, TESTBANK FOR QuickBooks Online Basics, Academic Year 2025-2026
Hartley
Important Notes
The file includes the complete test bank, organized chapter by chapter.
A sample of selected pages has been provided for preview.
All available appendices and Excel files (if included in the original resources) are
provided.
We continuously update our files to ensure you receive the latest and most accurate
editions.
New editions are added regularly – stay connected for updates!
⚠️Note on Answer Keys: If the answer key is not included within the chapter
questions, you will find the complete answers and solutions at the end of each
chapter.
✅ Why Buy From Us?
📚 Complete & organized chapter-by-chapter – no missing content, no guessing.
⚡ Instant digital delivery – get your file the moment you pay, no waiting.
📅 Always up to date – we track new editions so you always get the latest version.
💬 Friendly support – real humans ready to help, anytime you need us.
🔒 Safe & secure – thousands of satisfied students trust us every semester.
🛡️Our Guarantees
💰 Money-Back Guarantee: Not satisfied? We offer a full refund – no questions asked.
🔄 Wrong File? No Problem: Contact us and we will replace it immediately with the
correct version, free of charge.
⏰ 24/7 Support: We are always here – reach out anytime and expect a fast response.
,Chapter 1
Getting Started with QuickBooks Online
Name:
Class:
Date:
1. Which term best describes the QuickBooks Online environment?
A. Social network
B. Cloud based
C. Test drive
D. Behind the scenes
2. Where do you back up your QuickBooks Online data files?
A. Your hard drive
B. An external drive or server
C. Accounts and Settings
D. You don’t
3. Dolly uses QuickBooks Online and is upgrading to a new computer. What do you
tell her?
A. You’ll have to reinstall the software and rebuild your company file.
B. Since QuickBooks Online is cloud software, all you have to do is sign in to your
account from the new computer.
C. It’s best to upgrade your system at the end of a fiscal period to ensure the
financial reports remain accurate.
D. Downloading your data will take time, so do it over a long weekend.
4. What is an app?
A. Where transaction and contact information are consolidated
B. The Craig’s Design and Landscaping Services company file
C. A Home page
D. Part of GAAP
QuickBooks Online Page 1 of 5
,Test Bank
5. Why use this icon?
A. To open the apps
B. To switch between cash basis and accrual basis accounting
C. To quickly access the Your Company, Lists, Tools, and Profile menus
D. To access the test drive
6. On the Account and Settings screen, use the _____ tab to include account numbers in
your Chart of Accounts.
A. Company
B. Sales
C. Expenses
D. Advanced
7. What stores information about your accounts, products, and services?
A. Lists
B. It depends on the subscription level.
C. The Gear menu
D. The app
8. What is the basic accounting equation?
A. Accrual = Cash – Liabilities
B. Assets = Liabilities + Equity
C. Liabilities = Equity * Assets
D. Liabilities = Equity + Cash
9. Match each QuickBooks subscription type with the business it’s best suited for.
Simple Start A. Needs recurring invoices or
Essentials accounts
Plus B. Has inventory with FIFO valuation
Advanced C. Has more than 250 accounts
D. Is a cash-based service business
10. Why are GAAP rules and standards important?
A. They are the foundation of QuickBooks.
B. They keep the accounting equation balanced.
C. They ensure organizations follow consistent financial reporting.
D. They prevent a company from going bankrupt.
QuickBooks Online Page 2 of 5
,Test Bank
11. What accounting method records income when it’s received and records an expense
when it’s paid?
A. Assets
B. Cash
C. Expenses
D. Accrual
12. How do you analyze the net worth of a business?
A. Run a profit and loss report.
B. Balance the accounting equation.
C. Determine its equity.
D. Create a balance sheet.
13. What account types are associated with the profit and loss report?
A. Expenses and income
B. Assets and equity
C. Liabilities and expenses
D. Income and assets
14. What accounting method records income when sales are made and records expenses
when the obligation is incurred?
A. Assets
B. Cash
C. Expenses
D. Accrual
15. Match each QuickBooks user interface element with its description.
+ Create menu A. Include Help, Search, and Notifications
Upper-right navigation B. Where you access the Your Company,
tools Lists, Tools, and Profile menus
Gear icon C. Displays a list of transactions grouped by
All Apps Customers, Vendors, Team or Employee,
and Other
D. Gives access to the various apps
QuickBooks Online Page 3 of 5
,Test Bank
16. What is the test drive?
A. The feature on the Advanced tab that allows you to try out customizations
before applying them
B. A free version of the software that allows you try out features without the risk of
negatively impacting your true company file
C. The base subscription level, offering limited features
D. Where you access the mobile version
17. Which statement about using QuickBooks Online on a mobile device is FALSE?
A. Functionality includes the ability to create, view, and email estimates, invoices,
and sales receipts.
