A program effectiveness ratio is helpful in assessing whether a not-for-profit is using its resources to accomplish its mission or goals.

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A program effectiveness ratio compares the program expenses to the program accomplishments or outcomes, providing an objective measure of how well the organization is utilizing its resources to achieve its intended impact. It is a common tool used by not-for-profit organizations to evaluate and improve their programs.

A Program Effectiveness Ratio Is Helpful in Assessing Whether a Not-For-Profit