1. A common method for pricing merchandise in many retail businesses is known as "keystone". In this method, you calculate the cost of each item and set the retail price at 2x the cost. If you had a business that sold $10,000 of product during Q4 of last year, all with keystone pricing. What would be your Q4 Gross Profit Margin (measured as a % of sales) be?

A. 100%

B. 33%

C. 50%

2. The Income Statement is described as "bridging between two Balance Sheets", Which portion of the Balance Sheet is defined as the connection points at the beginning and ending of the period?

A. Retained Earnings

B. Long Term Liabilities

C. Cash and Equivalents

3. A typical "top line" entry in most Income Statements is a value for Revenue. Which statement below best describes Revenue for a typical business.

A. The total of cash collected from customers who previously bought your product on credit.

B. The total of future orders entered by customers.

C. The summation of product sales during the reporting period.

D. All of the above.

4. Which statement best describes, in accounting terms, the purpose of the Income Statement?

A. Calculate how much tax a business owes at the end of each year.

B. Quantify how much money a company has made since it's founding.

C. Provide insight into the transactions impacting the Retained Earnings during a defined period.