The Advanced Numeracy Test Workbook - Mike Bryon [11]
B The goods and services produced by a company during any one financial year
C The amount of goods or services produced by an individual in his or her lifetime
D The total amount of spending in an economy at a particular spending level
Answer
Q7. An example of an amortization term is:
A A calculation made in life insurance of how long it is expected someone will live
B The 25 years it takes to pay off the average mortgage through monthly payments
C A mortgage that requires lower interest and repayment payments in the early years
D An expression of the amount of risk posed by a business venture
Answer
Q8. An annuity is:
A An accounting technique for extending figures for a period of less than one year to a full 12 months
B A figure giving the value of an insurance policy
C A term meaning an annual pay increase linked to the rate of inflation
D An insurance product that pays a fixed amount each year for the life of the insured person or persons
Answer
Q9. Appropriated expenditure is:
A An amount set aside to be spent for a particular purpose
B An expenditure that an auditor identifies as illegal
C Money spent on property that is owned by someone else
Answer
Q10. An asset is:
A Something that will bring an investment return
B Something that secures a loan
C Something owned that has a value
D A member of staff who does a really good job
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Q11. Money owed that is not collectable is called:
A Bad debt
B Insolvent debt
C Written-off debt
D Deductible debt
Answer
Q12. A bond implies:
A Twice-yearly income
B Tax-free income
C The chance to win a million
D An obligation to pay
Answer
Q13. Yield means the same as:
A A return
B The return on a business deal
C The rate of return
D The percentage rate of return
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Q14. A zip code is:
A A solution to the problem with software recognizing dates past 31 December 1999
B A US mail distribution code
C A code that regulates the use of property
D A way to calculate the Z-scale in statistics
Answer
Q15. A hierarchically structured organization is said to be:
A A vertical organization
B A bureaucracy
C Horizontally organized
D None of these
Answer
Q16. A verbatim report is:
A Edited to focus on key points
B Offered with editorial comment
C A word-for-word account
D None of these
Answer
Q17. A troy is:
A A unit of value in a US system of weights
B An international standard for quality
C The unit of value in the gold standard
D A unit used to measure precious metals
Answer
Q18. Human resource turnover is calculated by:
A Ratio to annual sales to net worth
B Wage costs over a period as a percentage of the total listed
C Volume of securities traded as a percentage of the total listed
D Total number of staff divided by the number of new employees during a period
Answer
Q19. The Standard Industrial Classification is:
A A numbered system classifying companies by industrial sector
B A classification of stocks according to the risk associated with industrial activity
C A system to compare the cost of production in engineering
D A measure of the performance of the top 100 industrial companies
Answer
Q20. In economics, which of the following is not an attempt to stabilize markets?
A Selling the euro to influence its exchange rate
B Raising interest rates to deter borrowing
C Training the unemployed in skills wanted by employers
D Passing on an increase in costs by raising prices
Answer
Q21. To be solvent is to:
A Have debts that exceed the value of assets
B Reach an equitable settlement with creditors
C Be able to pay all debts as they become due
D Have credit facilities with a bank
Answer
Q22. Ethical investments:
A Largely consist of a portfolio of shares in for example companies that manufacture armaments and cigarettes
B Would include the shares of companies that abide with stated social policies
C Will almost always do less well than unethical investments
D None of these
Answer
Q23. Shareholder equity is calculated