Question 1

The money a company owes to a supplier or vendor is called:

Accepted Answer

A) Accounts payable. 
B) Accounts receivable. 
C) Sales. 
D) Purchases. 
E) None. 
A) Accounts payable. 
B) Accounts receivable. 
C) Sales. 
D) Purchases. 
E) None. A

Question 2

When QB Cloud purchases and receives inventory, they are:

Accepted Answer

A) Subtracted from inventory. 
B) Added to inventory. 
C) Added to customer accounts. 
D) Subtracted from customer accounts. 
E) All. 
A) Subtracted from inventory. 
B) Added to inventory. 
C) Added to customer accounts. 
D) Subtracted from customer accounts. 
E) All. B

Question 3

The account distribution for sales of inventory on account is:

Accepted Answer

A) Debit Merchandise Inventory and Accounts Receivable; credit Cost of Goods Sold and Sales. 
B) Debit Accounts Receivable/customer and Cost of Goods Sold; credit Sales and Merchandise Inventory. 
C) Debit Accounts Payable/vendor and Cost of Goods Sold; credit Accounts Receivable/customer and Checking. 
D) None. 
A) Debit Merchandise Inventory and Accounts Receivable; credit Cost of Goods Sold and Sales. 
B) Debit Accounts Receivable/customer and Cost of Goods Sold; credit Sales and Merchandise Inventory. 
C) Debit Accounts Payable/vendor and Cost of Goods Sold; credit Accounts Receivable/customer and Checking. 
D) None. B

Question 4

A product that is purchased from vendors for sale to customers is called a/an:

Accepted Answer

A) Account receivable. 
B) Trial balance. 
C) Activity transaction. 
D) Inventory item. 
E) All. 
A) Account receivable. 
B) Trial balance. 
C) Activity transaction. 
D) Inventory item. 
E) All.

Question 5

Cash basis accounting means you count income or expenses as soon as you invoice or receive a bill and before you actually receive or pay money.

Accepted Answer

A) True 
 B)False

Question 6

QB Cloud receives bank statements at the end of the quarter.

Accepted Answer

A) True 
 B)False

Question 7

Bills are entered to record an expense or purchase of assets.

Accepted Answer

A) True 
 B)False

Question 8

A report that breaks the analysis into operating, investing, and financial activities is called:

Accepted Answer

A) Trial Balance. 
B) Profit and Loss. 
C) Balance Sheet. 
D) Statement of Cash Flows. 
E) All. 
A) Trial Balance. 
B) Profit and Loss. 
C) Balance Sheet. 
D) Statement of Cash Flows. 
E) All.

Question 9

The process of bringing the balance of the bank statement and balance of the checking account into agreement is called:

Accepted Answer

A) Accounts payable. 
B) Accounts receivable. 
C) Bank reconciliation. 
D) Audit Log. 
E) All. 
A) Accounts payable. 
B) Accounts receivable. 
C) Bank reconciliation. 
D) Audit Log. 
E) All.

Question 10

Using the Bank Statement, go to the Journal to reconcile checking account activity.

Accepted Answer

A) True 
 B)False

Question 11

Before you reconcile, the check register balance does not include the bank's service charge.

Accepted Answer

A) True 
 B)False

Question 12

When you enter bills for a vendor, Accounts Payable and the vendor are debited.

Accepted Answer

A) True 
 B)False

Question 13

In QBO, an up-to-date record of inventory is maintained and tracked.This is called:

Accepted Answer

A) Perpetual inventory. 
B) Periodic inventory. 
C) Sales and cost of goods sold. 
D) Account payable and customer accounts. 
E) None 
A) Perpetual inventory. 
B) Periodic inventory. 
C) Sales and cost of goods sold. 
D) Account payable and customer accounts. 
E) None

Question 14

Use products and services to enter consistent transaction descriptions, prices and rates.

Accepted Answer

A) True 
 B)False

Question 15

The Balance Sheet shows the accounting equation.

Accepted Answer

A) True 
 B)False

Question 16

In Chapter 4, checking Expense and Sales transactions and the October 30th trial balance is the starting point for your data.

Accepted Answer

A) True 
 B)False

Question 17

_______________________________________are purchases on account from vendors.

Accepted Answer

A) Transfer transactions. 
B) Accounts receivable transactions. 
C) Accounts payable transactions. 
D) Chart of accounts transactions. 
E) None. 
A) Transfer transactions. 
B) Accounts receivable transactions. 
C) Accounts payable transactions. 
D) Chart of accounts transactions. 
E) None.

