Question 1

The purchasing cycle includes all of the following transactions except:

Accepted Answer

A) Create a purchase order to order inventory 
B) Enter hours in the time sheet for stocking inventory 
C) Receive inventory items and record in the inventory account 
D) Enter bill in QuickBooks when bill is received 
A) Create a purchase order to order inventory 
B) Enter hours in the time sheet for stocking inventory 
C) Receive inventory items and record in the inventory account 
D) Enter bill in QuickBooks when bill is received B

Question 2

A grocery store is an example of a _________ company.

Accepted Answer

A) Service 
B) Retail 
C) Manufacturing 
D) Product-based business 
A) Service 
B) Retail 
C) Manufacturing 
D) Product-based business B

Question 3

Retail customers:

Accepted Answer

A) Pay no sales tax 
B) Pay sales tax 
C) Pay a manufacturing tax 
D) Pay sales tax on labor only 
A) Pay no sales tax 
B) Pay sales tax 
C) Pay a manufacturing tax 
D) Pay sales tax on labor only B

Question 4

When creating a new QuickBooks data file for an existing company,opening balances are added when you:

Accepted Answer

A) Customize the Chart of Accounts 
B) Add vendors to the vendor list 
C) Add customers to the customer list 
D) Add inventory the item list 
A) Customize the Chart of Accounts 
B) Add vendors to the vendor list 
C) Add customers to the customer list 
D) Add inventory the item list

Question 5

The Chart of Accounts:

Accepted Answer

A) Verifies the accounting system is in balance 
B) Helps detect errors 
C) Lists all accounts 
D) All of these 
A) Verifies the accounting system is in balance 
B) Helps detect errors 
C) Lists all accounts 
D) All of these

Question 6

To add an existing opening balance to a new account,choose:

Accepted Answer

A) New Account > Opening Balance 
B) Account Options > Enter Opening Balance 
C) Account > Opening Balance 
D) Edit Account > Enter Opening Balance 
A) New Account > Opening Balance 
B) Account Options > Enter Opening Balance 
C) Account > Opening Balance 
D) Edit Account > Enter Opening Balance

Question 7

When creating a new QuickBooks data file for an existing company,QuickBooks automatically offsets accounts receivable balances with an entry to the:

Accepted Answer

A) Uncategorized Expenses account 
B) Uncategorized Income account 
C) Opening Balance Equity account 
D) Capital Stock account 
A) Uncategorized Expenses account 
B) Uncategorized Income account 
C) Opening Balance Equity account 
D) Capital Stock account

Question 8

Name 2 (two)differences between accounting for a service company and a retail shop.

Accepted Answer

A merchandising company tracks inventory

Question 9

The purchasing transaction cycle for a merchandising company is:

Accepted Answer

A) Create Purchase Order > Receive Inventory > Record Bill > Pay Bill > Print Check 
B) Create Invoice > Receive Payment > Record Deposits 
C) Create Purchase Order > Receive Payment > Record Deposits 
D) Create Invoice > Receive Inventory > Pay Bill > Record Deposits 
A) Create Purchase Order > Receive Inventory > Record Bill > Pay Bill > Print Check 
B) Create Invoice > Receive Payment > Record Deposits 
C) Create Purchase Order > Receive Payment > Record Deposits 
D) Create Invoice > Receive Inventory > Pay Bill > Record Deposits

Question 10

To customize your settings for preferences such as estimates,time tracking,sales orders,choose Desktop View > _______.

Accepted Answer

A) Company Preferences 
B) My Preferences 
C) Color Preferences 
D) Scheme Options 
A) Company Preferences 
B) My Preferences 
C) Color Preferences 
D) Scheme Options

Question 11

Briefly explain how the supplies on hand account is adjusted at the end of the period.

Accepted Answer

The supplies on hand account is an asset

Question 12

If the supplies on hand at the end of January totaled $200 and the Supplies on Hand account before adjustment is $900,what would be the adjustment at month-end?

Accepted Answer

A) Reduce supplies on hand by $700;increase supplies expense by $700 
B) Increase supplies on hand by $900;reduce supplies expense by $900 
C) Reduce supplies on hand by $200;increase supplies expense by $200 
D) Increase supplies on hand by $200;reduce supplies expense by $200 
A) Reduce supplies on hand by $700;increase supplies expense by $700 
B) Increase supplies on hand by $900;reduce supplies expense by $900 
C) Reduce supplies on hand by $200;increase supplies expense by $200 
D) Increase supplies on hand by $200;reduce supplies expense by $200

Question 13

QuickBooks classifies the sales tax rate as a(n):

Accepted Answer

A) Customer List item 
B) Vendor List item 
C) Item not stored in the accounting system 
D) Inventory item (Item List) 
A) Customer List item 
B) Vendor List item 
C) Item not stored in the accounting system 
D) Inventory item (Item List)

Question 14

When you place an order for items from a vendor,which one of the following QuickBooks forms would you use?

