CFRE - exam practice questions and answers graded A+ 2023

CFRE - exam practicePhilanthropy - correct answer voluntary action for the common good... - Robert L. Payton, as quoted in Greenfield's Fundraising Fundamentals Number of nonprofits registered with IRS - correct answer US: 1.4 mil; 63% registered as 501c3... 161K in Canada Donors give for the following reasons - correct answer moral obligation to help... personal satisfaction of helping others... to remove guilt for not giving... to maintain/improve social status... peer pressure... compassion/empathy... personal identification... self-interest... religious influence... need to be needed... substitution for active participation... support for mission and purpose... personal relationship... appreciation for mission... evidence of one's success... to express anger, or love, or hope... to end fear... out of the cause's appeal... to be remembered... to gain recognition... to join group, sense of belonging ... to preserve the species... to gain immorality... for psychic self-satisfaction... desire to provide public goods... to fulfill condition for employment... in response to leadership from peers... to be agent for public good... satisfaction from seeing others satisfied... tax benefits giving nearly always implies - correct answer some sort of connection to the org giving may provide - correct answer some type of return in what the org will do for them or someone close to them effective fundraisers seek to discover... - correct answer what is important to any potential donor, and tap that need to encourage and support giving. This requires being able to look at the org's mission and programs through the eyes of the donor rather that from the perspective of those who run the org. key activities in fundraising - correct answer research, marketing, relationships, ethics & accountability Research supports fundraising by - correct answer identifying stakeholders and potential donors, providing info about stakeholders, ensuring appropriate resource allocation, planning, evaluation, rating stakeholders for relationship building and service priorities Roles of marketing in fundraising - correct answer communicate purpose and activities, promote mission and case for support, encourage participation in fundraising activities, encourage donations, communicate fundraising results, advocate the case Relationships - correct answer the heart of fundraising Relationships support fundraising by - correct answer adding prospects and developing them into active/regular donors, support other types of contributions, engage stakeholders in the organization, integrate with research and marketing, allow getting to know prospects and interests, support stewardship ethics and accountability ensure - correct answer stakeholder trust and confidence, assets are managed and accounted for data collected and used properly, donor privacy and rights maintained, reporting/other requirements fulfilled, programs executed as promised, donors are retained Why research? - correct answer ensures appropriate resource allocation, helps build staff and volunteer confidence, adds element of joy an discovery to prospecting How does Research ensure appropriate resource allocation? - correct answer allows staff/volunteers to focus efforts on prospects who can provide the most good.... Helps in planning how to use volunteers in the organization (number and types of volunteers needed) How does Research help build staff and volunteer confidence? - correct answer Backed by good information, the process of cultivation and solicitation has greater chances for success. How does good Research add an element of joy and discovery to prospecting? - correct answer adds confidence, which eliminates anticipation of prospecting as a chore, makes it more like solving a good mystery - with whom can we successfully connect? How can we make our case compelling? How much will they give? Marketing - a formal definition - correct answer the process of gathering, recording, and analyzing information pertaining to the marketing of goods and services