Exam 2- ACCOUNTING 150

How do you track expenses by Customer in Quickbooks Online? Assign the billable expense account to an income account In the customers record, on the payment and billing tab, select Allow billable expenses Enable the setting track expenses and items by customer Quickbooks online cannot track expenses by customer

Enable setting Track Expenses and Items by customer

Which types of two transcations allow you to send custom email messgaes from Quickbooks Online? letters to banks sales receipts checks and credit card transactions inventory list invoices and estimates

Sales Receipts Invoices and Estimates

You moved some money from your business savings account into your business Checking account so you can pay the monthly bills. When processing the bank feed transaction in Quickbooks Online, how do you correctly record the money moved between accounts?

from the Transfer Funds from dropdown list select the source bank account, and from the Transfer funds to dropdown list select the recipient account

Which are two risks of extending Quickbooks Online functionality through apps?

internet connection is required support is available only through blogs and forums

What is the difference between an invoice and a sales receipt? invoice records a sale and how much a customer owes. sales receipt records customer payment and can be used as a receipt when they pay their invoice. an invoice keeps track of future sales. sales receipt records sales in the current accounting period invoice records a sale and how much customer owes. sales receipt records a sale and the payment you received (it doesn't track any amount as owed). an invoice can be used to record customer and vendor transactions. sales receipt only records customer sales.

invoice records a sale and how much customer owes. sales receipt records a sale and the payment you received

What is the functionality of the Quickbooks Online Dashboard?

it offers a comprehensive view of your businesses financial health

Refer to the image. Kate is reviewing a reciept she uploaded. The receipt is for supplies her company purchased for a project, and the client will be paying for the supplies. Which option should the select to have the customer pay for the charge? a. additional fields b. payee c. make expenses and items billable d. bank/credit account

make expenses and items billable

Why are banking account numbers not displayed by default in QuickBooks Online? a. To prevent accounting errors b. To ensure employees use the correct accounts by having an account name rather than a number c. To prevent others nearby from seeing banking information d. To prevent employees from seeing a company's banking information

to prevent others nearby from seeing banking information

Which two features are benefits of Quickbooks Online Plus not available in quickbooks Online Self-employed, Simple start, essentials?

track profitability track inventory

Display the audit entries for Thomas Vet Accept all other defaults.

Click settings Click audit log Click the filter drop-down arrow Click the all users drop-down arrow Click Thomas Vet Click the apply button

Which of the following can you NOT customize on a Quickbooks Online report? Number format Accounting method Rows and Columns to appear on the report Data greater than, less than, or between a specified range

Data greater than, less than, or between a specified range

You moved some money from your business Savings account into your business Checking account so you can pay the monthly bills. When processing the bank feed transaction in Quickbooks Online, how do you correctly record the money moved between acocunts? Debit the checking account and credit the savings account From the transfer funds to dropdown list select the source bank account, and from the transfer funds from dropdown list select the recipient account Record the move as a liability increase to the checking account and an asset increase to the savings account From the Transfer Funds from dropdown list select the source bank account, and from the Transfer Funds to dropdown list select the recipient account

From the Transfer Funds from dropdown list select the source bank account, and from the Transfer Funds to dropdown list select the recipient account

Your payment terms with one of your vendors is currently net 15. The Vendor has agreed to extend your terms to net 30. How do you change the term for this vendor in Quickbooks Online so all future bills from this vendor are NET 30? In the account and settings area, set the preferred invoice term to NET 30 Open each invoice and change the term to NET 30 Go to expenses, select vendor, edit, change term to 30 Select All lists, select terms, choose payment, then edit the term to NET 30

Go to expenses, select Vendor, edit , change term to 30

You want to migrate a company into quickbooks online. Move the migration steps on the left to their proper order on the right. select get started go to the company menu, then select export company file into quickbooks online click select destination, then sign into your Quickbooks online account In Quickbooks deposit, login as admin to the company file you need to import.

