Magnolia Case Study
In regards to the Magnolia Therapeutic Solutions Case Study and how my decision
compared to the board members decision were closely the same. There were a few differentials
that I feel that the full grant should have been issued to an extent but final decision of not being
conducted. Mary showed substantial size of how much help was going to be needed during the
September 11th attacks on America and with the experience of how Magnolia was conducted
previously to help individuals with Post Traumatic Syndrome Disorder. When the board made
their decision to approve the budget for Magnolia it was done in haste; the grant should not have
been submitted to the board within their budget so the board members could have seen what the
true submissions would have been.
With the past acknowledgment of how Magnolia supported individuals before September
11th and the success it brought it was only natural to follow through with what the board
members did. I think we base our decisions off of facts, recognition and references from what is
brought to our attention. Being able to go off those facts will be able to make our minds up how
we want our decisions to go.
Mary had shown a challenged yet great organizational infrastructure when conducting
this organization. The employees of Magnolia had grown in numbers which meant that their
grant was going to exceed what asked for the previous years; going from six employees to thirty-
four is a high increase of funds to be shelling out. I feel I would of asked Mary to produce the
records that correlated with the budget submitted; Mary did nothing more than put her budget
together by using the grants and fundraising from the previous grant. Mary made her budget
with a grant she was not yet approved; not even taking into consideration if the grant was
reinstated or not.
Magnolia Case Study
I feel that the main concern behind the problem of the Magnolia is that there was such
an increase in the population and post traumatic syndrome disorder will and can last for long
periods of time causing these individuals to be in shock, depression and being sad; problems like
this can take an extremely long time to overcome especially with the tragic episode that the
friends and family in New York City had to endure on September 11th, 2001.
(Janiunaite, B., Cibulskas, G., & Petraite, M. 2011) Nonprofit organizations are not
owned by anyone it would be controlled by people that do not want to own the organizations in
general. Nonprofit organizations do not have to pay any shares of the organizations.
(Montgomery, McCracken, Walker & Rhoads, 2001) Most do not have to pay a federal tax on
their earnings. Section 501(c) of the Internal Revenue Code (the “Tax Code”) now spells out 27
separate categories of exempt organizations. These categories include Section 501(c)(2) title
holding companies, Section 501(c)(4) civic associations, Section 501(c)(5) agricultural or labor
organizations, Section 501(c)(6) business leagues, professional and trade associations (including
the National Football League), and Section 501(c)(7) social clubs. The largest category, and the
one most people usually think of when they hear the terms “nonprofit” or “tax exempt,” is
Section 501(c)(3) which exempts “charitable” organizations (including the volunteer soup
(Szu-Lang, L., & Hao-Chang, S. 2011) A for profit organization is an organization that
has a main goal of making revenue with the profits of the money they are making. This is most
businesses and large corporations that have many employees. There are individuals that take
ownership in these businesses; where they are able to collect the profit at the end of the day and
if the cards are played right they will succeed high. Profit organizations will have to be
Magnolia Case Study
subjected to pay a federal income tax for all of their revenue unlike the nonprofit organizations.
There are many resources to start a business or an organization to be able to make a profitable
outcome; the key is to be smart about the planning and moving forward with the