DSST Business Mathematics study guide
DSST Business Mathematics · Work through your exam, one topic at a time.
The DSST Business Mathematics exam is a credit-by-examination option for students who already handle the arithmetic and algebra of everyday business finance and want college recognition for it. The DSST program is aimed at adult learners, military service members, and anyone seeking to shorten a degree path; schools that recognize the program may award three semester hours of baccalaureate credit for a passing score. The DSST Business Mathematics study guide has 6 sections and about 3,261 words.
01Integers, Fractions, Decimals, Rounding, Ratios, Averages, and Business Graphs
This area bundles the arithmetic every later topic depends on: signed integers, fractions, decimals, rounding, ratios, averages, and business graphs. Items are short word problems plus graph-reading questions in which the data must be extracted from a described chart.
459 words, about 2 min02Simple Interest
Simple interest is charged only on the original principal, so the balance grows linearly. Expect items that compute interest or maturity value, and items that work backwards to find principal, rate, or time.
378 words, about 2 min03Compound Interest
Compound interest earns interest on previously earned interest, so the balance grows geometrically. Items ask for the compound amount, the interest earned, the effective annual rate, or a comparison against simple interest.
434 words, about 2 min04Annuities
An annuity is a series of equal payments made at regular intervals. The exam tests the future value of an ordinary annuity (sinking funds, retirement savings) and the present value (loan payouts, lease valuation, installment payoffs).
394 words, about 2 min05Net Pay and Deductions
Payroll items ask you to build gross pay from hours, salary, commission, or piecework, then subtract statutory and voluntary deductions to reach net pay. Some items reverse the process and ask for gross pay given net pay.
415 words, about 2 min06Discounts and Markups
Trade discounts reduce list price along a distribution channel; cash discounts reward early payment; markups and markdowns set and adjust retail prices. Expect series-discount net prices, equivalent single discounts, and markup-on-cost versus markup-on-selling-price problems.
1,181 words, about 6 min