Computer Accounting with QuickBooks 2018, 18e Donna Kay (Test Bank All Chapters, 100% Original Verified, A+ Grade) Ch 12 and 14 Are Missing Computer Accounting with QuickBooks 2018 (Kay) Chapter 1 QuickBooks Quick Tour: Navigation and Settings 1) In the Company section of the Home Page, you can: A) Pay bills B) Record deposits C) View the Chart of Accounts D) Enter invoices Answer: C Difficulty: 2 Medium Learning Objective: 01-06 QuickBooks Home Page Accessibility: Keyboard Navigation Gradable: automatic 2) In QuickBooks, how do you enter transaction information? A) Onscreen forms and QuickBooks reports B) Onscreen Journal and QuickBooks reports C) Onscreen Journal and onscreen forms D) None of the choices are correct Answer: C Difficulty: 2 Medium Learning Objective: 01-01 Install QuickBooks Accessibility: Keyboard Navigation Gradable: automatic 3) All of the following are one of the four main categories of transactions in QuickBooks except? A) Customers and sales B) Vendors and expenses C) Chart of Accounts D) Banking Answer: C Difficulty: 2 Medium Learning Objective: 01-06 QuickBooks Home Page Accessibility: Keyboard Navigation Gradable: automatic
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4) Ways to navigate QuickBooks include: A) Menus B) Icon Bar C) Home Page D) All of the choices are correct Answer: D Difficulty: 1 Easy Learning Objective: 01-05 QuickBooks Navigation Accessibility: Keyboard Navigation Gradable: automatic 5) Which of the following tasks can be completed in the Vendor section of the Home page? A) Create Invoices B) Create Estimates C) Receive Inventory D) Receive Payments Answer: C Difficulty: 1 Easy Learning Objective: 01-05 QuickBooks Navigation Accessibility: Keyboard Navigation Gradable: automatic 6) The Chart of Accounts can be accessed from which section of the Home page? A) Customer B) Banking C) Company D) Vendor Answer: C Difficulty: 1 Easy Learning Objective: 01-05 QuickBooks Navigation Accessibility: Keyboard Navigation Gradable: automatic
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7) To change a company name in QuickBooks, select the following from the My Shortcuts on the Navigation (Icon) Bar: A) Company > Preferences B) My Company > Edit C) Home > Edit > Preferences D) None of the choices are correct Answer: B Difficulty: 1 Easy Learning Objective: 01-03 Restore a QuickBooks File Accessibility: Keyboard Navigation Gradable: automatic 8) Which of the following file types identifies a QuickBooks Backup file? A) QBM B) QBW C) QBB D) QBX Answer: C Difficulty: 1 Easy Learning Objective: 01-12 Restore QuickBooks File Options Accessibility: Keyboard Navigation Gradable: automatic 9) Which one of the following activities is associated with the Customer section of the Home page? A) Pay sales tax B) Enter bills C) Create invoices D) Record inventory received Answer: C Difficulty: 1 Easy Learning Objective: 01-05 QuickBooks Navigation Accessibility: Keyboard Navigation Gradable: automatic
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10) The Home page in QuickBooks consists of all the following sections except: A) Employee B) Lists C) Customer D) Vendor Answer: B Difficulty: 1 Easy Learning Objective: 01-05 QuickBooks Navigation Accessibility: Keyboard Navigation Gradable: automatic 11) Which of the following tasks is completed from the Banking section of the Home Page? A) Pay employees B) Record deposits C) Enter bills D) Record payments received from customers Answer: B Difficulty: 2 Medium Learning Objective: 01-06 QuickBooks Home Page Accessibility: Keyboard Navigation Gradable: automatic 12) Accounting information is used to do all of the following except: A) Prepare financial statements for investors B) Prepare tax returns for the IRS C) Prepare reports for management D) Prepare meeting minutes for the board of directors Answer: D Difficulty: 2 Medium Accessibility: Keyboard Navigation Gradable: automatic 13) Most accounting systems consist of which of the following components: A) Input B) Processing C) Output D) All of the choices are correct Answer: D Difficulty: 1 Easy Learning Objective: 01-14 Accounting Essentials: Accounting Systems Accessibility: Keyboard Navigation Gradable: automatic 4 Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
