QuickBooks Study Guide
Terms in this set (112)
Why would you hide or collapse sub accounts on a report?
To temporarily hide unnecessary detail and hide parent accounts
What should you do after you click Save & Close on Customer Credit Memo?
Choose between retained as an available credit, give a refund or apply to an invoice
Which of the following CAN be memorized in Quick Books?
Which is NOT shown on the Payroll Summary Report in Quick Books?
Information necessary to complete your state unemployment tax form
The bank notified you that a customer's check you deposited has bounced. The customer did not have sufficient funds to cover the check. What should you do?
Record a transaction to show that customer owes you that money but do not update your checking balance until you contact the customer in case they want to pay with a credit card.
Suppose you always want a report to show a specific size and color, how do you set standard or preference in QuickBooks so you don't have to customize each report?
Click the edit menu and select preference then click the reports and graphs group to set your report preferences.
Suppose you want to restrict which users can access customer credit numbers, what should be done?
Give the user access to sales and accounts receivable but do not check the complete credit card numbers
Which of the following is possible reason for a bank reconciliation discrepancy?
the beginning balance calculated by QuickBooks does not match last month ending balance.
Which of the following statements is TRUE regarding the Undeposited Funds Account?
It is an account used to record payments before you make a deposit
Which accounts are affected when you enter Time in QuickBooks?
Workers who require a W2 tax form at the end of the year should be added to which of the following lists?
If you have a customized report that you used each month, which features lets you run the report with updated data each month?
What is the primary reason for setting a closing date in QuickBooks?
To restrict users from deleting, editing or adding transactions to last year.
Your new employee earned an annual salary of $40,000. How do you enter this in QuickBooks?
Enter 40,000 in the payroll info window of the Employee
What steps must you compete to use the payroll center to pay payroll liabilities?
Set deposit Frequencies.
Name the sections of the Balance Sheet.
Assets, Liabilities & Equity.
When you create a new company file, QuickBooks asks for your start date. What is the best definition of start date in QuickBooks?
The day you chose to start the new company file.
Which of the following is statements is NOT true regarding entering and paying bills in QuickBooks?
If you use the enter bills window to record a bill, do not use the write checks window or check register to pay that same bill.
How do you use a different form template when creating a new transaction? (i.e Invoice)
Open the form, click the templates drop down list and select the appropriate form.
How do you change the report basis, accrual, vs. cash for just one report?
Click the modify report button on the report and then choose accrual or cash on the display pad.
How would you track customer birth dates in QuickBooks?
Add a custom field to the customer list.
How do you change text in the header/footer of a report?
Click on the modify report button on the report and then change the head footer tab.
Where can you see a thumbnail sample of each report in Quickbooks along with a description of what the reports tell you?
What transaction in QuickBooks should you use if your customer pays when you provide the good or services
What can you do to ensure that invoice detail does not appear on a customer statement?
Uncheck the show invoice item detail does not appear on a customer statement.
What is the purpose of backing up in QuickBooks?
To protect against data loss from file corruption or a hard file crash.
Which of the following is NOT true regarding merging entries?
QuickBooks allows you to merge an expense account with an income account.
How do you add or delete columns on a report?
Click the modify report button and on the display tab check or ad or uncheck remove columns.
When should you use the items tab on a bill or check?
When you purchase inventory parts.
When you are setting up a service items, what happens if you select the box next to this "service is performed by a subcontractor or partner"?
QuickBooks provides fields so you can track purchase and sales information for that item.
Which of the form templates cannot be customize in QuickBooks?
The product information widow shows you the version and release of QuickBooks you have along with other information about the company file. How do you access the production information window?
Press the F2 key
When should you set up a non-inventory items types?
For something you buy and sell but do not need track the quantity on hand.
Which of the following statements is TRUE regarding items?
When you purchase or sell an item, the value of the purchase or sales flows to the account and therefore the financial statement you selected when you set up the item.
Which report shows how much you owe for sales tax?
Sales tax liability
Which report is also known as an income statement and summarize income and expenses for a month?
Profit and Loss standard
When making your payroll tax deposit, how can you add IRS INTERST and/or penalties?
Click the expense tab and enter the appropriate account and amount of interest and penalties.
Which of the following is a reason to create a new company file?
To start over when a company file has many errors that are beyond repair.
After QuickBooks set up a chart of account in the easy step interview, which of the following is TRUE?
