Accounting Information Systems
What type of reporting displays the incurred date as the bill date?
Accrual-basis reporting
Where in the Expenses Center can you immediately create a bill or take another action, such as making a payment?
Action link
Now that Craig's Power Tools account is set up, which financial statement will it appear on?
Balance Sheet
Which tab in QuickBooks Online Banking shows the bank data that has not yet been accepted into QuickBooks Online?
For Review
How can you find out how much Craig owes his vendors?
Go to the Vendors tab and look at the value of Open Bills on the Money Bar
Which of the following statements is true of the QuickBooks Online mobile app? (Select all that apply.)
It syncs with QuickBooks Online on the web: Any task completed in the app updates QuickBooks Online. The same security that protects your QuickBooks Online data on the web applies when you use the QuickBooks Online mobile app.
You need to enter a new expense into QuickBooks Online. Which of these would be starting points? (Select all correct options.)
The New Transaction button on the Expenses Center screen The + New menu
Craig's has a new order from a customer. He needs to buy some paving from his vendor for the customer's job. He has 60 days to pay for it. Take a look at the vendor workflow: Craig buys paving on credit Vendor bills him What two steps should come next?
3) Craig creates bill in QuickBooks Online; 4) Makes bill payment
Take a look at the following customer workflow: 1. Provide service 2. Invoice customer 3. ______________ 4. Take money to the bank 5. __________________ What two steps in QuickBooks Online complete this customer workflow?
3) Receive payment; 5) Create a bank Deposit Transaction
Which of the following are features of a client's QuickBooks Online company? (Select all correct options.)
A QuickBooks Online company is made up of lists and transactions There are multiple entry points for finding different lists and transactions As an accountant user, you have an additional drop-down menu in your client's company Settings and tools can be accessed from the Gear icon
In QuickBooks Online Accountant, what can you access through the + New button?
A range of workflows for customers, vendors, and employees
Which of the following are key features of QuickBooks Online Accountant? (Select all that apply.)
Access and manage client files Securely share client documents Manage team access Track all work and clients in one place and streamline tasks
Where would you go to find the following accountant-only features? Prep for taxes, Reclassify Transactions, Voided/Deleted Transactions, and Write Off Invoice
Accountant Tools
How can Craig benefit from connecting his bank and credit card accounts to QuickBooks Online? (Select all correct options.)
All of his bank and credit card transactions will be synced into QuickBooks Online without him having to enter them He can check, categorize, and approve each bank transaction to make sure he has full control This reduces the amount of data Craig needs to enter, saving him time
Which of the following statements are true of the QuickBooks Online desktop app? (Select all correct options.)
Allows you to stay permanently signed in without retyping your password Data refreshes automatically Provides access to the QuickBooks Online dashboard and client files
What kind of expenses does the expense transaction in QuickBooks Online record? (Select all correct options.)
Bank account withdrawals Cash purchases Bank fees Credit card purchases
Once satisfied that the _____________ is associated with the correct QuickBooks Online transaction, select Match in the Action column. Which option below correctly completes the above description of how to match an expense or payment?
Bank feed transaction
Go to the _________ and select For Review Look down the list and find the transaction for Pye's Cakes Select Match What's the missing step in the sequence above?
Banking center
Plus
Budgets and advanced reports Track multiple revenue streams and/or departments or locations (classes and locations) Track inventory Track project profitability 5 users & 2 accountants QuickBooks Online Plus is ideal for product-based businesses with inventory they want to track and/or who require advanced reporting and profitability tracking.
Using the Sales Center, how can you quickly find the overdue sales transactions in a company's accounts?
By going to the Money Bar
How can your client quickly see how many overdue invoices each of his customers has?
By selecting the Overdue area of the Money Bar in the Customer List
Which is the best definition of cash-basis reports?
Cash-basis reports display income as of the date the customer payment is received/recorded and expenses as of the date a vendor bill is paid
Craig has a new landscaping vendor who has agreed to give Craig 60 days of credit before he needs to pay for the materials. How can Craig set this agreement up when he enters the vendor into his QuickBooks Online so that it is applied by default?
Choose Net 60 from the Terms drop-down
Which type of transaction would you use to reduce the amount owed on a customer's account and record the return of goods?
Credit memo
Open the For Review tab Find the row with the suggested match Select the row to expand it Select the blue _____________ link to view the transaction You are trying to get to the deposit transaction for a suggested match within bank feeds. What link in the sequence above would do this?
Deposit
Which of the following benefits will you gain by becoming a ProAdvisor? (Select all that apply.)
Discounts on software and apps Access to training and support Access to marketing resources Your firm will be listed in the Find-a-ProAdvisor directory
What are the four key advantages to setting up your client in QuickBooks Online through QuickBooks Online Accountant? (Select all that apply.)
