Test your basic knowledge |

DSST Business Math

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. (1+R)=(1+r)^n Where: R=the effective annual rate r=the period rate n=the number of periods






2. 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






3. Convert 65% to a decimal






4. Convert 14% to a fraction






5. Convert 56% to a decimal






6. Another way of counting part of a whole?






7. total fixed costs/ selling price-variable cost






8. Assets - cost of goods sold - expenses






9. cost of an item expressed per unit of measure or count.






10. (Retail - Cost)/ Retail






11. Net Sales for period/ Avg Stock for period






12. If freight is to be paid by the seller - the shipping terms are...






13. total annual sales/365






14. 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






15. Convert 1/4 to a percent






16. 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






17. To take advantage of the 6% cash discount - a retailer made a $2 -000 partial payment during the discount period. How much was the retailer credited for the $2 -000 partial payment?






18. Gross margin dollars/Net sales dollars (multiply by 100 to express as percentage) or (Selling price - cost) x 100 / Selling price






19. Formula: GM = NS - COG; GM$ = NS$ X GM%






20. A/b






21. cash + receivables/ current liabilities.






22. 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%






23. $ Markdown/ $ Net Sales (multiply result by 100 to express as percentage)






24. Convert 70% to a decimal






25. $ Cost x (100 + Mark-up %) / 100






26. % of 90 days same as cash convert to payments.






27. ($ Retail x 100 / COST) - 100






28. Convert 70/100 to a percent






29. 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)






30. Multiply the number by 1-the decrease proportion - e.g. 16(1-0.25) = 160.75 = 12 - 12 is a 25% decrease of 16






31. BOM $ Stock/ Sales for period






32. Shortage$ = book$ - physical count$; shortage% = shortage$/NS$






33. Receipt of goods; the cash discount period and net period begin with the date of receipt of goods; ex: 8/10 ROG - n/30






34. Convert 20 to a percent






35. After all discounts have been applied to find net amount due. $100 -25% less trade discount -4% cash discount # + $20 freight!






36. Loss of items due to damaged goods - stealing - etc.






37. Divide the result by 1+the increase proportion eg) X=16/(1+0.25) = 12.8 - 16 is a 25% increase over 12.8






38. What does percent mean?






39. Sales - cost of goods sold






40. 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






41. What happens when your sales are higher than your expenses - etc.






42. Original retail price - Lower retail price






43. 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.






44. Cash or assets that can quickly be converted into cash.






45. Liabilities - capital - income






46. Wholesale cost






47. The difference between the retail price and the cost of goods sold; it includes operating expenses - retail reductions - and profit






48. When sales plans are underestimated and the stock purchases result in a low inventory






49. Convert .4 to a percent






50. A plane flies 980 miles in 1 2/3 hours. How many miles does the plane average per hour