Pharmacy Management Exam 2 Study Guide with Practice Questions 1 of 54 2026-03-26
Pharmacy Management
Exam 2 Study Guide with
Practice Questions
Guidehttps://www.stuvia.com/dashboard!@_)#*)(@$)($@*($@)($@*_ 1
Page 1 of 54 Pharmacy Management Exam 2 Study Guide with Practice Questions.pdf
,Pharmacy Management Exam 2 2 of 54 2026-03-26
what listings are in an income statement? listing of revenues and expenses total
equation for net income revenues-expenses = net income
which income involves the sales of merchandise revenue
or services normally sold by businesses?
what costs include cost of goods sold, salaries expenses
and benefits?
COGS equation beginning inventory (BI) + purchases (P) - ending inventory (EI)
BI = $1,200,000 1,200,000 + 4,100,000 - 1,300,000 =
EI = $1,300,000 5,300,000-1,300,000 = 4,000,000
P = $4,100,000
calculate the COGS
gross margin (GM) equation sales - COGS
Page 2 of 54 2 Pharmacy Management Exam 2.pdf
,Pharmacy Management Exam 2 3 of 54 2026-03-26
what is a gross margin? amount of income you have left over after paying for merch you sold
adjustments that can be made from COGS or GM shrink (product losses due to theft or spoilage)
markdown (product price reductions)
gross margin percent (GM%) equation GM/Sales
what is depreciation? reduction in value of an asset over time (over 1 year)
what is a balance sheet in financials? statement of financial position
reports financial status of business
list of what is owned and what is owed and the equity of business
what does a balance sheet include? list assets
list of liabilities
residual balance 'owners equity'
balance sheet equation "accounting equation" assets (A) = liabilities (L) + owners equity (OE)
Page 3 of 54 3 Pharmacy Management Exam 2.pdf
, Pharmacy Management Exam 2 4 of 54 2026-03-26
consumers equation in balance sheets A-L = net worth
between balance sheets and income statements, balance sheet
which measures a business at a specific point in
time?
actual acquisition cost (AAC) definition price that pharmacy pays drug wholesaler or manu to obtain drug
product
average wholesaler price (AWP) a list price for what drug wholesalers charge pharmacies
overestimate of what wholesaler charges pharmacy
maximum allowable cost (MAC) max cost that 3rd party will pay for multisource drug
average of generic drug price from several manus
wholesaler acquisition cost (WAC) list price for what pharm manu charge drug wholesalers
overestimate of what manu charge wholesalers
Page 4 of 54 4 Pharmacy Management Exam 2.pdf
Pharmacy Management
Exam 2 Study Guide with
Practice Questions
Guidehttps://www.stuvia.com/dashboard!@_)#*)(@$)($@*($@)($@*_ 1
Page 1 of 54 Pharmacy Management Exam 2 Study Guide with Practice Questions.pdf
,Pharmacy Management Exam 2 2 of 54 2026-03-26
what listings are in an income statement? listing of revenues and expenses total
equation for net income revenues-expenses = net income
which income involves the sales of merchandise revenue
or services normally sold by businesses?
what costs include cost of goods sold, salaries expenses
and benefits?
COGS equation beginning inventory (BI) + purchases (P) - ending inventory (EI)
BI = $1,200,000 1,200,000 + 4,100,000 - 1,300,000 =
EI = $1,300,000 5,300,000-1,300,000 = 4,000,000
P = $4,100,000
calculate the COGS
gross margin (GM) equation sales - COGS
Page 2 of 54 2 Pharmacy Management Exam 2.pdf
,Pharmacy Management Exam 2 3 of 54 2026-03-26
what is a gross margin? amount of income you have left over after paying for merch you sold
adjustments that can be made from COGS or GM shrink (product losses due to theft or spoilage)
markdown (product price reductions)
gross margin percent (GM%) equation GM/Sales
what is depreciation? reduction in value of an asset over time (over 1 year)
what is a balance sheet in financials? statement of financial position
reports financial status of business
list of what is owned and what is owed and the equity of business
what does a balance sheet include? list assets
list of liabilities
residual balance 'owners equity'
balance sheet equation "accounting equation" assets (A) = liabilities (L) + owners equity (OE)
Page 3 of 54 3 Pharmacy Management Exam 2.pdf
, Pharmacy Management Exam 2 4 of 54 2026-03-26
consumers equation in balance sheets A-L = net worth
between balance sheets and income statements, balance sheet
which measures a business at a specific point in
time?
actual acquisition cost (AAC) definition price that pharmacy pays drug wholesaler or manu to obtain drug
product
average wholesaler price (AWP) a list price for what drug wholesalers charge pharmacies
overestimate of what wholesaler charges pharmacy
maximum allowable cost (MAC) max cost that 3rd party will pay for multisource drug
average of generic drug price from several manus
wholesaler acquisition cost (WAC) list price for what pharm manu charge drug wholesalers
overestimate of what manu charge wholesalers
Page 4 of 54 4 Pharmacy Management Exam 2.pdf
