INTUIT BOOKKEEPING PROFESSIONAL
CERTIFICATE TEST WITH QUESTIONS AND
VERIFIED ANSWERS|| GUARANTEED PASS||
ALREADY GRADED A+|| LATEST UPDATE 2026
Cash Flow Statement: 3 types, definition & purpose - ANSWER-A summary
that shows total income and spending for a given time period
1) operating activities
2) investment activities
3) financing activities
What is a journal entry? - ANSWER-a way to document an accounting entry
lists debits & credits & includes a description of the transaction
Which of the following statements would best describe the Matching Principle?
- ANSWER-- Expenses like manufacturing costs or depreciation should be
recognized in the same period as the revenue it helped generate
What is the general ledger purpose = contents - ANSWER-means for keeping
records of a company's total financial accounts
assets, liabilities, equity, expenses, income or revenue (typically)
,5 Bookkeeping Ethics - ANSWER-1. objectivity
2. competence
3. integrity
4. confidentiality
5. professional conduct
What is a liablity? - ANSWER-Other's claims
What is equity? - ANSWER-Your claims
What is an owner's share of assets? - ANSWER-Equity
What is earned from services performed and products sold? - ANSWER-Income
What is used in a current period? - ANSWER-Expenses
What is reconciliation? - ANSWER-compares your records to the bank's records
to ensure your books are accurate
Which accounts are reconciled? - ANSWER-Accounts you get a statement
from: Bank accounts, credit cards, other liability/equity/asset accounts with
statements
Steps for Reconciliation - ANSWER-1. record all the transactions in your books
throughout the statement period
2. collect bank statements
3. identify mismatched transactions
4. research missing / unreconciled items
5. handle bank reconciling items and inaccurate items. complete the
reconciliation
, Financial Position aka - ANSWER-Balance Sheet (Assets, Liabilities, Equity)
Financial Summary aka - ANSWER-Income Statement (PNL)
Accumulated Depreciation - ANSWER-the total amount of depreciation
expense that has been recorded since the purchase of an asset
what type of account is accumulated depreciation? - ANSWER-Asset
What kind of account is depreciation - ANSWER-Expense
if a truck depreciates by $25k, do you increase or decrease Accumulated
Depreciation? - ANSWER-Decrease (it's an asset... aka credit)
to decrease the value of an asset, which account would you credit? - ANSWER-
accumulated depreciation
what is a contra asset account? - ANSWER-a type of asset account where the
account balance may either be a negative or zero balance (ex: accumulated
depreciation)
time period principle - ANSWER-to start a new year, the PNL accounts are
reset to zero;
a business must finish the full accounting process over a specific operating time
period (a year)
What is retained earnings? - ANSWER-net income company has left over after
it has been paid out to dividends to its shareholders
CERTIFICATE TEST WITH QUESTIONS AND
VERIFIED ANSWERS|| GUARANTEED PASS||
ALREADY GRADED A+|| LATEST UPDATE 2026
Cash Flow Statement: 3 types, definition & purpose - ANSWER-A summary
that shows total income and spending for a given time period
1) operating activities
2) investment activities
3) financing activities
What is a journal entry? - ANSWER-a way to document an accounting entry
lists debits & credits & includes a description of the transaction
Which of the following statements would best describe the Matching Principle?
- ANSWER-- Expenses like manufacturing costs or depreciation should be
recognized in the same period as the revenue it helped generate
What is the general ledger purpose = contents - ANSWER-means for keeping
records of a company's total financial accounts
assets, liabilities, equity, expenses, income or revenue (typically)
,5 Bookkeeping Ethics - ANSWER-1. objectivity
2. competence
3. integrity
4. confidentiality
5. professional conduct
What is a liablity? - ANSWER-Other's claims
What is equity? - ANSWER-Your claims
What is an owner's share of assets? - ANSWER-Equity
What is earned from services performed and products sold? - ANSWER-Income
What is used in a current period? - ANSWER-Expenses
What is reconciliation? - ANSWER-compares your records to the bank's records
to ensure your books are accurate
Which accounts are reconciled? - ANSWER-Accounts you get a statement
from: Bank accounts, credit cards, other liability/equity/asset accounts with
statements
Steps for Reconciliation - ANSWER-1. record all the transactions in your books
throughout the statement period
2. collect bank statements
3. identify mismatched transactions
4. research missing / unreconciled items
5. handle bank reconciling items and inaccurate items. complete the
reconciliation
, Financial Position aka - ANSWER-Balance Sheet (Assets, Liabilities, Equity)
Financial Summary aka - ANSWER-Income Statement (PNL)
Accumulated Depreciation - ANSWER-the total amount of depreciation
expense that has been recorded since the purchase of an asset
what type of account is accumulated depreciation? - ANSWER-Asset
What kind of account is depreciation - ANSWER-Expense
if a truck depreciates by $25k, do you increase or decrease Accumulated
Depreciation? - ANSWER-Decrease (it's an asset... aka credit)
to decrease the value of an asset, which account would you credit? - ANSWER-
accumulated depreciation
what is a contra asset account? - ANSWER-a type of asset account where the
account balance may either be a negative or zero balance (ex: accumulated
depreciation)
time period principle - ANSWER-to start a new year, the PNL accounts are
reset to zero;
a business must finish the full accounting process over a specific operating time
period (a year)
What is retained earnings? - ANSWER-net income company has left over after
it has been paid out to dividends to its shareholders
