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






2. The wholesale cost of goods plus the markup






3. Net Sales for period/ Avg Stock for period






4. Gross Margin/ Average Inventory Cost






5. 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%






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






7. Outside numbers in a ratio.






8. Liabilities - capital - income






9. Convert 65% to a decimal






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






11. Accounts receivable - buildings - cash - copyrights - equiptment - furniture and fixtures - land - tomor vehicles






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






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






14. He availability of your money is called _.






15. Turning assets into cash.






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






17. Inside numbers in a ratio.






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






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






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






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






22. cash + receivables/ current liabilities.






23. 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






24. 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...






25. Convert 41/100 to a percent






26. What does percent mean?






27. accounts receivable/ average daily sales






28. A/b






29. Alignment of the decimals is not important






30. 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






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. 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






33. Sales - cost of goods sold






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






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






36. Multiply the number by 1+the increase proportion - e.g. 16(1+0.25) = 161.25 = 20 - 20 is a 25% increase over 16






37. 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






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






39. Another way of counting part of a whole?






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






41. 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






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






43. 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?






44. 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)






45. Original retail price - Lower retail price






46. Convert 50% to a fraction






47. Wholesale cost






48. total fixed costs/ selling price-variable cost






49. Beginning inventory + Purchases - Ending inventory






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