Quickbooks test 1

How do you export Quickbooks reports into Excel? a) You can view Quickbooks data in Excel, but cannot manipulate the data because it is not in spreadsheet format b) You cannot export ANY data from Quickbooks to Excel c) You must first open Excel and open the Quickbooks file from excel directly d) You must pull the desired report, then click Excel, then Create new Worksheet e) None of the above

D

How do you switch to Multi-User Mode? a) Select "File: Set Up Users" from the menu b) Open the data file from a remote location c) Select "Edit: Preferences: Multi-User" from the menu d) Select "File: Switch to Multi-User Mode" from the menu

D

How do you determine if a check has been reconciled in Quickbooks? a) A checkmark is displayed in the bank account register b) The word "Reconciled" appears on the check in Quickbooks c) Print the "Reconciled Checks Report" in the Banking Menu d) All of the above

A

What are the most used reports in Quickbooks/Accounting to understand the financial health of the business? a) The Profit & Loss (or Income Statement) and Balance Sheet b) The Owner's Distribution Report c) The Accounting Accuracy Reports d) The Financial Summary Reports e) The Cashflow Projection Report f) The Daily Bank Reconciliation Report g) None of the above

A

What does Accounts Payable mean? a) These are the total amount of money owed to our vendors from open bills b) It means these are values customers owe us, typically from open bills c) These are accounts used to pay for inventory that has not been received d) It's a bank account that is only used to make payments e) A and B are correct f) None of the above

A

What is "Undeposited funds"? a) These are all the payments received but were not marked as deposited in the bank via Quickbooks b) These are all the open invoices that have not been paid by your clients c) These are the funds you have deposited in the bank, but the bank has not cleared yet as available for use d) These are all your outstanding written checks that your vendors have not deposited e) All of the above f) None of the above

A

What is a subaccount and what is it used for a) It is an account within another account (or belonging to a parent account) used to represent higher level of detail of a parent account. Subaccounts can be collapsed or expanded in reports b) It's an account of less value as non-subaccounts and it shows which accounts have the most value c) It is a non-posting account used to input all non-posting transactions d) It's used for savings accounts and non-subaccounts are used for checking accounts e) None of the above f) Both B and C are correct

A

What is the best way to record a pre-payment for inventory to a vendor before the inventory has been received or the Bill created? a) Create a Purchase Order first, go to Write Check, choose the account: Accounts Payable, in the customer job column put the vendors name again, and finally put in the memo the PO number that is being pre-paid b) Go to Create Vendor Pre-Payment on the Home Screen, choose the open PO's to apply the payment to c) Go to Record Deposit, choose the vendor you are paying the deposit to, put in the account: Accounts Receivable, and put in the memo field the PO to apply the payment to d) Go to Pay Bills, select Pre-Payment for PO's, and choose the open PO's to apply the payment e) It is impossible to create a pre-payment to accounts payable in Quickbooks

A

What is the difference between reconciling a Bank Account and a Credit Card Account? a) They are essentially the same process, these are just two different types of accounts, but the reconciliation process is very similar. Banks typically can have outstanding checks, but credit cards wouldn't b) You must setup a different company file for every account being reconciled c) Bank accounts are reconciled at detail level (transaction by transaction) and credit cards reconcile only in totalized amounts in a bill d) You can only reconcile bank accounts, Quickbooks will not let you reconcile Credit Card Accounts e) None of the above

A

When viewing a detail level report, such as Open Invoices Report, what happens when you double click on the amount shown on any particular transaction? a) It will take you to one transaction where you can view or edit the individual transaction b) It allows you to see the formula of the calculated amount c) It lets you change the value from the report d) None of the above

A

Which Reports in Quickbooks shows the activities of the company such as sales and expenses? a) The Profit and Loss Report b) The Balance Report c) The Tax Return d) The Cashflow Analysis e) The Sales and Expenses Report

