Question 1

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 2

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

Accepted Answer

A merchandising company tracks inventory

Question 3

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 4

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 5

A law firm is an example of a _________ company.

Accepted Answer

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

Question 6

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

Question 7

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

The purchasing transaction cycle for a merchandising company is:

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

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

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

A law firm is an example of a _________ company.

Retail customers:

The Chart of Accounts:

Quick Tour of Quickbooks 2011

Customizing Quickbooks and the Chart of Accounts

Banking

Customers and Sales

Vendors, Purchases, and Inventory

Employees and Payroll

Reports and Graphs

New Company Setup

Accounting for a Service Company

Merchandising Corporation: Payroll

Advanced Quickbooks Features for Accountants

Filters

Exam 10: Merchandising Corporation: Sales, Purchases and Inventory

The purchasing transaction cycle for a merchandising company is:

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

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

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

A law firm is an example of a _________ company.

Retail customers:

The Chart of Accounts:

Quick Tour of Quickbooks 2011

Customizing Quickbooks and the Chart of Accounts

Banking

Customers and Sales

Vendors, Purchases, and Inventory

Employees and Payroll

Reports and Graphs

New Company Setup

Accounting for a Service Company

Merchandising Corporation: Payroll

Advanced Quickbooks Features for Accountants

Filters