Question 1

A new sales item may be entered when recording a sale on an invoice.

Accepted Answer

When recording a sale on an invoice, a new sales item can be added to the invoice.

Question 2

The Customer Balance Summary shows the balances for all customers who owe the company money.

Accepted Answer

The statement is true. The Customer Balance Summary provides a summary of all outstanding balances owed by customers to the company.

Question 3

When a return is made for a Sales Receipt, a is completed.&#10;A) Sales Receipt Return&#10;B) Credit Memo&#10;C) Refund Receipt&#10;D) Voided Transaction

Accepted Answer

C

Question 4

A sale on account means that the sale was paid for at the time of purchase.

Accepted Answer

A sale on account means that the customer has been extended credit and has not paid for the purchase at the time of sale.

Question 5

When a customer on account pays his bill you record a(n) .&#10;A) Sales Receipt&#10;B) Payment Receipt&#10;C) Credit Memo&#10;D) Invoice

Accepted Answer

When a customer on account pays his bill, you would record a payment receipt to document the transaction. A sales receipt is used when a customer pays at the time of sale, a credit memo is used to document a reduction in the amount owed by the customer, and an invoice is sent to the customer to request payment for goods or services that have not yet been paid.

Question 6

Cash is the only payment method accepted for a Cash Sale.

Accepted Answer

Other payment methods such as credit cards, debit cards, or mobile payments can also be accepted for a cash sale, depending on the seller's payment policies. The term "cash sale" often simply means the sale is for immediate payment, not necessarily that it must be paid with physical cash.

Question 7

To see every transaction in Debit/Credit format, you prepare a report.&#10;A) Customer Balance Detail&#10;B) Transaction List&#10;C) Trial Balance&#10;D) Journal

Accepted Answer

A Journal report is used to see every transaction in the business recorded in Debit/Credit format. It's a fundamental accounting record where all transactions are initially recorded, showing the debits and credits for each transaction.

Question 8

In QuickBooks Online, invoices replace the Sales Journal.

Accepted Answer

In QuickBooks Online, invoices replace the Sales Journal as a way to record and track sales transactions.

Question 9

When an invoice is it is removed from the customer's register.&#10;A) Voided&#10;B) Deleted&#10;C) Edited&#10;D) Paid

Accepted Answer

The answer of When an invoice is it is removed...

Question 10

A sale on account is recorded on a(n) .&#10;A) Invoice&#10;B) Receive Payment&#10;C) Sales Receipt&#10;D) Charge Account Receipt

Accepted Answer

A sale on account refers to an invoice being sent to the customer, indicating the amount to be paid and the payment terms. Therefore, the sale on account is recorded on an invoice.

Deck 3: Sales and Receivables: Service Items