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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. Inside numbers in a ratio.






2. $ RETAIL X (100 - GM %) / 100






3. Convert 56% to a decimal






4. When refunds or retail price reductions are given to customers - these activities reduce the value of this (also known as initial sales). formula: GS = NS + RED; GS$ = NS$ X GS%






5. Capital stock - owner's equity (owner's funds invested in the business)






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






7. (1+R)=(1+r)^n Where: R=the effective annual rate r=the period rate n=the number of periods






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






9. BOM $ Stock/ Sales for period






10. Convert 41/100 to a percent






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






12. The wholesale cost of goods plus the markup






13. The average car will lose _% of its value in the first 4 years.






14. The value of the inventory as kept in the handwritten ledgers or computer system; formula: book$ = merchandise available$ - NS$ - (MD$ + ED$)






15. 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






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






17. 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)






18. Units Sold/ (Units Sold + On Hand Inventory)






19. What does percent mean?






20. Convert 3 to a percent






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






22. 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






23. A/b






24. (Retail - Cost)/ Retail






25. GMROII = GM% x (Sales / Average Value of Inventory)






26. The point at which you stop losing money.






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






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






29. 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






30. Accounts payable - bonds - notes payable (bank loans) - provisions for pensions






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






32. After 4 years - $5 -000 will grow to how much if it earns 10% interest?






33. Turning assets into cash.






34. Commissions - fees for service - merchandise sales - rental income - royalties






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






36. A count of every item on the floor - in stock rooms - warehouse - etc. to determine whether shortages or overages are occuring






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






38. Two equivalent ratios joined by an equal sign.






39. Liabilities - capital - income






40. Divide the result by 1-the decrease proportion - eg) X=16/(1-0.25)=21.33 - 16 is a 25% decrease of 21.33






41. A form of closed-end credit used for purchasing durable goods such as cars






42. Convert .36 to a percent






43. A fraction in which the denominator is equal to or less than the numerator is a(an) ______________ fraction.






44. Convert 50% to a fraction






45. 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






46. Net Sales / Average Retail Value of Inventory






47. A/b






48. total annual sales/365






49. A^m/a^n = a^(m-n)






50. 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?