - correct answer gifts are those that individual donors make
to meet some non-recurring need of the organization
Stretch gifts - correct answer giving that requires some real sacrifice on
the part of the donor
Charitable remainder trusts (charitable gift annuities) - correct answer
arrangement that provide for the donor or another beneficiary to receive
lifetime income, with the charitable organization not gaining full use of the
donated assets until after the death of the donor or the last income
recipient.
Aequential fund-raising - correct answer when prospects are solicited in a
planned sequence beginning with those closest to the organization and the
most promising prospects, proceeding later to those who are less related or
who are deemed to have less financial potential
Ability, linkage, interest - correct answer ability to give, linkage and
interest in organization
