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






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






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






4. 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)






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






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






7. Sales - cost of goods sold






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






9. The wholesale cost of goods plus the markup






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






11. 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






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






13. What does percent mean?






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






15. 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






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






17. total fixed costs/ selling price-variable cost






18. $ retail x (100%-markup)






19. 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.






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






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






22. A team won 16 games and lost 9 games. What percent of games did the team lose?






23. A/b






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






25. Convert 70% to a decimal






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. Convert 56% to a decimal






28. 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






29. Another way of counting part of a whole?






30. Convert 3 to a percent






31. Commissions - fees for service - merchandise sales - rental income - royalties






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






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






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






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






36. 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






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






38. Convert 1.25 to a percent






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






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






41. Convert 14% to a fraction






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






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






44. $ Markdown/ $ Net Sales (multiply result by 100 to express as percentage)






45. Net Sales for period/ Avg Stock for period






46. Beginning inventory + Purchases - Ending inventory






47. 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?






48. 1. develop a vision statement for the company - 2. scan the internal and external environments - 3. determine issues critical to the company - 4. select the problem to be solved - 5. determine the specific strategy to achieve the solution - 6. identi






49. (Retail - Cost)/ Retail






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