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Computer Accounting with QuickBooks 2015, 17e Donna Kay (Test Bank All Chapters, 100% Original Verified, A+ Grade) Answers At The End Of Each Chapter Chap 01_2015 1.

Which screen provides a digital dashboard of a company's relevant financial data? A. Company Information B. Insights C. Home Page D. Company Center

In QuickBooks, how do you enter transaction information? A. Onscreen forms and scanned images of transaction forms B. Onscreen forms and QuickBooks reports C. Onscreen Journal and scanned images of transaction forms D. Onscreen Journal and Onscreen Forms

All of the following are one of the four main categories of transactions in QuickBooks except: A. Customers B. Calendar C. Vendors D. Employees

Which of the following tasks is completed from the Banking section of the Home page? A. Enter credit card charges B. Pay employees C. Record bills paid D. Record payments received from customers

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

The Chart of Accounts can be accessed from which section of the Home page? A. Customer B. Banking C. Vendor D. Company

To change a company name in QuickBooks, select the following from the Menu Bar: A. Company> Preferences B. Home>Edit>Preferences C. Company>My Company>Edit> D. None of these

Which of the following file types identifies a QuickBooks Backup file? A. .QBM B. .QBB C. .QBX D. .QBW

Which one of the following activities is associated with the Customer section of the Home page? A. Pay sales tax B. Enter bills C. Record refunds and credits D. Record inventory received

10. The Home page in QuickBooks consists of all the following sections except: A. Employee B. Lists C. Customer D. Vendor 11. The objective of an accounting information system, like QuickBooks, is to: A. Save company resources, like time and paper B. Use the computer for keeping accounting records C. Collect, summarize, and analyze data D. None of these 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 13. Your QuickBooks data can be stored in all the following ways except: A. Online B. Backup C. Portable File D. All of these store QuickBooks data 14. A business transaction is an exchange between: A. Vendor B. Employee C. Customer D. All of these 15. Double-entry account records are exchanged in a transaction (debits and credits). Which of the following is recorded when a company purchases (receives) a computer and pays (gives) cash? A. The computer is recorded as a credit and the cash is recorded as a credit B. The computer is recorded as a debit and the cash is recorded as a debit C. The computer is recorded as a credit and the cash is recorded as a debit D. The computer is recorded as a debit and the cash is recorded as a credit 16. The onscreen form for ordering items from a vendor looks like the paper version of a(n): A. Purchase Order B. Invoice C. Check D. None of these 17. Which type of QuickBooks data file allows you to enter data and transactions? A. .QBM B. .QBB C. .QBX D. .QBW 18. The QuickBooks file extension .QBM indicates the file is a: A. QuickBooks working file B. QuickBooks movable file C. QuickBooks Accountant's transfer file D. QuickBooks Accountant's working file

19. The QuickBooks file extension .QBA indicates the file is a: A. QuickBooks working file B. QuickBooks movable file C. QuickBooks Accountant's transfer file D. QuickBooks Accountant's working file 20. Which QuickBooks window allows you to add your name to the checking account? A. Chart of Accounts B. Company Information C. Company Center D. Check Register 21. The Banking section of the Home Page includes which flow chart? A. Payroll flow chart B. Bill Pay flow chart C. Bank Reconciliation flowchart D. None of these 22. Which financial statement below summarizes the financial position of a company? A. Statement of Cash Flows B. Profit & Loss Statement C. Balance Sheet D. Income Statement 23. Which financial statement below summarizes a company's earnings? A. Statement of Cash Flows B. Profit & Loss Statement C. Balance Sheet D. Income Statement 24. 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. Income Statement 25. Management reports help identify: A. Overdue customer accounts B. Least profitable product C. Most profitable product D. All of these 26. Which icon is used to add a document on your computer into QuickBooks? A. Docs icon B. Customer icon C. Vendor icon D. All of these 27. List the 3 (three) different type of QuickBooks files. What is the purpose of each file type?

28. Name 2 (two) of the 5 centers on the QuickBooks home screen and briefly describe what kind of activity flows through those centers.

Chap 01_2015 Key 1. B 2. D 3. B 4. A 5. C 6. D 7. C 8. B 9. C 10. B 11. C 12. D 13. D 14. D 15. D 16. A 17. D 18. B 19. D 20. A 21. C 22. C 23. B 24. A 25. D 26. A • .QBX and .QBA - These are files used by accountants. • .QBM file - This is a QuickBooks movable file, also called a portable file. These files are compressed and are used to email or move a company file to another 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 memory stick, a CD drive or a network drive. Backup files are compressed files and used only if the working file (.QBW) file fails. • .QBW file - This is the regular company file that has a .QBW extension. It is a QuickBooks working file that is usually saved to the hard drive (C:) of your computer. 27. The three QuickBooks file types are:

