Which of the following best describes a grant?

A grant is fundamentally characterized by being a sum of money given by an organization—such as a government, foundation, or corporation—for a specific purpose. This purpose is typically aligned with certain goals, such as supporting education, research, community development, or public service projects. Unlike loans, grants do not require repayment, which distinguishes them as a more favorable option for organizations or individuals in need of financial support for designated work or projects.

The specificity of a grant's purpose is critical; it is not meant for general use but rather for achieving outcomes predetermined by the granting organization. This ensures that the funds are utilized in a manner consistent with the goals of the grantor, thereby promoting accountability and alignment with broader funding priorities. Overall, the essential characteristics of a grant include its non-repayable nature and its targeted application towards specific activities or initiatives.