Alex pays $20,000 once to use a sandwich brand's name, then pays 5% of sales each month. What is the $20,000 payment?

Mia's fitness studio sends 7% of its revenue to the national brand every month after opening. What is this ongoing payment called?

A taco shop pays $12,000 before opening for the right to use a brand's recipes, training, and name. Later it pays 4% of sales. What is the $12,000?

A franchise agreement says the local owner must pay the brand 6% of revenue each week. Because the amount rises when sales rise, this payment is a:

A franchisor receives $30,000 before a store opens and 5% of gross sales each week after opening. How should the weekly 5% payment be classified?

A burger brand requires the same menu, uniforms, approved suppliers, and store layout at every location. What does a franchisee trade away for the brand?

A hotel franchisee gets national advertising and a reservation system but must follow the chain's rules for rooms, signs, and service. What is the trade-off?

A franchisor tells every store which point-of-sale system, training schedule, and prices to use. What is the local operator sacrificing?

A youth theater nonprofit gets donations, grants, and ticket fees, then spends less than it brings in. What may it do with the surplus?

A museum's revenue is higher than its expenses this year. Since it is a nonprofit with no shareholders, the surplus should be used to:

An after-school nonprofit receives $180,000 in donations, $90,000 in grants, and $30,000 in program fees, then spends $285,000. What is its result for the year?

A local food bank gives its food away for free. Where does most of the money for its work usually come from?

A nonprofit sells T-shirts at a fundraiser. If money remains after expenses, why can't it be paid out as owner profit?

An animal shelter is approved as a 501(c)(3) organization. What does that status usually allow a donor to do?

A charity wants federal recognition as a 501(c)(3) organization. Which agency grants that federal tax-exempt recognition?

A charity forms a nonprofit corporation before it applies to the IRS for 501(c)(3) status. Where does it file its articles of incorporation?

Ace Hardware is a wholesaler owned by the independent hardware stores it serves. Each member store helps control the organization. What form is this?

A grocery cooperative returns part of its yearly surplus to members based on how much they bought from the co-op. What is that return called?

A co-op with 200 members returns $50,000 of surplus as patronage refunds. Members bought $1,000,000 in total, and Lee bought $8,000. What is Lee's refund?

A farm supply cooperative has 200 member farms. One large farm buys far more than the others. Under usual co-op rules, how many votes does it get on major decisions?

Land O'Lakes is a large cooperative that processes and sells dairy products such as butter. Who owns it?

A local tutoring center pays a national company 6% of sales for the brand name, lesson materials, and operating system. What form is the local center?

A store is owned by its customers, each member has one vote, and surplus is returned based on purchases. What type of organization is it?

An animal rescue gets donations and grants, has no owners, and keeps any surplus for rescue work. What form is it?

A bakery is owned by its bakers and cashiers. They share the surplus and each get one vote. What type of cooperative is it?