Ivy Software Business Math & Statistics
Exam 2026/2027 – Questions with
Answers & Solutions
Table of Contents
1. Business Arithmetic & Percentages
2. Ratios, Proportions & Equations
3. Interest, Discounts & Financial Mathematics
4. Annuities, Loans & Depreciation
5. Descriptive Statistics
6. Probability
7. Probability Distributions
8. Sampling & Confidence Intervals
9. Correlation, Regression & Forecasting
10. Hypothesis Testing & Comprehensive Review
PART I — BUSINESS ARITHMETIC & PERCENTAGES
1. A retailer purchases merchandise for $800 and sells it for $1,000. What is the
gross profit?
A. $100
B. $150
C. $200
D. $250
Answer: C. $200
Solution:
Gross profit = Selling price − Cost
,= $1,000 − $800
= $200
2. A product costs $500 and is marked up by 20% of cost. What is the selling
price?
A. $520
B. $550
C. $600
D. $700
Answer: C. $600
Solution:
Markup = $500 × 20% = $100
Selling price = $500 + $100 = $600
3. A $2,000 item is discounted by 15%. What is the discount?
A. $150
B. $200
C. $250
D. $300
Answer: D. $300
Solution:
Discount = $2,000 × 0.15 = $300
4. What is the sale price of the $2,000 item after the 15% discount?
A. $1,500
B. $1,600
C. $1,700
D. $1,850
Answer: C. $1,700
,Solution:
Sale price = $2,000 − $300
= $1,700
5. A business has revenue of $80,000 and expenses of $56,000. What is net
income?
A. $14,000
B. $24,000
C. $26,000
D. $36,000
Answer: B. $24,000
Solution:
Net income = Revenue − Expenses
= $80,000 − $56,000
= $24,000
6. What percentage of $80,000 is $24,000?
A. 20%
B. 25%
C. 30%
D. 35%
Answer: C. 30%
Solution:
Percentage = $24,000 ÷ $80,000 × 100
= 30%
7. Sales increase from $50,000 to $60,000. What is the percentage increase?
A. 10%
B. 15%
, C. 20%
D. 25%
Answer: C. 20%
Solution:
Increase = $60,000 − $50,000 = $10,000
Percentage increase = $10,000/$50,000 × 100
= 20%
8. A company's sales decline from $90,000 to $72,000. What is the percentage
decrease?
A. 15%
B. 18%
C. 20%
D. 25%
Answer: C. 20%
Solution:
Decrease = $90,000 − $72,000 = $18,000
$18,000/$90,000 × 100 = 20%
9. A salesperson earns a 6% commission on $50,000 of sales. What is the
commission?
A. $2,000
B. $3,000
C. $3,500
D. $4,000
Answer: B. $3,000
Solution:
Commission = $50,000 × 0.06
= $3,000
Exam 2026/2027 – Questions with
Answers & Solutions
Table of Contents
1. Business Arithmetic & Percentages
2. Ratios, Proportions & Equations
3. Interest, Discounts & Financial Mathematics
4. Annuities, Loans & Depreciation
5. Descriptive Statistics
6. Probability
7. Probability Distributions
8. Sampling & Confidence Intervals
9. Correlation, Regression & Forecasting
10. Hypothesis Testing & Comprehensive Review
PART I — BUSINESS ARITHMETIC & PERCENTAGES
1. A retailer purchases merchandise for $800 and sells it for $1,000. What is the
gross profit?
A. $100
B. $150
C. $200
D. $250
Answer: C. $200
Solution:
Gross profit = Selling price − Cost
,= $1,000 − $800
= $200
2. A product costs $500 and is marked up by 20% of cost. What is the selling
price?
A. $520
B. $550
C. $600
D. $700
Answer: C. $600
Solution:
Markup = $500 × 20% = $100
Selling price = $500 + $100 = $600
3. A $2,000 item is discounted by 15%. What is the discount?
A. $150
B. $200
C. $250
D. $300
Answer: D. $300
Solution:
Discount = $2,000 × 0.15 = $300
4. What is the sale price of the $2,000 item after the 15% discount?
A. $1,500
B. $1,600
C. $1,700
D. $1,850
Answer: C. $1,700
,Solution:
Sale price = $2,000 − $300
= $1,700
5. A business has revenue of $80,000 and expenses of $56,000. What is net
income?
A. $14,000
B. $24,000
C. $26,000
D. $36,000
Answer: B. $24,000
Solution:
Net income = Revenue − Expenses
= $80,000 − $56,000
= $24,000
6. What percentage of $80,000 is $24,000?
A. 20%
B. 25%
C. 30%
D. 35%
Answer: C. 30%
Solution:
Percentage = $24,000 ÷ $80,000 × 100
= 30%
7. Sales increase from $50,000 to $60,000. What is the percentage increase?
A. 10%
B. 15%
, C. 20%
D. 25%
Answer: C. 20%
Solution:
Increase = $60,000 − $50,000 = $10,000
Percentage increase = $10,000/$50,000 × 100
= 20%
8. A company's sales decline from $90,000 to $72,000. What is the percentage
decrease?
A. 15%
B. 18%
C. 20%
D. 25%
Answer: C. 20%
Solution:
Decrease = $90,000 − $72,000 = $18,000
$18,000/$90,000 × 100 = 20%
9. A salesperson earns a 6% commission on $50,000 of sales. What is the
commission?
A. $2,000
B. $3,000
C. $3,500
D. $4,000
Answer: B. $3,000
Solution:
Commission = $50,000 × 0.06
= $3,000
