Certification Practice Questions Flashcards
Which of the following would you not include in the chart of accounts?
A) Checking account
B) Vendor record
C) Depreciation Expense
D) Accounts Payable
B) Vendor record
Checking, savings, and petty cash should be set up as which of the following account types in QuickBooks?
A) Expense
B) Other current asset
C) Bank
D) Equity
C) Bank
True/false: Once you have set up the chart of accounts, you cannot add, delete or modify accounts.
False
Which of the following activities cannot be accessed from the Customers & Jobs list in the Customer Center?
A) Create statements
B) Assess finance charges
C) Enter credit card charges
D) Receive payments
C) Enter credit card charges
True/false: You can delete list items that are used in transactions.
False
What does the ending balance in a QuickBooks bank account register represent?
A) Only transactions that have been printed
B) All transactions entered in the register, including checks that haven’t yet been printed
B) All transactions entered in the register, including checks that haven’t yet been printed
When would you not want to use the Write Checks window when paying bills?
A) When paying sales tax B) When paying payroll taxes C) When using a handwritten check D) When paying bills you track with Accounts Payable E) None of the above F) A, B, and D
F) A, B, and D
Which of the following would likely be considered a long-term liability?
A) Vehicle loan
B) Accounts payable
C) Rent
D) Credit card account
A) Vehicle loan
True/false: QuickBooks lets you save sales forms as PDF files.
True
On which of the following can you NOT use price levels?
A) Invoices
B) Sales receipts
C) Credit memos
D) Purchase orders
D) Purchase orders
True/false: Invoice letters and Reminder statements are two methods in QuickBooks that provides customers with information about overdue invoices and allows them to assess finance charges.
True
QuickBooks supports which of the following types of payment scenarios?
A) Down payments for products or services
B) Overpayments from customers
C) Partial payments from customers
D) All of the above
D) All of the above
Which of the following is an asset?
A) Accounts Payable B) Accounts Receivable C) Company delivery van D) Both A and B E) Both B and C
E) Both B and C
True/false: Choosing a company organization associates a tax form with your business in the QuickBooks file.
True
Products you sell would appear on which of the following lists?
A) Vendor list
B) Employee list
C) Chart of Accounts
D) Item list
D) Item list
True/false: All income and expense accounts have a register associated with them in QuickBooks
False
Retained Earnings is defined as which of the following?
A) The amount of money that a business retains for paying its employees
B) The earnings from non-essential business services
C) $5.85
D) The accumulation of a company’s net income or loss from its start date
D) The accumulation of a company’s net income or loss from its start date
True/false: When receiving payment at the time of sale, you create a sales receipt in QuickBooks
True
If a wood door costs $120.00 and you set the rounding option to 1.00 minus .11, what price would appear on an invoice for the wood door?
A) $120.00
B) $500
C) $119.89
D) $119.11
C) $119.80
True/false: QuickBooks allows you to print deposit slips that you can take to the bank.
True
True/false: When you make a payment (from the checking account) in the Pay Bills window, you can see the transactions in the checking and accounts payable registers.
True
You paid a vendor $1,000 through the Pay Bills window (using the Checking account). QuickBooks automatically creates a journal entry that:
A) Deletes the bill.
B) $500
C) Shows $1,000 as a Debit in Accounts Payable and shows $1,000 as a Credit in the Checking account.
D) Shows $1,000 as a Debit in Accounts Payable and shows $1,000 as a Credit in the Accounts Receivable.
C) Shows $1,000 as a Debit in Accounts Payable and shows $1,000 as a Credit in the Checking account.
In which report category would you find the list of open invoices?
A) Company & Financial
B) $500
C) Customers & Receivables
D) List
C) Customers & Receivables
True/false: Forms, lists and registers are the three main ways you enter data in QuickBooks.
True
True/false: During the EasyStep Interview, QuickBooks creates income and expense accounts based on your company’s industry.
True
True/false: If you are tracking bills with Accounts Payable and have already entered a bill, you should pay the bill by writing a check from the Write Checks window
False
True/false: Enter bills and Pay bills are the two steps involved in using the accounts payable features in QuickBooks.
True
True/false: You use the accounts payable account to track money that you owe vendors.
True
True/false: QuickZoom is the tool that allows you to drill down on summary reports and graphs in QuickBooks.
True
Which of the following statements is true?
A) A debit decreases a liability account balance.
B) Equity decreases if liabilities increase.
C) In a transaction, the total debits must equal the total credits.
D) All of the above.
D) All of the above.
