PROADVISOR CERTIFICATION PREP EXAM QUESTIONS AND
ANSWERS (VERIFIED AND WELL DETAILED ANSWERS) LATEST
UPDATE 2025/2026
When are 2 times you might use the Setup screen in the Books review feature? -
CORRECT ANSWER When changing chart of account names
When making adjustments to balance sheet account balances during the clean up
process
Your client wants to know if their future revenues and expenses will support them
in adding a new product line. You are recommending that they set a budget.
For which 3 of the following accounts can they set a budget?
Petty Cash
Sales Income
Cost of Goods Sold
Travel Expense
Accumulated Depreciation
Inventory - CORRECT ANSWER
Your client needs a QuickBooks Online solution that includes tracking for:
Sales
Sales tax
Inventory - CORRECT ANSWER Plus
Can users with the right permissions in a client-paid subscription add QuickBooks
Online Payroll or QuickBooks Time to their QuickBooks Online company? -
,CORRECT ANSWER Yes, by going to the Billing & subscription section in
Account and Settings
You need to add a gift basket with a collection of beauty products to your client's
list of products and services.
Which item type would you assign this to in QuickBooks Online? - CORRECT
ANSWER Bundle
Which 3 of these can a Company admin user do in QuickBooks Online?
Change their user level to Primary admin
Add new Primary admin users
Change the QuickBooks Online subscription
Manage existing users
Access the client's other products, such as QuickBooks Payroll and QuickBooks
Payments - CORRECT ANSWER Access the client's other products, such as
QuickBooks Payroll and QuickBooks Payments
Change the QuickBooks Online subscription
Manage existing users
Where would you go to view a list of customer statements sent out in the current
month? - CORRECT ANSWER Reports center > Statement List report
What 4 pieces of information does QuickBooks Online with Automated sales tax
use to calculate sales tax on an invoice?
The customer's payment terms
The customer's sales tax status
The quantity of the product or service still on hand
The tax category for the product or service
,The location of the sale
The state where the company's registered - CORRECT ANSWER The customer's
sales tax status
The tax category for the product or service
The location of the sale
The state where the company's registered
Which 3 of these statements are true about the "Forward from email" option?
Users can only include one bill or receipt in one email
Multiple users can forward bills and receipts to the same custom email address
There's only one custom email address per QuickBooks Online company that can
be used to receive bills and receipts
Only PDF-format bills and receipts can be forwarded
Only company users with at least standard access with vendor permission can
forward bills to the custom email address - CORRECT ANSWER Only company
users with at least standard access with vendor permission can forward bills to the
custom email address
Multiple users can forward bills and receipts to the same custom email address
There's only one custom email address per QuickBooks Online company that can
be used to receive bills and receipts
Which 2 of these common issues does the Pay down credit card feature help to
resolve?
Duplicate entries
Payments categorized to the wrong account
Payments being recorded as paid by check
, Payments being recorded as an expense on the balance sheet - CORRECT
ANSWER Duplicate entries
Payments categorized to the wrong account
What should you do if you notice a duplicate transaction in the bank feed? -
CORRECT ANSWER Exclude the transaction
What is the Undeposited Funds account (also called Payments to deposit)?Select
the correct option from the dropdown.
The Undeposited Funds (or Payments to deposit) account is meant to be a
Select answer
holding account that tracks payments received from customers that
Select answer
been deposited to your client's bank account. Its main purpose is to make
reconciliation easier by
Select answer
. - CORRECT ANSWER Temporary
Have Not
Combining Multiple Transactions into a single record
Which 3 statements about how QuickBooks Online applies bank rules are true?
Only one rule is applied per bank activity
Credit rules are applied before debit rules
The first rule that fits a bank activity is the one applied
All rules are applied to each bank activity
ANSWERS (VERIFIED AND WELL DETAILED ANSWERS) LATEST
UPDATE 2025/2026
When are 2 times you might use the Setup screen in the Books review feature? -
CORRECT ANSWER When changing chart of account names
When making adjustments to balance sheet account balances during the clean up
process
Your client wants to know if their future revenues and expenses will support them
in adding a new product line. You are recommending that they set a budget.
For which 3 of the following accounts can they set a budget?
Petty Cash
Sales Income
Cost of Goods Sold
Travel Expense
Accumulated Depreciation
Inventory - CORRECT ANSWER
Your client needs a QuickBooks Online solution that includes tracking for:
Sales
Sales tax
Inventory - CORRECT ANSWER Plus
Can users with the right permissions in a client-paid subscription add QuickBooks
Online Payroll or QuickBooks Time to their QuickBooks Online company? -
,CORRECT ANSWER Yes, by going to the Billing & subscription section in
Account and Settings
You need to add a gift basket with a collection of beauty products to your client's
list of products and services.
Which item type would you assign this to in QuickBooks Online? - CORRECT
ANSWER Bundle
Which 3 of these can a Company admin user do in QuickBooks Online?
Change their user level to Primary admin
Add new Primary admin users
Change the QuickBooks Online subscription
Manage existing users
Access the client's other products, such as QuickBooks Payroll and QuickBooks
Payments - CORRECT ANSWER Access the client's other products, such as
QuickBooks Payroll and QuickBooks Payments
Change the QuickBooks Online subscription
Manage existing users
Where would you go to view a list of customer statements sent out in the current
month? - CORRECT ANSWER Reports center > Statement List report
What 4 pieces of information does QuickBooks Online with Automated sales tax
use to calculate sales tax on an invoice?
The customer's payment terms
The customer's sales tax status
The quantity of the product or service still on hand
The tax category for the product or service
,The location of the sale
The state where the company's registered - CORRECT ANSWER The customer's
sales tax status
The tax category for the product or service
The location of the sale
The state where the company's registered
Which 3 of these statements are true about the "Forward from email" option?
Users can only include one bill or receipt in one email
Multiple users can forward bills and receipts to the same custom email address
There's only one custom email address per QuickBooks Online company that can
be used to receive bills and receipts
Only PDF-format bills and receipts can be forwarded
Only company users with at least standard access with vendor permission can
forward bills to the custom email address - CORRECT ANSWER Only company
users with at least standard access with vendor permission can forward bills to the
custom email address
Multiple users can forward bills and receipts to the same custom email address
There's only one custom email address per QuickBooks Online company that can
be used to receive bills and receipts
Which 2 of these common issues does the Pay down credit card feature help to
resolve?
Duplicate entries
Payments categorized to the wrong account
Payments being recorded as paid by check
, Payments being recorded as an expense on the balance sheet - CORRECT
ANSWER Duplicate entries
Payments categorized to the wrong account
What should you do if you notice a duplicate transaction in the bank feed? -
CORRECT ANSWER Exclude the transaction
What is the Undeposited Funds account (also called Payments to deposit)?Select
the correct option from the dropdown.
The Undeposited Funds (or Payments to deposit) account is meant to be a
Select answer
holding account that tracks payments received from customers that
Select answer
been deposited to your client's bank account. Its main purpose is to make
reconciliation easier by
Select answer
. - CORRECT ANSWER Temporary
Have Not
Combining Multiple Transactions into a single record
Which 3 statements about how QuickBooks Online applies bank rules are true?
Only one rule is applied per bank activity
Credit rules are applied before debit rules
The first rule that fits a bank activity is the one applied
All rules are applied to each bank activity
