QUICK BOOKS CERTIFICATION EXAM QUESTIONS AND
CORRECT ANSWERS| ACCURATE REAL EXAM WITH
FREQUENTLY TESTED QUESTIONS AND
RATIONALE|ALREADY A GRADED|GUARANTEED
PASS|LATEST UPDATE 2024/2025
Rasha doesn't like how her Chart of Accounts is sorted and that she must scroll up/down to find
accounts. What can she do to make it easier to find the accounts she needs? - CORRECT
ANSWER She can click a column heading to sort that column.
What QuickBooks feature allows you to upload, store, and use scanned documents and other
files? - CORRECT ANSWER Doc Center
Match each report to the question it will answer - CORRECT ANSWER
Register QuickReport - CORRECT ANSWER What are all the transactions in my Checking
account involving a specific payee?
Company Snapshot - CORRECT ANSWER Where can I see a quick view of my company's
bottom line?
Balance Sheet - CORRECT ANSWER Which report shows all asset, liability, and equity
accounts?
Reconciliation Summary - CORRECT ANSWER What checks have not cleared the bank as of
the last bank statement?
Reconciliation Discrepancy - CORRECT ANSWER What changes in transactions may affect
my next reconciliation?
Funds are taken directly from your checking account - CORRECT ANSWER Debit card
purchase
After this you can choose to write a check or enter a bill for the payment - CORRECT
ANSWER Credit card reconciliation
Shows transactions that have and have not yet cleared the bank - CORRECT ANSWER
Reconciliation reports
Shows all asset, liability, and equity accounts - CORRECT ANSWER Balance Sheet
Provides a quick view of the company's bottom line - CORRECT ANSWER Company Snapshot
,In QuickBooks, the start date is the date your company began doing business. - CORRECT
ANSWER False
How can you control what employees can access in your QuickBooks file? - CORRECT
ANSWER You can grant access rights for specific areas to each employee.
Kili is setting up a new company file and, as he scrolls through the list of industries, he doesn't
find one that perfectly fits his business. He knows QuickBooks will create accounts based on the
industry selected and is worried that it won't have the accounts he needs no matter what industry
he chooses. What advice might you give Kili? - CORRECT ANSWER Add your own accounts
to the Chart of Accounts after setup is complete.
Match each account type to it's appropriate example - CORRECT ANSWER
Bank - CORRECT ANSWER Savings account
Other Current Asset - CORRECT ANSWER Prepaid rent
Fixed Asset - CORRECT ANSWER Short term loan
Credit Card - CORRECT ANSWER American Express
Other Current Liability - CORRECT ANSWER Short term loan
Long term Liability - CORRECT ANSWER Mortgage
Equity - CORRECT ANSWER Opening balance equity
Match each QuickBooks term to it's description. - CORRECT ANSWER
Start Date - CORRECT ANSWER Should not be too far in the past
Company Preference - CORRECT ANSWER Controlled by the administrator
Personal Preference - CORRECT ANSWER Controlled by individual users
Start Setup - CORRECT ANSWER Allows you to set up new a company file with only basic
information
Advanced Setup - CORRECT ANSWER Allows you to provide more information when
creating your company file
Chart of Accounts - CORRECT ANSWER Listing of all asset, liability, equity, income, and
expense accounts
,Subaccounts - CORRECT ANSWER Can decrease the number of accounts shown on a Profit &
Loss report
In QuickBooks, non-inventory parts are tracked in the same way as inventory parts. -
CORRECT ANSWER False
When accounting for returned merchandise, you can either issue a refund check or apply a credit
toward a future purchase. - CORRECT ANSWER True
What does "2% 10" mean in the payment terms 2% 10 Net 30? - CORRECT ANSWER If paid
within 10 days, the customer receives a 2% discount.
Match each inventory report to it's description. - CORRECT ANSWER
Inventory Valuation Summary - CORRECT ANSWER Shows the value of your inventory by
item
Inventory Valuation Detail - CORRECT ANSWER Shows the specifics for transactions that
affect inventory value
Inventory Stock Status by Item - CORRECT ANSWER Shows inventory that needs to be
ordered
Physical Inventory Worksheet - CORRECT ANSWER Used to compare inventory on hand to
inventory recorded in QuickBooks
Match each description to its correct term. - CORRECT ANSWER
Offered to encourage customers to pay bills earlier - CORRECT ANSWER Discount payment
terms
Wholesale purchase price of inventory - CORRECT ANSWER Cost of goods sold
Tracked and sold by quantity - CORRECT ANSWER Inventory part
Does not affect what happens behind the scenes - CORRECT ANSWER Non-posting account
An item purchased for a specific customer - CORRECT ANSWER Non- inventory part
Amortization is the process of a balance increasing over time. - CORRECT ANSWER False
Sayid is entering the purchase of a new truck for the company. He starts the transaction; selects
the correct account; and enters the date, vendor, and amount before realizing that he did not first
create the fixed asset item for the new truck. Does Sayid have to cancel the transaction and start
over? - CORRECT ANSWER No; he can create the fixed asset items while entering the
transaction.
