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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. Convert 50% to a fraction






2. 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






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






4. Liabilities - capital - income






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






6. (1+R)=(1+r)^n Where: R=the effective annual rate r=the period rate n=the number of periods






7. Sales - cost of goods sold






8. Beginning inventory + Purchases - Ending inventory






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






10. Convert 65% to a decimal






11. Assets - cost of goods sold - expenses






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






13. 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?






14. Another way of counting part of a whole?






15. Convert 70% to a decimal






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






17. 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






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






19. S=X(1+r1)^y(1+r






20. Direct labor - factory overhead - merchandise inventory - packaging - raw material






21. Turning assets into cash.






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






23. (Retail - Cost)/ Retail






24. 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?






25. Convert 1.25 to a percent






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






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






28. total fixed costs/ selling price-variable cost






29. 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)






30. 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






31. 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?






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






33. Inside numbers in a ratio.






34. cash + receivables/ current liabilities.






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. Convert 14% to a fraction






37. Convert .62 to a percent






38. Convert 70/100 to a percent






39. 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






40. total annual sales/365






41. He availability of your money is called _.






42. A/b






43. 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






44. Amount decrease (Original - New) / Original amount = decimal= convert to %






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






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






47. Original retail price - Lower retail price






48. 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%






49. A measure of the number of days needed to collect accounts receivable.






50. Planned Sales + Planned Markdowns + Planned EOM - Planned BOM