14) A business transaction is an exchange between the QuickBooks company and: A) Vendor B) Employee C) Customer D) All of the choices are correct Answer: D Difficulty: 1 Easy Accessibility: Keyboard Navigation Gradable: automatic 15) Which type of QuickBooks data file allows you to enter data and transactions? A) QBM B) QBB C) QBW D) QBX Answer: C Difficulty: 2 Medium Learning Objective: 01-12 Restore QuickBooks File Options; 01-11 Back Up QuickBooks Files Accessibility: Keyboard Navigation Gradable: automatic 16) Which financial statement below summarizes the financial position of a company? A) Statement of Cash Flows B) Profit & Loss Statement C) Income Statement D) Balance Sheet Answer: D Difficulty: 1 Easy Learning Objective: 01-09 QuickBooks Reports Accessibility: Keyboard Navigation Gradable: automatic 17) Which financial statement below summarizes a company's earnings? A) Statement of Cash Flows B) Cash Flow Forecast C) Balance Sheet D) Profit & Loss Statement Answer: D Difficulty: 1 Easy Learning Objective: 01-09 QuickBooks Reports Accessibility: Keyboard Navigation Gradable: automatic 5 Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
18) Which financial statement below summarizes a company's cash inflow and outflow? A) Statement of Cash Flows B) Profit & Loss Statement C) Balance Sheet D) Cash Flow Forecast Answer: A Difficulty: 1 Easy Learning Objective: 01-09 QuickBooks Reports Accessibility: Keyboard Navigation Gradable: automatic 19) Reports for managers can help to identify: A) Overdue customer accounts B) Least profitable product C) Most profitable product D) All of the choices are correct Answer: D Difficulty: 1 Easy Learning Objective: 01-09 QuickBooks Reports Accessibility: Keyboard Navigation Gradable: automatic 20) Which one of the following activities is not associated with the Employee section of the Home Page? A) Write Checks B) Pay Payroll Liabilities C) Process Payroll Forms D) Enter Time Answer: A Difficulty: 2 Medium Learning Objective: 01-06 QuickBooks Home Page Accessibility: Keyboard Navigation Gradable: automatic
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21) List the 2 (two) different type of QuickBooks files. What is the purpose of each file type? Answer: QuickBooks file types include: ● QBW file - This is the company file that has a .QBW extension. It is a QuickBooks working file that is usually saved to the hard drive of your computer. ● QBB file - This is a QuickBooks backup file. You can save a backup file to the hard drive or to other media, such as USB drive or a network drive. Backup files are compressed files and used only if the working file (.QBW) file fails. Difficulty: 2 Medium Learning Objective: 01-05 QuickBooks Navigation Accessibility: Keyboard Navigation Gradable: manual 22) Name 2 (two) of the 5 sections on the QuickBooks Home Page and briefly describe what activities can be performed from those sections. Answer: The five sections of the Home Page are: ● Vendors - pay bills, enter bills, create purchase orders, receive inventory. ● Customers - create estimates, create invoices, record refunds and credits, receive payments. ● Employees - Enter time, pay employees, pay payroll liabilities, process payroll forms. ● Banking - Record deposits, write checks, view check register, reconcile bank statements, print checks. ● Company - View Items and Services List, view Chart of Accounts. Difficulty: 2 Medium Learning Objective: 01-06 QuickBooks Home Page Accessibility: Keyboard Navigation Gradable: manual
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Computer Accounting with QuickBooks 2018 (Kay) Chapter 2 QuickBooks Chart of Accounts 1) How do you access the screen to add a user and password? A) Company menu > Set Up Users and Passwords > Set Up Users B) Edit menu > Preferences > Employees C) Employees > Employee Center D) Company menu > Company Information Answer: A Difficulty: 2 Medium Learning Objective: 02-09 Quickbooks Password protection Accessibility: Keyboard Navigation Gradable: automatic 2) 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 the choices are correct Answer: D Difficulty: 1 Easy Learning Objective: 02-03 Customizing Chart of Accounts (COA) Accessibility: Keyboard Navigation Gradable: automatic 3) Which account below is not an Expense account? A) Utilities B) Rent C) Accounts Receivable D) Advertising Answer: C Difficulty: 1 Easy Learning Objective: 02-03 Customizing Chart of Accounts (COA) Accessibility: Keyboard Navigation Gradable: automatic
