Intuit Bookkeeping Newest Actual Exam
Complete Questions with Verified Correct
Detailed Answers latest update 2025
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 ---
correct precise answers ---Promissory Note
Notes Receivable --- correct precise answers ---A current or non-
current asset
Notes Payable --- correct precise answers ---A current or non-current
liability
Interest Equation --- correct precise answers ---Principle x Interest
(mulitply by 30/365 to find day)
Receivables, loans, or other debits that have virtually no chance of
being paid --- correct precise answers ---Accounts Uncollectible
,An expense that a business incurs once the repayment of credit
previously extended to a customer is estimated to be uncollectible ---
correct precise answers ---Bad Debt
A bad debt is charged to expense as soon as it is apparent that an
invoice will not be paid. This is easier for business owners. --- correct
precise answers ---Direct Write-Off Method
An estimate of the future amount of bad debt is charged to a reserve
account as soon as a sale is made. This is more accurate but complex -
-- correct precise answers ---Allowance Method
A contra-asset account that has a natural credit balance. Balances
decrease with debits and increase with credits --- correct precise
answers ---Accumulated Depreciation Account
An expense account on the income statement showing the cost of
merchandise to the business --- correct precise answers ---Cost of
Goods Sold (COGS)
An inventory system that continuously update the inventory account --
- correct precise answers ---Perpetual
, An inventory system that updates the inventory account only at
specified intervals --- correct precise answers ---Periodic
Inventory Cost Flows --- correct precise answers ---FIFO, LIFO, and
Average Cost
First-In, First-Out (FIFO) --- correct precise answers ---Method to
assign cost to inventory that assumes items are sold in the order
acquired; earliest items purchased are the first sold.
Last in, First out (LIFO) --- correct precise answers ---Method to
assign cost to inventory that assumes costs for the most recent items
purchased are sold first and charged to cost of goods sold.
Average Cost --- correct precise answers ---All items in the inventory
are priced at their average cost
Closing Inventory --- correct precise answers ---Closing
Inventory=Cost of Goods Available- COGS
COGS equation --- correct precise answers ---BI(Beginning Inventory)
+ COGP (Cost of Goods Purchased) - EI (Ending Inventory) = COGS
Complete Questions with Verified Correct
Detailed Answers latest update 2025
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 ---
correct precise answers ---Promissory Note
Notes Receivable --- correct precise answers ---A current or non-
current asset
Notes Payable --- correct precise answers ---A current or non-current
liability
Interest Equation --- correct precise answers ---Principle x Interest
(mulitply by 30/365 to find day)
Receivables, loans, or other debits that have virtually no chance of
being paid --- correct precise answers ---Accounts Uncollectible
,An expense that a business incurs once the repayment of credit
previously extended to a customer is estimated to be uncollectible ---
correct precise answers ---Bad Debt
A bad debt is charged to expense as soon as it is apparent that an
invoice will not be paid. This is easier for business owners. --- correct
precise answers ---Direct Write-Off Method
An estimate of the future amount of bad debt is charged to a reserve
account as soon as a sale is made. This is more accurate but complex -
-- correct precise answers ---Allowance Method
A contra-asset account that has a natural credit balance. Balances
decrease with debits and increase with credits --- correct precise
answers ---Accumulated Depreciation Account
An expense account on the income statement showing the cost of
merchandise to the business --- correct precise answers ---Cost of
Goods Sold (COGS)
An inventory system that continuously update the inventory account --
- correct precise answers ---Perpetual
, An inventory system that updates the inventory account only at
specified intervals --- correct precise answers ---Periodic
Inventory Cost Flows --- correct precise answers ---FIFO, LIFO, and
Average Cost
First-In, First-Out (FIFO) --- correct precise answers ---Method to
assign cost to inventory that assumes items are sold in the order
acquired; earliest items purchased are the first sold.
Last in, First out (LIFO) --- correct precise answers ---Method to
assign cost to inventory that assumes costs for the most recent items
purchased are sold first and charged to cost of goods sold.
Average Cost --- correct precise answers ---All items in the inventory
are priced at their average cost
Closing Inventory --- correct precise answers ---Closing
Inventory=Cost of Goods Available- COGS
COGS equation --- correct precise answers ---BI(Beginning Inventory)
+ COGP (Cost of Goods Purchased) - EI (Ending Inventory) = COGS