In Quickbooks deposit, login as admin to the company file you need to import. go to the company menu, then select export company file into quickbooks online select get started click select destination, then sign into your Quickbooks online account

Andrew is deciding on a rule name for a new bank rule he is creating. Which three rule names would he be able to use? a. WebWorld's Internet Bill b. WebWorld-Internet Bill c. Internet Bill d. Internet Bill 1 e. *Internet Bill*

Internet Bill WebWorld-Internet Bill Internet Bill 1

How does the Quickbooks Payments feature offer from traditional payments? quickbooks payments makes all deposit types available instantly when a customer pays through Quickbooks Payments. Quickbooks Online automatically receives the payment. Paymenets receive via Quickbooks payments can be deposited into Quickbooks Cash Bank Account. Quickbooks Payments is only available for online invoicing

Payments received via Quickbooks can be deposited into Quickbooks Cash Bank Account

You are setting up a new Customer in Quickbooks using the customer information form. For each statement select yes or no The display name can be either the name of the customer or a company name The display name you select shows on invoices and email you send to the customer The display name must be unique cross customers, vendors, and employees The display name cannot be edited after it has been entered

Yes Yes Yes No

What is the effect of recording bills, checks, and credit cardtranscations? a bill is for services or items to be paid later; where as, a check or credit card is for services or items paid immediately A bill or credit card is for services or items to be paid later, whereas a check is for services or items paid immediately A check is for services or items to be paid later, whereas a bill or credit card is for services or items paid immediately A credit card is for services or items to be paid La

a bill is for services or items to be paid later; where as, a check or credit card is for services or items paid immediately

Which money-in report records overdue invoices, accounts receivable, and unused credit memos for a specific time period?

aging report

Which money-in report records overdue invoices, accounts receivable, and unused credit memos for a specific time period? cash flow income balance sheet aging report

aging report

What differentiates Bank feed transactions from Expense Transactions?

bank feeds connect your bank and credit card accounts to online banking

Complete the sentences by selecting the correct option from each drop-down list to appropriately record expenses on a bill versus a check bill, check A _________ is for services or items to be paid later; whereas, a _____ is for services or items paid immediately A ________ records a journal entry that debits the Expense Account and credit Accounts Payable A ______ records a journal entry that debits Accounts Payable and credits the Expense Account

bill, check bill check

Which two are types of Money-out transcations in Quickbooks Online? Check Vendor bill Reminder Purchase order Invoice

check vendor bill

What is the purpose of quickbooks online apps?

enhance functionality

How does Quickbook Payments feature differ from traditional payments?

payments received via Quickbook payments can be deposited into Quickbooks Cash Bank Account

Complete the sentences by selecting the correct classification from each drop-down list. service, product a company that cleans carpet is selling a ________ a local farm stand that sells eggs and vegetables is selling ______ if what was sold is mostly labor, it is recorded in Quickbooks Online as a _____- An item that is sold as raw material which will be used to manufacturer finished goods is recorded in Quickbooks Online as a _____

service product service product

Identify if the following solution as either taxable or non-taxable taxable/non-taxable goods sold to be used in raw material to produce other goods. the default setting for all customers in quickbooks most sales, to most customers in most states. sales made to non-profit organizations.

taxable: the default setting for all customers in quickbooks

Refer to the Image. Steve has imported a transaction to QuickBooks Online. He wants to record transaction in the correct account. Which button should he select to choose in which account this transaction is recorded? a. the class drop down arrow b. the category drop down arrow c. tags d. go to bank register

the category drop down arrow

When should you not delete a check?

you printed a check and the check number has been used

What is the functionality of the Quickbooks Online dashboard? It offers a comprehensive view of your business's financial health It is a wizard that quickly sets up Quickbooks Online Its primary purpose is to print reports Its primary purpose to view the lists of customers and vendors

It offers a comprehensive view of your business's financial health

For each statement about activating the tracking features in Quickbooks Online, select yes or no. Class, location, and Project tracking are available in all versions of Quickbooks Online Class, location, and Project tracking are activated by changing Off to On in the advanced tab of Account and Settings Quickbooks Online allows users to enter budgets for each project and to view Budget vs. Actual Reports To fully activate Project tracking, class codes must be setup

No Yes Yes No

What differentiates Bank Feed transactions from Expense transactions? expense transactions upload credit card transactions automatically to your bank account quickbooks Online converts Expense transactions into Bank Feed transactions Bank feed transactions send automatic payments to your bank Bank feeds connect your bank and credit card accounts to online banking

bank feed connect your bank and credit card accounts to online banking

identify which company information you can edit vs. cannot edit from the company tab company name and address employer identification number (EIN) company products services price list

can edit: company name and address Employee identification number cannot edit: company products services price list