, Jasmine is considering purchasing a backhoe for her construction business. What QuickBooks
took can help Jasmine consider and compare different loan option. - CORRECT ANSWER
Loan Manager What If Scenarios
Match each balance sheet account type to it's description. - CORRECT ANSWER
Other Current Asset - CORRECT ANSWER Assets you plan to use or convert to cash within a
year
Fixed Asset - CORRECT ANSWER Assets you don't plan to convert to cash within a year
Long Term Liability - CORRECT ANSWER Loans you don't plan to pay off within the next
year
Equity - CORRECT ANSWER The owner's investment in the company
Match each equity account to its description - CORRECT ANSWER
Retained Earnings - CORRECT ANSWER Where net income/loss is transferred at the end of
the fiscal year
Owner's Equity - CORRECT ANSWER Amount of owner investment in the company
Opening Balance Equity - CORRECT ANSWER Offset account for initial balances when
starting a company
Sales Discounts - CORRECT ANSWER Not an equity account
You edit, delete, and create new employees just as you do for customers and vendors. -
CORRECT ANSWER True
When working with payroll schedules, you can choose to pay employees by group or by batch. -
CORRECT ANSWER True
What should you do if you used a regular check to pay payroll taxes? - CORRECT ANSWER
Void the check and then process the payment through the Pay Payroll Liabilities window.
In QuickBooks, an employee is someone to whom you: - CORRECT ANSWER Issue a W-2 at
the end of the year.
Match each payroll item to it's type. - CORRECT ANSWER
Sick Salary - CORRECT ANSWER Yearly salary
Office-Billable Time - CORRECT ANSWER Hourly wages
CORRECT ANSWERS| ACCURATE REAL EXAM WITH
FREQUENTLY TESTED QUESTIONS AND
RATIONALE|ALREADY A GRADED|GUARANTEED
PASS|LATEST UPDATE 2024/2025
Rasha doesn't like how her Chart of Accounts is sorted and that she must scroll up/down to find
accounts. What can she do to make it easier to find the accounts she needs? - CORRECT
ANSWER She can click a column heading to sort that column.
What QuickBooks feature allows you to upload, store, and use scanned documents and other
files? - CORRECT ANSWER Doc Center
Match each report to the question it will answer - CORRECT ANSWER
Register QuickReport - CORRECT ANSWER What are all the transactions in my Checking
account involving a specific payee?
Company Snapshot - CORRECT ANSWER Where can I see a quick view of my company's
bottom line?
Balance Sheet - CORRECT ANSWER Which report shows all asset, liability, and equity
accounts?
Reconciliation Summary - CORRECT ANSWER What checks have not cleared the bank as of
the last bank statement?
Reconciliation Discrepancy - CORRECT ANSWER What changes in transactions may affect
my next reconciliation?
Funds are taken directly from your checking account - CORRECT ANSWER Debit card
purchase
After this you can choose to write a check or enter a bill for the payment - CORRECT
ANSWER Credit card reconciliation
Shows transactions that have and have not yet cleared the bank - CORRECT ANSWER
Reconciliation reports
Shows all asset, liability, and equity accounts - CORRECT ANSWER Balance Sheet
Provides a quick view of the company's bottom line - CORRECT ANSWER Company Snapshot
,In QuickBooks, the start date is the date your company began doing business. - CORRECT
ANSWER False
How can you control what employees can access in your QuickBooks file? - CORRECT
ANSWER You can grant access rights for specific areas to each employee.
Kili is setting up a new company file and, as he scrolls through the list of industries, he doesn't
find one that perfectly fits his business. He knows QuickBooks will create accounts based on the
industry selected and is worried that it won't have the accounts he needs no matter what industry
he chooses. What advice might you give Kili? - CORRECT ANSWER Add your own accounts
to the Chart of Accounts after setup is complete.
