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Test your basic knowledge |
DSST Business Math
Start Test
Study First
Subjects
:
dsst
,
math
,
business-skills
,
business-math
,
bvat
Instructions:
Answer 50 questions in 15 minutes.
If you are not ready to take this test, you can
study here
.
Match each statement with the correct term.
Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.
This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. A fraction in which the denominator is equal to or less than the numerator is a(an) ______________ fraction.
Proportion
90.9%
OTB (retail)
improper
2. Capital stock - owner's equity (owner's funds invested in the business)
overages
1.304
improper
types of capital
3. $ Cost x (100 + Mark-up %) / 100
Break Even Point Formula
increase=debit
$ Retail
stock turn
4. Alignment of the decimals is not important
when multiplying numbers that contain decimals:
profit and loss statement
Break Even Point Formula
To increase a number by a given percentage - e.g. increase 16 by 25%
5. Convert .62 to a percent
DOI
14/100
62%
Gross margin %
6. Convert 20 to a percent
$ Retail
Sales per Transaction
20%
Subtracting Fractions
7. The average car will lose _% of its value in the first 4 years.
Compound interest formula with changing rates
60
% increase or decrease
per hundred
8. accounts receivable/ average daily sales
Average Collection Turnover
To find the number from which a percentage has been deducted to achieve it - e.g. of what number is 16 a 25% decrease?
stock turn
income statement
9. Receipt of goods; the cash discount period and net period begin with the date of receipt of goods; ex: 8/10 ROG - n/30
ROG
shortage
Inventory Turnover Rate
per hundred
10. When slaes plans are overestimated and the stock purchases result in a stockpiled inventory
overbought
Cost
Unit pricing
transportation
11. Outside numbers in a ratio.
cost of goods sold formula (COGS)
Sales per Transaction
operating expenses
Extremes
12. What does percent mean?
per hundred
operating expenses
Break Even Point
steps in strategic planning
13. Accounts receivable - buildings - cash - copyrights - equiptment - furniture and fixtures - land - tomor vehicles
book value
Gross Margin Return On Inventory Investment (GMROII)
per hundred
types of assets
14. Multiply the number by 1-the decrease proportion - e.g. 16(1-0.25) = 160.75 = 12 - 12 is a 25% decrease of 16
costs of goods sold
$ Retail
To decrease a number by a given percentage - e.g. decrease 16 by 25%
The sum of a Geometric Progression
15. Cash on delivery; this dating is used when the vendor does not know the retailer or the retailer does not have a strong line of credit
Sales per Transaction
increase=credit
COD
$ Retail
16. total annual sales/365
To decrease a number by a given percentage - e.g. decrease 16 by 25%
Average Daily Sales
20%
percent decrease
17. Two equivalent ratios joined by an equal sign.
78
Proportion
Liquidity
3%
18. End of month; dating starts with the end of the month and the invoice is to be paid within the specified number of days after the end of the month in which goods are invoiced; ex: 8/10 EOM - n/90
15
EOM (in terms of invoice)
When Dividing With Exponents
3%
19. What happens when your expenses - etc. are higher than your sales
loss
Retail
Inventory Turnover Rate
profit and loss statement
20. A^m/a^n = a^(m-n)
Current Assets
When Dividing With Exponents
Markup
types of incomes
21. IRR=1 + [(NPV1/NPV1-NPV2)(2-1)]% Where: 1=one interest rate 2=the other NPV1=the NPV at rate 1 NPV2=the NPV at rate 2 (NPV = Net Present Value)
