QuickBooks Final Exam Questions and Answers Already Passed

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QuickBooks Final Exam Questions and Answers Already Passed Which of the following is not an input field or selection at the Add New Account window? a. Financial Statement Override b. Description ... c. Account Type d. Enter Opening Balance ✔✔a. Financial Statement Override Which of the following is not an available button at the Glad you're here! page when completing the Express Start method? a. Preview Your Settings b. Create Company c. Create Chart of Accounts d. All of the choices are correct. ✔✔c. Create Chart of Accounts Which is a correct statement? a. The Uncategorized Expenses account is created when you enter outstanding accounts receivable balances in the Vendor Center. b. Upon completion of the New Company Setup level of operation, customizing and updating the Lists/Centers, viewing and printing Reports, and making a backup copy of the new company file, your accounting records are ready for recording daily activities. c. The Uncategorized Income account is created when you enter outstanding accounts payable balances in the Customer Center. d. All of the choices are correct ✔✔b. Upon completion of the New Company Setup level of operation, customizing and updating the Lists/Centers, viewing and printing Reports, and making a backup copy of the new company file, your accounting records are ready for recording daily activities. Which of the following is true regarding payment terms when you set up a new company? a. QuickBooks creates a list automatically, which can then be modified. b. QuickBooks copies the payment terms used in the last company you set up. c. QuickBooks creates no payment terms; you must establish them yourself. d. QuickBooks creates a list automatically for customers only. ✔✔a. QuickBooks creates a list automatically, which can then be modified. The accrual basis of accounting a. does not follow GAAP-generally accepted accounting principles. b. is not used for preparing the accounting reports and financial statements in QuickBooks. c. requires the recording of revenues when earned and expenses when incurred regardless of cash receipts or cash payments. d. is the same as cash basis of accounting, which records revenue only when the cash has been received for services provided or for a product sold, and records expenses only when cash payments have been made. ✔✔c. requires the recording of revenues when earned and expenses when incurred regardless of cash receipts or cash payments. In QuickBooks, by default, the accounting reports and financial statements are prepared using the __________ basis of accounting. a. cash b. cost c. revenue d. accrual ✔✔d. accrual Which of the following item types can be added to the Item List? a. service, inventory part, and sales tax b. inventory, uncategorized income, and uncategorized expenses c. cost of goods sold and payment terms d. service, non-inventory part, and payment terms ✔✔a. service, inventory part, and sales tax Which of the following is not a field in the Sales Information section of the Edit Item window? a. Tax Code b. Income Account c. Sales Price d. COGS Account ✔✔d. COGS Account To reverse the Uncategorized Income account in the Make General Journal Entries window, a. debit Uncategorized Income and credit Opening Balance Equity (Capital). b. debit Uncategorized Income and credit Accounts Receivable. c. debit Opening Balance Equity and credit Uncategorized Income. d. debit Accounts Receivable and credit Uncategorized Income. ✔✔a. debit Uncategorized Income and credit Opening Balance Equity (Capital). Which of the following is true when viewing the Balance Sheet Standard report immediately after adding inventory items, customers, and vendors with balances to the Lists and Centers? a. The only assets recorded so far are the Accounts Receivable and Inventory accounts. b. The only liabilities recorded so far are the Accounts Payable. c. All of the choices are correct. d. The balance in the Opening Balance Equity (Capital) account is the sum of the total inventory. ✔✔c. All of the choices are correct. Which statement is not true? a. When using the Express Start method, you do not use the EasyStep Interview window. Therefore, you must establish the preferences for the new company file yourself. b. The My Preferences tab records the preferences for each individual user on his or her personal computer. c. You activate the account numbers feature using the Preferences window. d. To begin establishing preferences, click Company from the main menu bar and then click Preferences from the drop-down menu. ✔✔d. To begin establishing preferences, click Company from the main menu bar and then click Preferences from the drop-down menu. Which of these is not correct about the Preferences window? a. Once activated, the account Number field appears in the New Account and Edit Account windows in the Chart of Accounts List. b. Once the inventory feature is activated, fields of information relevant to inventory will appear in the Activities windows. c. The Preferences window has three tabs: My Preferences, Company Preferences, and Group Preferences. d. Once you answer Yes in the Do you charge sales tax? field, the other fields of information relevant to sales tax become active and you can add sales tax to the Item List. ✔✔c. The Preferences window has three tabs: My Preferences, Company Preferences, and Group Preferences. The __________ account is created to capture net income at the end of the fiscal year. a. Owners Draw b. Opening Balance Equity c. Cash - Operating d. Owners Equity ✔✔d. Owners Equity When QuickBooks activates the payroll feature, it automatically creates the a. FICA Payable and Federal Withholding accounts. b. Payroll Cash and Payroll Liabilities accounts. c. Payroll Cash and Payroll Expenses accounts. d. Payroll Liabilities and Payroll Expenses accounts. ✔✔d. Payroll Liabilitie [Show More]

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