INTUIT BOOKKEEPING EXAM 2024
QUESTIONS AND CORRECT ANSWERS
Four Key Elements of Bookkeeping Ethics - correct Answers ✔✔ -Honesty,
Objectivity, Confidentiality and Professionalism
What is DEALER - correct Answers ✔✔ -Dividends + Expenses + Assets =
Liabilities + Owner's Equity (beginning) + Revenue
What's is the accounting Equation? - correct Answers ✔✔ -Assets =
Liabilities + Equity
Profit and Loss statement. Shows the company's revenues and expenses
during a particular period - correct Answers ✔✔ -The Income Statement
A financial statement that reports a company's assets, liabilities, and
equity at a specific point in time - correct Answers ✔✔ -The Balance Sheet
Reports the changes in company equity, from the opening balance to the
end of the period balance. - correct Answers ✔✔ -The Statement of Equity
Reports the sources and uses of cash by a business - correct Answers ✔✔
-The Statement of Cash Flow
Accounting Cycle - correct Answers ✔✔ -1. Analyze and record
transactions
2. Post transactions to ledger
3. Prepare an unadjusted trial balance
4. Prepare adjusted entries at the end of the period
5. Prepare adjusted trial balance
6. Prepare financial statements
If customers pays at the time of sale you must enter it as a - correct
Answers ✔✔ -Sales Receipt
, If customers does not pay at the time of sale you must enter it as a -
correct Answers ✔✔ -Invoice
Once and customer has paid an invoice it goes to - correct Answers ✔✔ -
Receive payment
Receive payment and sales receipt are followed by - correct Answers ✔✔ -
Bank deposit
Step 4 of The Accounting Cycle: Preparing adjusted entries includes -
correct Answers ✔✔ -Deferrals, Accruals, Missing Transactions, and Tax
Adjustments
Removing transactions that belong to a different period - correct Answers
✔✔ -Deferral
Opposite of deferral. Concern future payments or expenses - correct
Answers ✔✔ -Accruals
The Business is a separate entity, so the activities of a business must be
kept separate from any other financial activities of its business owners -
correct Answers ✔✔ -Economic Entity Assumption
Only transactions that can be proven should be recorded in accounting
practices. And what this means is that businesses must be able to prove
transactions through such things as receipts, billing statements, invoices,
and bank statements. - correct Answers ✔✔ -Reliability Assumption
All info that is relative to the business and is important to a lender or
investor has to be disclosed in financial statements or in the notes of the
statements - correct Answers ✔✔ -Full Disclosure Principle
When choosing between two solutions, the one that will be least likely to
overstate assets and income should be selected. - correct Answers ✔✔ -
Conservatism Assumption
States that an amount can be ignored if its effect on the financial
statements is small and not misleading - correct Answers ✔✔ -Materiality
Principle
Once you adopt an accounting principle or method, continue to follow it
consistently in future accounting periods so that the results reported from
QUESTIONS AND CORRECT ANSWERS
Four Key Elements of Bookkeeping Ethics - correct Answers ✔✔ -Honesty,
Objectivity, Confidentiality and Professionalism
What is DEALER - correct Answers ✔✔ -Dividends + Expenses + Assets =
Liabilities + Owner's Equity (beginning) + Revenue
What's is the accounting Equation? - correct Answers ✔✔ -Assets =
Liabilities + Equity
Profit and Loss statement. Shows the company's revenues and expenses
during a particular period - correct Answers ✔✔ -The Income Statement
A financial statement that reports a company's assets, liabilities, and
equity at a specific point in time - correct Answers ✔✔ -The Balance Sheet
Reports the changes in company equity, from the opening balance to the
end of the period balance. - correct Answers ✔✔ -The Statement of Equity
Reports the sources and uses of cash by a business - correct Answers ✔✔
-The Statement of Cash Flow
Accounting Cycle - correct Answers ✔✔ -1. Analyze and record
transactions
2. Post transactions to ledger
3. Prepare an unadjusted trial balance
4. Prepare adjusted entries at the end of the period
5. Prepare adjusted trial balance
6. Prepare financial statements
If customers pays at the time of sale you must enter it as a - correct
Answers ✔✔ -Sales Receipt
, If customers does not pay at the time of sale you must enter it as a -
correct Answers ✔✔ -Invoice
Once and customer has paid an invoice it goes to - correct Answers ✔✔ -
Receive payment
Receive payment and sales receipt are followed by - correct Answers ✔✔ -
Bank deposit
Step 4 of The Accounting Cycle: Preparing adjusted entries includes -
correct Answers ✔✔ -Deferrals, Accruals, Missing Transactions, and Tax
Adjustments
Removing transactions that belong to a different period - correct Answers
✔✔ -Deferral
Opposite of deferral. Concern future payments or expenses - correct
Answers ✔✔ -Accruals
The Business is a separate entity, so the activities of a business must be
kept separate from any other financial activities of its business owners -
correct Answers ✔✔ -Economic Entity Assumption
Only transactions that can be proven should be recorded in accounting
practices. And what this means is that businesses must be able to prove
transactions through such things as receipts, billing statements, invoices,
and bank statements. - correct Answers ✔✔ -Reliability Assumption
All info that is relative to the business and is important to a lender or
investor has to be disclosed in financial statements or in the notes of the
statements - correct Answers ✔✔ -Full Disclosure Principle
When choosing between two solutions, the one that will be least likely to
overstate assets and income should be selected. - correct Answers ✔✔ -
Conservatism Assumption
States that an amount can be ignored if its effect on the financial
statements is small and not misleading - correct Answers ✔✔ -Materiality
Principle
Once you adopt an accounting principle or method, continue to follow it
consistently in future accounting periods so that the results reported from