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4) What are assets? A) Net worth of a company B) Resources that a company owns with future benefit C) Amounts paid to owners D) Amounts owed to others and are future obligations Answer: B Difficulty: 1 Easy Learning Objective: 02-03 Customizing Chart of Accounts (COA) Accessibility: Keyboard Navigation Gradable: automatic 5) The Income Statement: A) lists the accounts and account numbers B) lists a company's assets C) Summarizes the results of a company's operations, listing income and expenses D) Summarizes what a company owns and what it owes Answer: C Difficulty: 1 Easy Learning Objective: 02-03 Customizing Chart of Accounts (COA) Accessibility: Keyboard Navigation Gradable: automatic 6) Which of the following is a temporary account? A) Inventory B) Rent Expense C) Accounts Payable D) Accounts Receivable Answer: B Difficulty: 1 Easy Learning Objective: 02-03 Customizing Chart of Accounts (COA) Accessibility: Keyboard Navigation Gradable: automatic 7) An example of a non-posting account is ________. A) Employee Expense Account B) Purchase Orders Account C) Inventory Account D) Accounts Payable Account Answer: B Difficulty: 1 Easy Learning Objective: 02-03 Customizing Chart of Accounts (COA) Accessibility: Keyboard Navigation Gradable: automatic 2 Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
8) To add a new account to the Chart of Accounts: A) From the Chart of Accounts window, select Account > New B) From the Company menu, select New Account C) From the Home Page, select Account > New D) From the Lists Menu, select New > Account Answer: A Difficulty: 2 Medium Learning Objective: 02-05 Add New Accounts Accessibility: Keyboard Navigation Gradable: automatic 9) What is the purpose of a non-posting account? A) To calculate income. B) To track information necessary for the accounting system. C) To calculate expenses. D) To identify owner's equity. Answer: B Difficulty: 2 Medium Learning Objective: 02-03 Customizing Chart of Accounts (COA) Accessibility: Keyboard Navigation Gradable: automatic 10) Which of the following is considered a permanent account? A) Income Statement accounts B) Balance Sheet accounts C) All these D) None of the choices are correct Answer: B Difficulty: 2 Medium Learning Objective: 02-03 Customizing Chart of Accounts (COA) Accessibility: Keyboard Navigation Gradable: automatic
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Computer Accounting with QuickBooks 2018 (Kay) Chapter 11 QuickBooks Service Company 1) Which tax form would you select for a Subchapter S corporation? A) Form 1120 B) Form 1120S C) Form 1040 D) Form 1040S Answer: B Difficulty: 2 Medium Learning Objective: 11-03 Create New Company Accessibility: Keyboard Navigation Gradable: automatic 2) To create a new company data file in QuickBooks, use the: A) Company Menu > New Company B) Company section of the Home Page > New Company C) File Menu > New Company D) File Menu > Open or Copy Company Answer: C Difficulty: 2 Medium Learning Objective: 11-03 Create New Company Accessibility: Keyboard Navigation Gradable: automatic 3) When setting up a new company, QuickBooks automatically creates: A) Customers List B) Vendors List C) Chart of Accounts D) None of the choices are correct Answer: C Difficulty: 2 Medium Learning Objective: 11-03 Create New Company; 11-10 Customize Chart of Accounts Accessibility: Keyboard Navigation Gradable: automatic