Ensures they're signed up to the subscription level that best fits their needs Enables discounts like Wholesale billing Gives you access to their books right away, using your own sign-in credentials, without waiting on an invitation Allows you to assign team members in your firm to work on their books. Multiple users can be signed in at the same time
Essentials
Growing business Manage accounts payable and accounts receivable Recurring transactions Time-tracking Multicurrency 3 users & 2 accountants Essentials is great for service-based businesses that invoice for their time and those with service-based businesses that require accounts receivable, accounts payable, payroll, sales taxes, and financial reporting.
On the QuickBooks Online Accountant Dashboard, where would you go to find the best advice for ProAdvisors to develop their businesses and access certifications?
In the ProAdvisor section, under Your Practice
Because QuickBooks Online is ________________, files are synced in real time, so you can work with your clients from anywhere, from any connected device.
In the cloud
What information can you see on the Dashboard? Select all of the options that are correct.
Income and sales data Profit and loss figures Expenses Credit card balances Bank balances
Craig calls with a problem. He sees a duplicate transaction for some job materials he bought at Hicks Hardware. What might have caused this?
Instead of matching the transaction from his bank feed, he added it
FAQ: Do I need to manually enter prior period transactions, expenses, and deposits if I have never used QuickBooks Online before?
It's time-consuming to enter a year's worth of historical checks and deposits using the transaction forms. Pro Advice: The simple way to recreate prior period accounting data for your client's QuickBooks file is to: Link your client's QuickBooks Online to their bank account and select the appropriate period ranges ORPerform a manual bank import for the exact period you are recreating in QuickBooks Then, select Add for each of the transactions from the bank feed to create the transactions in their QuickBooks Online Correctly categorizing income and expense transactions is key to making certain the prior period data is accurate and ready for the client's review.
Which of these statements about setting setting up and editing a Chart of Accounts in QuickBooks Online are true? (Select all correct options.)
Merged accounts CANNOT be unmerged Deactivated accounts CAN be reactivated Numbers in a Chart of Accounts CAN be changed
How much does it cost to add access to the QuickBooks Online mobile app?
Nothing, it's free
What type of transaction is a check? Complete the following sentence: A check is a type of _________ purchase transaction. The expense is recorded as incurred and the payment is recorded as _________.
Pay now, paid
Craig adds another new customer, Cool Cars. He has agreed to payment terms of 60 days. Where can Craig record this information so it appears automatically on new invoices?
Payments and billing
Which vendor transaction form would you use to request and track vendor purchases?
Purchase order
Where can you see a list of banking transactions that have been accepted into QuickBooks Online?
Reviewed
Pedro is a bookkeeper who has taken on some new clients. He now supports a mixture of small businesses and self-employed freelancers. Which product will help him manage all his clients all in one place?
QuickBooks Online Accountant
When you log into QuickBooks Online Accountant, whose books can you directly access and manage? (Select the three correct responses.)
QuickBooks Online clients' books QuickBooks Self-Employed clients' books Your practice's own books
Which of the following statements are true of the process of paying bills in QuickBooks Online? (Select all correct options.)
QuickBooks Online flags any bill that's overdue You can make a payment directly from the Action column in the Expenses Center You can make a payment directly from the Vendor list through the quick link under the Action column You can pay bills by selecting the + New button
Which QuickBooks subscription level allows invoicing but does not track accounts receivable or sales tax?
QuickBooks Self-Employed
Which of the following tasks should be performed weekly? (Select all that apply.)
Record transactions Document and file receipts Review unpaid bills Prepare and send invoices Pay vendors, sign checks Review projected cash flow
What type of transaction is used to record a sale that was completed and paid for at the time of sale?
Sales receipt
Self Employed
Schedule C: Cash Basis 1099 income & W2 Separate business/personal accounts 1 user & 1 accountant QuickBooks Self-Employed is best suited for service providers with no accounts receivable, accounts payable, or payroll. This level is ideal for clients who just need a cash-accountability tool. These are typically independent contractors who file Schedule C, such as freelancers.
Which of the following methods can you use to record a received payment in QuickBooks Online? (Select all that apply.)
Select Receive payment in the Quick Create menu Select the Receive payment link next to any outstanding invoice
Dianne runs a small bookkeeping practice. She has specifically decided to target service-based solopreneurs and freelancers with no current need to track accounts receivable, accounts payable, or payroll. What subscription level are most of Dianne's clients likely to need?
Self Employed
You have a client who needs a QuickBooks Online solution that includes tracking for sales and sales tax. Which subscription levels in QuickBooks Online support these features?
Simple Start, Essentials, Plus, and Advanced
Advanced
Smart reporting (Fathom) Unlimited accounts and classes Advanced import and batch entry User permissions Dedicated manager and online training 25 users & 2 accountants & premium care QuickBooks Online Advanced is a good option for growing businesses that need more productivity and insight. Advanced includes advanced functionality, unlimited lists, and premium care. Click on the following link to download an image that summarizes the QuickBooks Online subscription levels.
