Question 1

Adjusting entries are used to:&#10;A)Close temporary accounts at year end&#10;B)Close permanent accounts at year-end&#10;C)Bring account balances up to date at year end&#10;D)All the above

Accepted Answer

Adjusting entries are made to bring account balances up to date at the end of an accounting period, to ensure that the financial statements reflect accurate and timely information. Adjusting entries are necessary to record transactions that occurred but were not initially recorded, to correct errors, and to allocate costs over multiple accounting periods. Adjusting entries do not involve closing temporary or permanent accounts. Closing entries are made separately at the end of the accounting year to transfer the balances of temporary accounts to the retained earnings account.

Question 2

When customer payments are recorded in the Receive Payments window, QuickBooks records:&#10;A)An increase in the Checking account.&#10;B)An increase in Undeposited Funds account.&#10;C)An increase in Accounts Receivable.&#10;D)An increase in Sales

Accepted Answer

B

Question 3

To record a credit purchase, use the:&#10;A)Purchase Order > Receive Payment > Deposit&#10;B)Invoice > Receive Payment > Deposit&#10;C)Enter Bills > Pay Bills&#10;D)Invoice > Enter Bills > Pay Bills

Accepted Answer

C

Question 4

Deposits may be recorded using the:&#10;A)Check Register window&#10;B)Write Checks window&#10;C)Reconcile window&#10;D)Print Checks window

Accepted Answer

Deposits should be recorded using the Check Register window in QuickBooks. The Write Checks window is used for recording payments, not deposits. The Reconcile window is for reconciling bank statements with QuickBooks records, not for recording deposits. The Print Checks window is used for printing checks, not for recording deposits.

Question 5

To record a cash purchase, use the:&#10;A)Pay Bills&#10;B)Write Check&#10;C)Purchase Order&#10;D)None of the above

Accepted Answer

To record a cash purchase, you would use the "Write Check" option. This allows you to enter the details of the purchase (vendor, amount, account, etc.) and record that you paid for it with cash. The other options (Pay Bills and Purchase Order) are not appropriate for recording a cash purchase.

Question 6

Credit sales are recorded using the _________ window.&#10;A)Make Deposits&#10;B)Sales Receipts&#10;C)Create Invoices&#10;D)Receive Items

Accepted Answer

Credit sales are recorded using the Create Invoices window in QuickBooks. In this window, you can select the customer, add the products or services sold, specify the payment terms, and send the invoice to the customer.

Question 7

Items charged to a specific customer job can be transferred to the customer's invoice using:&#10;A)Item List&#10;B)Timesheet&#10;C)Stopwatch&#10;D)Time/Costs button

Accepted Answer

The Time/Costs button allows you to see a list of all the time and costs charged to a specific customer job. From there, you can select which items to transfer over to the customer's invoice. This function is specifically designed for this purpose, making it the best choice for this task.

Question 8

To print multiple checks at one time, use:&#10;A)Banking menu > Write Checks > Print Checks&#10;B)Vendor menu > Print Forms > Print Checks&#10;C)File menu > Print Forms > Checks&#10;D)Banking menu > Print Forms > Checks

Accepted Answer

The answer of To print multiple checks at one time,...

Question 9

To print the entire Journal, select:&#10;A)Report Center > Accountant & Taxes > Journal&#10;B)Company Center > Company & Financials > Journal&#10;C)Report Center > Company & Financials > Journal&#10;D)Company Center > Accountant & Taxes > Journal

Accepted Answer

The Report Center is the most direct menu option for printing reports, and selecting Accountant & Taxes > Journal ensures that the correct type of journal will be printed.

Question 10

To record the payment of bills received from vendors, use the:&#10;A)Pay Bills > Write Checks&#10;B)Write Checks > Pay Bills&#10;C)Enter Bills > Print Checks&#10;D)Enter Bills > Pay Bills > Print Checks

Accepted Answer

- "Enter Bills" is used to record the bills received from vendors in QuickBooks.
- "Pay Bills" is used to mark the bills as paid, i.e., to record the actual payment made to the vendors.
- "Print Checks" is used to print the checks for the bills that are marked as paid in QuickBooks. So, the correct sequence would be to enter bills first, then pay the bills, and finally print the checks. Hence, the best choice would be D - Enter Bills > Pay Bills > Print Checks.

Question 11

To record a sales transaction, use the:&#10;A)Create Purchase Order > Receive Payment > Make Deposit&#10;B)Create Invoices > Receive Payment > Make Deposits&#10;C)Create Invoices > Create Sales Receipts > Make Deposits&#10;D)Receive Payment > Create Sales Receipts > Make Deposits

Accepted Answer

The answer of To record a sales transaction, use the:&#10;A)Create...

