QuickBooks Online Certification Test cheat cheat

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

Assets, Liabilities, and Equity

Which of the following statements is TRUE regarding products and services?

When you purchase or sell a product, the value of the purchase or sale flows to the account (and therefore the financial statement) you selected when you set up the product or service.

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

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

Select the statement that's NOT true about using the QuickBooks app on a mobile device.

You can do everything (all QuickBooks functionality) on the app that can do in your regular QuickBooks (using a browser).

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

- The sales will appear on sales reports (they don't if you use the "Record Deposit" or Journal entry screen)- -- You can e-mail or print the sale for customers. - You can run reports that show your sales by product or service

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

-There is a QuickBooks app for Android and Apple (IOS) devices -You can NOT perform all the functions of QuickBooks on the mobile app. -The mobile app uses built in functionality of your device (e.g. the camera to take pictures of receipts or other documents to attach transactions)

Your employer can see what (s)he owes and what's overdue. But (s)he wants to see all the bills that are overdue grouped by how late they are (30-60 days, 61-90 days, etc). Which report provides this information?

Accounts Payable Aging

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

Assets

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

Classes and Locations

How do you hide all subaccounts on a report?

Click the Collapse button.

Where should you begin the process of importing lists from Excel to QuickBooks

Click the Gear icon

How did you find the company settings in QuickBooks?

Click the Gear icon on the home page and select Account and Settings.

If you DON'T download bank transactions, how do you enter a business lunch paid for with the company debit card?

Click the Global Create button, Plus icon, and Select Expense. Fill out the expense and use Debit Card as the payment method. ADVERTISEMENT

You paid an insurance premium online with an electronic fund transfer (EFT). How would you record this transaction in QuickBooks?

Click the Global Create button, plus sign, and select Expense. Fill out the expense and create/select EFT as the payment method. Save the transaction.

Which transaction CANNOT be made recurring?

Deposit

Which transaction does not affect the customer's balance?

Estimate

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

False

You're tired of using your mouse to record transactions. You decide to start using shortcuts. How can you see a list of keyboard shortcuts in QuickBooks?

Hold down the "CTRL", "ALT", and "?" keys at the same time

Which of the following statements about Users is TRUE?

In addition to Regular or Custom users, you can also set up Reports only and Time Tracking only users

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

In the Advanced section of the company settings, set a Closing Date.

Which of the following is TRUE regarding Journal Entries?

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

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

Navigate to Account and Settings and in the Sales category or settings create a custom field for sales rep

You just BOUGHT something from a CUSTOMER. How do you set this customer up as a VENDOR in QuickBooks?

Navigate to the Vendors lists and create a new vendor. In the "Display Name As" field, enter customer's name, but add something unique, like "(vendor)' at the end of the name

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

None of the above.

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

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

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

QuickBooks creates a Journal Entry to write off the balance as Bad Debt

Which of the following IS a list in QuickBooks Online?

Other Names

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 for the exact amount.

Which report is also known as a statement of performance, and summarizes income and expenses for a period of time?

Profit & Loss

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

QuickBooks automatically creates a chart of accounts for you based on the industry. And you can edit this list later to remove accounts you do not need or add ones that you do.

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)

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

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 run reports to see how profitable each project is?

Select the "Track separately" checkbox on the invoices for each job.

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

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

The industry of the business

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

To avoid using the built-in forms (e.g. checks and invoices)

What do you use Terms for in QuickBooks?

To determine when a customer's invoice is due.

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

To temporarily hide unnecessary detail and only show parent accounts

When should you use the Items Details area (bottom of the screenshot below) on a bill, check or expense?

To track sales tax When you want to send someone a bill for items When you purchase stock

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.

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

When you invoice based on the estimate

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

Use it to find an app designed for specific business functions 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 handle 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.

Which transaction can be made recurring?

- General Journal Entry - Check - Expense

While setting up a QuickBooks Online account, you accidentally entered the wrong company address. How would you fix this error?

Change it in Account and Settings window, which you can access by clicking the Gear icon and select Account and Settings.

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 number to CREDIT

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

Chart of Accounts, Products and Services, Customers and Vendors

What account do you use to record an expense purchased made with your Visa DEBIT CARD

Checking/Current

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

Sub-customers 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'

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 QuinckBooks. 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 QuickBooks.

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

The owner's name

Which of the following could explain why a Profit and Loss shows a profit, but the business owner does not have any money in the bank?

The profit and loss was run on the Accrual Basis instead of the Cash Basis

Which of the following statements about Users is TRUE?

You can have as many Reports Only and Time Tracking Only users as you want.

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 you owe and when it's due.

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

You can't delete an Account from QuickBooks.

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 backup because it's always backed up in the cloud

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

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