May 2014 examination session Business Numeracy 101: (BN101) - imm
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Tutorial Letter: May 2014 examination session Business Numeracy 101: (BN101) Semester One 2014 Dear Student Please make note of the following key areas and notes pertaining to the Business Numeracy 1 May Examination. You are reminded that the detail provided herein is merely a guideline for clarity and direction and you are encouraged to complete the entirety of the module content as outlined in the Learner Guide. Exam Structure The paper consists of six (6) questions. Any five (5) questions should be attempted resulting in an exam total of 100 marks. (The exam is 3 hours long.) Each question is worth 20 marks. Exam Content The following concepts are important for this exam in terms of the main basis for calculations: o
Basic arithmetic: Decimals, Indices, percentages and integers.
o
Being able to manipulate percentages (including selling price, cost price, mark up and discount calculations).
o
Time value of money calculations (e.g. Using the formula or interest factor tables to calculate the present value / future values of amounts in particular scenarios).
o
Identifying account balances in order to prepare basic financials (Income Statement and Balance Sheet).
o
Ratio analysis (using financial statements provided).
o
CVP analysis (Breakeven point in rand and units and margin of safety including profit calculations given sales units).
© IMM Graduate School of Marketing Exam 1st Semester 2014 Tutorial Letter
Business Numeracy 1 (BN101)
Page 2 of 4 o
Basic statistics (Mean, median, range and quartile calculations).
o
Basic understanding of straight line graphs/functions in terms of the general equation and elements of the straight line.
General Time management per question must be monitored carefully. Aim to mark maximise by attempting those areas which will result in you achieving the most marks initially. You are reminded to show your workings and calculations where necessary and ensure that they can be easily referenced. Examiners will not ‘hunt’ for substantiating workings. Number all questions CLEARLY and indicate ‘End’ when you have completed all questions in the examination. You must indicate all calculations clearly and indicate formulas used where necessary. For certain sections (such as income statement and balance sheet) the format of your answer is important and must be shown clearly and correctly. You are provided with a formula sheet and interest factor tables in the exam. (See the formula sheet attached on pages 3 and 4 of this tutorial letter.) May we remind you that we are always available to assist with academic queries. Academic queries should be submitted in writing to: [email protected] We wish you a successful May 2014 examination session. Kind regards The IMM GSM Team
© IMM Graduate School of Marketing Exam 1st Semester 2014 Tutorial Letter
Business Numeracy 1 (BN101)
Page 3 of 4
Formula Sheet
Financial Ratios Gross profit margin % = Net profit margin % = Creditors’ payment period = Creditors’ turnover = Debtors’ collection period = Debtors turnover = Days stock on hand = Inventory turnover = Current ratio = Current assets/Current liabilities Quick ratio = (Current assets – Inventory)/Current liabilities
Break-even Margin of safety % =
–
Contribution margin ratio = Contribution margin = Sales price per unit – Variable cost per unit Break-even point in units = Break-even sales value = Sales price per unit x Break-even point in units Total costs = Fixed costs + Variable costs
© IMM Graduate School of Marketing Exam 1st Semester 2014 Tutorial Letter
Business Numeracy 1 (BN101)
Page 4 of 4
Compound interest Future value = Present value x
Present Value = Future value/
Future value of 1 =
Present Value of 1 = 1/
Future value of 1 n
2%
4%
6%
8%
10%
1
1.02000
1.04000
1.06000
1.08000
1.10000
2
1.04040
1.08160
1.12360
1.16640
1.21000
3
1.06121
1.12486
1.19102
1.25971
1.33100
4
1.08243
1.16986
1.26248
1.36049
1.46410
5
1.10408
1.21665
1.33823
1.46933
1.61051
6
1.12616
1.26532
1.41852
1.58687
1.77156
7
1.14869
1.31593
1.50363
1.71382
1.94872
8
1.17166
1.36857
1.59385
1.85093
2.14359
9
1.19509
1.42331
1.68948
1.99900
2.35795
10
1.21899
1.48024
1.79085
2.15892
2.59374
Present value of 1 n
2%
4%
6%
8%
10%
1
0.98039
0.96154
0.94340
0.92593
0.90909
2
0.96117
0.92456
0.89000
0.85734
0.82645
3
0.94232
0.88900
0.83962
0.79383
0.75131
4
0.92385
0.85480
0.79209
0.73503
0.68301
5
0.90573
0.82193
0.74726
0.68058
0.62092
6
0.88797
0.79031
0.70496
0.63017
0.56447
7
0.87056
0.75992
0.66506
0.58349
0.51316
8
0.85349
0.73069
0.62741
0.54027
0.46651
9
0.83676
0.70259
0.59190
0.50025
0.42410
10 0.82035
0.67556
0.55839
0.46319
0.38554
Business statistics Me = Q1=
Q3 =
© IMM Graduate School of Marketing Exam 1st Semester 2014 Tutorial Letter
Business Numeracy 1 (BN101)
Tutorial Letter: May 2014 examination session Business Numeracy 101: (BN101) Semester One 2014 Dear Student Please make note of the following key areas and notes pertaining to the Business Numeracy 1 May Examination. You are reminded that the detail provided herein is merely a guideline for clarity and direction and you are encouraged to complete the entirety of the module content as outlined in the Learner Guide. Exam Structure The paper consists of six (6) questions. Any five (5) questions should be attempted resulting in an exam total of 100 marks. (The exam is 3 hours long.) Each question is worth 20 marks. Exam Content The following concepts are important for this exam in terms of the main basis for calculations: o
Basic arithmetic: Decimals, Indices, percentages and integers.
