Intuit Bookkeeping Exam questions and answers rated A+ by experts 2024/2025

Intuit
Bookkeeping
Exam
Four
Key
Elements
of
Bookkeeping
Ethics
-
ANSHonesty,
Objectivity,
Confidentiality
and
Professionalism
What
is
DEALER
-
ANSDividends
+
Expenses
+
Assets
=
Liabilities
+
Owner's
Equity
(beginning)
+
Revenue
What's
is
the
accounting
Equation?
-
ANSAssets
=
Liabilities
+
Equity
Profit
and
Loss
statement.
Shows
the
company's
revenues
and
expenses
during
a
particular
period
-
ANSThe
Income
Statement
A
financial
statement
that
reports
a
company's
assets,
liabilities,
and
equity
at
a
specific
point
in
time
-
ANSThe
Balance
Sheet
Reports
the
changes
in
company
equity,
from
the
opening
balance
to
the
end
of
the
period
balance.
-
ANSThe
Statement
of
Equity
Reports
the
sources
and
uses
of
cash
by
a
business
-
ANSThe
Statement
of
Cash
Flow
Accounting
Cycle
-
ANS1.
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
-
ANSSales
Receipt
If
customers
does
not
pay
at
the
time
of
sale
you
must
enter
it
as
a
-
ANSInvoice
Once
and
customer
has
paid
an
invoice
it
goes
to
-
ANSReceive
payment
Receive
payment
and
sales
receipt
are
followed
by
-
ANSBank
deposit
Step
4
of
The
Accounting
Cycle:
Preparing
adjusted
entries
includes
-
ANSDeferrals,
Accruals,
Missing
Transactions,
and
Tax
Adjustments
Removing
transactions
that
belong
to
a
different
period
-
ANSDeferral
Opposite
of
deferral.
Concern
future
payments
or
expenses
-
ANSAccruals
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
-
ANSEconomic
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.
-
ANSReliability
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
-
ANSFull
Disclosure
Principle
When
choosing
between
two
solutions,
the
one
that
will
be
least
likely
to
overstate
assets
and
income
should
be
selected.
-
ANSConservatism
Assumption
States
that
an
amount
can
be
ignored
if
its
effect
on
the
financial
statements
is
small
and
not
misleading
-
ANSMateriality
Principle
Once
you
adopt
an
accounting
principle
or
method,
continue
to
follow
it
consistently
in
future
accounting
periods
so
that
the
results
reported
from
period
to
period
are
comparable
-
ANSConsistency
Principle
One
currency
is
used
throughout
all
accounting
activities.
In
the
US
the
dollar
is
the
currency
used
in
accounting.
When
this
currency
is
used,
inflation
is
not
a
consideration
in
recording
finances
-
ANSMonetary
Unit
Assumption
Refers
to
a
business
that
is
stable
enough
to
operate
and
meet
its
obligation
for
the
future
-
ANSGoing
Concern
Assumption
Revenue
is
recognized
when
payment
is
received
and
expenses
are
recognized
when
paid
out
-
ANSCash-Basis
Account
Method
Revenues
are
reported
when
they
are
earned
and
expenses
are
reported
when
they
are
incurred
-
ANSAccrual
Method
of
Accounting
A
combo
of
cash-basis
and
accrual
methods
-
ANSHybrid
Accounting
Things
your
company
owns
that
you
can
easily
convert
to
cash
and
expect
to
do
so
within
the
next
12
months
-
ANSCurrents
Assets
Things
your
company
owns
that
you
expect
to
have
for
more
than
12
months
-
ANSLong-term
Assets
The
total
you
get
when
adding
all
current
assets
and
all
long-term
assets.
This
should
equal
Total
Liabilities+Toal
Equity
-
ANSTotal
Assets
A
physical
asset,
such
as
inventory,
vehicle,
or
a
building
-
ANSTangible
Asset
Not
a
physical
asset.
Examples
would
be
a
copyright,
patent,
or
brand
recoginition
-
ANSIntangible
Asset