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1A shop buys towels at Cg 16 each and applies a markup of 75% of cost. Ignoring tax, what is the selling price?
A.Cg 28
B.Cg 24
C.Cg 32
D.Cg 20
Explanation: The markup is 0.75*16 = Cg 12. Adding it to cost gives a selling price of Cg 28.
2A dress originally costs Cg 85 and is discounted by 20%. What is its sale price?
A.Cg 68
B.Cg 65
C.Cg 72.25
D.Cg 17
Explanation: The discount is 0.20*85 = Cg 17. The sale price is 85 - 17 = Cg 68.
3Which is the basic balance-sheet equation?
A.Assets = Liabilities + Equity
B.Assets = Liabilities - Equity
C.Assets + Liabilities = Equity
D.Revenue = Expenses + Assets
Explanation: Assets are financed by creditors' claims and owners' equity. Their total therefore equals liabilities plus equity: bezittingen = schulden + eigen vermogen.
4Using a perpetual inventory system and ignoring tax, a business purchases inventory on credit for Cg 3,500. Which journal entry records this purchase?
A.Debit Inventory; credit Accounts Payable, Cg 3,500 each
B.Debit Accounts Payable; credit Bank, Cg 3,500 each
C.Debit Accounts Payable; credit Inventory, Cg 3,500 each
D.Debit Accounts Receivable; credit Sales, Cg 3,500 each
Explanation: The purchase increases an asset, Inventory, so it is debited. It also increases the amount owed to the supplier, Accounts Payable, so that liability is credited.
5A snack bar sells 1,200 items monthly at Cg 3.50 each. Variable cost is Cg 1.20 per item and total monthly fixed cost is Cg 1,600. What is monthly operating profit?
A.Cg 1,160
B.Cg 2,760
C.Cg 4,200
D.Cg 1,440
Explanation: Revenue is Cg 4,200 and variable cost is Cg 1,440. Subtracting both variable and fixed costs gives 4,200 - 1,440 - 1,600 = Cg 1,160.
6A bumper mango harvest shifts market supply outward. With demand unchanged and downward-sloping, what happens to equilibrium price and quantity?
A.Price falls and quantity rises
B.Price rises and quantity falls
C.Both price and quantity rise
D.Both price and quantity fall
Explanation: Extra supply creates a surplus at the old price. A lower price clears that surplus and encourages more purchases along the unchanged demand curve.
7A hypothetical loan of Cg 4,000 earns simple interest at 6% annually for two years, with the principal outstanding throughout. How much interest is owed?
A.Cg 480
B.Cg 240
C.Cg 4,480
D.Cg 800
Explanation: Simple interest is principal times annual rate times years. Here it is 4,000*0.06*2 = Cg 480.
8Which is normally a non-current tangible asset used by a retail business?
A.Its owned warehouse building
B.Merchandise held for resale
C.Petty cash
D.Customer receivables due in 30 days
Explanation: A warehouse used for ongoing operations provides benefits over multiple periods. Inventory, cash and short-term receivables are current assets.
9Which term means a sustained increase in the general price level?
A.Inflation
B.Deflation
C.Stagnation
D.Recession
Explanation: Inflation describes a broad rise in prices over time. With a fixed nominal amount of money, this reduces purchasing power.
10Opening inventory is Cg 50,000, net purchases are Cg 180,000 and closing inventory is Cg 40,000. With no other inventory adjustments, what is cost of goods sold?
A.Cg 190,000
B.Cg 170,000
C.Cg 230,000
D.Cg 180,000
Explanation: Goods available cost 50,000 + 180,000 = Cg 230,000. Deducting unsold closing inventory gives cost of goods sold of Cg 190,000.
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