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Test your basic knowledge |
DSST Business Math
Start Test
Study First
Subjects
:
dsst
,
math
,
business-skills
,
business-math
,
bvat
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. A/b
Dividing Fractions
36%
shortage
overbought
2. After 4 years - $5 -000 will grow to how much if it earns 10% interest?
$6 -655.50
Margin %
shrinkage
cost of goods sold formula (COGS)
3. The average car payment is $_ per month for _ months.
378 63
.56
to determine equivalent single discount rate for 25/10/10 series discount
Sell Thru %
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 $1000 @ 10% simple interest for 5 years = 1000+(50.101000)
increase=debit
90.9%
62%
Simple interest formula
5. A value or an expression of how fast merchandise moves through the store; also called turn. formula: turn - NS$ / Average Stock$ (average stock$ = BOM$ + EOM$)/(#BOM + 1)
To increase a number by a given percentage - e.g. increase 16 by 25%
$ Cost
stock turn
Dividing Fractions
6. Inside numbers in a ratio.
$ Retail
25
Gross margin %
Means
7. Commissions - fees for service - merchandise sales - rental income - royalties
types of incomes
With cash discounts and calculating net price - when to add freight
80/100
transportation
8. You should never take out more than a _ year mortgage.
15
Current Ratio
improper
Turnover
9. A plane flies 980 miles in 1 2/3 hours. How many miles does the plane average per hour
588 mph
profit
overages
Internal Rate of Return
10. 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
Average Collection Turnover
25
EOM (in terms of invoice)
To increase a number by a given percentage - e.g. increase 16 by 25%
11. Overage$ = book$ - physical count$; overage% = overage$/NS$
25
Markdown %
overages
Discounting Formula
12. Beginning inventory + Purchases - Ending inventory
36%
profit and loss statement
GMROI
cost of goods sold formula (COGS)
13. Another name for the P & L statement mainly used by managers planning sales or accountants formulating analyses
Compound interest formula with changing rates
income statement
80/100
Effective annual rate of interest formula
14. When sales plans are underestimated and the stock purchases result in a low inventory
underbought
cost of goods sold formula (COGS)
Sell Thru %
25%
15. Shortage$ = book$ - physical count$; shortage% = shortage$/NS$
shortage
Average Collection Turnover
Inventory Turnover Rate
Of what number 16 is a 25% increase
16. 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
types of expenses
The sum of a Geometric Progression
Average Daily Sales
Mark Up %
17. Turning assets into cash.
Stock to Sales Ratio
90.9%
Liquidity of Assets
41%
18. A measure of the number of days needed to collect accounts receivable.
Average Collection Turnover
Extremes
EOM (in terms of invoice)
Markup
19. Date of invoice - the cash discount terms will have no dating within the discount statement; ex: 4/10 - n/30
Cost
DOI
Markup
Retail
20. Gross Margin/ Average Inventory Cost
income statement
Break Even Point
GMROI
62%
21. A/b - c/b = a-c/b
20%
3%
cost of goods sold formula (COGS)
Subtracting Fractions
22. accounts receivable/ average daily sales
to determine equivalent single discount rate for 25/10/10 series discount
increase=debit
Average Collection Turnover
78
23. Accounts receivable - buildings - cash - copyrights - equiptment - furniture and fixtures - land - tomor vehicles
types of assets
gross margin
costs of goods sold
profit
24. cash + receivables/ current liabilities.
$252
Quick Ratio
Break Even Point Formula
$ Markdown
25. current assets/ current liabilities
3%
Current Ratio
overages
gross margin
26. 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?
.65
per hundred
$2 -127.66
Dividing Fractions
27. The difference between the retail price and the cost of goods sold; it includes operating expenses - retail reductions - and profit
Markup
transportation
To decrease a number by a given percentage - e.g. decrease 16 by 25%
ROG
28. After all discounts have been applied to find net amount due. $100 -25% less trade discount -4% cash discount # + $20 freight!
Stock to Sales Ratio
types of liabilities
With cash discounts and calculating net price - when to add freight
Break Even Point Formula
29. $ RETAIL X (100 - GM %) / 100
$ COST
Markup
When Dividing With Exponents
Proportion
30. 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%
20%
gross sales
percent
Gross margin %
31. Total Net Sales / Total Number of Transactions
% increase or decrease
Sales per Transaction
loss
OTB (retail)
32. What happens when your expenses - etc. are higher than your sales
$2 -127.66
loss
4%
COD
33. Net Sales / Average Retail Value of Inventory
Simple interest formula
Discounting Formula
Inventory Turnover Rate
.7
34. Net Sales for period/ Avg Stock for period
4%
types of capital
Turnover
Average Collection Turnover
35. He availability of your money is called _.
netprice with a 25/10/10 series discount
Liquidity
$ Cost
percent decrease
36. 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
percent
overbought
Internal Rate of Return
transportation
37. total fixed costs/ selling price-variable cost
Break Even Point Formula
25
Unit pricing
Retail
38. The average car will lose _% of its value in the first 4 years.
60
With cash discounts and calculating net price - when to add freight
Average Daily Sales
increase=debit
39. The recommended house payment should be no more than _% of your monthly take-home pay.
loss
25
shortage
$ Markdown
40. 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
book value
Markup
COD
Discounting Formula
41. 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
To decrease a number by a given percentage - e.g. decrease 16 by 25%
Of what number 16 is a 25% increase
25%
types of expenses
42. If freight is to be paid by the seller - the shipping terms are...
income statement
125%
steps in strategic planning
FOB destination
43. $ Markdown/ $ Net Sales (multiply result by 100 to express as percentage)
Average Collection Turnover
types of assets
70%
Markdown %
44. Two equivalent ratios joined by an equal sign.
Proportion
Average Collection Turnover
62%
.7
45. $ Cost x (100 + Mark-up %) / 100
$ Retail
types of liabilities
50/100
Current Ratio
46. Convert 1/4 to a percent
25%
gross margin
stock turn
36%
47. Convert 10/11 to a percent
Sales per Transaction
90.9%
income statement
FOB destination
48. Outside numbers in a ratio.
underbought
gross sales
Extremes
$ Cost
49. 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...
operating expenses
Effective annual rate of interest formula
COD
costs of goods sold
50. Formula: GM = NS - COG; GM$ = NS$ X GM%
20%
gross margin
Dividing Fractions
15