Create a memo to stakeholders with an executive summary using logical reasoning based on your tax research to explain why the client should adopt your recommendations for structuring business operations.

As mentioned in Chapter 10 of your textbook, potential donors to a not-for-profit charitable organization are most interested in a “program expense to total expense” ratio calculated from financial statement information. Donors want to obtain a comfort level with their “investment” that the targeted charity manages its non-program expense spending as efficiently as possible. For this exercise, you will practice your skills at analyzing the annual report for a national or local charity that interests you. To add to the challenge, there can be no duplication of the charity selections. Required: Choose three not-for-profit organizations of interest to you, and locate their annual report or financial statements. Annual reports can usually be found on the organization’s website. Once you have ascertained that an annual report is available for these charities, go to the discussion board posting and “claim” the three organizations you will use for the assignment. (Having at least one or two backup choices is critical since there will be a few well-known organizations that will be selected early on.)  Note: If you have difficulty finding some organizations or the annual reports or financials, contact your instructor for assistance. Once you have been approved by the instructor to proceed with your organizations, find the line item totals for the following in the financial statements/annual report: Total revenue, Program service expenses, and Total expenses. Calculate the ratio of the program service expenses to the total expenses. Keep track of the results in a chart that includes the name of the organization, the website where the financial information was found, the three items in step 2, and the calculated program expense ratio. Prepare your findings along with your comments on the results of your work. For example, you may find an organization with a 70% ratio, and one with a 90% ratio. Is there anything you noticed in the annual report or know about the company that may have contributed to one organization having a lower ratio than the other? What about the ratio of total expenses to total revenue? Conclude your comments with the organization you would most want to contribute to if you were an interested donor.

CompetencyExamine the application of statistical functions and derivatives as instruments for measuring risks.InstructionsYou will assume the role of a senior analyst hired by a fictitious company, Premium Acceptance, a midsized property insurance carrier. Premium Acceptance is performing well with respect to several key performance indicators, including policies in force, policy retention, and new business counts.One of your objectives as the newly appointed senior risk analyst is to develop a framework for managing loss ratios which is one of the firm's largest key performance indicators. A loss ratio is simply the difference between the ratio of claims paid by an insurance carrier and the ratio of premiums paid. The board of directors depends on the ability to forecast loss ratios, which in turn enables them to forecast profitability metrics to the shareholders. The organization will now consider implementing the use of statistics for measuring risks.Your deliverable should be composed in a report. Be sure to address the following items:Explain how statistics is used to formally define risk in the risk assessment process.Discuss at least two statistical tools that can be employed to measure risk.Convey which tool best serves the company's purposes and explain why it is.What are the ramifications of the organization electing not to use statistics in this process?For help writing a business report, please use the guide found here.Grading RubricFFCBA01234Not SubmittedNo PassCompetenceProficiencyMasteryNot SubmittedAn inaccurate overview of how statistics support the risk assessment process is given OR no overview of how statistics support the risk assessment process is given.An accurate overview of how statistics support the risk assessment process is given. A definition of risk is included.An accurate overview that includes specific examples of how statistics support the risk assessment process is given. A definition of risk is included.A thorough and detailed overview that includes specific examples of how statistics support the risk assessment process is given. A definition of risk is included.Not SubmittedLess than two valid statistical tools that can be used to measure risk are included.At least two valid statistical tools that can be employed to measure risk are discussed.At least two valid statistical tools that can be employed to measure risk are explained with details on specific applications.More than two valid statistical tools that can be employed to measure risk are explained with details on specific applications.Not SubmittedDoes not correctly identify which tool will best serve the company's purpose OR does not correctly explain why it is the best tool.Correctly identifies which tool best serves the company's purpose AND explains why it is the best tool.Correctly identifies which tool best serves the company's purpose AND explains why it is the best tool through specific examples of an application of the tool.Correctly identifies which tool best serves the company's purpose AND gives a thorough and detailed explanation of why it is the best tool. Includes specific examples of an application of the tool.Not SubmittedLess than two valid ramifications of choosing not to use statistics in the risk assessment process are given.At least two valid ramifications of choosing not to use statistics in the risk assessment process are given.At least two valid ramifications of choosing not to use statistics in the risk assessment process are thoroughly explained.More than two valid ramifications of choosing not to use statistics in the risk assessment process are thoroughly explained.