Match each account type to it's appropriate example - CORRECT ANSWER
Bank - CORRECT ANSWER Savings account
Other Current Asset - CORRECT ANSWER Prepaid rent
Fixed Asset - CORRECT ANSWER Short term loan
Credit Card - CORRECT ANSWER American Express
Other Current Liability - CORRECT ANSWER Short term loan
Long term Liability - CORRECT ANSWER Mortgage
Equity - CORRECT ANSWER Opening balance equity
Match each QuickBooks term to it's description. - CORRECT ANSWER
Start Date - CORRECT ANSWER Should not be too far in the past
Company Preference - CORRECT ANSWER Controlled by the administrator
Personal Preference - CORRECT ANSWER Controlled by individual users
Start Setup - CORRECT ANSWER Allows you to set up new a company file with only basic
information
Advanced Setup - CORRECT ANSWER Allows you to provide more information when
creating your company file
Chart of Accounts - CORRECT ANSWER Listing of all asset, liability, equity, income, and
expense accounts
,Subaccounts - CORRECT ANSWER Can decrease the number of accounts shown on a Profit &
Loss report
In QuickBooks, non-inventory parts are tracked in the same way as inventory parts. -
CORRECT ANSWER False
When accounting for returned merchandise, you can either issue a refund check or apply a credit
toward a future purchase. - CORRECT ANSWER True
What does "2% 10" mean in the payment terms 2% 10 Net 30? - CORRECT ANSWER If paid
within 10 days, the customer receives a 2% discount.
Match each inventory report to it's description. - CORRECT ANSWER
Inventory Valuation Summary - CORRECT ANSWER Shows the value of your inventory by
item
Inventory Valuation Detail - CORRECT ANSWER Shows the specifics for transactions that
affect inventory value
Inventory Stock Status by Item - CORRECT ANSWER Shows inventory that needs to be
ordered
Physical Inventory Worksheet - CORRECT ANSWER Used to compare inventory on hand to
inventory recorded in QuickBooks
Match each description to its correct term. - CORRECT ANSWER
Offered to encourage customers to pay bills earlier - CORRECT ANSWER Discount payment
terms
Wholesale purchase price of inventory - CORRECT ANSWER Cost of goods sold
Tracked and sold by quantity - CORRECT ANSWER Inventory part
Does not affect what happens behind the scenes - CORRECT ANSWER Non-posting account
An item purchased for a specific customer - CORRECT ANSWER Non- inventory part
Amortization is the process of a balance increasing over time. - CORRECT ANSWER False
Sayid is entering the purchase of a new truck for the company. He starts the transaction; selects
the correct account; and enters the date, vendor, and amount before realizing that he did not first
create the fixed asset item for the new truck. Does Sayid have to cancel the transaction and start
over? - CORRECT ANSWER No; he can create the fixed asset items while entering the
transaction.
, Jasmine is considering purchasing a backhoe for her construction business. What QuickBooks
took can help Jasmine consider and compare different loan option. - CORRECT ANSWER
Loan Manager What If Scenarios
Match each balance sheet account type to it's description. - CORRECT ANSWER
Other Current Asset - CORRECT ANSWER Assets you plan to use or convert to cash within a
year
Fixed Asset - CORRECT ANSWER Assets you don't plan to convert to cash within a year
Long Term Liability - CORRECT ANSWER Loans you don't plan to pay off within the next
year
Equity - CORRECT ANSWER The owner's investment in the company
Match each equity account to its description - CORRECT ANSWER
Retained Earnings - CORRECT ANSWER Where net income/loss is transferred at the end of
the fiscal year
Owner's Equity - CORRECT ANSWER Amount of owner investment in the company
Opening Balance Equity - CORRECT ANSWER Offset account for initial balances when
starting a company
Sales Discounts - CORRECT ANSWER Not an equity account
You edit, delete, and create new employees just as you do for customers and vendors. -
CORRECT ANSWER True
When working with payroll schedules, you can choose to pay employees by group or by batch. -
CORRECT ANSWER True
What should you do if you used a regular check to pay payroll taxes? - CORRECT ANSWER
Void the check and then process the payment through the Pay Payroll Liabilities window.
In QuickBooks, an employee is someone to whom you: - CORRECT ANSWER Issue a W-2 at
the end of the year.
Match each payroll item to it's type. - CORRECT ANSWER
Sick Salary - CORRECT ANSWER Yearly salary
Office-Billable Time - CORRECT ANSWER Hourly wages
