Tumble Gymnastics & Karate,Inc.,grants a franchise to Stefan to operate a Tumble gym.Tumble may require Stefan to pay the franchisor a percentage of the business's

Question

Quizplus · Accepted Answer

The most common way for a franchise to earn revenue from its franchisees is by receiving a percentage of the business's annual sales or volume. This is known as a royalty fee and is a standard feature of most franchise agreements. Option B and C are not common ways for a franchisor to earn revenue from its franchisees, and option D is not correct because a franchisor typically receives some form of payment or fee from its franchisees.