Gmetrix pracitce tests 1 and 2

Select three statements that are correct about journal entries. (Choose 3)

1. The accounts used on a journal entry come from the chart of accounts. 2. A journal entry must have a date. 3. Total debits must equal total credits on a journal entry.

Where in QuickBooks can you find out the status of what you owe to a vendor and when it's due?

Accounts Payable Aging report or the Vendor Balance Detail report

Which two of the following accounts would most likely appear on the Balance Sheet report?

Accounts Receivable, Checking

You boss wants to know what the balance is for total assets, liabilities and equity. What financial report would you use to find this information?

Balance Sheet

From the list below, select the two ways you can upload receipts into QuickBooks Online. (Choose 2)

1. Upload a photo of your receipt from your computer. 2. Email the receipt to a custom email in QBO

Select the correct choice from the dropdown to complete each sentence.

The BILLING address identifies where the invoice to a customer should be mailed. The SHIPPING address identifies where the products sold to the customer should be delivered.

Which of the following statements is true regarding Undeposited Funds in QuickBooks?

Undeposited Funds is an account used to record payments before you make a deposit.

You have a customer who will now also be a vendor. How do you handle this in QuickBooks?

Use a "V" at the end of the display name on the vendor record to differentiate the vendor record from the customer record.

a company uses QuickBooks, but they need another program or app to manage all the interactions they have with their customers, this is usually called a customer relationship management or CRM application. they dont want to enter every customer twice, once into QuickBooks and once into CRM application. what do you suggest they do?

Use the Apps tab in QuickBooks to find a CRM app.

The owner of the business asks you to set up QuickBooks to automatically email him a specific report on a regular basis (e.g., weekly or monthly). How would you do this?

Run the report and click Recurring Reports........ and set the details for the email schedule.

You're setting up a new customer. How do you tell QuickBooks that this customer's invoices should be due 30 days after they're issued?

Set the customer's Terms to Net30.

What does the Apps tab on the left-hand navigation do in QuickBooks? (Choose 2)

1. Allows you to open and use apps you are connected to. 2. Allows you to search for new apps to use.

Which two user types below would be able to write a check in QuickBooks Online. (Choose 2)

1. Company admin 2. Standard user with vendor access only.

Customer A pays you cash in the morning for work done that morning.....Not all steps will be correct.

1. Create a Sales Receipt for the work done for Customer A. (Correct) 2. Click Receive payment next to Customer B and record the payment received. (Correct) 3. Select Deposit from the <+New> icon and select the transactions for Customer A and Customer B. (Correct) 4. Click Receive payment next to Customer A and record the payment received. (Incorrect)

Which of the following statements are true regarding vendor credits? (Choose 2)

1. If an inventory item is entered in the product/ service field of the item details section of the vendor credit, the inventory quantity on hand balance would decrease. 2. Vendor credit memos decrease what you owe to the vendor.

Select two benefits of using QuickBooks Online.

1. QBO is in the cloud and can be accessed from anywhere as long as you have an internet connection. 2. Companies can easily invite their outside accountant to access the QBO company file remotely.

Your boss wants to know if there are any overdue bills. What report would you run to give him this information?

Accounts Payable Aging report

Select the two statements that are correct as it relates to merging vendors.

1. To merge vendor A into Vendor B you should edit the display name of vendor A to match vendor B. 2. Merging of vendors cannot be undone.

Which two statements below are correct as it relates to the Close the Books feature. (Choose 2)

1. When setting a closing date you can choose to warn users or require a password for any transactions that are attempted to be edited, deleted or added prior to the closing date. 2.If a warning is used instead of a password the user is not stopped from making the change.

You need to create a recurring invoice. Select two statements that are true about creating a recurring invoice. (Choose 2)

1. You can set a recurring invoice to run for a fixed number of times. 2. To create the recurring invoice, open or create the invoice, and then click Make recurring.

Which three statements are true about setting up a product or service in QuickBooks Online?

1. You can use one product/service to represent different services or goods, 2. Products/Services allow you to track your sales in more detail without cluttering your Chart of Accounts or Profit & Loss, 3. To create an invoice, you can use either a product or service.

The company that just hired you uses QuickBooks Online. You notice there are many duplicate entries on lists, such as the same customer or account entered twice with slightly different spellings. You've decided to merge the duplicates. Which three statements are true about merging list entries? (Choose three)

1. You cannot merge a customer with a vendor entry. 2. You can only merge names from the same Type 3. You cannot merge expenses and items.