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4) To edit an account in the Chart of Accounts: A) From the Company Center > Edit Chart of Accounts B) From the Chart of Accounts window > Account > Edit Account C) From the Chart of Accounts window > Account > New Account D) From the Company Menu > New Account Answer: B Difficulty: 2 Medium Learning Objective: 11-10 Customize Chart of Accounts Accessibility: Keyboard Navigation Gradable: automatic 5) Which icon does not appear in the Vendors section for service companies that do not sell inventory? A) Purchase Orders B) Pay Bills C) Enter Bills D) All of the choices are correct Answer: A Difficulty: 2 Medium Learning Objective: 11-09 Customize QuickBooks Accessibility: Keyboard Navigation Gradable: automatic 6) To display account numbers in the Chart of Accounts, select: A) Edit > Options B) Company > Preferences C) Edit > Preferences D) Company > Accounts Answer: C Difficulty: 2 Medium Learning Objective: 11-10 Customize Chart of Accounts Accessibility: Keyboard Navigation Gradable: automatic
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7) The Vendors List contains information about: A) Addresses, contacts and phone numbers of customers B) Addresses, contacts and phone numbers for suppliers C) Quantities and prices of items on hand D) All of the choices are correct Answer: B Difficulty: 2 Medium Learning Objective: 11-06 Add The Products and Services You Sell Accessibility: Keyboard Navigation Gradable: automatic 8) The Customers List contains information about: A) The quantity of non-inventory parts on hand B) The credit rating of the vendors C) Vendors from whom the company buys products and services D) Customer addresses, contacts and phone numbers Answer: D Difficulty: 2 Medium Learning Objective: 11-06 Add The Products and Services You Sell Accessibility: Keyboard Navigation Gradable: automatic 9) Which tax form would you select for a Partnership? A) Form 1120 B) Form 1120S C) Form 1065 D) Form 1040S Answer: C Difficulty: 2 Medium Learning Objective: 11-03 Create New Company Accessibility: Keyboard Navigation Gradable: automatic 10) Which tax form would you select for a Corporation? A) Form 1120 B) Form 1120S C) Form 1065 D) Form 1040S Answer: A Difficulty: 2 Medium Learning Objective: 11-03 Create New Company Accessibility: Keyboard Navigation Gradable: automatic 3 Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
11) An account's tax line determines where QuickBooks lists the account balances on the: A) Income Statement B) Statement of Cash Flows C) Income Tax Summary Report D) Balance Sheet Answer: C Difficulty: 2 Medium Learning Objective: 11-10 Customize Chart of Accounts Accessibility: Keyboard Navigation Gradable: automatic 12) QuickBooks creates a Chart of Accounts for your company based on: A) Fiscal or calendar year B) Industry type C) Federal ID Tax number D) Company address Answer: B Difficulty: 2 Medium Learning Objective: 11-03 Create New Company; 11-10 Customize Chart of Accounts Accessibility: Keyboard Navigation Gradable: automatic 13) When customer payments are recorded in the Receive Payments window, QuickBooks records: A) An increase in the Checking account B) An increase in Sales C) An increase in Accounts Receivable D) An increase in Undeposited Funds account Answer: D Difficulty: 2 Medium Learning Objective: 11-13 Customer and Sales Transactions Accessibility: Keyboard Navigation Gradable: automatic
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14) When customer payments are received and recorded, QuickBooks reduces the ________ account balance. A) Accounts Receivable B) Accounts Payable C) Undeposited Funds D) Checking Answer: A Difficulty: 2 Medium Learning Objective: 11-03 Create New Company Accessibility: Keyboard Navigation Gradable: automatic 15) The following are examples of possible memorized transactions except: A) Rent payments B) Special order for a customer C) Utility bills D) Depreciation Answer: B Difficulty: 2 Medium Learning Objective: 11-02 New QuickBooks Service Company Accessibility: Keyboard Navigation Gradable: automatic 16) When closing the accounting period you: A) Close temporary accounts at year end B) Bring account balances up to date at year end C) Close permanent accounts at year-end D) All of the choices are correct Answer: A Difficulty: 2 Medium Learning Objective: 11-16 Close the Accounting Period Accessibility: Keyboard Navigation Gradable: automatic