• Company - items and services, chart of accounts, etc. • Banking - record deposits, check register, write checks, print checks, etc. • Employees - time entry, payroll, pay liabilities, etc. • Customers - create estimates, create invoices, record refunds and credits, record payments, etc. • Vendors - pay bills, enter bills, create purchase orders, receive inventory, etc. 28. The five centers are:

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

Chap 02_2015 Key 1. A 2. D 3. C 4. A 5. D 6. A 7. C 8. A 9. B 10. B 11. D 12. C 13. B 14. A 15. B 16. D 17. A 18. B 19. D 20. A 21. B 22. B 23. B 24. D 25. D 26. B 27. C 28. The QuickBooks Company Snapshot provides a digital dashboard for your company. The Company Snapshot gives you an overview of key information for your company and allows you perform key tasks. 29. Passwords are important to help restrict access to accounting information stored in QuickBooks. Passwords can help keep people out of the system completely or only out of certain areas. Companies can protect themselves from unnecessary risk with passwords by protecting sensitive information and using them as an internal control.

When reconciling a bank account, which one of the following is considered a timing difference (difference between the bank balance and the book balance)? A. Checks that have cleared the bank B. Deposits recorded by the bank C. Outstanding checks D. Errors

10. When reconciling the bank statement using QuickBooks: A. Service charges are added B. Interest earned is subtracted C. All deposits listed on the bank statement are selected as cleared in the Reconcile window D. All of these 11. When the balance of an asset account, like Checking, increases, it means that the account has been: A. Debited B. Credited C. Deposited D. None of these 12. When the balance of an equity account, like Capital Stock, increases, it means that the account has been: A. Debited B. Credited C. Deposited D. None of these 13. Timing differences discovered when reconciling the bank statement that the bank has not recorded yet, include: A. Deposits in transit B. Interest earned C. Outstanding checks D. Both deposits in transit and outstanding checks 14. A business checking account may be used for which of the following purchases? A. Furniture for the office B. Furniture for the owner's home C. Utility bills for the owner D. Owner's car payment 15. Which of the following icons appear in the Banking section of the Home page? A. Receive Payments B. Enter Bills C. Write Checks D. Pay Bills 16. Which one of the following activities is associated with the Banking section of the Home page? A. Enter credit card charges B. Select bills received to pay later C. Record finance charges D. Create invoices to bill customers 17. All the following are non-sales type of deposits except: A. Money received from a loan B. Payment from a customer C. Cash from investors D. Interest earned

18. How can I create a filter on a Report? A. Click Customize Report, then click Filters Tab B. Click Customize Report, then click Company Tab C. Click Customize Report, then click Edit D. None of these 19. Documents that prove a transaction occurred are: A. Source documents B. Receipts C. Paid invoices D. All of these 20. The one-step approach to bill paying: A. Pays the bill and then records the bill later B. Records a bill when receives and pays the bill later C. Records and pays a bill at the same time D. Is not supported by QuickBooks 21. When recording a bill, QuickBooks automatically: A. Records an expense (credit) and the obligation to pay later (debit) B. Records an expense (debit) and the obligation to pay later (credit) C. Reduces the liability (debit) and the checking account (credit) D. Reduces the liability (credit) and the checking account (debit) 22. When paying a bill, QuickBooks automatically: A. Records an expense (credit) and the obligation to pay later (debit) B. Records an expense (debit) and the obligation to pay later (credit) C. Reduces the liability (debit) and the checking account (credit) D. Reduces the liability (credit) and the checking account (debit) 23. One of the objectives of the bank reconciliation is: A. Pay bills B. Detect errors C. Insure the debits equal credits D. None of these 24. A Check Register is a record of all transactions affecting the __________. A. Payroll account B. Petty cash account C. Checking account D. Taxes payable account 25. To print multiple checks at one time: A. Report Center > Banking > Checks B. Company menu > Banking > Checks C. Banking menu > Forms > Checks D. File menu > Print Forms > Checks 26. How would you indicate that a payment is split between 2 or more accounts? A. Use the notation "split" in your checking account B. Skip it, it will be done automatically in QuickBooks C. Note on your invoices only D. None of these 27. According to your text, the best approach to keep track of petty cash is: A. Don't use it, use credit only B. Deposit the full amount of petty cash, then write a check for Petty Cash C. Keep cash on hand off the books D. None of these

28. Briefly describe the QuickBooks "drill-down" feature and how helps companies.

29. What are the 4 (four) types of bills that should not be paid using the One-Step Approach?

Chap 03_2015 Key 1. B 2. A 3. C 4. B 5. D 6. D 7. B 8. A 9. C 10. C 11. A 12. B 13. D 14. A 15. C 16. A 17. B 18. A 19. D 20. C 21. B 22. C 23. B 24. C 25. D 26. A 27. B 28. The drill down feature in QuickBooks is the ability to click on an item and be taken to the supporting detail. This can help a company understand what transactions make up a number or entry in their accounting records. 29. Paychecks to employees for wages and salaries; payroll taxes and liabilities; sales taxes; bills already entered in the Enter Bills window.