A

Estimates and Purchase orders are known as a) Posting Transactions - affect accounting results b) Non-Posting Transactions - do not affect accounting results c) Pending transactions - affecting accounts Receivable and accounts Payable only d) Non-Deductible Transactions - these are not deductible from taxes based on special IRS rules e) None of the above

B

How do you record a payment from a client that is paying multiple invoices? a) Quickbooks does not support payments for multiple invoices b) You can click on receive payment and select the open invoices the payment is being applied to c) Go to record deposit and record the payment into Sales Income Account, then make sure you put in the memo all the invoice numbers so Quickbooks knows which invoices are marked paid d) You must click on receive payment for every open invoice individually e) Go into every invoice that the payment pays for and click on "Mark Invoice as Paid"

B

How does Accrual Basis of Accounting differ from Cash Basis a) Cash Basis pays the least amount of taxes when you receive all the payments in cash because they are not reported as income b) Accrual Basis helps you recognize income when is earned, using an Invoice and Accounts Receivable, regardless of when it is paid. Cash Basis recognizes the income only when the invoice is paid c) Accrual basis is used when the customer paid you with credit cards and checks. Cash Basis is only when they pay in cash d) Accrual is only for large companies that accrue liabilities, all small businesses are forced to use Cash Basis by the IRS e) They do not differ from the IRS's perspective f) None of the above

B

If you want to modify the account or name filters within a specific report you have open, where do you click? a) Click on Add Filters on the top right of the screen, then select the filters to add b) Click on Customize Report ... on the top left of the Report Window, then go to the Filters Tab, choose the filters in there c) Go to Edit, Preferences, Reports ... and then change the default report filters for all reports d) None of the above, it is not possible to change the filters in a report

B

What does Memorized Transactions mean? a) This is when Quickbooks remembers the accounts that were last used with a particular vendor and automatically inputs it when you are entering a check or transaction in the register b) This is when you tell Quickbooks to save a particular transaction to be entered the same way later on via a Reminder or automatically enter c) This is a report that shows all the transactions that Quickbooks needs to remember to automatically reconcile when is downloaded from the Bank d) All of the above are correct e) None of the above are correct

B

What is the difference between a customer and a job? a) A customer is someone you sell to, and a job is when you get paid a fixed salary b) A job is a project or sub-customer under a customer. It is used to track profitability separately with different projects under the same customer c) A customer is whom you invoice, a job is who invoices you d) Jobs are the expenses you pay. Customers are who pays you. e) There is no difference between a customer and a job

B

What is the relationship between an account and an item? a) You can either enable accounts or items to be used in Quickbooks, but not both b) Items are products and services used to track purchases and sales. They point/post to the assigned account when used in transactions c) There is only one account that can be assigned per inventory item d) Account do not have any relationship with items e) None of the above

B

You can send a report from Quickbooks to Microsoft Excel. Which statement best describes taking the report from Excel and sending it back to Quickbooks? a) This is only possible with single sheet Excel Workbooks b) You cannot do this c) In Excel, choose File: Save As QBW d) When exporting the report from Excel, enable the "Allow Import" option

B

The Chart of Accounts a) It is a graphical illustration of how all the accounts affect each other in the accounting b) Is a Chart of all the values and trends of each of your bank accounts c) Is a list of all "accounting" accounts such as Income, Expenses, Assets, Liabilities, and Equity. Where you can create new ones and edit existing ones d) It is the place where all the bank accounts are reconciled e) B, C, and D are Correct f) None of the Above

C

What account(s) does an Inventory item post to? a) It just posts to the sale account when sold b) It just posts to the Inventory Account when purchased and posts to the Sales Account when sold c) It posts the Inventory Asset Account when purchased, then posts both to the Income and Cost of Goods Sold Account when sold d) It posts to the Inventory Account Report e) None of the above

C

What does Bank Reconciliation mean? a) It means to verify that all the accounting and account classification is correct b) It matches the Quickbooks register balance with the available balance in the Bank's Website c) Verifies which transactions have cleared or not to verify that the accounts in the Quickbooks register match the bank d) It means to reconcile with the banker after getting into a fight for bank errors e) It automatically downloads the bank transactions so you do not have to enter any data manually

