A work-at-home opportunity is available in which you will receive 3 percent of the sales for customers you refer to the company. The cost of your "franchise fee" is $600. How much would your customers have to buy to cover the cost of this fee?

The customers will have to buy for at least $ 20,000 to cover a cost of $ 600.

Explanation:

The cost of "franchise fee" is $600.

3 percent of the sales  must be equal to the cost of the franchise fee

Let X be the amount of Sales then

3% of X= $ 600

X = $600/3%

X= 600/0.03= $ 20,000

Sales of $ 20,000 will generate a franchise fee of $ 600

It can be rechecked

$ 20,000 * 3%= $ 600

$ 20,000* 3/100= $ 600

$ 20,000 * 0.03= $ 600

The customers will have to buy for at least $ 20,000 to cover a cost of $ 600.

Customers would have to buy goods worth $20,000

Explanation:

Given the following ;

Franchise fee = $600

Percentage earned from referral purchase = 3%

To calculate the total purchase referrals or customers have to purchase in other to cover franchise fee;

Then :

The percentage amount earned from referrals purchase must be equal to franchise fee;

Mathematically,

3% of total purchase = $600

0.03 × total purchase = $600

Total purchase = $600 ÷ 0.03

Total purchase = $20,000

a. money supply  

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