B. You can use the device’s camera, phone, and GPS.
C. QuickBooks Online is compatible with Android and iOS devices.
D. For privacy, customer information is not accessible.
18. What can you access from the All Apps navigation bar?
A. The Your Company, Lists, Tools, and Profile menus
B. The various apps
C. Customization options, such as adding a company logo
D. A menu of transactions for customers, vendors, and employees
19. Located at the upper end of the Navigation bar, what does the + Create
button do?
A. Gives access to the Sales & Get Paid, Expenses & Bills, and other apps
B. Sets up recurring transactions
C. Opens a menu of transactions grouped by Customers, Vendors, and Employees
D. Creates a new sample company file in the test drive
20. Identify each account type as being associated with the balance sheet or the profit and
loss (P&L) statement.
Balance P&L
Sheet Statement
A. Asset accounts
B. Expense accounts
C. Equity accounts
D. Income accounts
E. Liability accounts
QuickBooks Online Page 4 of 5
,Test Bank
21. Which QBO subscription levels allow you to track a business’s inventory?
A. Simple Start, Essentials, Plus, and Advanced
B. Essentials, Plus, and Advanced
C. Plus and Advanced
D. Simple Start and Essentials
QuickBooks Online Page 5 of 5
,Chapter 2
Setting Up a New Company File
Name:
Class:
Date:
1. When should you select settings and customizations for your company file?
A. At the time you create the company file
B. As work related to the settings comes up
C. Before the end of the business’s first fiscal year
D. In the second quarter
2. Why is it important to properly set up the Products and Services List?
A. It’s required for a double-entry accounting system
B. To automate accounting and ensure the creation of links to the appropriate
detail and summary reports
C. So QuickBooks can auto-categorize the entries for your business
D. None of these options
3. What is the Chart of Accounts?
A. The list of accounts for each transaction in the accounting system or general
ledger
B. The menu of products and services that the company offers its customers
C. The full list of account numbers associated with the company’s customers and
vendors
D. The balance of each account as of the start date of the business
4. Every transaction requires at least _____ accounts.
A. Four
B. Three
C. Two
D. One
5. Which of these would be an appropriate start date for a business?
A. December 31 of the current year
B. The first day of a period, month, quarter, or year
C. The day of your first expense
D. The day of your first sale
QuickBooks Online Page 1 of 5
,Test Bank
6. What is a historical transaction?
A. A transaction that occurred before the start date of the company
B. A transaction that appears in the company file by default in QuickBooks Online
C. A journal entry
D. A report showing company transactions as of the start date
7. Why can’t you merge an income account with an expense account in the Chart of
Accounts?
A. Expense accounts are not included in the Chart of Accounts.
B. You can only merge accounts that are of the same type.
C. The income account would override the expense account.
D. QuickBooks only supports the unmerging of accounts, not the merging of them.
8. Which statement about historical transactions is FALSE?
A. They typically include a combination of summary totals and individual
transactions.
B. They record investment and asset purchases prior to the start date of the
company.
C. One side of each entry must be an equity account.
D. Because entering journal entries can be tricky, it’s avoided with historical
transactions.
9. What is a product or service linked to?
A. A journal entry
B. The associated uncategorized asset account
C. At least one account in the Chart of Accounts
D. The historical transaction
10. Who controls user access and monitors user activity?
A. Individual users
B. Master Supervisor
C. Comptroller
D. Master Administrator
11. What account type is considered a liability?
A. Fixed Assets
B. Accounts Receivable
C. Bank
D. Accounts Payable
QuickBooks Online Page 2 of 5
, Test Bank
12. Why is the detail type for an account important?
A. It allows you to enter the historical transactions.
B. Most business types require them.
C. They help ensure you choose the correct account.
D. All of these options
13. What is this?
A. Products List
B. Chart of Accounts
C. New company file setup checklist
D. Journal Entry
14. Opening balances are entered:
A. via the Gear menu
B. on the day the expenses were incurred
C. on the Chart of Accounts
D. as a journal entry or directly into the account register
QuickBooks Online Page 3 of 5
Hartley
Important Notes
The file includes the complete test bank, organized chapter by chapter.
