Amazon gives non-Prime members free shipping at $35 or more of eligible items. Instead of simply letting users get the product with free shipping, they’ve added a discount that prices it exactly one cent below the $35 limit, while only subsidizing the price with $3.38, which is about half of what they’ll then charge you for shipping.
Yes, nonprofits in the United States can earn a profit, but they must reinvest it back into the organization. Nonprofits are tax-exempt and are formed to serve the public, so they can’t distribute profits to individuals. How nonprofits make money
Donations and fundraising: Nonprofits raise money through donations and fundraising events
Earned income: Nonprofits generate income through activities related to their mission, such as:
Selling merchandise
Charging fees for services Renting out space Selling food
How nonprofits use their profits Program growth: Nonprofits use profits to grow their programs, hire staff, and upgrade technology Sustainability: Nonprofits use profits to build reserves for long-term sustainability Fundraising: Nonprofits use profits to attract more support through fundraising efforts
Restrictions on nonprofit profits
Nonprofits can’t distribute profits to individuals Nonprofits must reinvest all surplus funds back into the organization Nonprofits must ensure that their revenue is directly related to their mission
