2017 Test 1 Training (Intuit QuickBooks Desktop)

Question 1

If you choose to remove transactions as of a specific date from the “Condense Data” window, what does QuickBooks do?

Answer 1

Removes all transactions while leaving lists, preferences, and service subscriptions intact

Question 2

When setting up a company file, what should you do when you reach the Trial Balance/Opening Balance page?

Answer 2

There is no page or option called Trial Balance/Opening Balances

Question 3

You’ve completed the set up of a QuickBooks company file, but you forgot to enter the company’s phone number during set up. How do you enter it now?

Answer 3

Select Company: My Company from the menu and click on the {pencil} icon

Question 4

When you set up a new QuickBooks company, how do you setup a new account that is not on the default list of accounts?

Answer 4

You can’t add accounts that are no on the QuickBooks default list. Finish setting up and then add the accounts directly to the Chart of Accounts

Question 5

Your company file is damaged, but you have a backup copy of the company file on your Windows Desktop. Restore this backup to the Windows Desktop.

Answer 5

Application #5

Question 6

Why would you restore a data file from the backup file?

Answer 6

All of these are reasons to restore from the backup file

1. Your computer crashed. You reloaded QuickBooks, and now you are ready to open the company file
2. The company data file on your hard drive is damaged and cannot be used
3. You wish to review the company data as it stood at an earlier date

Question 7

When would you enter a journal entry?

Answer 7

All of these answers are correct

1. To enter depreciation
2. For year-end adjustments
3. To correct errors (if you have a strong accounting background)

Question 8

When you start a company or are hired as a bookkeeper, it is important to know which edition of QuickBooks you are using. What are the major QuickBooks editions?

Answer 8

QuickBooks Online, QuickBooks Pro, QuickBooks Premier, QuickBooks Enterprise Solutions

Question 9

What do the diamonds mean on certain lists (for example, the diamonds to the left of each Customer Job)

Answer 9

You can click on the diamond and move the list entry to a different location on the list

Question 10

What is the maximum number of names that can be included on the Names lists in QuickBooks Pro or Premier?

Answer 10

14,500

Question 11

How do you combine or merge two list entries?

Answer 11

Rename the unwanted list entry to match the name of the list entry you want to merge into

Question 12

Suppose you own a company that repairs bicycles. What item type should you use for “bicycle repair”?

Answer 12

Service

Question 13

Which of the following statements is true concerning items?

Answer 13

All of these answers are correct

1. Items allow you to track your sales in more detail without cluttering your Chart of Accounts or Profit & Loss
2. You can use one item to represent different services or goods
3. To create an invoice, you must use an item

Question 14

What item type should you use for inventory that you assemble from other items and then sell?

Answer 14

Inventory Assemble

Question 15

What account (on the Chart of Accounts) is affected when you sell an item?

Answer 15

The account you selected when you set up the item

Question 16

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

Answer 16

Credit Memo

Question 17

When you invoice for time and costs, where does QuickBooks get the billable time or costs?

Answer 17

From billable time entered on time sheets and/or billable costs entered on checks and bills

Question 18

When should you use a Sales Receipt in QuickBooks

Answer 18

To record a customer payment at the time of sale

Question 19

When you create a statement and select “All open transactions as of Statement Date,” what does QuickBooks show on the statement?

Answer 19

Open transactions as of the statement date

Question 20

You received 5 customer payments in the mail. At the bank you deposit the 5 checks as one deposit. When you record the 5 separate payments in QuickBooks, how do you show that the 5 checks were actually 1 deposit?

Answer 20

When you use the Receive Payments window, QuickBooks doesn’t deposit the money in your checking account. After you record the 5 payments, click Record Deposits and select the 5 checks.

Question 21

Suppose you have subcontractors who receive a 1099 from your company. Which list should you add them to?

Answer 21

Vendor List

Question 22

You used a debit card to buy one Door Frame (an item your sell) from Zeng Building Supplies. Enter the transaction in QuickBooks.

Answer 22

Application #22

Question 23

What transaction/form do you begin with to enter a vendor credit?

Answer 23

Enter Bill

Question 24

Which form should you use to enter petty cash expenditures?

Answer 24

Write Checks or use check register

Question 25

What is a reason to use the Items tab when entering a bill?

Answer 25

To assign a cost to a job or purchase inventory

Question 26

When printing paychecks, what is the preferred check style to give an employee a paystub?

