CFRE Practice Exam

CFRE Practice Exam If a donor states that the amount of money an organization is asking for is very large, the best response is to tell the prospective donor that: - ✔✔the amount is large, but emphasize the value and long term impact of the gift. When is the most appropriate time to begin devoting time and energy into the development and nurturing of a relationship with a donor? - ✔✔Immediately upon receipt of the donor's first gift, irrespective of the gift size The primary purpose of rating an organization's prospective donors is to determine their: - ✔✔potential to give to the organization. When budgeting the costs for a new fundraising software package, in addition to the initial purchase and upgrades, a fundraiser also should factor in: - ✔✔the cost for maintenance and warranties. The primary challenge in maintaining an effective relationship between a donor and a fundraiser is: - ✔✔maintaining professional balance in the relationship. Based on based giving records, a fundraiser is visiting a prospective major gift donor for the first time. Because the prospective donor has never been visited by the organization, the most appropriate strategy is to: - ✔✔learn about the prospective donor's interests and link to the organization. The most essential factor in sending gift acknowledgement letters is: - ✔✔speed of delivery. The first prospects to be asked to support any campaign are the: - ✔✔board members In marketing, what does SWOT analysis stands for? - ✔✔strength, weakness, opportunities, threats In order to be effective, it is essential that the vision and mission be continually expressed by the organization's: - ✔✔leadership When interviewing prospective fundraising employees, it is most important to avoid: - ✔✔questions that may be construed as personal. When developing a specific solicitation plan for an individual donor, the most important considerations are: - ✔✔the connection between a prospective donor's passion and an organization's need. When soliciting leadership gifts for an organization, it is most important to: - ✔✔enlist the prospect's peers to make the visit. A governing board's principal relationship is with the organization's: - ✔✔chief executive officer. Which of the following responses best describes three hidden costs encountered in a capital project? - ✔✔Fundraising, attrition, and inflation In the context of rating prospective donors, LAI stands for: - ✔✔linkage, ability, interest. In evaluating fundraising programs, the relationship between fundraising costs and results is linked to each method used, the maturity of each program, and - ✔✔previous performance. An organization has decided to hire a local fundraising consultant to work in its office one day per week to oversee and direct a campaign. The CEO has asked you to ensure the organization's interests are protected. A contract should be written establishing that the consultant will be paid: - ✔✔in accordance with a code of professional ethics. Establishing the financial range of gifts that a donor will reasonably consider is referred to as a donor: - ✔✔rating The single most important element in a direct mail campaign is: - ✔✔the list of prospective new donors. Which method is most effective in establishing a two-way relationship with a donor? - ✔✔Allowing the donor to select the time, frequency and method. In hiring a firm for contracted services, it is best to start with: - ✔✔referrals. The most important open line of communication is between the fundraising director and the organization's - ✔✔chief executive officer. Before beginning to write the case for support for an upcoming campaign, it is most important to: - ✔✔acquire an understanding of the