You're working in QuickBooks at a coffee shop for a few hours and don't want to share all of your company's financial details with everyone there. How can you fix this? click the private mode switch on the dashboard to prevent sensitive financial information from being displayed in the window from the company menu settings, select the option to hide the financial details when logging into your quickbooks data, check the box next to private mode there is not a way to exclude this type of information from your data

click the private mode switch on the dashboard to prevent sensitive financial information from being displayed in the window

Mary wants to bring her company's transaction information from the company's checking account to QuickBooks Online. Which two methods could she use to do this? a. Type the transaction information into an Excel file, then upload the Excel file b. Upload the company's bank statements c. Download a CSV, QFX, QBO, OFX, or TXT file from the company's bank d. Connect QuickBooks Online to the company's bank

connect quickbooks online to the company's bank download a CSV, QFX, QBO, OFX, or TXT file from the company's bank

Which three lists can be imported into quickbooks?

customers, charts of accounts, and vendors

Which of the following can you not customize on a Quickbooks Online report?

data greater than, less than, or between a specified range

Complete the sentences by selecting the correct recording action from each drop-down list debit (lower) credit (lower credit (increase) debit (increase) bank account deposited funds accounts receivable accounts payable when a refund receipt is create, Quickbooks Online will ______ the revenue tied to the items you are refunding. The system will also credit (lower) the ______ or undeposited funds account that is used for batching payments. when a credit memo is created, Quickbooks will _______ the revenue tied to the items you are refunding. Unlike a refund receipt, the system will credit (lower in this case) your ______, not your undeposited funds account

debit (lower), bank account debit (lower, accounts recieavble

how do you track accounts payable (A/P) in quickbooks? enter a check for the expense step 1. record a journal entry to accounts payable step 2. write a check to pay your vendor/supplier step 1. enter a bill step 2. pay the bill in the Pay bills window step 1. enter an expense step 2. pay an expense

enter a bill pay the bills window

Which two situations would require that you implement journal entries? setting up recurring transactions automating debits and credits entering debits and credits manually transferring money between income and expense accounts creating a new inventory

entering debits and credits manually transferring money between income and expense accounts

Quickbooks Online can only be linked to checking accounts

false

What are three methods for uploading receipts to Quickbooks online?

forward from email upload from google drive upload from computer

For each statement below identify if the statement is true or false related to the benefits of connecting Quickbooks Online to online bank accounts. connecting to online bank accounts and downloading transactions, increases the likelihood of not recording a transaction connecting to online bank accounts and downloading transactions, increases the risk of manual data entry accounts connecting to online bank accounts and downloading transactions allows you to apply banking rules to automatically categorize common transactions connect to online bank accounts and downloading transactions, increases the time spent on data entry

no no yes no

For each statement below identify if the statement is true or false related to the how use to use and process bank feeds after a transaction is downloaded from the bank feed into Quickbooks Online, Quickbooks will suggest the bank reconciliation discrepancy account if it does find an applicable bank rule or matching transaction the first download after setting up the bank fees will include 90 days for transactions unless excluded if you want to keep a downloaded transaction from going into your company expenses you should exclude the transaction

no yes yes

For each statement about recording transactions, select Yes or No. Quickbooks online will not allow a credit card balance to be paid down with a check Recording a Debit card transaction is the same as recording a check expect you choose Direct Debit for the Payment method. You can use the keyboard short-cut Ctrl+Alt+W to initiate writing a check credit card transactions are posted to a liability account created for each credit card; whereas, Debit card transactions are posted to the checking account

no yes yes yes

For each statement below out money out transactions identify if the statement is true or false. When you receive a check from your customer to pay an open invoice you should select Check to record the amount Vendor credits can be used to reduce the amount paid to a vendor After entering a bill you should select to Pay Bill when it is time to pay the bill Entering a Bill increases Accounts payable

no yes yes yes

For each statement about connecting Quickbooks Online to accounts, select Yes or No. Accounts connected to Quickbooks Online require that you manually enter transactions Connecting Quickbooks Online to bank and credit card accounts prevents data entry errors Connecting bank and credit card accounts to Quickbooks Online makes them more secure Accounts connected to Quickbooks Online help you save time because transactions automatically download and categorize

no yes no yes

Complete the sentences by selecting the correct option from the drop-down list locaiton tracking, class tracking, project tracking ____ monitors income and expenses for a limited job or program without the need to set up a new code. ____ can report sales, purchases, and profitability by business department, office, region, or geographic structure ____ can assign each line item of purchases from a bill to a different code

project location class

Describe the Money-in workflow in Quickbooks Online. 4 steps move the money in steps on the left to their proper order on the right record the payment received deposit the funds into an account record the customer's transaction create an invoice

record the customer's transaction create an invoice record the payment received deposit the funds into an account

