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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. 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. 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)






3. 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?






4. total fixed costs/ selling price-variable cost






5. You should never take out more than a _ year mortgage.






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






7. 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






8. The recommended house payment should be no more than _% of your monthly take-home pay.






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






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...






11. Convert 65% to a decimal






12. Convert .4 to a percent






13. (TY-LY)/ LY or (Plan-Actual)/






14. 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)






15. A/b + c/b = (a+c)/b






16. Overage$ = book$ - physical count$; overage% = overage$/NS$






17. Outside numbers in a ratio.






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






19. Convert 70/100 to a percent






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






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






22. total annual sales/365






23. 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%






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






25. Convert 1/4 to a percent






26. What does percent mean?






27. Assets - cost of goods sold - expenses






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






29. $ Cost/ (100%-markup%)






30. Net Sales for period/ Avg Stock for period






31. Net Sales / Average Retail Value of Inventory






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






33. Alignment of the decimals is not important






34. The wholesale cost of an item (cost of goods - or COG)






35. 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)






36. The average car payment is $_ per month for _ months.






37. An electronics store is having a 40 percent off sale. Robert has been saving to purchase a stereo system that was originally priced at $420. If Robert purchases the system during the sale - what will be the cost?






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






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






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






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






42. Two equivalent ratios joined by an equal sign.






43. (Retail - Cost)/ Retail






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






45. 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






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






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






48. The wholesale cost of goods plus the markup






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






50. 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