QuickBooks Chapter 7 Questions and Answers 100% Verified

QuickBooks Chapter 7 Questions and
Answers 100% Verified
The owner's drawing account should be transferred to capital each week. ✔✔False




Even if entered elsewhere, all transactions are recorded in the Journal. ✔✔True




You must access the General Journal in order to close a period. ✔✔False




If Show All is selected, inactive accounts will not appear in the Chart of Accounts. ✔✔False




When you reconcile a bank statement, anything entered as a service charge will automatically be

entered as a transaction when the reconciliation is complete. ✔✔True




Once an account has been used, the name cannot be changed. ✔✔False




The adjusting entry for depreciation may be made in the Depreciation account register. ✔✔True

, At the end of the year, QuickBooks transfers the net income into retained earnings. ✔✔True




A withdrawal by an owner in a partnership reduces the owner's capital. ✔✔True




As with other accounting programs, QuickBooks requires that a formal closing be performed at

the end of each year. ✔✔False




To print a Reconciliation Report that lists only totals, select _________.

A. none

B. summary

C. detail


D. complete ✔✔summary




The report that proves debits equal credits is the ________ .

A. Sales Graph

B. Balance Sheet

C. Profit & Loss Statement


D. Trial Balance ✔✔Trial Balance