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DSST Business Math

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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 20 to a percent

2. Assets - cost of goods sold - expenses

3. 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

4. Another way of counting part of a whole?

5. 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

6. Convert 14% to a fraction

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

8. Actual retail sales; the retail price at which one tiem is sold is combined with the retail prices of all the items that are sold to become the net sales amount.

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

10. A/b

11. Start with list price - List price: $6400 x 25% - x 10% - x10% % - Taken one after another(subtract)

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

13. What does percent mean?

14. 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%

15. Date of invoice - the cash discount terms will have no dating within the discount statement; ex: 4/10 - n/30

16. total annual sales/365

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

18. 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

19. Convert 10/11 to a percent

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

21. 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

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

23. Total Net Sales / Total Number of Transactions

24. Convert .4 to a percent

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

26. 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

27. 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)

28. Convert 56% to a decimal

29. Convert 41/100 to a percent

30. Two equivalent ratios joined by an equal sign.

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

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

33. total fixed costs/ selling price-variable cost

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

35. 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...

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

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

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

39. Convert 70/100 to a percent

40. BOM $ Stock/ Sales for period

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

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

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

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

45. (Retail - Cost)/ Retail

46. % of 90 days same as cash convert to payments.

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

48. 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?

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

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