Question 12

To record adjusting entries, use:&#10;A)Report menu > General Journal Entries.&#10;B)Company menu > Make General Journal Entries.&#10;C)Banking menu > Make General Journal Entries&#10;D)Accountant menu > Journal Entries

Accepted Answer

The answer of To record adjusting entries, use:&#10;A)Report menu >...

Question 13

When closing the accounting period you:&#10;A)Close temporary accounts at year end&#10;B)Bring account balances up to date at year end&#10;C)Close permanent accounts at year-end&#10;D)All the above

Accepted Answer

The answer of When closing the accounting period you:&#10;A)Close temporary...

Question 14

Before making adjusting entries you must:&#10;A)Close permanent accounts&#10;B)Print the trial balance&#10;C)Close temporary accounts&#10;D)Print the balance sheet

Accepted Answer

The answer of Before making adjusting entries you must:&#10;A)Close permanent...

Question 15

To print the Trial Balance, select:&#10;A)Report Center > Accountant & Taxes&#10;B)Company Center > Company & Financials&#10;C)Report Center > Company & Financials&#10;D)Company Center > Accountant & Taxes

Accepted Answer

The answer of To print the Trial Balance, select:&#10;A)Report Center...

Question 16

When you record the receipt of a customer payment QuickBooks reduces _______ and increases ________.&#10;A)Bank Account, Accounts Receivable&#10;B)Accounts Payable, Undeposited Funds&#10;C)Accounts Receivable, Undeposited Funds&#10;D)Accounts Receivable, Bank Account

Accepted Answer

The answer of When you record the receipt of a...

Question 17

To create a memorized transaction for a utility bill, in the Enter Bills window select:&#10;A)Transactions menu > Memorize&#10;B)Edit menu > Memorize Bill&#10;C)Vendors menu > Memorize Transactions&#10;D)Lists menu > Reminders

Accepted Answer

The answer of To create a memorized transaction for a...

Question 18

To print the Balance Sheet, select:&#10;A)Company Center > Company & Financials&#10;B)Report Center > Company & Financials&#10;C)Report Center > Accountant & Taxes&#10;D)Company Center > Accountant & Taxes

Accepted Answer

The answer of To print the Balance Sheet, select:&#10;A)Company Center...

Question 19

When customer payments are recorded, QuickBooks reduces the ________ balance.&#10;A)Accounts Payable.&#10;B)Accounts Receivable.&#10;C)Undeposited Funds.&#10;D)Checking

Accepted Answer

The answer of When customer payments are recorded, QuickBooks reduces...

Question 20

All of the following are examples of recurring transactions, except:&#10;A)Depreciation&#10;B)Utilities&#10;C)Rent&#10;D)All of the above

Accepted Answer

The answer of All of the following are examples of...

Question 21

Briefly explain the difference between a permanent and a temporary account.

Accepted Answer

The answer of Briefly explain the difference between a permanent...

Question 22

Briefly explain how to record an owner's investment in their company.

Accepted Answer

The answer of Briefly explain how to record an owner's...

Question 23

To print the Statement of Cash Flows, select:&#10;A)Report Center > Company & Financials&#10;B)Report Center > Accountant & Taxes&#10;C)Company Center > Company & Financials&#10;D)Company Center > Accountant & Taxes

Accepted Answer

The answer of To print the Statement of Cash Flows,...

Question 24

To print the General Ledger, select:&#10;A)Report Center > Company & Financials > General Ledger&#10;B)Company Center > Company & Financials > General Ledger&#10;C)Report Center > Accountant & Taxes > General Ledger&#10;D)Company Center > Accountant & Taxes > General Ledger

Accepted Answer

The answer of To print the General Ledger, select:&#10;A)Report Center...

Question 25

To print the Profit & Loss report, select:&#10;A)Report Center > Company & Financials&#10;B)Report Center > Accountant & Taxes&#10;C)Company Center > Company & Financials&#10;D)Company Center > Accountant & Taxes

Accepted Answer

The answer of To print the Profit & Loss report,...

Question 26

The following are examples of possible memorized transactions except:&#10;A)Rent payments&#10;B)Utility bills&#10;C)Special order for a customer&#10;D)None of the above&#10;Short Answer Questions

Accepted Answer

The answer of The following are examples of possible memorized...

Question 27

To remove accounts with zero balances from the General Ledger report, after generating the report, select:&#10;A)Modify Report > Filters > In use&#10;B)Modify Report > Display > Advanced > In use&#10;C)Modify Report > Display > In use&#10;D)Modify Report > Filters > Display > In use

Accepted Answer

The answer of To remove accounts with zero balances from...

Deck 9: Accounting for a Service Company