Q) Al-Madad Foundation (AMF) is a charitable organization. It receives donations which are utilized to help the destitute persons in accordance with the rules and regulations prescribed by the AMF?s Trust Deed.

The donations are received from the following sources:

(i) Cash collected from the general public through charity boxes placed at key points in hospitals, airports, superstores etc.,

(ii) cash and cheques received from individuals and institutions at AMF?s office; and

(iii) cash from generous individuals who prefer to remain anonymous.

Donations received in case of

(ii) and (iii) above, often contain specific instructions for utilzaation of the donated amount for specific purposes e.g. for education of orphan children. Required Identify the inherent risks in the operations of AMF.