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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. Convert 80% to a fraction
OTB (retail)
% increase or decrease
80/100
Discounting Formula
2. If freight is to be paid by the seller - the shipping terms are...
FOB destination
improper
41%
Internal Rate of Return
3. 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
overbought
stock turn
EOM (in terms of invoice)
4. Assets - cost of goods sold - expenses
Gross margin dollars
increase=debit
Gross margin %
DOI
5. The difference between the retail price and the cost of goods sold; it includes operating expenses - retail reductions - and profit
Markup
DOI
OTB (retail)
netprice with a 25/10/10 series discount
6. Beginning inventory + Purchases - Ending inventory
cost of goods sold formula (COGS)
profit
Cost
$6 -655.50
7. A plane flies 980 miles in 1 2/3 hours. How many miles does the plane average per hour
588 mph
Average Collection Turnover
Average Collection Turnover
underbought
8. Planned Sales + Planned Markdowns + Planned EOM - Planned BOM
OTB (retail)
types of capital
78
cost of goods
9. Accounts receivable - buildings - cash - copyrights - equiptment - furniture and fixtures - land - tomor vehicles
Liquidity of Assets
steps in strategic planning
types of expenses
types of assets
10. 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
Sales per Transaction
Turnover
The sum of a Geometric Progression
11. Net Sales / Average Retail Value of Inventory
Inventory Turnover Rate
Mark Up %
profit
Subtracting Fractions
12. When slaes plans are overestimated and the stock purchases result in a stockpiled inventory
Inventory Turnover Rate
Markdown %
Sales per Transaction
overbought
13. total fixed costs/ selling price-variable cost
DOI
62%
Break Even Point Formula
GMROI
14. Date of invoice - the cash discount terms will have no dating within the discount statement; ex: 4/10 - n/30
DOI
cost of goods
Current Assets
25
15. A^m/a^n = a^(m-n)
shrinkage
COD
$252
When Dividing With Exponents
16. Multiply the number by 1-the decrease proportion - e.g. 16(1-0.25) = 160.75 = 12 - 12 is a 25% decrease of 16
Break Even Point
profit
To decrease a number by a given percentage - e.g. decrease 16 by 25%
types of incomes
17. Convert .4 to a percent
4%
OTB (retail)
125%
cost of goods
18. Shortage$ = book$ - physical count$; shortage% = shortage$/NS$
installment loan
operating expenses
shortage
Average Collection Turnover
19. Rose borrowed money to buy a ring priced at $420. When she repaid the loan at the end of 3 months - the interest charge was $31.50. What was the rate of interest?
2.5% per month
To increase a number by a given percentage - e.g. increase 16 by 25%
Sales per Transaction
profit and loss statement
20. BOM $ Stock/ Sales for period
Stock to Sales Ratio
36%
increase=credit
62%
21. 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
62%
Discounting Formula
ROG
.7
22. Wholesale cost
net sales
installment loan
Markdown %
cost of goods
23. Advertising - bad debt expense - conributions and donations - depreciation - educational expense - insurance - interest expense - licenses - office supplies - postage - rent - repairs - salaries and wages - supplies - taxes - travel and transportatio
To increase a number by a given percentage - e.g. increase 16 by 25%
15
overbought
types of expenses
24. He availability of your money is called _.
profit
types of capital
Liquidity
1.304
25. Commissions - fees for service - merchandise sales - rental income - royalties
types of incomes
Internal Rate of Return
$2 -127.66
15
26. ($ Retail x 100 / COST) - 100
15
Mark Up %
Compound interest formula with changing rates
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. A measure of the number of days needed to collect accounts receivable.
percent decrease
Average Collection Turnover
Markup
Liquidity
28. Convert 10/11 to a percent
The sum of a Geometric Progression
DOI
90.9%
Gross Margin Return On Inventory Investment (GMROII)
29. S=X+nrX Where: X=the original sum invested r=the interest rate (as a proportion - e.g. 0.05=5%) n=the number of periods S=the sum invested after n periods (capital + interest) - e.g. invest $1000 @ 10% simple interest for 5 years = 1000+(50.101000)
cost of goods
Means
70%
Simple interest formula
30. Liabilities - capital - income
Effective annual rate of interest formula
$ Cost
increase=credit
1.304
31. Turning assets into cash.
GMROI
2.5% per month
improper
Liquidity of Assets
32. current assets/ current liabilities
.65
Current Ratio
Sell Thru %
20%
33. Convert 1.25 to a percent
125%
Gross margin dollars
Simple interest formula
62%
34. Formula: GM = NS - COG; GM$ = NS$ X GM%
gross margin
increase=debit
.7
Sales per Transaction
35. The average person will have _ jobs in their lifetime.
16-18
operating expenses
The sum of a Geometric Progression
70%
36. Convert 70/100 to a percent
70%
Break Even Point Formula
36%
.7
37. The average car will lose _% of its value in the first 4 years.
60
36%
overbought
physical inventory
38. Convert 3 to a percent
3%
ROG
Margin %
378 63
39. Convert 14% to a fraction
percent
Internal Rate of Return
14/100
percent decrease
40. What does percent mean?
per hundred
EOM (in terms of invoice)
Break Even Point Formula
profit and loss statement
41. cost of an item expressed per unit of measure or count.
Unit pricing
4%
.65
cost of goods
42. Alignment of the decimals is not important
15
when multiplying numbers that contain decimals:
Cost
Break Even Point Formula
43. accounts receivable/ average daily sales
3%
Margin %
OTB (retail)
Average Collection Turnover
44. The average car payment is $_ per month for _ months.
20%
378 63
Break Even Point Formula
gross sales
45. $ retail x (100%-markup)
$ Cost
increase=credit
15
Dividing Fractions
46. Loss of items due to damaged goods - stealing - etc.
shrinkage
% increase or decrease
to determine equivalent single discount rate for 25/10/10 series discount
overages
47. 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
To increase a number by a given percentage - e.g. increase 16 by 25%
steps in strategic planning
36%
78
48. Outside numbers in a ratio.
GMROI
types of expenses
overages
Extremes
49. Two equivalent ratios joined by an equal sign.
ROG
Quick Ratio
Proportion
profit and loss statement
50. 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
Unit pricing
transportation
Break Even Point
steps in strategic planning