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






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






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






4. He availability of your money is called _.






5. A/b - c/b = a-c/b






6. What does percent mean?






7. 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?






8. Convert 80% to a fraction






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






10. What is the product of 3.26 and 0.4?






11. Convert .4 to a percent






12. Liabilities - capital - income






13. cash + receivables/ current liabilities.






14. When slaes plans are overestimated and the stock purchases result in a stockpiled inventory






15. A/b






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






17. 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%






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






19. 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?






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






21. Two equivalent ratios joined by an equal sign.






22. 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






23. Sales - cost of goods sold






24. 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






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






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






27. Convert 65% to a decimal






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






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






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






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






32. Convert 56% to a decimal






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






34. (1+R)=(1+r)^n Where: R=the effective annual rate r=the period rate n=the number of periods






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






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






37. 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)






38. 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






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






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






41. Original retail price - Lower retail price






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






43. 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






44. Net Sales / Average Retail Value of Inventory






45. 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%






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






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






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






49. total fixed costs/ selling price-variable cost






50. Gross Margin/ Average Inventory Cost