It is possible to add more account later
Which of the following statement is TRUE regarding how you recorded a debit card transaction in QuickBooks.
Use the write checks window or check register and type debit in the check number field.
When can you delete a check from QuickBooks without voiding it?
You enter a check in QuickBooks but haven't printed it yet. You realize the purchase was actually made using a credit. The check was never really used.
What tool do you use to move your logo to a from?
What is the reason for Not being able to delete a list entry.
The entry has been used in a transaction.
How do you move list entries to a different location on the list? For example, customers.
Click on the diamond to the left of the name and then drag the name up or down the list.
Assume that QuickBooks is now in single user mode, what does this mean?
Only one user can access the data file
How can you ensure that the invoice detail appears on a customer statement?
Turn on invoice detail in customer statement window.
How can you open a QuickBooks report in Microsoft Excel?
Click the Export button on the top of any QuickBooks report.
For each functional area of QuickBooks Pro and Premier, is Sales Accounts, Accounts Receivable Purchases, what levels of access can you grant to users?
You can Prohibit access, grant full access or grant selective access; these levels apply to specific transactions in the area.
What is the Accountants' copy?
A copy of a company file that allows the accountant to review and make adjustments while you continue to work in QuickBooks.
Which of the following information CANNOT be set up during the Easy Step interview.
Trial balance opening balances
How do you hide subaccounts on a report?
click the collapse button
What do you use to narrow the data QuickBooks displays on a report?
Once the Easy Step interview is complete, how do you change the company information for the business name, address, or phone number?
Select Company, Company information from the menu.
What is the Deposited Funds account in QuickBooks?
An account used to record payments before you make a deposit.
What is the end result of a payroll setup interview?
QuickBooks has an accurate record of employees, earning deductions and payroll history and you are ready to create the first paycheck.
You finished entering all the transactions for last year, and just sent a file to the tax preparer. How do you ensure that no one accidently deletes or edits a transaction last year?
Set the closing date and password in the accounting preferences in the company menu.
When you set up a new employee, how do you add a payroll deduction such as medical insurance?
In the new employee window, click the change tab drop down list and select employment info, then add the medical insurance item below the additions deductions and company contributions.
There are two primary financial statements that summarize the chart of accounts. Which of the following is one of these reports?
When should you VOID instead of delete a check?
You used the check number but it will never be cashed.
How do you pay payroll liabilities in QuickBooks?
Select payments you want to make from the pay schedule liabilities n the payroll center then click view pay
How do items affect the financial statement
When you purchase or sell an item the value of the on sale purchase flows to the account.
You accidently entered the same customer twice in the customer center with a slightly different spelling. How do you merge these entries?
Edit the unwanted list entry, change the name you want to merge and click ok, then yes when prompted to merge.
How do you record debit card transactions in QuickBooks?
Use the write checks window, enter the check and write debit in the check number field.
Which is a reason to NOT enter a general journal entry?
To enter transactions in another way instead of uing built in forms.
The bank notifies you that a customers' check you deposited has bounced. The customer does not have sufficient funds to cover the check. What should you NOT do?
Delete the customer payment from the deposit.
How do you customize report, i.e. change the information QuickBooks displays, change the title etc.
Click the modify report button on the report.
A list entry may be deleted only when...
It has no balance; it has been used and is not linked to anything that has been used.
What is the purpose of an audit Trail report?
To track any changes and deletions to transactions and track which user makes the change of the deletion.
Which of the following transactions Cannot be memorized?
Which of the following can explain why the profit and loss shows a profit but the business owner does not have any money in the bank?
This difference between cash and accrual reporting.
The Company file you are working on is a mess. You decided to start a new file. At the same time you want to keep all the lists and preferences and just delete the transactions. How do you do this?
Click the file menu, choose utilities , clean up the company data, then choose default transaction option.
You have to set up an item for shipping. What item type should you use?
Your company sells unique items to every customer. They never sell the same service or product twice. What item should you set up in QuickBooks?
Set up a generic item and edit the description and price each time
You hired a subcontractor to work 40 hours per week. Which list should you add this person to?
When should you enter a customer credit memo?
When customer returns a product that is damaged.
How do you make a column on a report wider?
Click the diamond to the right of the column and drag it to the right.
When you run a profit and loss on the accrual basis what does QuickBooks include as income?
When you run a profit and loss on the accrual basis what does QuickBooks include as income?
