INTUIT BOOKKEEPING EXAM
QUESTIONS & ANSWERS 2025 LATEST
UPDATE
Four Key Elements of Bookkeeping Ethics - ANSWER Honesty, Objectivity,
Confidentiality and Professionalism
What is DEALER - ANSWER Dividends + Expenses + Assets = Liabilities + Owner's
Equity (beginning) + Revenue
What's is the accounting Equation? - ANSWER Assets = Liabilities + Equity
Profit and Loss statement. Shows the company's revenues and expenses during a
particular period - ANSWER The Income Statement
A financial statement that reports a company's assets, liabilities, and equity at a specific
point in time - ANSWER The Balance Sheet
Reports the changes in company equity, from the opening balance to the end of the
period balance. - ANSWER The Statement of Equity
Reports the sources and uses of cash by a business - ANSWER The Statement of
Cash Flow
Accounting Cycle - ANSWER 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 - ANSWER Sales Receipt
If customers does not pay at the time of sale you must enter it as a - ANSWER Invoice
Once and customer has paid an invoice it goes to - ANSWER Receive payment
Receive payment and sales receipt are followed by - ANSWER Bank deposit
Step 4 of The Accounting Cycle: Preparing adjusted entries includes - ANSWER
Deferrals, Accruals, Missing Transactions, and Tax Adjustments
Removing transactions that belong to a different period - ANSWER Deferral
, Opposite of deferral. Concern future payments or expenses - ANSWER 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 - ANSWER 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. - ANSWER
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 - ANSWER Full
Disclosure Principle
A combo of cash-basis and accrual methods - ANSWER Hybrid Accounting
Things your company owns that you can easily convert to cash and expect to do so
within the next 12 months - ANSWER Currents Assets
Things your company owns that you expect to have for more than 12 months -
ANSWER Long-term Assets
The total you get when adding all current assets and all long-term assets. This should
equal Total Liabilities+Toal Equity - ANSWER Total Assets
A physical asset, such as inventory, vehicle, or a building - ANSWER Tangible Asset
Not a physical asset. Examples would be a copyright, patent, or brand recoginition -
ANSWER Intangible Asset
A signed document containing a written promise to pay a stated sum to a specified
person or bearer at a specified ate or on-demand - ANSWER Promissory Note
Notes Receivable - ANSWER A current or non-current asset
Notes Payable - ANSWER A current or non-current liability
Interest Equation - ANSWER Principle x Interest (mulitply by 30/365 to find day)
Receivables, loans, or other debits that have virtually no chance of being paid -
ANSWER Accounts Uncollectible
An expense that a business incurs once the repayment of credit previously extended to
a customer is estimated to be uncollectible - ANSWER Bad Debt
QUESTIONS & ANSWERS 2025 LATEST
UPDATE
Four Key Elements of Bookkeeping Ethics - ANSWER Honesty, Objectivity,
Confidentiality and Professionalism
What is DEALER - ANSWER Dividends + Expenses + Assets = Liabilities + Owner's
Equity (beginning) + Revenue
What's is the accounting Equation? - ANSWER Assets = Liabilities + Equity
Profit and Loss statement. Shows the company's revenues and expenses during a
particular period - ANSWER The Income Statement
A financial statement that reports a company's assets, liabilities, and equity at a specific
point in time - ANSWER The Balance Sheet
Reports the changes in company equity, from the opening balance to the end of the
period balance. - ANSWER The Statement of Equity
Reports the sources and uses of cash by a business - ANSWER The Statement of
Cash Flow
Accounting Cycle - ANSWER 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 - ANSWER Sales Receipt
If customers does not pay at the time of sale you must enter it as a - ANSWER Invoice
Once and customer has paid an invoice it goes to - ANSWER Receive payment
Receive payment and sales receipt are followed by - ANSWER Bank deposit
Step 4 of The Accounting Cycle: Preparing adjusted entries includes - ANSWER
Deferrals, Accruals, Missing Transactions, and Tax Adjustments
Removing transactions that belong to a different period - ANSWER Deferral
, Opposite of deferral. Concern future payments or expenses - ANSWER 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 - ANSWER 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. - ANSWER
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 - ANSWER Full
Disclosure Principle
A combo of cash-basis and accrual methods - ANSWER Hybrid Accounting
Things your company owns that you can easily convert to cash and expect to do so
within the next 12 months - ANSWER Currents Assets
Things your company owns that you expect to have for more than 12 months -
ANSWER Long-term Assets
The total you get when adding all current assets and all long-term assets. This should
equal Total Liabilities+Toal Equity - ANSWER Total Assets
A physical asset, such as inventory, vehicle, or a building - ANSWER Tangible Asset
Not a physical asset. Examples would be a copyright, patent, or brand recoginition -
ANSWER Intangible Asset
A signed document containing a written promise to pay a stated sum to a specified
person or bearer at a specified ate or on-demand - ANSWER Promissory Note
Notes Receivable - ANSWER A current or non-current asset
Notes Payable - ANSWER A current or non-current liability
Interest Equation - ANSWER Principle x Interest (mulitply by 30/365 to find day)
Receivables, loans, or other debits that have virtually no chance of being paid -
ANSWER Accounts Uncollectible
An expense that a business incurs once the repayment of credit previously extended to
a customer is estimated to be uncollectible - ANSWER Bad Debt
