Department of Education

Region V
Division of Camarines Sur
HUYONHUYON HIGH SCHOOL
Huyonhuyon, Tigaon Camarines Sur
Second Quarterly Examination

Business Mathematics
Name: ______________________________________________________________________ Score: _____________
Grade/Section ____________________________________ Date: ______________

Direction: Choose the best answer in each item.

1. It refers to the amount of money paid to an agent for buying or selling goods.
a. Salary c. Sales
b. Commission d. Income
2. What do you call to the price incurred relative to the production and sale of
commodity?
a. Profit c. Operating Cost
b. Selling Price d. Cost Price
3. When an item is given a selling price where the profit ends up being zero, this is said
to be?
a. Selling Price c. Trade Discount
b. Cost d. Break-Even Price
4. Mark-downs commonly happen when_____________.
a. when the mall decides to sell their items at cut down prices to clear their
warehouse collection
b. when the mall decides to sell their items based on selling price
c. when the operating costs are accounted for after the sale of a commodity
d. when the price incurred relative to the production and sale
5. It is a compensation given by an employer to an employee on top of the basic
salary/wage, which may be in the form of cash or in kind.
a. Commission c. Bonus
b. Salary d. Benefit
6. It is a discount in price given by the business to customers as a gesture for early or
prompt payment of accounts?
a. Sales Return c. Net Income
b. Gross Sales d. Sales Discounts
7. This is a total sales made by the business before the total sales return, the
discounts, and the allowances are deducted.
a. Gross Sales c. Net Profit
b. Net Income d. Gross Profit
8. What is Net Income?
a. It is a sales represented by the net sales minus the cost of goods sold for
the given period.
b. This shows the profit earned by the business for the period specified in the
financial statement.
c. Represents the total cost spent by the business in acquiring the goods that
are sold.
d. The process of counting the remaining goods and obtaining the price
based on the purchase price of the goods.
9. A jacket costs P1,350 is being sold at P2,025. Which can be used to find the rate of
the mark-up based on cost?
a. Rate of Mark-Up = 2025 - 1350 c. Rate of Mark-Up = 2025 x
1350 x 100%
1,350
b. Rate of Mark-Up = 2025 – 1350 d. Rate of Mark-Up = 2025 /
1350
100%
10.A salesman sold a lot for P60,000. His commission was 5%. How much did he
receive?
a. P3,500 c. P3,600
b. P3,000 d. P3,300
11.Peter received a commission of P500 for selling a stereo-component worth P20,000.
What will be your solution to find his rate of commission?
a. Rate of Commission = 500 / 2,000 c. Rate of Commission = 2,000/500
b. Rate of Commission = 500 x 2,000 d. Rate of Commission = 500 - 2,000
12.Dondon received P2,500 for selling a Lancer car which is 5% of the purchase of the
car, at what price was the car sold?
a. P5,000 c. P5,000,000
b. P50,000 d. P5,500
13.The following are the type of commission, except?
a. Straight Commission c. Salary Plus Commission
b. Undergrad Commission d. Salary Plus Bonus
14.What kind of discount is given when you buy a meat from a regular vendor or “suki”
in the market?
a. Incentive or Loyalty Discount c. Cash Discount
b. Volume Discount d. Single Trade Discount
15.Which of the following is a kind of Single Trade Discount?
a. Cheque Discount c. Infidelity Discount
b. Series Discount d. Volume Discount
16. How would you know if a distributor was given a trade discount series by a suplier?
a. When he convince a seller to give him a discount if he buy a stated
minimum number of items
b. When he buy a meat from a regular vendor or “suki” and he was given an
incentive discount
c. When a supplier give its distributor a discount of 20/10/5
d. When he was able to convince the sellers to give him a cash discount if
she pays in full amount in cash
17.The customer buys a cassete tape recorder for a net price of P2,100. The list price is
P2,800. What will be the trade discount rate?
a. 0.25% c. P25
b. 25% d. 25/100
18.The list price of a brand new adding machine is P65,950 subject to 25% trade
discount. What will be the net price of the adding machine?
a. P59,462.00 c. P49,462.50
b. P59,463.00 d. P49,463.00
19.A wrist watch has a list price of P8,950 subject to 15%, 10% and 5% trade discounts.
What will be the net price?
a. P6,504.40 c. P6,405.40
b. P6,405.41 d. P6,504.41
20.When the selling price is computed by adding the cost of the merchandise to an
amount, this is called.
a. Mark-on c. Marker
b. Mark-down d. Mark-up
21.To encourage the public to buy more, retailer reduce their selling price during their
promotions such as clearance sale, mega sale, etc. Such reduction in price is known
as?
a. Mark-on c. Mark-down
b. Marker d. Mark-up
22.Aurora Enterprises sold equipment for P16,280.00 which was previously priced at
P20,600.00. How much will be the mark-down price?
a. P4,320.00 c. P20.97
b. P4,230.00 d. P0.2097
23.Based on the number 22 problem, how are you going to compute for the rate of the
mark-down?
a. R = Po – Pn c. R = Md / Po
b. R = Po / Pn d. R = Po / Md
24.What do you call to a first payment that one makes when one buys something with
an agreement to pay the rest later?
a. Interest c. Installment
b. Credit d. Down Payment
25.This refers to the total amount of money a bank has on deposit before adjusting for
uncleared checks or deposits, as well as reserve requirements.
a. Net Income c. Gross Income
b. Book Balance d. Wages

