What action must a community association take to resolve a deficit in members' equity?

To address a deficit in members' equity, a community association must focus on actions that enhance revenue. Increasing revenue can be achieved through various means, such as collecting future assessments or reallocating resources effectively, including selling assets if needed. This approach allows the community association to improve its financial standing and recover from the deficit.

Reducing expenses alone, cutting all administrative costs, or maintaining the current financial status without proactive measures won’t necessarily rectify the deficit. Such measures may limit the association's operational capabilities or lead to mismanagement. Therefore, actively increasing revenue is essential for restoring equity and ensuring the community association can meet its financial obligations effectively.