QuickBooks Certification 2018-Questions

Name the major sections of the Balance Sheet that correspond to the account Equation

Assets, Liability, and Equity

Which transaction CANNOT be made recurring?

Bill Payment

You entered a check in QuickBooks to record a purchase of office supplies. Later, you realize this was a credit card purchase. How do you handle this?

Change the check # to credit

Which of the following IS a list in QuickBooks online?

Chart of Accounts and Classes

To speed up the set up process you can import certain lists in QuickBooks. Which of the following CAN be imported?

Chart of Accounts, products and services, customers, vendors

You are creating an expense to record a purchase made with your Visa DEBIT CARD. What account do you put in the account field at the top of the form?

Check/Current

Can you delete or make inactive something on a list if it has a balance. (e.g. Customer, Vendor, or Stock Product, Account)?

Yes, QuickBooks will automatically create a transaction to make the balance zero.

You set up a company and QuickBooks sets up a chart of accounts for you. Which of the following is TRUE about what you can do.

You CAN add more accounts later

What do you use Terms for in QuickBooks?

To determine when a customer invoice is due.

Privacy mode does not display sensitive financial information?

True

Which statement is FALSE?

You CANNOT enter a Sales Receipt if the Customer field is empty

When you sell a product/service on an Invoice or Sales Receipt, how does QuickBooks know where to show those sales (income statement) on the Profit & Loss?

you select an income account during the setup of the product/service. Sales of that product/service increase the income account you selected.

What are the major sections of the Balance Sheet?

Assets, Liabilities and Equity

Your employer can see what (s)he owes and what's overdue. But (s)he wants to see all the bills that are overdue groped by how late they are (30

60 days, 61-90 days, etc.). Which report provides this information? -Accounts Payable Aging

Select the statement that's true about using the QuickBooks app on a mobile device.

All of the above.

Which section of the Balance Sheet shows your Accounts Receivable balance?

Assets

Available in the company settings, what are the two options for categorizing sales and expenses into different locations and departments of a business?

Classes & Locations

How do you find the company settings in QuickBooks?

Click the GEAR Icon on the home page and select Account and Settings

How do you hide all subaccounts on a report?

Collapse

Subcustomers can make tracking jobs/projects or locations for a particular customer easy. One of your customers just called to request work on their new location. How do you keep track of this in QuickBooks?

Create a new customer and tick the option "is sub customer"

You have a customer who hires you to work on several projects. How do you keep the sales and expenses for each project separate so you can run reports to see how profitable each project is?

Create a new customer for each project and make sure each has a sub customer of the parent company.

How do you display the list of shortcut keys on QuickBooks?

Ctrl, Alt,?

You need to enter an expense using your debit card. What account do you put in the field at the top of the form?

Debit Card

Which transactions do not affect customer's balance?

Estimate

The Name field (customer/Vendor) is optional on Invoices and Bills.

FALSE

Which transaction can be recurring?

General Journal Entry, Check, Expense, ALL OF THE ABOVE

Which of the following statements is true about entering and paying bills in QuickBooks?

If you record bills in QB, you should use Pay bills screen to record bill

Which of the following could explain why a Profit & Loss shows a profit, but the business owner doesn't have any money in the bank?

It was run on Accrual Basis

Which of the following is TRUE regarding General Journal entries?

Journal entries require a good understanding of debits and credit and a great deal of care should be taken by non-accountants when entering them.

Your vendor decides to become a customer. You need to add them to your Customer list. How do you do this?

Just add them to the customer list

Your company has sales reps and you need to keep track of the sales rep associated with each sale. How would you track sales reps on sales forms?

Navigate to company settings, and in the sales category of settings create a custom field for sales rep.

Your employer hates that if anyone looks at her computer while she's on the home page, they can see her bank balance, profit, and losses and other sensitive financial information. How can you solve this?

On the home page select "Privacy Mode" to turn it on

What limitations does QuickBooks have when it comes to browser access?

QuickBooks can only be used from any browser as long as there is internet connection.

Your boss asks you to remove an account from the Chart of Accounts (you don't use it anymore). How would you do this?

Open the chart of accounts. Click the drop down list to the right of the account you want to remove. Select Delete.