Answer 26

Voucher

Question 27

Why must you set deposit frequencies for the taxes or deductions your company has to pay (Payroll Liabilities)?

Answer 27

So that Payroll Liabilities show up in the Pay Taxes & Other Liabilities list in the Payroll Center

Question 28

Dan T. Miller, one of your employees, recently got a raise. His new salary is $45,000 a year. Enter this salary change in QuickBooks.

Answer 28

Application #28

Question 29

Which of the following Payroll Services are available with QuickBooks?

Answer 29

All of these answers are correct

1. Enhanced
2. Assisted
3. Basic

Question 30

How does entering time for a job affect job cost reports?

Answer 30

None of these answers are correct

1. QuickBooks adds the cost of that employee’s “labor burden” to the job cost.
2. QuickBooks adds the cost of that employee’s time AND “labor burden” to the job cost
3. QuickBooks adds the cost of that employee’s time to the job cost.

Question 31

What report should you use to help you complete the state unemployment tax form?

Answer 31

Employee State Taxes Detail

Question 32

Which of the following is a way to access a report in QuickBooks?

Answer 32

All of these answers are correct

1. From the Report Center
2. From the Report Menu
3. By clicking Reports at the bottom of lists

Question 33

How do you create a memorized group of reports?

Answer 33

Open the Memorized Report List and then click Memorized Report > New Group

Question 34

What is the easiest way to organize your memorized reports?

Answer 34

Create a report group

Question 35

How do you display or print a batch/group of reports quickly?

Answer 35

Choose Reports > Process Multiple Reports

Question 36

What happens if you click Collapse on a report?

Answer 36

QuickBooks hides Subaccounts and only shows Parent accounts

Question 37

You have customized and then memorized a report. What does QuickBooks save when memorizing a report?

Answer 37

Report header, filters, and columns but not the actual transactions

Question 38

What can you do the in the Reports & Graphs Preferences (Edit > Preferences)?

Answer 38

All of these answers are correct

1. Set which date to use for aging reports
2. Change the summary basis (Accrual or Cash) for all reports
3. Change Format options like font color and size

Question 39

What happens when you QuickZoom on a number in a report?

Answer 39

QuickBooks shows more detail about the number on the report.

Question 40

You notice that multiple accounts should actually be subaccounts. How can you quickly make these accounts subaccounts of another account?

Answer 40

Click on the diamond to the left of the account, drag it below the appropriate parent account, and release the mouse button. Then click on the diamond again, drag it to the right, and release the mouse button

Question 41

What is one way that QuickBooks uses the Account Type?

Answer 41

To identify where the account appears on the financial statements

Question 42

What is the purpose of the Chart of Accounts?

Answer 42

It is how you categorize financial transactions

*The Chart of Accounts is a way to label or categorize all the money/value that comes into a business, all the money/value that goes out, and all the money that is transferred between different categories.

Question 43

How can you stop yourself and others from deleting, editing, or adding transactions in a closed period?

Answer 43

Set a closing date

Question 44

What are the 2 main Financial Statements you can run from the “Company and Financial” category of reports?

Answer 44

Balance Sheet, Profit and Loss

Question 45

You successfully reconciled the checking account last month. This month, when you begin to reconcile the same account, you notice that the beginning balance calculated by QuickBooks is different from the beginning balance according to the bank. How can this happen?

Answer 45

Someone changed or deleted a cleared transaction

Question 46

Suppose your address information appears on the upper left of your invoice and you want it to the lower right. How would you do this?

Answer 46

Us the Layout Designer

Question 47

How do you set up multiple users in QuickBooks Pro or Premier?

Answer 47

Choose Company > Set Up Users and Passwords > Set Up Users

Question 48

Suppose you have to track a specific piece of information about your customers that QuickBooks does NOT track. What is the best way to do this?

Answer 48

Edit a customer and click the “Additional Info” tab. Click Define Fields to create a Custom Field to track anything you want.

Question 49

You notice that when you print an invoice, the information in the field is cut off (that is, it doesn’t fit). How can you fix this?

Answer 49

Use the Layout Designer to make the field wider

Question 50

Suppose you customized an invoice in QuickBooks. You really like how it looks and want your estimates to look similar. How do you do this?

Answer 50

Choose Lists > Templates. Select the form you want to duplicate. Then click the Templates button and select Duplicate. Then select the type of template you want to create with the same look, in this case, estimate.