The computer that houses your QuickBooks data could crash. What should you do in QuickBooks to make sure you always have access to your data?
Create a backup copy of your company files and store it separately from the computer
List entries may be deleted only when:
There is no balance, it has not been uses and is not linked to anything that has been used
How do items affect the financial statement?
When you purchase or sell an item the value of the purchase or sell flows to account you selected when you set up the item
Which is the quickest way in QuickBooks to find an invoice from 6 months ago?
Open an invoice and click the find button
Which of the following statements is true regarding single user and multi user mode?
To use QuickBooks in multi user mode, each user must have the same version of QuickBooks on their computer to access the same company file
Which of the following could explain why a profit and loss shows a profit, but the business owner doesn't have any money in the bank?
This the difference between cash an accrual reporting
You have to set up the item for shipping. What item type should you use?
How can you ensure that invoice details do not appear on a customer's statement?
Uncheck the show invoice item detail on statement option in the credit Create Statement window
Which of the following elements on an invoice can you not customize?
The amount of information, number of characters you can type in each field.
Which list represents the payroll services you can add to QuickBooks?
Basic calculates taxes and helps create a state and federal tax forms and assisted intuit handles payroll taxes and forms
Which of the following additions of QuickBooks supports multiusers?
All versions support multiusers
What can you do in the report center?
Run most reports in QuickBooks
How do you display a group of reports?
Click the reports menu and select process multi-reports
What is the Undeposited funds account in QuickBooks?
An account used to record payments before you make a deposit
How do you make an item on the item list inactive?
Open the item list, click to select the appropriate item then click the bottom left button and select, make item service
Your company supplies their with sick, vacation hours. You need to track how many hours that each employee currently has available, how many they earn, accrued hours when you pay them for sick or vacation time. How do you do this in QuickBooks?
Follow these steps: Click the sick, vacation button in employees setup to define how to approve time and to tell QuickBooks how many hours the employee has available. Setup a sick, vacation wage item. Use a sick, vacation wage item to pay employees for sick, vacation time.
Which of the following transactions Cannot be memorized?
How do you ensure that no one accidently deletes, edits or adds transactions to last year?
Set a closing date and password in the accounting preferences or from the company menu.
How do you pay, payroll liability in QuickBooks?
Select the payment you want to make from they pay schedule liability. Select view pay
What is the purpose of the audit trail report?
Track any changes or deletions to transactions as well as track which users make the changes or deletions
You accidently entered a customer twice in the customer center with a slightly different spelling. How do you merge these two entries?
Edit the unwanted list entry; change the name to match the name you want to merge into. Click ok, then click yes when prompted to merge names
Your company had to return some goods to a vendor. How do you record the vendor credit in QuickBooks?
Click the enter bills then click credit on top of the bill.
When you setup a new employee, how do you add a payroll deduction such as medical insurance?
In the new edit employee window, click the change tab drop down window, select payroll and compensation information, then add the medical insurance payroll into the addition/deletion and company compensation section
What is the end result of the payroll setup interview?
QuickBooks has an accurate record of employee's earnings and deductions and payroll history and you are ready to create your first paycheck.
Once you have completed the sign of new company file, how do you change company information such as business name, address, or phone number?
Select company information from the menu
Suppose you work for a pet store and have to track the name of each customer's pet. How would you do this in QuickBooks?
Add a customer field to the customer list
The company file you are working on is a mess. You decided to start a new file. To save time, you want to keep all the lists and preferences and just delete the transactions. How do you this?
Click the file menu. Select utilities, condense data from the menu then chose the all transaction option
Which is an example of when to use a non-inventory part?
When you buy and sell an item but do not need to track quantity on hand information.
Which of the following cannot be entered during the setup of a new company ?
Trail balance, open balance
When you enter profit and loss on the accrual basis what does QuickBooks include as income?
When should you void instead of delete a check?
Use a check number but it will never be cashed
Your company sells unique items to every customer. Then never sell the same product or service twice. What item should you setup in QuickBooks?
Setup a generic item and edit the description and price and the time
Which of the following form templates cannot be customized in QuickBooks?
Which is not a good reason to enter a general journal entry?
To avoid using the built in forms
The bank notifies you that a customer's check you have deposited has bounced. The customer did not have sufficient funds to cover the check. What should you not do?
Delete the customer's payment from the deposit