You need to find an expense, but all you know is the amount (you can't remember the date or vendor) what's the best way to do this?

Press the Magnifying glass icon, and search the exact amount

You were hired to set up QuickBooks for a consulting company. The owner asks you to set up the chart of accounts for the industry. This is easy because

QB automatically creates a chart of accounts based on your industry. And you can edit this list later to remove and add accounts.

Where should you being the process of importing lists form Excel to QuickBooks?

The Gear Icon

You are setting up a product or service. What happens if you select the box next to "I purchase this product/service from a vendor"?

QuickBooks provides fields so you can track purchases of that product/service (in addition to sales)

If you make a customer with an unpaid balance inactive, what happens to the open balance?

QuickBooks writes off the balance as bad debt.

You created a Customer Balance Summary Report and your employer wants you to multiply each customer's sales by 23.67%. How can you do this quickly (without using a calculator)?

Select Export to Excel. Open the report in Excel and add a column to do the multiplication for you.

Your Accountant is upset that changes are being made to last year's numbers. How can you stop this from happening?

Set a closing date and password I n the advanced tab of the account and settings.

Which of the following is NOT a list in QuickBooks online?

Subcontractors

What feature of QuickBooks lets you set how long a customer has to pay an invoice?

Terms

Your company would like to sell their products online. They ask you to look for an app that makes it easy for customers to buy online. However, they also want you to be efficient. They do NOT want you to have to manually enter these sales into QuickBooks. They want the sales to automatically update QuickBooks. What's a good place to start looking for an app that can do this?

The Apps Tab in QB

When creating a new QuickBooks Online account, what company information does QuickBooks ask for?

The industry of the business.

Why would you recommend recording sales with Invoices or Sales Receipts instead of recording the sale with a Journal Entry or the Record Deposit screen?

The sale will appear on sales reports, you can email or print the sale for customers, you can run reports that show your sales by product or service, ALL OF THE ABOVE

What information does QuickBooks NOT ask/need when you create a new QuickBooks Online account for a company?

The start date

Which is NOT a good reason to enter a General Journal Entry?

To avoid using built in forms

Why would you hide (or collapse) subaccounts on a report?

To temporarily hide unnecessary detail and only show parent accounts.

Your Employer wants to see profit in department A separate from Department B. What is the best way to set this up?

Turn on classes and set up each department as its own class

If you don't want the home page to display sensitive financial information, what can be done about it?

Turn on privacy mode from the homepage

Select the statement that's true about the Apps tab in QuickBooks.

Use it to find an app designed for specific business function that also syncs with QuickBooks so you don't have to enter data twice.

You printed a check from QuickBooks. Before you can send it to your vendor, you spill coffee on it, ruining the check. How do you hand this?

Void the check.

If you use QuickBooks Online Plus, how do you charge a customer for expenses you incurred on a project?

When entering the expense, enter the customer name and select the billable checkbox

You created an estimate for a customer. When does the customer's balance go up?

When the status of the invoice is changed to "Accepted"

Which of the following statements about Users is TRUE?

You can have as many Report Only & Time Tracing only users as you want

The following statements is TRUE regarding products and services?

You can use 1 product/service to represent different services or goods, Product/Service allow you to track your sales in more detail without cluttering your chart of accounts/Profit Loss, To create an invoice you must use a product or service

The Accounts Payable Aging report can help you stay on top of your business because it lists which of the following?

You can view what is owed or overdue bills.

You set a closing date to make sure no one changes anything date on or before December 31st of last year. However, people are still making changes! Why is this happening?

You didn't set a password for your closing date.

How do you backup and keep QuickBooks up to date between users?

You don't need to back up because it's always backed up in the cloud.

e. Invoice

You made the sale, but customer still owes you payment. Increases customer's balance.

a. Delayed Charges

You provide a service or product that you want to add to an invoice in the future-Doesn't affect the customer's balance

c. Receive payment

You received a payment for a customer you've already invoiced-Decreases the customer's balance.

b. Estimate

Your customer isn't sure if they want to purchase anything but they might do so in the future-Doesn't affect the customer's balance.

d. Sales Receipt

Your customer paid you at the time of the sale. Doesn't affect the customer's balance.

Profit & Loss Statement

a statement of performance, and summarizes income and expenses for a period of time.