If a Franchisor Makes Sales or Earnings Projections Based on Hypothetical

Multiple Choice

If a franchisor makes sales or earnings projections based on hypothetical examples, the franchisor must ________.

A) display a cautionary statement that warns against misuse of the franchisor's intellectual properties
B) disclose the assumptions underlying the estimates
C) register the disclosure document with the FTC prior to its use
D) state that all data disclosed is only hypothetical and that actual data will be made available at the earliest