Thread: Can Anyone Help Me With This ?

Hello Everyone this is my first post here, I couldn't think of anywhere else to seek some help.

I am not good with maths and I am trying to work something out.

I am involved in network marketing and I plan on starting my own business idea with a multi level income plan.

I wont be selling anything, I will be giving something away for free and I am not pitching it here.

I need to know how much I will be paying out and if my idea is sustainable.

I will pay 10 levels of commission.

Each member introduces other members and gets paid a % on each level in their genealogy.

We will pay out as follows.

Level 1. 10%
Level 2. 9%
Level 3. 8%
Level 4. 7%
Level 5. 6%
Level 6. 5%
Level 7. 4%
Level 8. 3%
Level 9. 2%
Level 10. 1%

Each level pay a commission % to the number of levels above.

Say each person introduces 5 people and each person generates $10 per year, this is not a paid entry business or pyramid scheme, its all 100% free for everyone, no one pays anything to take part.

By my calculation I will be paying out a total of 55% but someone has told me I am wrong and now I am starting to think maybe I am.

If it is paying out to much then the idea is redundant.

Any help from those with greater mathematical minds than me would be greatly appreciated.

Thanks for any help in advance.

Kind Regards

Pearse

Can you give us some more information. How do you decide what level someone is in? Are people introducing 5 new people per year every year and then those 5 new people also begin to introduce 5 more each year?