Deck 5: Sales and Receivables: Merchandising Business

Question 1

When a customer uses a bank debit or credit card, the amount of the sale is placed into the Undeposited Funds account.When the actual bank deposit is made, the amount is deposited into the checking or bank account and bank fees for the cards are deducted directly from the bank account.

Answer 1

True

Question 2

A discount received for a purchase of an inventory item is recorded in the______ account.

A)Income account: Purchases Discounts
B)Expense account: Sales Discounts
C)Cost of Goods Sold account: Merchandise Discounts
D)Asset account: Inventory Asset

Answer 2

Cost of Goods Sold account: Merchandise Discounts

Question 3

QuickBooks DT automatically applies payments received from customers on account to the most current invoice.

Answer 3

False

Question 4

If an invoice is entered and causes a customer's account to exceed its limit, QuickBooks DT_____ .

A)denies the transaction
B)automatically approves the transaction
C)provides a dialog box allowing you to approve the transaction
D)requires you to change the customer's credit limit

Question 5

For the entire invoice to receive a discount, a _____must be used as the item immediately before a nonprofit discount.

Question 6

QuickBooks DT automatically calculates a Sales Discount ____.

A)on the total invoice amount
B)only if payment is received on or before the due date
C)if terms offer a discount
D)All the above

Question 7

When receiving payments from customers, QuickBooks DT places the amount received in an account called__________ until the bank deposit is made.

Question 8

The ____item must appear before the Nonprofit Discount item on an invoice for QuickBooks DT to calculate the sales discount on the entire sale.

A)Subtotal
B)last sales item
C)no special item is required
D)QuickBooks DT does not calculate the discount, it must be computed manually

Question 9

If a customer issues a check that is returned marked NSF, you may charge the customer the amount of the penalty charges you impose.

Question 10

If a return is made by a customer and the customer does not owe you any money, a refund check is issued along with a credit memo.

Question 11

Even though transactions are entered via business documents such as invoices and sales receipts, QuickBooks DT keeps track of all transactions _____.

A)in a chart
B)in the master register
C)on a graph
D)in the Journal

Question 12

QuickBooks DT uses the _____method of inventory valuation

A)LIFO
B)average cost
C)FIFO
D)Actual Cost

Question 13

To give a discount to a nonprofit organization, you must create a new discount term.

Question 14

If an invoice is_____ , it will not show up in the Customer Balance Detail Report.

A)voided
B)deleted
C)corrected
D)printed

Question 15

The Subtotal account calculates the sales discount.

Question 16

To change a column width in a report without changing the size of the print, you must _____.

A)print the report in landscape orientation
B)use Fit report to one-page wide option
C)change the column width manually
D)all the above

Question 17

If a customer has a balance for an amount owed and a return is made, a credit memo is prepared and_____ .

A)a refund check is issued
B)the amount of the return may be applied to the balance owed for the invoice
C)the customer determines whether to apply the amount to the balance owed or get a refund check
D)any of the above

Question 18

Sales discounts reduce the amount of net income.

Question 19

If a customer makes a payment on account and a return has been made, the correct amount of the sales discount is calculated______ .

A)automatically by QuickBooks DT on the full amount
B)automatically by QuickBooks DT on the amount due after the credit is subtracted
C)manually by using QuickMath
D)any of the above

Question 20

Customers marked taxable, will have sales tax calculated automatically on invoices.
9.A credit card payment method could be Visa or MasterCard

Question 21

A report that you have customized by sizing, adding, and/or removing columns may be ______so the custom format is used each time it is prepared.

Question 22

When assigning account numbers, QuickBooks DT uses the_____ category for Income or Revenue accounts.

Question 23

If a customer pays with a debit or credit card, it is the same as paying by_____or____ .