Deck 2: Customizing Quickbooks and the Chart of Accounts

Question 1

How may you customize QuickBooks to fit your specific needs?

A)Make changes to the Chart of Accounts.
B)Purchase one of the various QuickBooks editions.
C)Enable security access to QuickBooks files.
D)All of these

Answer 1

D

Question 2

The Income Statement:

A)lists the accounts and account numbers
B)lists a company's assets
C)summarizes what a company owns and what it owes
D)reports the results of a company's operations, listing income and expenses for a period of time

Answer 2

D

Question 3

What does the Chart of Accounts list?

A)Assets, liabilities and owner's equity accounts
B)Income and expense accounts
C)Owner's contributions
D)All of these

Answer 3

D

Question 4

What is the purpose of a non-posting account?

A)To calculate income.
B)To track information necessary to the accounting information system.
C)To calculate expenses.
D)To identify owner's equity.

Question 5

A Mortgage Payable account:

A)Has real estate as collateral
B)Is identical to a Loan Payable account
C)Is a type of Owner's Equity account
D)None of these

Question 6

To add a new account to the Chart of Accounts:

A)Display the Chart of Accounts, select Account, New
B)From the Company menu, select New Account
C)From the Home page, select New Account
D)From the Lists menu, select New Account

Question 7

Non-posting accounts:

A)Track information required for the accounting system
B)Do not appear on the Balance Sheet
C)Do not appear on the Income Statement
D)All of these

Question 8

What are assets?

A)Resources that a company owns with future benefit
B)Net worth of a company
C)Amounts paid to owners
D)Amounts owed to others and are future obligations

Question 9

Which of the following is a temporary account?

A)Sales
B)Inventory
C)Accounts Payable
D)Accounts Receivable

Question 10

Balance Sheet accounts are also called:

A)permanent accounts
B)temporary accounts
C)equity accounts
D)None of these

Question 11

Which QuickBooks version is designed for small businesses that have industry specific needs?

A)QuickBooks Pro
B)QuickBooks Premier
C)QuickBooks Accountant
D)QuickBooks Enterprise Solutions

Question 12

Which QuickBooks version is designed for mid-sized businesses?

A)QuickBooks Pro
B)QuickBooks Premier
C)QuickBooks Accountant
D)QuickBooks Enterprise Solutions

Question 13

Which QuickBooks version is designed for small businesses without industry specific needs?

A)QuickBooks Pro
B)QuickBooks Premier
C)QuickBooks Accountant
D)QuickBooks Enterprise Solutions

Question 14

An example of a non-posting account is ________.

A)Employee Expense
B)Inventory
C)Purchase Orders Account
D)Accounts Payable

Question 15

How do you access the screen to add a user and password?

A)Company menu > Set Up Users and Passwords > Set Up Users
B)Employees > Employee Center
C)Edit menu > Preferences > Employees
D)Company menu > Company Information

Question 16

Which account below is not an Expense account?

A)Utilities
B)Rent
C)Accounts Payable
D)Advertising

Question 17

Which of the following is not an income account?

A)Revenue
B)Interest Revenue
C)Rent Expense
D)Gain on sale

Question 18

Which of the following is considered a permanent account?

A)Income Statement accounts
B)Balance Sheet accounts
C)All of these
D)None of these

Question 19

To Re-sort the Chart of Accounts, first display the Chart of Accounts window, then:

A)Click on the Company heading bar
B)Click Account > Re-sort List
C)Click File > Sort
D)Right click Sort by Name

Question 20

Income Statement accounts are also called:

A)equity accounts
B)temporary accounts
C)permanent accounts
D)None of these

Question 21

Briefly explain the purpose and benefits of using a password for QuickBooks access.

Question 22

What is a liability?

A)Inventory
B)An amount a company owes
C)A resource a company owns
D)None of these

Question 23

The Favorites menu allows you to:

A)Add websites that are useful to your business
B)Customize up to 30 of your favorite QuickBooks menu items
C)Add one favorite QuickBooks menu item
D)None of these

Question 24

What does the QuickBooks Company Snapshot provide?

Question 25

What is an asset?

A)Mortgage payable
B)Notes Receivable
C)An amount a company owes
D)None of these

Question 26

Which of the following increases owner's equity?

A)Dividends
B)Business losses
C)Business expenses
D)Business profits

Question 27

How do you access the Statement of Cash Flows report?

A)Report Center icon > Banking
B)Report Center icon > Company & Financial
C)Report Center icon > Accountant & Taxes
D)Company menu > Company Information

Question 28

What feature helps you track tasks and due dates?

A)Control
B)Charting
C)Calendar
D)All of these

Question 29

The different types of business ownership are:

A)Sole proprietorship
B)Partnership
C)Corporation
D)All of these