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Passing PRAXIS Business-Education-Content-Knowledge-5101 Exam is Easy with Our Reliable Relevant Business-Education-Content-Knowledge-5101 Exam Dumps: Praxis Business Education: Content Knowledge (5101)Exam

Passing PRAXIS Business-Education-Content-Knowledge-5101 Exam is Easy with Our Reliable Relevant Business-Education-Content-Knowledge-5101 Exam Dumps: Praxis Business Education: Content Knowledge (5101)Exam

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PRAXIS Praxis Business Education: Content Knowledge (5101)Exam Sample Questions (Q60-Q65):

NEW QUESTION # 60
The primary purpose of the income statement of a business is to provide

  • A. the financial projections for the business for a specific period of time
  • B. the debt-to-equity ratio of the business on a specific date
  • C. the financial progress of the business for a specific period of time
  • D. a listing of accounts receivable and accounts payable on a specific date

Answer: C

Explanation:
The income statement, also known as the profit and loss statement, summarizes a company's revenues, expenses, and profits or losses over a specific period of time. Its primary purpose is to show the financial progress of the business, indicating whether it has made a profit or incurred a loss during that period. Option A (debt-to-equity ratio) is incorrect because this ratio is derived from the balance sheet, not the income statement. Option B (financial projections) refers to forecasts or budgets, not historical performance, which is the focus of the income statement. Option D (accounts receivable and payable) is also related to the balance sheet, not the income statement. The correct answer, C, aligns with the Praxis 5101 content category of Accounting and Finance, which includes understanding financial statements.
Reference:ETS Praxis Business Education: Content Knowledge (5101) Study Companion, Section on Accounting and Finance; Horngren's Financial & Managerial Accounting, Chapter 2.


NEW QUESTION # 61
Which of the following best describes the purpose of tabs in word-processing software?

  • A. To create graphics
  • B. To position text within a line
  • C. To wrap text around a graphic
  • D. To single-space lines of text

Answer: B

Explanation:
Tabs in word-processing software are used to position text at specific points within a line, creating aligned columns or indentations. Option A (create graphics) is unrelated to tabs. Option C (single-space lines) pertains to line spacing settings. Option D (wrap text around graphics) involves text-wrapping features, not tabs. This question falls under the Information Technology category, focusing on software functionality.
Reference:ETS Praxis Business Education: Content Knowledge (5101) Study Companion, Section on Information Technology; Introduction to Business Information Systems, Chapter 4.


NEW QUESTION # 62
To calculate the net worth of a business, an entrepreneur should subtract

  • A. the liabilities from the current assets
  • B. the current liabilities from the owner's equity
  • C. the total expenditures from the total revenue
  • D. the liabilities from the total assets

Answer: D

Explanation:
Net worth (or owner's equity) of a business is calculated as Total Assets minus Total Liabilities, reflecting the residual value attributable to owners. Option B (current assets minus liabilities) is incorrect, as it excludes non- current assets. Option C (expenditures from revenue) relates to profit, not net worth. Option D (current liabilities from equity) is incorrect, as it misapplies the accounting equation. This question aligns with the Accounting and Finance category, emphasizing financial position.
Reference:ETS Praxis Business Education: Content Knowledge (5101) Study Companion, Section on Accounting and Finance; Financial Accounting, Chapter 1.


NEW QUESTION # 63
Which of the following steps should always be completed before entering records in a database software file?

  • A. Defining the fields for the record layout
  • B. Determining the number of records to be input
  • C. Designing the output layout
  • D. Developing formulas for processing the data

Answer: A

Explanation:
Before entering records in a database, defining the fields for the record layout is essential to establish the structure, including data types and field names, ensuring accurate data entry and retrieval. Option A (number of records) is useful for planning but not mandatory. Option B (output layout) is relevant for reporting, not data entry preparation. Option C (formulas) applies to data processing, not initial setup. This question aligns with the Information Technology category, emphasizing database management.
Reference:ETS Praxis Business Education: Content Knowledge (5101) Study Companion, Section on Information Technology; Database Systems: Design, Implementation, and Management, Chapter 4.


NEW QUESTION # 64
A small hardware store purchases 5 hammers for $5 each and sells the hammers for $9 each. Which of the following amounts represents the total gross profit?

  • A. $4
  • B. $25
  • C. $45
  • D. $20

Answer: D

Explanation:
Gross profit is calculated as total revenue minus the cost of goods sold (COGS). The store purchases 5 hammers at $5 each, so COGS = 5 × $5 = $25. The hammers are sold at $9 each, so total revenue = 5 × $9 =
$45. Gross profit = $45 # $25 = $20. Option A ($4) represents the profit per hammer, not the total. Option C ($25) is the COGS, and Option D ($45) is the total revenue. This question tests basic accounting principles under the Accounting and Finance category.
Reference:ETS Praxis Business Education: Content Knowledge (5101) Study Companion, Section on Accounting and Finance; Accounting Principles, Chapter 5.


NEW QUESTION # 65
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