A sample of selected pages has been provided for preview.
All available appendices and Excel files (if included in the original resources) are
provided.
We continuously update our files to ensure you receive the latest and most accurate
editions.
New editions are added regularly – stay connected for updates!
⚠️Note on Answer Keys: If the answer key is not included within the chapter
questions, you will find the complete answers and solutions at the end of each
chapter.
✅ Why Buy From Us?
📚 Complete & organized chapter-by-chapter – no missing content, no guessing.
⚡ Instant digital delivery – get your file the moment you pay, no waiting.
📅 Always up to date – we track new editions so you always get the latest version.
💬 Friendly support – real humans ready to help, anytime you need us.
🔒 Safe & secure – thousands of satisfied students trust us every semester.
🛡️Our Guarantees
💰 Money-Back Guarantee: Not satisfied? We offer a full refund – no questions asked.
🔄 Wrong File? No Problem: Contact us and we will replace it immediately with the
correct version, free of charge.
⏰ 24/7 Support: We are always here – reach out anytime and expect a fast response.
,Chapter 1
Getting Started with QuickBooks Online
Name:
Class:
Date:
1. Which term best describes the QuickBooks Online environment?
A. Social network
B. Cloud based
C. Test drive
D. Behind the scenes
2. Where do you back up your QuickBooks Online data files?
A. Your hard drive
B. An external drive or server
C. Accounts and Settings
D. You don’t
3. Dolly uses QuickBooks Online and is upgrading to a new computer. What do you
tell her?
A. You’ll have to reinstall the software and rebuild your company file.
B. Since QuickBooks Online is cloud software, all you have to do is sign in to your
account from the new computer.
C. It’s best to upgrade your system at the end of a fiscal period to ensure the
financial reports remain accurate.
D. Downloading your data will take time, so do it over a long weekend.
4. What is an app?
A. Where transaction and contact information are consolidated
B. The Craig’s Design and Landscaping Services company file
C. A Home page
D. Part of GAAP
QuickBooks Online Page 1 of 5
,Test Bank
5. Why use this icon?
A. To open the apps
B. To switch between cash basis and accrual basis accounting
C. To quickly access the Your Company, Lists, Tools, and Profile menus
D. To access the test drive
6. On the Account and Settings screen, use the _____ tab to include account numbers in
your Chart of Accounts.
A. Company
B. Sales
C. Expenses
D. Advanced
7. What stores information about your accounts, products, and services?
A. Lists
B. It depends on the subscription level.
C. The Gear menu
D. The app
8. What is the basic accounting equation?
A. Accrual = Cash – Liabilities
B. Assets = Liabilities + Equity
C. Liabilities = Equity * Assets
D. Liabilities = Equity + Cash
9. Match each QuickBooks subscription type with the business it’s best suited for.
Simple Start A. Needs recurring invoices or
Essentials accounts
Plus B. Has inventory with FIFO valuation
Advanced C. Has more than 250 accounts
D. Is a cash-based service business
10. Why are GAAP rules and standards important?
A. They are the foundation of QuickBooks.
B. They keep the accounting equation balanced.
C. They ensure organizations follow consistent financial reporting.
D. They prevent a company from going bankrupt.
QuickBooks Online Page 2 of 5
,Test Bank
11. What accounting method records income when it’s received and records an expense
when it’s paid?
A. Assets
B. Cash
C. Expenses
D. Accrual
12. How do you analyze the net worth of a business?
A. Run a profit and loss report.
B. Balance the accounting equation.
C. Determine its equity.
D. Create a balance sheet.
13. What account types are associated with the profit and loss report?
A. Expenses and income
B. Assets and equity
C. Liabilities and expenses
D. Income and assets
14. What accounting method records income when sales are made and records expenses
when the obligation is incurred?
A. Assets
B. Cash
C. Expenses
D. Accrual
15. Match each QuickBooks user interface element with its description.
+ Create menu A. Include Help, Search, and Notifications
Upper-right navigation B. Where you access the Your Company,
tools Lists, Tools, and Profile menus
Gear icon C. Displays a list of transactions grouped by
All Apps Customers, Vendors, Team or Employee,
and Other
D. Gives access to the various apps
QuickBooks Online Page 3 of 5
,Test Bank
16. What is the test drive?
A. The feature on the Advanced tab that allows you to try out customizations
before applying them
B. A free version of the software that allows you try out features without the risk of
negatively impacting your true company file
C. The base subscription level, offering limited features
D. Where you access the mobile version
17. Which statement about using QuickBooks Online on a mobile device is FALSE?
A. Functionality includes the ability to create, view, and email estimates, invoices,
and sales receipts.