Internal Rate of Return
income statement
underbought
Discounting Formula
22. You should never take out more than a _ year mortgage.
Unit pricing
15
60
netprice with a 25/10/10 series discount
23. Convert 14% to a fraction
14/100
Extremes
.7
net sales
24. A/b - c/b = a-c/b
With cash discounts and calculating net price - when to add freight
Subtracting Fractions
shrinkage
Markup
25. Another way of counting part of a whole?
1.304
percent
Of what number 16 is a 25% increase
types of liabilities
26. A value or an expression of how fast merchandise moves through the store; also called turn. formula: turn - NS$ / Average Stock$ (average stock$ = BOM$ + EOM$)/(#BOM + 1)
to determine equivalent single discount rate for 25/10/10 series discount
Gross Margin Return On Inventory Investment (GMROII)
stock turn
Simple interest formula
27. (TY-LY)/ LY or (Plan-Actual)/
Discounting Formula
% increase or decrease
Means
net sales
28. Units Sold/ (Units Sold + On Hand Inventory)
$ Retail
.56
Sell Thru %
to determine equivalent single discount rate for 25/10/10 series discount
29. Aka - the terminal value of an investment to which equal annual amounts will be added S=[A(R^n -1)]/R-1 Where: S=the terminal value A=the first term R=the common ratio n=the number of terms
physical inventory
The sum of a Geometric Progression
GMROI
FOB destination
30. Shortage$ = book$ - physical count$; shortage% = shortage$/NS$
types of liabilities
percent
shortage
Liquidity
31. Direct labor - factory overhead - merchandise inventory - packaging - raw material
costs of goods sold
percent decrease
Average Collection Turnover
Compound interest formula with changing rates
32. Original retail price - Lower retail price
$ Markdown
To find the number from which a percentage has been deducted to achieve it - e.g. of what number is 16 a 25% decrease?
Internal Rate of Return
3%
33. (1+R)=(1+r)^n Where: R=the effective annual rate r=the period rate n=the number of periods
physical inventory
Effective annual rate of interest formula
Break Even Point
80/100
34. Assets - cost of goods sold - expenses
16-18
increase=debit
2.5% per month
Extremes
35. $ Markdown/ $ Net Sales (multiply result by 100 to express as percentage)
overbought
Break Even Point
Markdown %
36%
36. Inside numbers in a ratio.
Means
The sum of a Geometric Progression
profit and loss statement
$ Cost
37. GMROII = GM% x (Sales / Average Value of Inventory)
Gross Margin Return On Inventory Investment (GMROII)
Liquidity of Assets
Markdown %
Compound interest formula with changing rates
38. If freight is to be paid by the seller - the shipping terms are...
Break Even Point
FOB destination
78
Gross Margin Return On Inventory Investment (GMROII)
39. The average car payment is $_ per month for _ months.
378 63
Markup
Means
profit
40. Cash or assets that can quickly be converted into cash.
.7
cost of goods
Current Assets
FOB destination
41. Sales - cost of goods sold
Gross margin dollars
Discounting Formula
36%
overbought
42. 1. develop a vision statement for the company - 2. scan the internal and external environments - 3. determine issues critical to the company - 4. select the problem to be solved - 5. determine the specific strategy to achieve the solution - 6. identi
steps in strategic planning
to determine equivalent single discount rate for 25/10/10 series discount
types of liabilities
Cost
43. The sum of the cost of doing business - except the cost of goods; they include such items as sales persons' salaries - bags - paper and pencils - and cleaning of carpets...
operating expenses
FOB destination
Stock to Sales Ratio
$ Retail
44. S=X(1+r1)^y(1+r
Compound interest formula with changing rates
transportation
$6 -655.50
Means
45. What is the product of 3.26 and 0.4?
Internal Rate of Return
$252
physical inventory
1.304
46. X=S*[1/(1+r)^n] Where: S=the sum to be received after n time periods X=the present value of that sum r=the rate of return (as a proportion) n=the number of time periods - r - rate - is sometimes called cost of capital
Of what number 16 is a 25% increase
Discounting Formula
80/100
percent decrease
47. Loss of items due to damaged goods - stealing - etc.
125%
Subtracting Fractions
shrinkage
ROG
48. Multiply the number by 1+the increase proportion - e.g. 16(1+0.25) = 161.25 = 20 - 20 is a 25% increase over 16
Markdown %
To increase a number by a given percentage - e.g. increase 16 by 25%
$6 -655.50
net sales
49. Convert 1.25 to a percent
EOM (in terms of invoice)
$6 -655.50
125%
Means
50. Convert 80% to a fraction
cost of goods sold formula (COGS)
loss
80/100
Margin %