C

What is a Sales Order? a) It's a form utilized to order items that will be sold to you by your suppliers b) It's a type of invoice used for retail business c) It's a Non-posting transaction used to log a sale before delivering the product or service. It is very useful to create back-orders when inventory is not in stock. d) It's a type of Bill that prepares the Accounts Payable during the order process e) None of the above

C

What is the best function to enter inventory being purchased a) Create an inventory Purchase Request using the Inventory Module b) Go to item list and create a new inventory item with a different name each time it is bought c) Create a Purchase Order and then Receive it either "with or without a bill" d) Use the Inventory Adjustment window to load new inventory e) Quickbooks does not handle Inventory purchases

C

What is the best way to record a customer prepayment before the invoice has been created for the sale of inventory items on backorder? a) Create a Sales Order, go to Receive Payment, and put in the memo field which SO is being prepaid b) Go to Create Customer Pre-Payment on the Home Screen, choose the open SO's to apply the payment to c) Create a Sales Order, Go to Record Deposit, choose the Customer that prepaid you, put in the account "Accounts Receivable", and put in the memo field the SO to apply the payment to. d) Only A and C are correct e) All of the above are correct

C

What is the best way to record a single vendor payment to a vendor to pay multiple bills? a) This is not possible, you must pay each bill with a different check b) Click on the "Pay Multiple Bills" function in the Bills menu c) First enter each bill separately using the Enter Bills function, them go to Pay Bills and check all the open bills to pay, after clicking on each bill, Quickbooks will calculate the total amount to pay d) Go to Write Check and create all the bills to be paid from this module e) None of the above

C

What is the default function of the "Tab" key and the "Enter" key in most of Quickbooks? a) Tab will insert a space before every text and Enter will go to the next cell b) Tab will save the current line and Enter will skip to the next line c) Tab will go to the next cell/field and Enter will "Save and Close" d) Tab and Enter have the same function in Quickbooks by default e) Neither Tab nor Enter should ever be used in Quickbooks

C

What would happen if you try to delete an item that was sold a couple of years ago, but has not been used in a while? a) It will save a record of the past usage but delete it from the database so you cannot edit it b) It cannot be deleted, edited or inactivated c) It will not let you delete it, instead you can make it inactive so it does not show as an option to use it d) You can delete it, but your past financial statements will be affected e) None of the above

C

When setting up a New Company File with the Step-by-Step Guide, it is important to keep in mind a) The Interview Questions can always be retrieved later in the future to change the settings b) Neither the Interview Questions nor the preferences can be changed once the company file is set c) The Interview Questions can never again be retrieved for the same company file, but the preferences can be changed in the Edit: Preferences menu and Company: Company Information menu d) Once completed Quickbooks will create a company file on the cloud that only people with the correct username and password will be able to access e) None of the above

C

Where or how are items used in Quickbooks a) They are used to reconcile bank accounts b) They are used to count how many transactions are in the system c) They are used in transactions such as invoices or bills to track type of product or service being sold or purchased d) They are used only to track inventory items being sold e) They are not used in Quickbooks at all unless you turn on the items functionality f) None of the above

C

Which forms can be customized, such as adding a logo in Quickbooks? a) Checks and Bill Payments b) Invoices only c) Estimates, Sales Orders, Invoices, Sales Receipts, Statements, Credit Memos, and Purchase Orders d) Deposit Slips e) Bank Reconciliation Report f) All of the above g) None of the above

C

Which report shows the value of the business assets and liabilities a) The Business Evaluation Report b) The Quickbooks Tax Return Reports c) The Balance Sheet d) The Statement of Cashflows e) The Profit & Loss Reports f) None of the above