For each statement below about recurring transaction identify if the statement is true or false.

A scheduled recurring transaction will process automatically at the set interval of recurrence. (Yes) An unscheduled recurring transaction must have a set end date. (No) A remind recurring transaction will process automatically at the set interval of recurrence. (No)

When should you select your checking account as the payment account on an Expense form?

All of the answers are correct

What is the difference between an Invoice and a Sales Receipt?

An Invoice records a sale and how much your customer owes. A Sales Receipt records a sale and the payment you received (it doesn't track any amount as owed).

Review the information in the picture provided for the customer......True or False.

An invoice dated September 10......of the current year. (Yes) If the terms for a customer......updated with new due dates. (No) When creating an invoice.......can only be Net 15. (No)

To add a receipt to QuickBooks Online from your computer, what option do you select from the left-hand navigation to begin the process?

Banking

How would you enter a transaction that won't be downloaded from an online bank account in which you paid for a service using a debit card?

Click on the +New icon and select Expense. Fill out the expense and use Debit Card as the payment method.

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 this window.

What transaction should you enter if a customer returns a damaged product that they have not yet paid for.

Credit Memo

What information would you see on a standard accounts payable aging summary or accounts payable aging detail report? Select 2 items

Due dates for bills, Vendors who you owe money to.

You are setting up a new product you will frequently need to purchase for your company.....How do you set up a new product to be tracked by QuickBooks?

Enable the box, "I purchase this product/service from a supplier."

What is one reason to not use a bank deposit or journal entry screen to record sales?

If you record sales through the bank deposit or journal entry screen, the sale will not appear on sales reports.

When setting up a new inventory item what accounts have to be defined?

Inventory asset account, Income account, Expense account

You notice an invoice you entered last month has changed significantly. You didn't make the change. How can you find out who changed it... and what they changed?

Look at the Audit Log report.

QuickBooks Online allows you to connect directly to which of the following financial accounts to download activity into QBO?

Most major US Banks and credit card processors.

For each statement identify if the statement is true or false related to the how to use and process bank feeds.

NO: After a transaction.....or matching transaction. Yes: The first download after setting up the bank fees.... and the other one

For each statement below identify if the statement is true or false.......online bank accounts

NO: Connecting to online bank accounts .....increases the likelihood of not recording a transaction. Connecting to online bank accounts and downloading....increases the risk of manual data entry errors. Connecting to online bank accounts....increases the time spent on data entry Yes: Connecting to online bank accounts.......common transactions.

For each statement below......report, select No.

NO: You can import.....originally.

For each transaction below......bank rule to

No: Hourly payroll worker paycheck Yes: The rest of them

All of the fields below are fields that can be edited when changing the email sent to the customer with their invoice except which two?

Priority, From Address

For each statement below, determine whether it is related to QuickBooks Payments or traditional Receive Payments.

QuickBooks Payments: These are automatically deposited in your bank account. Your customer clicks a link on their invoice email to pay via credit card. Receive Payments: You must deposit these in the bank. You receive a check from your customer.

When entering a journal entry, what happens if the debits don't equal the credits?

QuickBooks will not allow you to record the transaction.

What transaction should you enter if a customer returns a damaged product, or in case of a service, complains so much you decide to write a check for a refund?

Refund Receipt

You made a sale, and the customer paid the entire amount in cash. How do you enter this sale into QuickBooks Online? Put the steps for entering this sale in the correct order. Not all steps will be used.

Step 1: Click the +New icon Step 2: Select the Sales Receipt Step 3: Enter the sale and payment information Step 4: Save the transaction.

You need to change your company address in QuickBooks Online. Put the steps for changing the company address in the correct order. Not all steps will be used.

Step 1: Click the settings icon on the home page. Step 2: Select Account and Settings.

Your computer retail store has decided to sell repair services. You must add this new list to QuickBooks Online? Put the steps for adding a new list in the correct order.

Step 1: Click the settings icon. Step 2: Select the Products and Services. Step 3: Click the New button. Step 4: Select Service. Step 5: Enter a service Name, information (description), Rate, and Account to track income.

How do you track Accounts Payable (A/P) in QuickBooks?

