5 Written Questions
5 Matching Questions
- Retail price
- Net sales
- Gross profit
- a The revenue generated from sales minus sales returns and allowances.
- b Doubling the cost of the merchandise to arrive at the retail price.
- c Sales revenue minus cost of merchandise sold.
- d The result of multiplying the number of units by the cost per unit.
- e The sum of cost plus markup; the price the customer pays for the merchandise.
5 Multiple Choice Questions
- An amount added to the cost of goods to reach a selling price.
- A set reduction in retail price given to an employee at the time of a sales transaction.
- A transaction in which the customer pays for the purchase with cash or check.
- The revenue generated from sales minus sales returns and allowances.
- The top number in a mathematical expression written as a fraction.
5 True/False Questions
Change fund → A transaction in which the customer pays for the purchase with cash or check.
Initial markup → The difference between merchandise cost and the selling price originally placed on the merchandise.
Gross sales → Total revenue from sales before considering returns, allowances, or adjustments.
Keystone markup → A markup that is equal to the cost of the merchandise.
Cost → The amount a retailer pays the supplier for an item for resale.