1. The spoilage rate on a shipment of 100 pounds of bananas is expected to be 20%. They were purchased at a cost of $0.23 per pound. What should the selling price per pound be to achieve a markup of 16% based on selling price? (Round answer to the nearest cent)

$0.34

$0.39

$0.24

$0.30

2. Translate the following into an equation: The sum of T and 45 is 48.

T + 45 = 48

45T = 48

48 - T = 45

3. Caridad borrowed $15,500 at 11% ordinary interest for 120 days. After 70 days, she made a partial payment of $3,000. What is the final amount due on the loan?

$13,921.56

$14,596.22

$13,027.57

$12,943.06

4. Find the trade discount amount for an order of paper supplies with a list price of $25,000, less trade discounts of 30/20/10. Use the single equivalent discount to calculate your answer.

$16,120

$11,250

$12,400

$13,750

5. Mrs. Kaitra wrote a check for $89.50 but recorded it in her checkbook as $80.50. Her checkbook balance showed $1,572.35. What should it show?

a. $1,571.35

b. $1,581.35

c. $1,563.35

d. $1,583.35

6. A company made 4,000 amplifiers last month. If 4.2% of them were defective, how many defective amplifiers were produced?

160

168

1,850

3,900

7. Sales at an Auto Parts store decreased 20.5% this month compared to last month. If sales this month were $75,366, what were the sales last month?

15,245

89,611

59,916

94,800

8. Annie Hamilton’s bank statement showed a balance of $1,489.13. There are $365.75 in outstanding checks. There is one outstanding deposit of $385.00. The bank charged $5.50 in ATM fees. What should her checkbook balance be?

a. $1,893.38

b. $1,469.88

c. $1,508.38

d. $1,502.88

9. Suppose that you took out a loan at 12% interest for 200 days. If the amount of interest was $690.41, use the exact interest method to find the amount of principal you borrowed. (Round to the nearest whole dollar amount)

$10,356

$10,500

$4,540

$45

10. Clarence received his bank statement showing a balance of $671.35. The outstanding checks totaled $172.68, and there was an outstanding deposit of $115. His checkbook balance is $621.92. What type of correction does Clarence need to make to his running balance?

a. –$8.25

b. –$9.25

c. +$9.25

d. +$8.25