Simple Start
Sole proprietor or single-owner corporations Full general ledger and accounts receivable Multiple sources of income 1 user & 2 accountants Simple Start is best for businesses just starting out and those in service-based industries that require accounts receivable, payroll, sales taxes, and financial reporting.
What are the three tabs in the Reports Center in QuickBooks Online? (Select the three correct options.)
Standard Custom reports Management reports
Craig wants to add a new non-inventory product for pesticides. This is something he purchases from a vendor but doesn't charge customers for directly. It's just something he uses as part of his gardening service. What account should he link it to in the Chart of Accounts?
Supplies (expenses)
FAQ: Why is there a duplicate transaction?
The client likely added a transaction instead of matching it to an existing transaction. This created identical transactions for the same amount. Pro Advice: Always match first and check all bank and credit card transactions to make sure the transaction is not hidden someplace else Once this has been confirmed, add is the second option
FAQ: Why are my invoices still outstanding?
The client likely just added a new deposit in the bank feed instead of using the correct sales workflow, which would be to receive a payment against the appropriate customer open invoice. This causes two issues: Open balance on invoice Duplicate income deposit Pro Advice: The client should have followed correct sales workflow, which is: Receive payment against the corresponding customer invoice and save the deposited amount to Undeposited Funds Record the Deposit Transaction based on what actually was deposited into the bank Match the bank feed deposit to the actual QuickBooks Deposit Transaction
FAQ: Why do I still have transactions in my bank feed that do not match my transactions in QuickBooks Online?
The client most likely typed a date incorrectly in the original QuickBooks Online transaction and the transactions are not getting automatically found or recognized in the bank feed. Pro Advice: Select Find match to locate the transaction to use.
FAQ: Why are my expenses getting duplicated?
The client probably added new expenses through bank feeds instead of matching checks through banking with expenses already entered as checks in QuickBooks. Pro Advice: The client should have followed the correct expense workflow, which is: Create a check expense in QuickBooks Online Match the bank feed check transaction to the QuickBooks Online check expense
To begin, select Accounting to see a list of Craig's existing accounts Select _______________ Using the drop-down list, set Account Type as Fixed Assets The steps needed to add a new account to your Chart of Accounts are described above. What's the missing step?
The green New button
You check the bank feed for one of your clients and spot a duplicate transaction. What might have caused this? (Select all correct options.)
The transaction has been added rather than matched The transaction was accidentally entered twice
Your client complains they have too many expense receipts to keep track of and they keep losing them. Which of these is the best advice?
They should take a photo of the receipt on their mobile phone and attach it to an expense transaction via the QuickBooks Online mobile app.
Which options below are features of the Money Bar found in the Expenses Center Vendors tab? (Select all correct options.)
Unbilled Activity Unpaid Activity Recently Paid Activity
Craig received several checks from his customers, totaling $2,500. He marks the payments as Received in QuickBooks Online. Which account should he record the payments to?
Undeposited Funds By recording these payments to Undeposited Funds, he can add them all to a single bank Deposit Transaction to match to the actual bank deposit amount. This means that when his bookkeeper reconciles the accounts, it's easy to match the total bank deposit value of $2,500 to the same amount on the bank statement.
How often would you generally perform these end-to-end accounting life cycle tasks? Recording transactions Documenting and filing receipts Reviewing unpaid bills Preparing and sending invoices Paying vendors and signing checks Reviewing projected cash flow
Weekly
Which of these options is the best definition of an invoice?
What you send a customer when work has been done and payment is due
When would you use a bill purchase form like the one we've just filled in for Craig?
When a vendor wants payment but not right now
How do you earn points for your firm through the ProAdvisor program? (Select all that apply.)
When you add a new Self-Employed client When you set up a new client with a QuickBooks Online subscription When a member of your team passes a certification exam
Your firm has received an invitation to serve as the accountant for a client who already has a QuickBooks Online account. Where will you find the Accept Invite button?
Within the invitation email sent to your firm's email
Your client wants to know if they can track their expenses using the mobile app. What do you tell them?
Yes. They can add expenses on the mobile app, which will automatically sync them with QuickBooks Online.
Which of the following statements are true of accessing expense activity in the Expenses Center of QuickBooks Online? (Select all correct options.)
You can access a list of overdue bills via the orange section of the Money Bar in the Vendors tab The Money Bar indicates the total expenses paid in the last 30 days You can access a list of all recent purchase transactions by selecting the Expenses tab
Which of the following are true of the process of creating a sales receipt in QuickBooks Online? (Select all true options.)
You can add a new customer without going outside of the process You can use the + New button to get to the Sales Receipt screen
Which of the following statements about the QuickBooks Online Dashboard are true? (Select all the correct options.)
You can see deposits and information on unpaid and overdue invoices You can select a "card" to go to the Sales or Expenses Center It's where you land when you enter a client account
Which shortcut can you use to see the full list of shortcuts available in QuickBooks Online Accountant?
[Ctrl] + [Alt] + [?]
