Intuit Bookkeeping Study Material Questions
Exam With Solutions 100% Correct
In bookkeeping, a signed agreement between two parties, used to document money owed,
interest, and payment timeframe is known as what? Promissary Note
Rent for Eternal Summer is $1,200/month , but if it is prepaid , rent is only $12,000 for the year.
If Eternal Summer pays $12,000 on January 1, how would you book this transaction?
Debit prepaid rent for $12,000 and Credit Cash rent for $12,000
Which path would you select in Quickbooks Online to create a sales receipt? New > Sales
Receipt
When creating an invoice in Quickbooks Online, which path would you choose to add a new
customer? Customer > Add New
True or False. The Direct Write-Off method of accounting for "Bad Debt" adheres to the
matching principle False
, Intuit Bookkeeping Study Material Questions
Exam With Solutions 100% Correct
True or False. A perprtual inventory system is one that updates the inventory account at specified
intervals False
The inventory cost flow assumption which supposes that inventory flows through the system
from oldest to newest is defined as what assumption? First In, First Out (FIFO)
True or False. Inventory errors will self-correct after two years (assuming no other errors occur.)
True
True or False. PP&E and expenses are treated the same when it comes to taxes. False
True or False. Depreciation expense is recorded on the balance sheet below PP&E. False
When using QBO software, depreciation expense must be entered as a: Journal Entry
A kind of lease in which ownership of the asset is intended at the end of the lease is called:
A capital lease
Exam With Solutions 100% Correct
In bookkeeping, a signed agreement between two parties, used to document money owed,
interest, and payment timeframe is known as what? Promissary Note
Rent for Eternal Summer is $1,200/month , but if it is prepaid , rent is only $12,000 for the year.
If Eternal Summer pays $12,000 on January 1, how would you book this transaction?
Debit prepaid rent for $12,000 and Credit Cash rent for $12,000
Which path would you select in Quickbooks Online to create a sales receipt? New > Sales
Receipt
When creating an invoice in Quickbooks Online, which path would you choose to add a new
customer? Customer > Add New
True or False. The Direct Write-Off method of accounting for "Bad Debt" adheres to the
matching principle False
, Intuit Bookkeeping Study Material Questions
Exam With Solutions 100% Correct
True or False. A perprtual inventory system is one that updates the inventory account at specified
intervals False
The inventory cost flow assumption which supposes that inventory flows through the system
from oldest to newest is defined as what assumption? First In, First Out (FIFO)
True or False. Inventory errors will self-correct after two years (assuming no other errors occur.)
True
True or False. PP&E and expenses are treated the same when it comes to taxes. False
True or False. Depreciation expense is recorded on the balance sheet below PP&E. False
When using QBO software, depreciation expense must be entered as a: Journal Entry
A kind of lease in which ownership of the asset is intended at the end of the lease is called:
A capital lease
