Which of the Following Data Must a Franchisor Disclose If

question 86

Multiple Choice

Which of the following data must a franchisor disclose if the franchisor makes sales or earnings projections for a potential franchise location that are based on the actual sales,income,or profit figures of an existing franchise?

• A) Contract details of the franchisor and the existing franchises.
• B) Management methods that have been adopted by the existing franchises.
• C) The number and percentage of its actual franchises that have obtained such results.
• D) Any sales or marketing strategy employed by the franchisor in acquiring such results.

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Definitions:

Fixed Position Layout

A layout where the product remains stationary and machinery, equipment, and workers move around as needed.