B. You can use the device’s camera, phone, and GPS.
C. QuickBooks Online is compatible with Android and iOS devices.
D. For privacy, customer information is not accessible.
18. What can you access from the All Apps navigation bar?
A. The Your Company, Lists, Tools, and Profile menus
B. The various apps
C. Customization options, such as adding a company logo
D. A menu of transactions for customers, vendors, and employees
19. Located at the upper end of the Navigation bar, what does the + Create
button do?
A. Gives access to the Sales & Get Paid, Expenses & Bills, and other apps
B. Sets up recurring transactions
C. Opens a menu of transactions grouped by Customers, Vendors, and Employees
D. Creates a new sample company file in the test drive
20. Identify each account type as being associated with the balance sheet or the profit and
loss (P&L) statement.
Balance P&L
Sheet Statement
A. Asset accounts
B. Expense accounts
C. Equity accounts
D. Income accounts
E. Liability accounts
QuickBooks Online Page 4 of 5
,Test Bank
21. Which QBO subscription levels allow you to track a business’s inventory?
A. Simple Start, Essentials, Plus, and Advanced
B. Essentials, Plus, and Advanced
C. Plus and Advanced
D. Simple Start and Essentials
QuickBooks Online Page 5 of 5
,Chapter 2
Setting Up a New Company File
Name:
Class:
Date:
1. When should you select settings and customizations for your company file?
A. At the time you create the company file
B. As work related to the settings comes up
C. Before the end of the business’s first fiscal year
D. In the second quarter
2. Why is it important to properly set up the Products and Services List?
A. It’s required for a double-entry accounting system
B. To automate accounting and ensure the creation of links to the appropriate
detail and summary reports
C. So QuickBooks can auto-categorize the entries for your business
D. None of these options
3. What is the Chart of Accounts?
A. The list of accounts for each transaction in the accounting system or general
ledger
B. The menu of products and services that the company offers its customers
C. The full list of account numbers associated with the company’s customers and
vendors
D. The balance of each account as of the start date of the business
4. Every transaction requires at least _____ accounts.
A. Four
B. Three
C. Two
D. One
5. Which of these would be an appropriate start date for a business?
A. December 31 of the current year
B. The first day of a period, month, quarter, or year
C. The day of your first expense
D. The day of your first sale
QuickBooks Online Page 1 of 5
,Test Bank
6. What is a historical transaction?
A. A transaction that occurred before the start date of the company
B. A transaction that appears in the company file by default in QuickBooks Online
C. A journal entry
D. A report showing company transactions as of the start date
7. Why can’t you merge an income account with an expense account in the Chart of
Accounts?
A. Expense accounts are not included in the Chart of Accounts.
B. You can only merge accounts that are of the same type.
C. The income account would override the expense account.
D. QuickBooks only supports the unmerging of accounts, not the merging of them.
8. Which statement about historical transactions is FALSE?
A. They typically include a combination of summary totals and individual
transactions.
B. They record investment and asset purchases prior to the start date of the
company.
C. One side of each entry must be an equity account.
D. Because entering journal entries can be tricky, it’s avoided with historical
transactions.
9. What is a product or service linked to?
A. A journal entry
B. The associated uncategorized asset account
C. At least one account in the Chart of Accounts
D. The historical transaction
10. Who controls user access and monitors user activity?
A. Individual users
B. Master Supervisor
C. Comptroller
D. Master Administrator
11. What account type is considered a liability?
A. Fixed Assets
B. Accounts Receivable
C. Bank
D. Accounts Payable
QuickBooks Online Page 2 of 5
, Test Bank
12. Why is the detail type for an account important?
A. It allows you to enter the historical transactions.
B. Most business types require them.
C. They help ensure you choose the correct account.
D. All of these options
13. What is this?
A. Products List
B. Chart of Accounts
C. New company file setup checklist
D. Journal Entry
14. Opening balances are entered:
A. via the Gear menu
B. on the day the expenses were incurred
C. on the Chart of Accounts
D. as a journal entry or directly into the account register
QuickBooks Online Page 3 of 5
