Which statement describes facilities controlled by private companies?

Which statement describes facilities controlled by private companies?

• A. They are non-profit and run by volunteers
• B. They are for-profit and charge membership fees
• C. They are owned by government agencies
• D. They provide free access to all services

Answer: (B)

The idea being tested is who controls facilities and how they generate income. Private companies run facilities to make a profit, so they charge fees such as memberships or user charges to cover operating costs and earn a return for owners. That makes the statement about being for-profit and charging membership fees the best fit, because private-sector facilities rely on these fees to fund operations and profits. In contrast, a non-profit run by volunteers describes charitable or community groups, government ownership describes public sector facilities, and providing services for free would require public funding or subsidies rather than private profit.

The idea being tested is who controls facilities and how they generate income. Private companies run facilities to make a profit, so they charge fees such as memberships or user charges to cover operating costs and earn a return for owners.

That makes the statement about being for-profit and charging membership fees the best fit, because private-sector facilities rely on these fees to fund operations and profits. In contrast, a non-profit run by volunteers describes charitable or community groups, government ownership describes public sector facilities, and providing services for free would require public funding or subsidies rather than private profit.