Deck 8: New Company Setup

Question 1

The QuickBooks Setup window allows you to enter __________ information.

A)Vendor
B)Customer
C)Banking
D)All of these

Answer 1

D

Question 2

The Vendor List contains information about:

A)Addresses, contacts and phone numbers of customers
B)Addresses, contacts and phone numbers for suppliers
C)Quantities and prices of items on hand
D)All of these

Answer 2

B

Question 3

The Legal Name identifies a company for:

A)Advertising
B)Sales
C)Patents
D)All of these

Answer 3

C

Question 4

Which tax form would you select for a Partnership?

A)Form 1120
B)Form 1120S
C)Form 1065
D)Form 1040S

Question 5

What options do you have when adding the "People You Do Business With" section of the QuickBooks Setup Window?

A)Importing from Outlook
B)Importing from Yahoo or Gmail
C)Pasting from Excel or entering manually
D)All of these

Question 6

Which icon does not appear in the Vendors section for service companies that do not sell inventory?

A)Receive Inventory
B)Pay Bills
C)Enter Bills
D)All of these

Question 7

To create a new company data file in QuickBooks, use the:

A)Company menu > New Company
B)Company section of the Home page > New Company
C)File menu > Open or Copy Company
D)File menu > New Company

Question 8

In the Easy Step Interview, you must identify:

A)Type of Industry
B)Company name
C)Company address
D)All of these

Question 9

The Customer List contains information about:

A)The quantity of non-inventory parts on hand
B)The credit rating of the vendors
C)Vendors from whom the company buys products and services
D)Customer addresses, contacts and phone numbers

Question 10

A corporation uses __________ as its Federal Tax ID number.

A)The owner's social security number
B)An EIN number
C)Business operating license number
D)None of these

Question 11

To display account numbers in the chart of accounts choose:

A)Edit > Options
B)Edit > Preferences
C)Company > Financial
D)Company > Accounts

Question 12

To edit an account in the Chart of Accounts:

A)From the Company Center > Edit Chart of Accounts
B)From the Chart of Accounts window > right-click > New
C)From the Chart of Accounts window > Account > Edit Account
D)From the Company menu > New Account

Question 13

Sole Proprietorships use __________ as its Federal Tax ID number.

A)The owner's social security number
B)An EIN number
C)Business operating license number
D)None of these

Question 14

The steps to set up a new service company in QuickBooks with no employees are:

A)Easy Step Interview > Customer List > Vendor List > Item List
B)Setup Chart of Accounts > Easy Step Interview > Customer List > Vendor List > Item List
C)Easy Step Interview > Customize Chart of Accounts > Customer List > Vendor List > Item List
D)Easy Step Interview > Customer List > Vendor List > Item List > Customize Chart of Accounts

Question 15

To complete company setup you must complete all of the following except:

A)Add customers
B)Add payroll forms
C)Add products and services as items
D)Add vendors

Question 16

The Doing Business As name identifies a company for:

A)Bank accounts
B)Sales
C)Patents
D)None of these

Question 17

Which tax form would you select for a Corporation?

A)Form 1120
B)Form 1120S
C)Form 1065
D)Form 1040S

Question 18

A company's computer is classified as what account type?

A)Expense
B)Owner's Equity
C)Fixed Asset
D)Retained Earnings

Question 19

Which tax form would you select for a Subchapter S corporation?

A)Form 1120
B)Form 1120S
C)Form 1040
D)Form 1040S

Question 20

When setting up a new company, QuickBooks automatically creates:

A)Chart of Accounts
B)Vendor List
C)Customer List
D)None of these

Question 21

QuickBooks creates a Chart of Accounts for your company based on:

A)Industry type
B)Fiscal or calendar year
C)Federal ID Tax number
D)Company address

Question 22

List 3 (three) questions asked by the QuickBooks EasyStep Interview."Do you accept credit cards?" "Do you charge sales tax?" and "Would you like to add an existing bank account?"

Question 23

Name 4 (four) accounts that would commonly be used for a service company and identify the account type for each.

Question 24

QuickBooks allows you to import vendor, customer, and employee information from (Add People You Do Business With section of the QuickBooks Setup window):

A)Yahoo
B)Outlook
C)Gmail
D)All of these

Question 25

An account's tax line determines where QuickBooks lists the account balance on the:

A)Income Statement
B)Statement of Cash Flows
C)Balance Sheet
D)Income Tax Summary Report

Question 26

Which of the following type of information is not entered during the Easy Step Interview?

A)Company organization (for example, LLC, LLP, S Corporation)
B)Industry type
C)Products and services the company sells
D)QuickBooks company file password

Question 27

Why should you customize the Chart of Accounts?

A)It's required
B)To modify it for your specific business
C)To make the system function
D)None of these

Question 28

To customize QuickBooks after creating a company file you would:

A)Enter additional company information
B)Set QuickBooks preferences
C)Customize the Chart of Accounts
D)All of these