Certified Meeting Professional (CMP) Practice Exam

Which of the following is NOT a miscellaneous funding source?

1. Advertising

2. Sponsorships

3. Merchandise sales

4. Royalties

The correct answer is: Sponsorships

Sponsorships are typically categorized as a primary funding source rather than miscellaneous. They involve direct financial support provided by companies or organizations in exchange for promotional opportunities or visibility during an event. Sponsorships are often planned and promoted extensively, making them a key element in budgeting and financial strategy for events. In contrast, advertising, merchandise sales, and royalties represent miscellaneous funding sources. Advertising income can be generated through selling space in event materials, merchandise sales involve selling branded items related to the event, and royalties may come from licensing agreements related to intellectual property. Each of these sources supplements the primary income streams, but they are not the main focus of event revenue strategies like sponsorships typically are.