What is the purpose of the Income Statement?

reports revenue and expenses over a time period, like a quarter or a year

What is the purpose of the income statement? summarizes the amount of cash and cash equivalents entering and leaving a company. shows changes in equity over a period of time reports revenue and expenses over a time period, like a quarter or year reports assets, liabilities, and shareholder equity

reports revenue and expenses over a time period, like a quarter or year

Amanda has just imported transactions from her company's bank. What is the next step she should take? a. review and approve the transactions b. let other accountants at the company know that the transactions have been imported c. label the transactions d. select save

review and approve the transactions

In Quickbooks Online, what are three types of recurrance? Scheduled Unscheduled Manual Triggered on Approval Reminder

scheduled, unscheduled, reminder

Kelly is creating a new bank rule for her companys monthly garage bill. She wants to set the amount $35. On the create page, complete the steps of setting the amount to $35.

select description click amount and type in 35.00

Oliver has just uploaded a receipt to Quickbooks Online. He notices that the date on the uploaded receipt is 02/15/2021 when it should be 3/15/2021. Arrange the steps he should take to revise the date in the correct order activate the cursor field in the payment date field type 3/15/2021 select the save and next-drop down arrow select review select save and close

select review activate the cursor field in the payment date field type 3/15/2021 select the save and next-drop down arrow select save and close

Michael wants to make all of his banking account numbers visible in QuickBooks Online. Arrange the steps he should take in the correct order to make his account numbers visible. select settings select advanced turn on the enable account numbers and toggle select account and settings

select settings select account and settings select advanced turn on the enable account numbers and toggle

Ryan has just uploaded a receipt to QuickBooks Online. What step should he take next? a. Select Modify and make sure all the information taken from the receipt is correct b. Update the transaction information to reflect the new receipt c. Select the Review button and make sure all information taken from the receipt is correct d. Let the company's accountant know that there is a new receipt

select the review button and make sure all information taken from the receipt is correct

Brock wants to create new bank rules to manage his company's recurring bills. He wants the transactions to be reviewed by an employee before they are processed. Which step should he complete on the Create rule page when setting up the bank rules for the company's bills? a. Turn off the Automatically confirm transactions this rule applies to toggle b. Select the Class drop-down, then select Manual transaction for each rule c. Add a tag to the rules, tagging them as a manual transactions d. Add a memo to each rule to let employees know that they are manual transactions

turn off the automatically confirm transactions this rule applies to toggle

James needs to upload a receipt to his company's Quickbooks Online account. He wants to upload a PDF called Sales Receipt that is saved on his computer. From the Quickbooks Online receipts page, complete the steps to find this pdf and upload the receipt.

upload from computer click the sales receipt pdf

When should you make expenses and items billable? When your business changes customers for your labor When the products you sell to customers cost more than you budgeted When you incur expenses on behalf of customers When you sell products you manufacture to customers

when you incur expenses on behalf of customers

You are setting new Customers in Quickbooks Online using the Customer information form. For each statement about the Customer Payment Terms, select Yes or No. A customer with payment terms of "NET 30" must pay the invoice in full within 30 days of the invoice due. Quickbooks Online payment terms can apply a discount if the customer pays before the due date. "Net 30' means the customer will receive a 30% discount if they pay the invoice with 30 days 10% 10 NET 15 means the customer will receive a 10% discount if the invoice is paid in 10 days, but if paid soon the discount is 15%

yes yes no no

For reasons to set up Products or Services, select yes or no. Setting up product and services allow you to track how much you make and spend on each product or service You must setup Products and Services so Quickbooks Online will automatically reorder inventory items when they reach the reorder part After Products and Services are setup in Quickbooks Online, you can add them to invoices, sales receipt, expenses, and other sales forms After Products and Services are setup, your bank can track the sales for tax purposes

yes no yes no

For each statement about Bank Rules Quickbooks Online to accounts, select Yes or No. Bank rules are used to categorize transactions Bank rules can be prioritized, copied, edited, and deleted Transactions categorized by bank rules must be manually reviewed before the rule can be applied Using Bank Rules to process transactions from your bank feed will significantly increase your bookkeeping efficiency

yes yes no yes