Question 18

____________________________________report economic information about the business.

Accepted Answer

A) Journal transactions. 
B) Financial statements. 
C) Transaction registers. 
D) Account distributions. 
E) All. 
A) Journal transactions. 
B) Financial statements. 
C) Transaction registers. 
D) Account distributions. 
E) All.

Question 19

QBO organizes and monitors accounts payable.

Accepted Answer

A) True 
 B)False

Question 20

The account distribution for purchases of inventory on account is:

Accepted Answer

A) Debit Checking and Merchandise Inventory; credit Accounts Receivable/customer. 
B) Debit Merchandise Inventory and Accounts Receivable; credit Sales. 
C) Debit Accounts Receivable/Customer; credit Accounts Payable/vendor. 
D) Debit Merchandise Inventory; credit Accounts Payable/vendor. 
E) None. 
A) Debit Checking and Merchandise Inventory; credit Accounts Receivable/customer. 
B) Debit Merchandise Inventory and Accounts Receivable; credit Sales. 
C) Debit Accounts Receivable/Customer; credit Accounts Payable/vendor. 
D) Debit Merchandise Inventory; credit Accounts Payable/vendor. 
E) None.

The money a company owes to a supplier or vendor is called:

When QB Cloud purchases and receives inventory, they are:

The account distribution for sales of inventory on account is:

A product that is purchased from vendors for sale to customers is called a/an:

Cash basis accounting means you count income or expenses as soon as you invoice or receive a bill and before you actually receive or pay money.

QB Cloud receives bank statements at the end of the quarter.

Bills are entered to record an expense or purchase of assets.

A report that breaks the analysis into operating, investing, and financial activities is called:

The process of bringing the balance of the bank statement and balance of the checking account into agreement is called:

Using the Bank Statement, go to the Journal to reconcile checking account activity.

Before you reconcile, the check register balance does not include the bank's service charge.

When you enter bills for a vendor, Accounts Payable and the vendor are debited.

In QBO, an up-to-date record of inventory is maintained and tracked.This is called:

Use products and services to enter consistent transaction descriptions, prices and rates.

The Balance Sheet shows the accounting equation.

In Chapter 4, checking Expense and Sales transactions and the October 30^th trial balance is the starting point for your data.

_______________________________________are purchases on account from vendors.

____________________________________report economic information about the business.

QBO organizes and monitors accounts payable.

The account distribution for purchases of inventory on account is:

Quickbooks Online Test-Drive

New Company Setup and the Chart of Accounts

Beginning Balances and October Transaction Register

Customers and Sales

December Source Documents

Analysis and Reportsend of Fourth Quarter and Year

January Source Documents

February Source Documents

February Source Documents

Certification, Report Customization and Quickbooks Labs

Apps, Updates, Quickbooks Blog and Tips

Filters

Exam 4: Vendors and Inventory

The money a company owes to a supplier or vendor is called:

When QB Cloud purchases and receives inventory, they are:

The account distribution for sales of inventory on account is:

A product that is purchased from vendors for sale to customers is called a/an:

Cash basis accounting means you count income or expenses as soon as you invoice or receive a bill and before you actually receive or pay money.

QB Cloud receives bank statements at the end of the quarter.

Bills are entered to record an expense or purchase of assets.

A report that breaks the analysis into operating, investing, and financial activities is called:

The process of bringing the balance of the bank statement and balance of the checking account into agreement is called:

Using the Bank Statement, go to the Journal to reconcile checking account activity.

Before you reconcile, the check register balance does not include the bank's service charge.

When you enter bills for a vendor, Accounts Payable and the vendor are debited.

In QBO, an up-to-date record of inventory is maintained and tracked.This is called:

Use products and services to enter consistent transaction descriptions, prices and rates.

The Balance Sheet shows the accounting equation.

In Chapter 4, checking Expense and Sales transactions and the October 30th trial balance is the starting point for your data.

_______________________________________are purchases on account from vendors.

____________________________________report economic information about the business.

QBO organizes and monitors accounts payable.

The account distribution for purchases of inventory on account is:

Quickbooks Online Test-Drive

New Company Setup and the Chart of Accounts

Beginning Balances and October Transaction Register

Customers and Sales

December Source Documents

Analysis and Reportsend of Fourth Quarter and Year

January Source Documents

February Source Documents

February Source Documents

Certification, Report Customization and Quickbooks Labs

Apps, Updates, Quickbooks Blog and Tips

Filters

In Chapter 4, checking Expense and Sales transactions and the October 30^th trial balance is the starting point for your data.