TLE (8) - Business Math a.

₱560
1) Find the profit of Weng's water refilling b. ₱1,535
business with revenue of ₱56,000,000 and c. ₱1,565
costs of ₱42,000,000. d. ₱1,040
a. ₱14,000,000 6) Ron's Manufacturing offers discounts on
b. ₱140,000 most of its products. What is the trade
c. ₱1,400,000 discount rate on an item with a list price of
d. ₱14,000 ₱16.79 and a net price of ?₱2.42?
2) Norma's food stall has costs of ₱2,900. a. 22%
Her total food sales are ₱11,600. What b. 26%
percent of her food sales do the food costs c. 54%
represent? d. 74%
a. 20% 7) What type of financial statement
b. 25% summarizes the information concerning the
c. 27% cash inflows and outflows during a particular
d. 30% period?
3) Marvin needs 250 cookies for a buffet. a. Balance sheet
He will make oatmeal raisin, macaroons, b. Statement cash flows
and chocolate chunk cookies. He wants c. Income statement
25% of the cookies to be oatmeal raisin and d. Statement of retained earning
15% of the cookies to be macaroons. How 8) Closing entries are made:
many chocolate chunk cookies must Marvin a. so that financial statements can be made
bake? b. in order to terminate the business as an
a. 150 operating entity
b. 125 c. in order to transfer net income/loss and
c. 140 owner's drawings to the owner's capital
d. 100 account
4) If a shirt is marked down 25%, what will d. so that all assets, liabilities, and owner's
the purchase price be? capital accounts will have zero balances
a. ₱25 when the next accounting period starts
b. 75% of its original price 9) Suppliers who allow business to receive
c. 50% off goods and services before paying for them
d. ₱75 are known as:
5) A customer places a special order a. Finance companies
through 480 Furniture Store. The list price in b. Leasing companies
the manufacturer's catalog is ₱1,600. 480 c. Trade companies
Furniture receives a 35% trade discount. d. Trade debtors
What is the net price for the furniture order?
10) Which of the following is an example of 16) Net Income or Profit results from:
external finance? a. revenues exceeding expenses
a. Disposal by a business of surplus assets b. assets exceeding liabilities
b. Bank loan c. expenses exceeding revenues
c. Day to day cash from sales to customers d. liabilities exceeding assets
d. Money loaned from trade suppliers 17) Assets are normally recorded at:
through extended credit a. cost
11) A shareholder sells his shares for more b. appraised value
than he paid for them. This is known as: c. market value
a. Capital gain d. management's estimated value
b. Profit on disposal 18) Which financial report measures results
c. God deal for a period of time?
d. Capital allowance a. Balance Sheet
12) The point at which the level of sales of a b. Income Statement
business exactly equals its costs is known c. Trial Balance
as the: d. All of the listed answers
a. Break-even point 19) Using the double entry system, every
b. Insolvency point business transaction _________.
c. Start-up stage a. affects two or more accounts
d. Profit point b. affects only asset accounts
13) Working capital is: c. affects only one account
a. Current Assets-Current Liabilities d. affects only income statement
b. Notes Payable 20) A debt incurred by buying goods or
c. Current Liabilities services from a supplier on credit is called
d. Accounts Payable _________.
14) Which of the following does not appear a. property
in a Balance Sheet? b. accounts payable
a. Cash c. an expense
b. Equipment d. accounts receivable
c. Accounts Payable
d. Depreciation Expense
15) Adjusting entries are used to:
a. close the books
b. record accruals
c. correct errors
d. all of the listed answers are correct