If you are a franchisor and you charge a royalty of 5% on revenue and you have franchisees that have revenues of $1 million, $2 million, $1.5 million, and $2.5 million, how much would you earn in royalties?
A. $3,500,000
B. $3,000,000
C. $300,000
D. $350,000
Answer: D
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