3. Chin Lee Florists is opening a new store in the warehouse district of town. The annual rent is $8.75 per square foot plus 5% of the store's annual gross sales. The store measures 36 feet by 48 feet. Based on
experience, Chin Lee estimates $225,000 in gross sales. What is Chin Lee's estimate of the monthly rent
on this store?

$26,370

Explanation:

The annual rate per square is $8.75

The store measures 36 feet by 48 feet.

In square feet, the store will be

=36 x 48 sq.feet

=1,728 sq.feet

The annual rents will cost

= 1,728 sq.feet x $8.75

=$15,120

5% of the store's annual gross sales is 5/100 x $225,000

=0.05 x 225,000

=$11,250

the total amount that chin will incur

=$15,120 + $11,250

=$26,370