1. The tax rate of $.0984 in decimal can be expressed as how many mills?
A. 9,840
B. 90.84
C. 98.4
D. 9.84
2. Commissions charged on the trading of stock are
A. charged only on buying of stock.
B. charged only on sale of stock.
C. charged on buying and selling of stock.
D. fixed.
3. Usually, assessed value is rounded to the nearest
A. cent.
B. tenth.
C. dollar.
D. percent.
4. Calculate the median from the following numbers: 16 + 9 + 10 + 5 + 4.
A. 5
B. 4
C. 10
D. 9
5. The municipality of Waterloo needs $915,000 from property tax to meet its budget. The total value of assessed property in Waterloo is $14,000,000. What is the tax rate per dollar? (Round your answer to the nearest thousandth.)
A. $.07
B. $.0655
C. $.065
D. $.071
6. During inflation, the best method to use in inventory valuation that produces the smallest amount of profit is
A. LIFO.
B. weighted average.
C. FIFO.
D. specific invoice.
7. Stocks are always quoted in
A. decimals.
B. quarters of a dollar.
C. quarter lots.
D. percents.
8. What is the retail method?
A. It's not an estimate.
B. It aids a company in not having to calculate an inventory cost for each individual item.
C. It doesn't require a cost ratio.
D. It eliminates the need to take a physical inventory.
9. Matt Miller, age 28, takes out $50,000 of straight-life insurance. His annual premium is $418.20. Using the tables in the Business Math Handbook that accompanies the course textbook, determine the cash value of his policy at the end of 20 years.
A. $30,000
B. $26,000
C. $13,250
D. $26,500
10. With net sales of $40,000, beginning inventory at retail of $14,000, ending inventory at retail of $20,000, and cost of goods sold of $19,500, what is the inventory turnover at retail rounded to the nearest hundredth?
A. 5.23
B. 5.15
C. 3.25
D. 2.35
11. The cost ratio in the retail method is found by the cost of goods available for sale at cost divided by the
A. ending inventory at retail.
B. net sales.
C. net purchases at cost.
D. cost of goods available for sale at retail.
12. The range of 35, 22, 43, 18, 22, 27, 48, 39, 31, and 16 is
A. 22.
B. 32.
C. 30.
D. 29.
13. What are overhead expenses?
A. They're directly related to a specific product.
B. They contribute indirectly to the running of a business.
C. They're directly related to a specific department.
D. They contribute directly to the running of a business.
14. Suppose Department A is 8,000 square feet, Department B is 5,000 square feet, and Department C is 6,000 square feet. What is the percent of overhead expense applied to Department C? (Round your answer to the nearest whole percent.)
A. 68%
B. 26%
C. 42%
D. 32%
15. Which one of the following items is subject to sales tax in the District of Columbia?
A. Tomatoes
B. Shampoo
C. Roast beef
D. Milk
16. Personal property items do not include
A. furniture.
B. autos.
C. jewelry.
D. land.
17. Which one of the following statements is true of preferred stock?
A. It has equal rights to common stock.
B. It can be cumulative.
C. It never has a preference to dividends over common stockholders.
D. It never receives dividends in arrears.
18. Find the mean for the following numbers and do not round your answer to the nearest whole number: 38 + 18.05 + 25 + 26 + 46
A. 32.14
B. 21.45
C. 30.61
D. 23.74
19. Jay Miller insured his pizza shop for $200,000 for fire insurance at an annual rate per $100 of $.49. At the end of 10 months, Jay canceled the policy since his pizza shop went out of business. Using the tables in the Business Math Handbook that accompanies the course textbook, determine the refund to Jay.
A. $852.60
B. $980
C. $186.20
D. $127.40
20. A bond quote of 82.25 in dollars is equal to
A. $8.25.
B. $822.50.
C. $82.25.
D. $8,025.50.
21. Clay's Fishing Shop's beginning inventory is $70,000 and ending inventory is $36,500. What was Clay's average inventory?
A. $35,000
B. $48,000
C. $53,250
D. $18,250
22. The tax rate of $.6943 in decimal can be expressed per $100 as
A. $69.43.
B. $690.3.
C. $69.43 mills.
D. $6.943.
23. Determine the mode from the following numbers: 71, 3, 13, 33, 3, 71, 14, 33, 13, and 33.
A. 3
B. 33
C. 13
D. 71
24. Bee Sting bought 400 shares of Google at $399.75 per share. Assume a commission of 2% of the purchase price. What is the total to Bee?
A. $159,900
B. $163,098
C. $156,702
D. $163,980
25. Kris bought a new fur coat for $8,000. She must pay 5% sales tax and 7% excise tax. The furrier is shipping the coat, so Kris must also pay a $15 insurance charge. What is the total purchase price of the coat?
A. $8,975
B. $8,960
C. $8,400
D. $8,560