Not-for-profit (NFP) organizations differ from typical business enterprises in a variety of ways. Accordingly, their business operations often require specialized accounting requirements to accommodate the differences.

a) Identify characteristics that distinguish NFP from business enterprises.

b) Specifically identify, from most important to least important, five accounting issues relevant to NFP financial reporting and explain your rationale by reference to existing reporting requirements.

c) For the top three items identified in b), identify the specific GAAP reference providing accounting support and summarize the guidance provided.