Step 1: Enter a Bill. Step 2: Pay the Bill in the Pay Bills window.

The vendor that is used to provide all your office supplies has changed your payment terms.....Assume the term is already in the Terms list. Not all steps will be used.

Step 1: Select Expenses from the left-hand navigation Step 2: Select the Vendors tab. Step 3: Click on the Name of the vendor you want to edit. Step 4: Select edit. Step 5: Change the term to the new term Step 6: Select Save and Close

you need to track your company sales and expenses by department. put the following steps in order for tracking transactions for departments in the correct order. Not all steps will be used.

Step 1: Turn on Classes in company settings. Step 2: Create your departments on the Class List. Step 3: On sales and expense transactions, select the class(es) associated with each transaction Step 4: Run the profit and Loss by Class report. Step 5: Turn on Departmental Tracking in company settings. Step 6: Click the Tracking button.

You have downloaded transactions from bank account in QBO. Identify the tab that is being described in the Banking area.

This is a transaction that you downloaded from a bank account but you do not want to record the transaction for some reason. Choice: Excluded This is a transaction that has been downloaded from a bank account but needs to be evaluated before it can be posted. Choice: For Review This is a transaction that has been downloaded from a bank account and has been reviewed and posted. Choice: Categorized

What is the purpose of the Audit Log report?

To track any changes and deletions to transactions, as well as track which user makes the change or deletion

For each question below related to bank rules select either True or False for each statement.

True: Bank rules can be edited Bank rules help save time by automating the recording of recurring transactions downloaded from the bank account False: Bank rules can be used for automating checks

Evaluate each of the following statements as they relate to billable expenses and determine if each statement is True or False.

True: For an expense to appear on an invoice sidebar the expense must be marked billable False: Billable expenses can be added to invoices and/or sales receipts Checks, Bills, Bill Payments and Expenses are all able to be marked as Billable.

For each statement below identify if the statement is True or False.

True: You can enter a Check if the Vendor field is empty You can enter an Expense if the payee field is empty False: You can enter a Bill if the Vendor field is empty

For each statement below identify if the statement is True or False.

True: You can enter a Sales Receipt if the Customer Field is empty False: You can enter an Invoice if the Customer Field is empty You can enter a Receive Payment if the customer field is empty

For each statement about the chart of accounts, identify if the statement is True or False.

True: Accounts numbers can be used, but do not have to be False: All accounts must have a type. Details types are optional Accounts with a type "Fixed Assets" would appear on the profit and loss report

You mailed a check to pay your monthly rent. The check was lost in the mail and was never cashed. What should you do with the check in QuickBooks?

Void the check.

For each statement below out money out transactions.......true or false.

When you receive a check.....record the amount. (No) Vendor credits........to a vendor. (Yes) After entering a Bill......time to pay the bill. (Yes) Entering a Bill increases Accounts Payable. (Yes)

For each statement below select Yes if the statement is a benefit of connecting accounts to QBO and select No if the statement is not a benefit of connecting accounts to QBO.

Yes: Connecting accounts can reduce data entry into QBO Connecting accounts allows you create bank rules to automate the posting. No: Not all accounts can be connected to QBO.

For each statement about discounts select "Yes" if the statement is correct or "No" if the statement is not correct.

Yes: Discounts....percentage rate Discounts......amount No: The other 2

On a standard balance sheet or profit and loss report identify if you can customize the feature or report area described below. Select Yes if you can customize the feature or select No if you cannot customize this feature.

Yes: Header Accounting Method DIsplay only non-zero columns No: Font color for report title

For each type of account listed below select Yes if this an account that can be connected to QBO or No if the account cannot be connected to QBO.

Yes: Savings Account Checking Account Credit Card Account Paypal No: Prepaid Phone Account

Evaluate the following statements related to bills and paying bills and identify if the statement is True or False.

You can pay bills using a check as the payment method False: Entering a bill decreases accounts payable You have to pay a bill before you enter a bill

For each statement below regarding sub-customers identify if the statement is true or false.

You must set up the sub-customer before the parent-customer. (No) If Bill with Parent......parent customer account. (Yes) If Bill with Customer......parent customer. (No) Sub-customers could......you ship product. (Yes)

When should you not delete a check?

You printed a check and the check number has been used.

Which form cannot be customized in QuickBooks?

bill