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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. 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
Effective annual rate of interest formula
EOM (in terms of invoice)
Sell Thru %
book value
2. Convert .62 to a percent
overages
62%
Markup
60
3. A measure of the number of days needed to collect accounts receivable.
OTB (retail)
netprice with a 25/10/10 series discount
underbought
Average Collection Turnover
4. Convert 70/100 to a percent
when multiplying numbers that contain decimals:
70%
underbought
Break Even Point Formula
5. Convert 1.25 to a percent
125%
Subtracting Fractions
installment loan
Quick Ratio
6. Multiply the number by 1+the increase proportion - e.g. 16(1+0.25) = 161.25 = 20 - 20 is a 25% increase over 16
To increase a number by a given percentage - e.g. increase 16 by 25%
operating expenses
25%
% increase or decrease
7. 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)
125%
Of what number 16 is a 25% increase
Internal Rate of Return
41%
8. A team won 16 games and lost 9 games. What percent of games did the team lose?
To find the number from which a percentage has been deducted to achieve it - e.g. of what number is 16 a 25% decrease?
Gross Margin Return On Inventory Investment (GMROII)
36%
14/100
9. Loss of items due to damaged goods - stealing - etc.
types of assets
20%
cost of goods sold formula (COGS)
shrinkage
10. 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...
Break Even Point Formula
operating expenses
income statement
Gross margin %
11. Convert .4 to a percent
4%
Mark Up %
to determine equivalent single discount rate for 25/10/10 series discount
% increase or decrease
12. You should never take out more than a _ year mortgage.
Average Collection Turnover
Mark Up %
operating expenses
15
13. A fraction in which the denominator is equal to or less than the numerator is a(an) ______________ fraction.
90.9%
Current Ratio
$252
improper
14. Convert 50% to a fraction
588 mph
When Dividing With Exponents
50/100
1.304
15. A/b + c/b = (a+c)/b
Adding Fractions
GMROI
With cash discounts and calculating net price - when to add freight
types of assets
16. Formula: GM = NS - COG; GM$ = NS$ X GM%
gross margin
When Dividing With Exponents
To increase a number by a given percentage - e.g. increase 16 by 25%
physical inventory
17. The average car payment is $_ per month for _ months.
Dividing Fractions
70%
steps in strategic planning
378 63
18. GMROII = GM% x (Sales / Average Value of Inventory)
Of what number 16 is a 25% increase
16-18
operating expenses
Gross Margin Return On Inventory Investment (GMROII)
19. Date of invoice - the cash discount terms will have no dating within the discount statement; ex: 4/10 - n/30
EOM (in terms of invoice)
Simple interest formula
$ Markdown
DOI
20. Sales - cost of goods sold
.65
.7
Gross margin dollars
profit and loss statement
21. The average car will lose _% of its value in the first 4 years.
60
loss
increase=debit
Inventory Turnover Rate
22. The wholesale cost of goods plus the markup
3%
Retail
cost of goods
Of what number 16 is a 25% increase
23. Actual retail sales; the retail price at which one tiem is sold is combined with the retail prices of all the items that are sold to become the net sales amount.
Markdown %
net sales
$ Retail
Adding Fractions
24. % of 90 days same as cash convert to payments.
78
DOI
Of what number 16 is a 25% increase
Gross margin %
25. What happens when your sales are higher than your expenses - etc.
Markup
to determine equivalent single discount rate for 25/10/10 series discount
profit
% increase or decrease
26. After 4 years - $5 -000 will grow to how much if it earns 10% interest?
$6 -655.50
profit
Sell Thru %
To find the number from which a percentage has been deducted to achieve it - e.g. of what number is 16 a 25% decrease?
27. Another name for the P & L statement mainly used by managers planning sales or accountants formulating analyses
78
GMROI
profit and loss statement
income statement
28. 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
net sales
The sum of a Geometric Progression
book value
installment loan
29. Original retail price - Lower retail price
Margin %
$ Markdown
80/100
Average Daily Sales
30. A plane flies 980 miles in 1 2/3 hours. How many miles does the plane average per hour
Markdown %
588 mph
gross margin
Turnover
31. Convert 1/4 to a percent
types of liabilities
Liquidity
25%
To decrease a number by a given percentage - e.g. decrease 16 by 25%
32. Convert 41/100 to a percent
types of expenses
.65
41%
Liquidity of Assets
33. Accounts receivable - buildings - cash - copyrights - equiptment - furniture and fixtures - land - tomor vehicles
types of assets
80/100
profit and loss statement
increase=credit
34. Convert 10/11 to a percent
profit
$ Cost
EOM (in terms of invoice)
90.9%
35. Use compliments - Step 1 Find compliments 25% = 100-25%= 75% - 10%= 90% - 10%=90% Step 2 Multiple Compliments 75%x90%x90% .75x.90x.90= .6075 Step 3 Convert to Percentage .6075= 60.75% Step 4 Compliment it 100%-60.75%= 39.35%
90.9%
4%
50/100
to determine equivalent single discount rate for 25/10/10 series discount
36. The cost of moving from the vendor's warehouse (loading dock) to the retail warehouse or store (loading dock) - may also include insurance to cover the merchandise while in transit
Mark Up %
transportation
operating expenses
gross sales
37. $ RETAIL X (100 - GM %) / 100
15
$ COST
per hundred
shrinkage
38. A/b
Dividing Fractions
Of what number 16 is a 25% increase
.7
Markup
39. The average person will have _ jobs in their lifetime.
50/100
Discounting Formula
16-18
operating expenses
40. Commissions - fees for service - merchandise sales - rental income - royalties
To increase a number by a given percentage - e.g. increase 16 by 25%
types of incomes
588 mph
percent decrease
41. Cash or assets that can quickly be converted into cash.
To decrease a number by a given percentage - e.g. decrease 16 by 25%
book value
Markup
Current Assets
42. Outside numbers in a ratio.
$6 -655.50
4%
improper
Extremes
43. $ Cost/ (100%-markup%)
$ Retail
installment loan
20%
378 63
44. A formal document that is used for a variety of functions within a retail business; it provides a big picture look at the succinct expression of the sales - markup - and profit for a business
net sales
types of expenses
To find the number from which a percentage has been deducted to achieve it - e.g. of what number is 16 a 25% decrease?
profit and loss statement
45. 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)
types of incomes
The sum of a Geometric Progression
stock turn
types of capital
46. He availability of your money is called _.
.56
Current Assets
Liquidity
Break Even Point
47. What does percent mean?
per hundred
50/100
$6 -655.50
Liquidity of Assets
48. Overage$ = book$ - physical count$; overage% = overage$/NS$
Liquidity
1.304
Liquidity of Assets
overages
49. The value of the inventory as kept in the handwritten ledgers or computer system; formula: book$ = merchandise available$ - NS$ - (MD$ + ED$)
loss
Proportion
book value
16-18
50. Convert 56% to a decimal
$ COST
15
Gross Margin Return On Inventory Investment (GMROII)
.56