Accepted Answer

A) Create Invoice 
B) Purchase Order 
C) Receive Inventory 
D) None of these 
A) Create Invoice 
B) Purchase Order 
C) Receive Inventory 
D) None of these

Question 15

Wholesale customers:

Accepted Answer

A) Pay no sales tax 
B) Pay sales tax 
C) Pay a manufacturing tax 
D) Pay sales tax on labor only 
A) Pay no sales tax 
B) Pay sales tax 
C) Pay a manufacturing tax 
D) Pay sales tax on labor only

Question 16

The cost of the inventory items sold is tracked in what account:

Accepted Answer

A) Items Sold 
B) Cost of Goods Sold 
C) Cost of Materials 
D) Inventory Sold 
A) Items Sold 
B) Cost of Goods Sold 
C) Cost of Materials 
D) Inventory Sold

Question 17

After creating a new QuickBooks data file for an existing company and entering all the existing balances,use an opening adjustment to move the balance in the _________ account to the Capital Stock account.

Accepted Answer

A) Uncategorized Expenses 
B) Uncategorized Income 
C) Opening Balance Equity 
D) None of these 
A) Uncategorized Expenses 
B) Uncategorized Income 
C) Opening Balance Equity 
D) None of these

Question 18

The sales transaction cycle for a merchandising company is:

Accepted Answer

A) Create Purchase Order > Receive Inventory > Record Bill > Pay Bill > Print Check 
B) Create Invoice > Receive Payment > Record Deposits 
C) Create Purchase Order > Receive Payment > Record Deposits 
D) Create Invoice > Receive Inventory > Pay Bill > Record Deposits 
A) Create Purchase Order > Receive Inventory > Record Bill > Pay Bill > Print Check 
B) Create Invoice > Receive Payment > Record Deposits 
C) Create Purchase Order > Receive Payment > Record Deposits 
D) Create Invoice > Receive Inventory > Pay Bill > Record Deposits

Question 19

When setting up an existing company in QuickBooks,which of the following opening adjustments require journal entries?

Accepted Answer

A) When accounts payable opening balances create Uncategorized Expenses 
B) When the Customer List is created 
C) When payroll entries are added 
D) None of these 
A) When accounts payable opening balances create Uncategorized Expenses 
B) When the Customer List is created 
C) When payroll entries are added 
D) None of these

Question 20

When recording the sale of a product,which account is decreased?

Accepted Answer

A) Inventory 
B) Accounts Receivable 
C) Notes Payable 
D) None of these 
A) Inventory 
B) Accounts Receivable 
C) Notes Payable 
D) None of these

The purchasing cycle includes all of the following transactions except:

A grocery store is an example of a _________ company.

Retail customers:

When creating a new QuickBooks data file for an existing company,opening balances are added when you:

The Chart of Accounts:

To add an existing opening balance to a new account,choose:

When creating a new QuickBooks data file for an existing company,QuickBooks automatically offsets accounts receivable balances with an entry to the:

Name 2 (two)differences between accounting for a service company and a retail shop.

The purchasing transaction cycle for a merchandising company is:

To customize your settings for preferences such as estimates,time tracking,sales orders,choose Desktop View > _______.

Briefly explain how the supplies on hand account is adjusted at the end of the period.

If the supplies on hand at the end of January totaled $200 and the Supplies on Hand account before adjustment is $900,what would be the adjustment at month-end?

QuickBooks classifies the sales tax rate as a(n):

When you place an order for items from a vendor,which one of the following QuickBooks forms would you use?

Wholesale customers:

The cost of the inventory items sold is tracked in what account:

After creating a new QuickBooks data file for an existing company and entering all the existing balances,use an opening adjustment to move the balance in the _________ account to the Capital Stock account.

The sales transaction cycle for a merchandising company is:

When setting up an existing company in QuickBooks,which of the following opening adjustments require journal entries?

When recording the sale of a product,which account is decreased?

Introduction to PFP

Time Value of Money

Beginning the Planning Process

Household Finance

Financial Statements Analysis

Cash Flow Planning

Debt

Non Financial Investments

Financial Investments

Other Insurance

Retirement Planning

Filters

Exam 10: Risk Management

The purchasing cycle includes all of the following transactions except:

A grocery store is an example of a _________ company.

Retail customers:

When creating a new QuickBooks data file for an existing company,opening balances are added when you:

The Chart of Accounts:

To add an existing opening balance to a new account,choose:

When creating a new QuickBooks data file for an existing company,QuickBooks automatically offsets accounts receivable balances with an entry to the:

Name 2 (two)differences between accounting for a service company and a retail shop.

The purchasing transaction cycle for a merchandising company is:

To customize your settings for preferences such as estimates,time tracking,sales orders,choose Desktop View > _______.

Briefly explain how the supplies on hand account is adjusted at the end of the period.

If the supplies on hand at the end of January totaled $200 and the Supplies on Hand account before adjustment is $900,what would be the adjustment at month-end?

QuickBooks classifies the sales tax rate as a(n):

When you place an order for items from a vendor,which one of the following QuickBooks forms would you use?

Wholesale customers:

The cost of the inventory items sold is tracked in what account:

After creating a new QuickBooks data file for an existing company and entering all the existing balances,use an opening adjustment to move the balance in the _________ account to the Capital Stock account.

The sales transaction cycle for a merchandising company is:

When setting up an existing company in QuickBooks,which of the following opening adjustments require journal entries?

When recording the sale of a product,which account is decreased?

Introduction to PFP

Time Value of Money

Beginning the Planning Process

Household Finance

Financial Statements Analysis

Cash Flow Planning

Debt

Non Financial Investments

Financial Investments

Other Insurance

Retirement Planning

Filters