o
Being able to manipulate percentages (including selling price, cost price, mark up and discount calculations).
o
Time value of money calculations (e.g. Using the formula or interest factor tables to calculate the present value / future values of amounts in particular scenarios).
o
Identifying account balances in order to prepare basic financials (Income Statement and Balance Sheet).
o
Ratio analysis (using financial statements provided).
o
CVP analysis (Breakeven point in rand and units and margin of safety including profit calculations given sales units).
© IMM Graduate School of Marketing Exam 1st Semester 2014 Tutorial Letter
Business Numeracy 1 (BN101)
Page 2 of 4 o
Basic statistics (Mean, median, range and quartile calculations).
o
Basic understanding of straight line graphs/functions in terms of the general equation and elements of the straight line.
General Time management per question must be monitored carefully. Aim to mark maximise by attempting those areas which will result in you achieving the most marks initially. You are reminded to show your workings and calculations where necessary and ensure that they can be easily referenced. Examiners will not ‘hunt’ for substantiating workings. Number all questions CLEARLY and indicate ‘End’ when you have completed all questions in the examination. You must indicate all calculations clearly and indicate formulas used where necessary. For certain sections (such as income statement and balance sheet) the format of your answer is important and must be shown clearly and correctly. You are provided with a formula sheet and interest factor tables in the exam. (See the formula sheet attached on pages 3 and 4 of this tutorial letter.) May we remind you that we are always available to assist with academic queries. Academic queries should be submitted in writing to: [email protected] We wish you a successful May 2014 examination session. Kind regards The IMM GSM Team
© IMM Graduate School of Marketing Exam 1st Semester 2014 Tutorial Letter
Business Numeracy 1 (BN101)
Page 3 of 4
Formula Sheet
Financial Ratios Gross profit margin % = Net profit margin % = Creditors’ payment period = Creditors’ turnover = Debtors’ collection period = Debtors turnover = Days stock on hand = Inventory turnover = Current ratio = Current assets/Current liabilities Quick ratio = (Current assets – Inventory)/Current liabilities
Break-even Margin of safety % =
–
Contribution margin ratio = Contribution margin = Sales price per unit – Variable cost per unit Break-even point in units = Break-even sales value = Sales price per unit x Break-even point in units Total costs = Fixed costs + Variable costs
© IMM Graduate School of Marketing Exam 1st Semester 2014 Tutorial Letter
Business Numeracy 1 (BN101)
Page 4 of 4
Compound interest Future value = Present value x
Present Value = Future value/
Future value of 1 =
Present Value of 1 = 1/
Future value of 1 n
2%
4%
6%
8%
10%
1
1.02000
1.04000
1.06000
1.08000
1.10000
2
1.04040
1.08160
1.12360
1.16640
1.21000
3
1.06121
1.12486
1.19102
1.25971
1.33100
4
1.08243
1.16986
1.26248
1.36049
1.46410
5
1.10408
1.21665
1.33823
1.46933
1.61051
6
1.12616
1.26532
1.41852
1.58687
1.77156
7
1.14869
1.31593
1.50363
1.71382
1.94872
8
1.17166
1.36857
1.59385
1.85093
2.14359
9
1.19509
1.42331
1.68948
1.99900
2.35795
10
1.21899
1.48024
1.79085
2.15892
2.59374
Present value of 1 n
2%
4%
6%
8%
10%
1
0.98039
0.96154
0.94340
0.92593
0.90909
2
0.96117
0.92456
0.89000
0.85734
0.82645
3
0.94232
0.88900
0.83962
0.79383
0.75131
4
0.92385
0.85480
0.79209
0.73503
0.68301
5
0.90573
0.82193
0.74726
0.68058
0.62092
6
0.88797
0.79031
0.70496
0.63017
0.56447
7
0.87056
0.75992
0.66506
0.58349
0.51316
8
0.85349
0.73069
0.62741
0.54027
0.46651
9
0.83676
0.70259
0.59190
0.50025
0.42410
10 0.82035
0.67556
0.55839
0.46319
0.38554
Business statistics Me = Q1=
Q3 =
© IMM Graduate School of Marketing Exam 1st Semester 2014 Tutorial Letter
Business Numeracy 1 (BN101)
