INTUIT BOOKKEEPING STUDY EXAMS GUIDE
QUESTIONS AND ANSWERS SURE A+
✔✔The owner's stake in the company is defined as: - ✔✔- Equity
✔✔A way of bookkeeping that tracks which accounts increase and which decrease for a
given transaction is known as: - ✔✔- Double-entry Accounting
✔✔Which of the following best defines a credit as it's used in double-entry accounting? -
✔✔- A decrease in assets/expenses and an increase in liabilities/owner's equity and
revenue.
✔✔Which of the following best defines a debit as it's used in double-entry accounting? -
✔✔- An increase in assets/expenses and a decrease in liabilities/owner's equity and
revenue.
✔✔You purchased inventory from your vendor and paid cash. The accounts affected
are the inventory account and the cash account. In your journal entry, which account
would you debit? - ✔✔- Inventory account
, ✔✔An owner invests $1000 in the company. This transaction impacted the checking
account and the owner's equity account. In your journal entry, which account do you
credit? - ✔✔- Owner's equity account
✔✔A sales manager purchases office supplies with the company credit card. This
transaction impacts the accounts payable and the office supplies accounts. In your
journal entry, which account do you credit? - ✔✔- Accounts payable
✔✔The company pays off the credit card bill. This transaction impacts the accounts
payable and the cash accounts. In your journal entry, which account do you credit? -
✔✔- Cash account
✔✔Debits are always represented on what side of a T-chart? - ✔✔- The left.
✔✔Short-term Investments would be an example of what kind of account? - ✔✔- An
asset account.
✔✔Accounts payable would be an example of what kind of account? - ✔✔- A liability
account.
✔✔Accounts receivable would be an example of what kind of account? - ✔✔- An asset
account.
✔✔True or False: Your client was paid in cash for a service that they provided. They've
asked you to leave it off their financial records. Since you are employed by the client,
you should do what they ask. - ✔✔- False
✔✔A schedule that contains all accounts needed to prepare financial statements is
known as: - ✔✔- The General Ledger
✔✔Reorganizing journal entries and grouping them by account is known as: - ✔✔-
Posting to the ledger
✔✔A listing of the names of the accounts that a company has identified and made
available for recording transactions in its general ledger is known as a: - ✔✔- Chart of
Accounts
✔✔To find the balance of the account types that increase with a debit (asset and
expense accounts), bookkeepers will: - ✔✔- Subtract total credits from total debits
(Debits - Credits)
✔✔The accounting cycle starts with the: - ✔✔- Analysis of business transactions
QUESTIONS AND ANSWERS SURE A+
✔✔The owner's stake in the company is defined as: - ✔✔- Equity
✔✔A way of bookkeeping that tracks which accounts increase and which decrease for a
given transaction is known as: - ✔✔- Double-entry Accounting
✔✔Which of the following best defines a credit as it's used in double-entry accounting? -
✔✔- A decrease in assets/expenses and an increase in liabilities/owner's equity and
revenue.
✔✔Which of the following best defines a debit as it's used in double-entry accounting? -
✔✔- An increase in assets/expenses and a decrease in liabilities/owner's equity and
revenue.
✔✔You purchased inventory from your vendor and paid cash. The accounts affected
are the inventory account and the cash account. In your journal entry, which account
would you debit? - ✔✔- Inventory account
, ✔✔An owner invests $1000 in the company. This transaction impacted the checking
account and the owner's equity account. In your journal entry, which account do you
credit? - ✔✔- Owner's equity account
✔✔A sales manager purchases office supplies with the company credit card. This
transaction impacts the accounts payable and the office supplies accounts. In your
journal entry, which account do you credit? - ✔✔- Accounts payable
✔✔The company pays off the credit card bill. This transaction impacts the accounts
payable and the cash accounts. In your journal entry, which account do you credit? -
✔✔- Cash account
✔✔Debits are always represented on what side of a T-chart? - ✔✔- The left.
✔✔Short-term Investments would be an example of what kind of account? - ✔✔- An
asset account.
✔✔Accounts payable would be an example of what kind of account? - ✔✔- A liability
account.
✔✔Accounts receivable would be an example of what kind of account? - ✔✔- An asset
account.
✔✔True or False: Your client was paid in cash for a service that they provided. They've
asked you to leave it off their financial records. Since you are employed by the client,
you should do what they ask. - ✔✔- False
✔✔A schedule that contains all accounts needed to prepare financial statements is
known as: - ✔✔- The General Ledger
✔✔Reorganizing journal entries and grouping them by account is known as: - ✔✔-
Posting to the ledger
✔✔A listing of the names of the accounts that a company has identified and made
available for recording transactions in its general ledger is known as a: - ✔✔- Chart of
Accounts
✔✔To find the balance of the account types that increase with a debit (asset and
expense accounts), bookkeepers will: - ✔✔- Subtract total credits from total debits
(Debits - Credits)
✔✔The accounting cycle starts with the: - ✔✔- Analysis of business transactions