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17) QuickBooks automatically closes ________ accounts to start each new accounting year with a $0 balance in all ________ accounts. A) temporary; permanent B) temporary; temporary C) permanent; permanent D) permanent; temporary Answer: B Difficulty: 2 Medium Learning Objective: 11-16 Close the Accounting Period Accessibility: Keyboard Navigation Gradable: automatic 18) Sales on account are recorded using the ________ window. A) Make Deposits B) Sales Receipts C) Create Invoices D) Receive Items Answer: C Difficulty: 2 Medium Learning Objective: 11-13 Customer and Sales Transactions Accessibility: Keyboard Navigation Gradable: automatic 19) To record receiving a bill for services to be paid at a later time, use the following: A) Purchase Order > Receive Payment > Deposit B) Invoice > Receive Payment > Deposit C) Enter Bills > Pay Bills D) Invoice > Enter Bills > Pay Bills Answer: C Difficulty: 2 Medium Learning Objective: 11-12 Vendor and Expense Transactions Accessibility: Keyboard Navigation Gradable: automatic
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20) To record a sales transaction, use the following: A) Create Purchase Order > Receive Payment > Make Deposit B) Create Invoices > Receive Payment > Make Deposits C) Create Invoices > Create Sales Receipts > Make Deposits D) Receive Payment > Create Sales Receipts > Make Deposits Answer: B Difficulty: 2 Medium Learning Objective: 11-13 Customer and Sales Transactions Accessibility: Keyboard Navigation Gradable: automatic 21) Name at least 4 (four) types of transactions that could be entered in QuickBooks for a service company. Answer: Type of transactions entered into QuickBooks for a service company could include the following: ● Banking and Credit Card transactions ● Vendors and Expenses transactions ● Customers and Sales transactions ● Employees and Payroll transactions ● Other transactions Difficulty: 2 Medium Learning Objective: 11-13 Customer and Sales Transactions; 11-12 Vendor and Expense Transactions Accessibility: Keyboard Navigation Gradable: manual 22) List 3 (three) questions asked by the QuickBooks EasyStep Interview. Answer: Questions asked by the QuickBooks EasyStep Interview include: ● Do you accept credit cards? ● Do you charge sales tax? ● Would you like to add an existing bank account? ● Do you track time? Difficulty: 2 Medium Learning Objective: 11-03 Create New Company Accessibility: Keyboard Navigation Gradable: manual
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Computer Accounting with QuickBooks 2018 (Kay) Chapter 13 QuickBooks Merchandise Company 1) Retail customers: A) Pay no sales tax B) Pay sales tax C) Pay a manufacturing tax D) Pay sales tax on labor only Answer: B Difficulty: 1 Easy Learning Objective: 13-06 Customer, Vendor, and Item Lists Accessibility: Keyboard Navigation Gradable: automatic 2) After creating a new QuickBooks data file for an existing company and entering all the existing balances, use an opening adjusting entry to move the balance in the ________ account to the Capital Stock account. A) Uncategorized Expenses B) Uncategorized Income C) Opening Balance Equity D) None of the choices are correct Answer: C Difficulty: 2 Medium Learning Objective: 13-08 QuickBooks Opening Adjustments Accessibility: Keyboard Navigation Gradable: automatic 3) Identify which of the following opening adjusting entries should be used when setting up in QuickBooks an existing company with opening balances: A) Debit: Capital Stock, Credit: Opening Balance Equity B) Debit: Opening Balance Equity, Credit: Capital Stock C) Debit: Accounts Receivable, Credit: Capital Stock D) Debit: Accounts Payable, Credit: Opening Balance Equity Answer: B Difficulty: 3 Hard Learning Objective: 13-08 QuickBooks Opening Adjustments Accessibility: Keyboard Navigation Gradable: automatic
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4) A law firm is an example of a ________ company. A) Service B) Retail Shop C) Manufacturing D) Product-based business Answer: A Difficulty: 1 Easy Learning Objective: 13-02 New QuickBooks Merchandising Company Accessibility: Keyboard Navigation Gradable: automatic 5) An accounting firm is an example of a ________ company. A) Service B) Retail Shop C) Manufacturing D) Product-based business Answer: A Difficulty: 1 Easy Learning Objective: 13-02 New QuickBooks Merchandising Company Accessibility: Keyboard Navigation Gradable: automatic 6) When you place an order for items from a vendor, which one of the following QuickBooks forms would you use? A) Create Invoice B) Receive Inventory C) Purchase Order D) None of the choices are correct Answer: C Difficulty: 2 Medium Learning Objective: 13-09 Vendor and Expense Transactions Accessibility: Keyboard Navigation Gradable: automatic
