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






3. 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






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






5. 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






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






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






8. current assets/ current liabilities






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






10. Convert 41/100 to a percent






11. Original retail price - Lower retail price






12. The average person will have _ jobs in their lifetime.






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






14. Net Sales for period/ Avg Stock for period






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






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






17. cost of an item expressed per unit of measure or count.






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






19. Wholesale cost






20. Convert 20 to a percent






21. 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...






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






23. 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%






24. Assets - cost of goods sold - expenses






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






26. Convert 1/4 to a percent






27. 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)






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






29. Another name for the P & L statement mainly used by managers planning sales or accountants formulating analyses






30. Convert 3 to a percent






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






32. Sales - cost of goods sold






33. total fixed costs/ selling price-variable cost






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






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






36. 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%






37. 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






38. Another way of counting part of a whole?






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






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






41. 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






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






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






44. 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






45. 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






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






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






48. Convert .62 to a percent






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






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