C

How does the "Enter Bills Pay Bills" feature differ from the "Write Checks" feature? a) Enter Bills is to allow you to create all your accounts receivable from your customer and Write Checks is to pay all your vendor bills b) They all serve the same function and affect the accounting in the same way c) Enter Bills are assets that are converted to liability with the Pay Bills function. Write Checks records expenses paid by check only d) Enter Bills for expenses recognized on the bill's date and use the Pay Bills option to pay in the future, utilizing the Accounts Payable account. Write Checks is only used to create expenses that are immediately paid, bypassing the Accounts Payables e) Enter Bills for expenses recognized only on the day they get paid using the Pay Bills option. Write Checks recognizes the expenses when the check clears the bank.

D

If you click on the Home icon, the following will happen: a) If your phone is synced with Quickbooks, it will send a signal to your GPS with directions back to your house b) It will take you to the homepage of your favorite website, such as google.com c) It will close the company file and take you to the Initial Open Company File menu, where you can select which company file you would like to open d) It will show the Home Screen with all the workflow icons and keep the other windows open in the background e) You can actually customize the Home Icon to do any function listed above f) None of the above

D

In any transaction's date section, if I want the date to jump to today's date, what do I press in the keyboard? a) CTRL + D b) ALT + D c) CTRL + T d) T

D

What are some of the different types of items? a) Income and Expense items b) Itemized deduction and Standard deduction c) Items for sale and items non-for-sale d) Inventory, Non-Inventory, Service, and Other Charges e) Depreciable, Non-Depreciable, Taxable, and Non-Taxable

D

What does Accounts Receivable mean? a) These are the total amount of money owed to our vendors from open bills b) These are the invoices that were pre-paid before the product was delivered c) These are accounts used to receive inventory d) It means these are values customers owe us, typically from open invoices e) It's a bank account that only receives deposits f) All of the Above g) None of the Above

D

What is a "Petty Cash" or "Cash on Hand"? a) It's an expense account where all miscellaneous cash expenses should be recorded b) It's a "bank" account in Quickbooks where cash payments from clients can be deposited into if they are not deposited directly in the bank c) It's a "bank" account in Quickbooks where you may transfer funds from checking/savings accounts to utilize the cash to make purchases, and these purchases are logged in its own register d) Both B and C are correct e) Al of the above are correct

D

When analyzing Financial Reports such as Balance Sheet and Profit & Loss, what is the best way to spot potential bookkeeping or classification errors a) Look for unusual balances, such as negative expense b) Look for numbers that are expected to be more or less the same from month to month and spot irregular months c) Analyze gross margin (Cost of Goods Sold divided by Total Sales/Income) to see if the gross margin percentage is consistent with expected value d) All of the above are correct e) None of the above are correct, you must click on "Identify Accounting Errors" to do this

D

When should you not use the "Write Check" Function in Quickbooks? a) To enter debit card charges on your checking account b) To enter electronic debits or ACH charges on your checking account c) To enter Checks writing from you checking account d) To pay an open bill that was previously entered in the Enter Bills module e) All of the above situations are fine for the Write Checks function

D

You can not reconcile which of the following? a) Checking b) Money Market c) Credit Card d) Accounts Receivable

D

What are the most used reports in Quickbooks/Accounting to understand the financial health of the business a) The Financial Health Report b) Balance Sheet c) Profit & Loss d) All of the above e) B and C only

E

What does "Billable Time and Expenses mean" a) These are expenses to which you receive a paper bill for b) These are expenses to be paid later c) These are expenses you would like to get reimbursed by your clients d) This is time spend by an employee or subcontractor that will be invoiced to your client e) Both C and D are correct

E

What does it mean when you have a balance in Undeposited Funds? a) It means that you have outstanding checks paid to vendors that they received, but did not cash yet b) It means that there are open invoices from clients that they have not yet paid c) It means you deposited the money in the bank, but the funds are not cleared yet d) This is the amount of cash payments that were not deposited to avoid paying taxes e) There are any customer payment received, that have not yet been deposited via Quickbooks

E