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7) When using QuickBooks, sales tax is: A) Calculated manually for each item sold B) Calculated for all items that are listed on an invoice C) Calculated automatically by QuickBooks for items flagged as taxable D) All of the choices are correct Answer: C Difficulty: 2 Medium Learning Objective: 13-06 Customer, Vendor, and Item Lists; 13-10 Customers and Sales Transactions Accessibility: Keyboard Navigation Gradable: automatic 8) The Sales Tax Rate appears on which of the QuickBooks lists? A) Customers List B) Vendors List C) Item List D) Account List Answer: C Difficulty: 2 Medium Learning Objective: 13-06 Customer, Vendor, and Item Lists Accessibility: Keyboard Navigation Gradable: automatic 9) Inventory items received should be compared against: A) Sales order B) Purchase order C) Supplies inventory D) Sales receipt Answer: B Difficulty: 2 Medium Learning Objective: 13-09 Vendor and Expense Transactions Accessibility: Keyboard Navigation Gradable: automatic
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10) When recording the sale of a product, which account is increased? A) Inventory B) Accounts Receivable C) Notes Payable D) None of the choices are correct Answer: B Difficulty: 3 Hard Learning Objective: 13-10 Customers and Sales Transactions Accessibility: Keyboard Navigation Gradable: automatic 11) The purchasing cycle includes all of the following transactions except: A) Create a purchase order to order inventory B) Receive inventory items and record in the inventory account C) Enter hours in the time sheet for stocking inventory D) Enter bill in QuickBooks when bill is received Answer: C Difficulty: 2 Medium Learning Objective: 13-09 Vendor and Expense Transactions Accessibility: Keyboard Navigation Gradable: automatic 12) To view account numbers in the Chart of Accounts, select: A) Edit > Preferences > General > Company Preferences B) Edit > Preferences > Desktop View > Company Preferences C) Edit > Preferences > General > My Preferences D) Edit > Preferences > Accounting > Company Preferences Answer: D Difficulty: 2 Medium Learning Objective: 13-07 Customize Chart of Accounts Accessibility: Keyboard Navigation Gradable: automatic 13) To add an existing opening balance to a new account, select: A) New Account > Opening Balance B) Account Options > Enter Opening Balance C) Account > Opening Balance D) Edit Account > Enter Opening Balance Answer: D Difficulty: 2 Medium Learning Objective: 13-07 Customize Chart of Accounts Accessibility: Keyboard Navigation Gradable: automatic 4 Copyright © 2019 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.
14) The cost of the inventory items sold is tracked in what account: A) Items Sold B) Materials Cost C) Cost of Goods Sold D) Inventory Sold Answer: C Difficulty: 2 Medium Learning Objective: 13-09 Vendor and Expense Transactions Accessibility: Keyboard Navigation Gradable: automatic 15) If the supplies on hand at the end of January totaled $300 and the Supplies on Hand account before adjustment is $900, what should be the adjustment at month-end? A) Increase supplies on hand by $900; reduce supplies expense by $900 B) Reduce supplies on hand by $600; increase supplies expense by $600 C) Reduce supplies on hand by $300; increase supplies expense by $300 D) Increase supplies on hand by $300; reduce supplies expense by $300 Answer: B Difficulty: 3 Hard Learning Objective: 13-11 Adjusting Entries Accessibility: Keyboard Navigation Gradable: automatic 16) A toy store is an example of a ________ company. A) Service B) Retail C) Manufacturing D) Product-based business Answer: B Difficulty: 1 Easy Learning Objective: 13-02 New QuickBooks Merchandising Company Accessibility: Keyboard Navigation Gradable: automatic
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