26.It is a compensation usually quoted annually or monthly for an employee.

a. Salary c. Income
b. Wages d. Benefits
 27.It is a compensation quoted in an hourly or daily rate for an employee.
a. Salary c. Income
b. Wages d. Benefits
28.It is a money that an individual receives in exchange for providing a good/service or
through investing capital.
a. Salary c. Income
b. Wages d. Benefits
29.Which of the following is an example of benefits given to an employee?
a. 13th month pay c. PhilHealth
b. Bonus d. All of the above
30.A minimum wage earner in Metro Manila is paid P481 for an 8-hour workday. If he
works for 22 days in one month, how much will be his monthly gross income?
a. P528.00 c. P459.00
b. P503.00 d. P10,582.00
31.This may refer to the total amount you have to pay that includes penalties or
interest incurred by unpaid balance from a loan or payment you are supposed to
have made but was not able to do so on time.
c. Income Balance c. Trade Discount
d. Balance Sheet d. Current Increased Balance
32.This refer to the price at which the commodity is sold per unit.
e. Operating Cost c. Profit
f. Cost Price d. Selling Price

Write the letter of the answer that matches the problem.

a. P28.57 e. P100
b. P57 f. P54
c. P68 g. P48
d. P30 h. P28

_______ 33. A violin was on sale on of 50% off. The sale price is P50. What was the original
price?
_______ 34. Sally buys a handbag. There was a discount of 30%. If Sally pays P20, what was
the
original price?
_______ 35. A fan is marked up 40% of the original price. The original price is P20. What is
the
new price of the fan before sales tax?
_______ 36. A parrot is selling for 40% off the original price. The original price is was P90.
What is
the sale price of the parrot?
_______ 37. Jack wants to buy a pair of trousers for P60. HWen he went ot the store he
found
that the price was marked-down by 20%. How much do they cost now?
_______ 38. Andrea wants a diamond necklace and its selling price is P60. There was a
discount
of 5%. How much did Andrea pay?
_______ 39. Janelle buys a dining table on a 15% discount during a sale. If the price was
P80,
how much did she pays?
_______ 40. Kelly wants t buy magazine that is P25. Later the magazine was marked-up an
additional 20%. What is the new price?

Solve the following problems. Show your solution. (#1 - 6 points / #2 – 4 points)
1. A manufacturer sells a bicycle to dealers for P94,500 with discounts of 40/10/5.
a. Determine the net price of a bicycle
b. How much is the total trade discount?
c. What is the equivalent single trade discount for this transaction?
2. Gel would like to sell key chains she purchased from Divisoria for P12 each. If the
operating cost is set at 25% of the cost and she would like to have a 15% profit on the cost
of each item,
a. Determine the mark-up price for each keychain.
b. Help Gel determine the selling price for each keychain.
----------------------------------- Good Luck -----------------------------------