Quickbooks Certification Practice Test with correct answers 2024.

During the Advanced/Detailed Setup, you can turn on and off which features in the EasyStep Interview? A. Sales Tax B Inventory C Progress Invoicing D All of the Above - answer-D. All of the above This is the correct answer. If you want to turn a feature on or off AFTER the Easy Step Interview, choose Edit Preferences. During the Advanced/Detailed Setup, you can set up a password for which of the following users during the EasyStep Interview? A. Administrtator B. External Accountant C. You can't set up passwords during the Easy Setup interview D. All Users - answer-Administrator This is the correct answer. QuickBooks assumes the person who is completing the Easy Step Interview is the administrator and only asks for this password. When setting up a new company through the Advanced/Detailed Setup, some company information is optional and some is absolutely required. Which of the following pieces of information does QuickBooks require you to enter during the EasyStep Interview? A. Company Name B. Company Password C. Tax ID D. All of the Above - answer-Company name This is the correct answer. This is the only required field in the Company Information. How do you set up multiple businesses in QuickBooks (assuming each business files a separate tax return)? A. Purchase a separate QuickBooks license for each company you need to set up. This is not necessary if the same user has multiple companies. A user license is associated with a user, not a company. B Use the Advanced/Detailed Setup to go through the EasyStep interview for the oldest company first, and then choose File Add a separate business at the end of the interview. There is no such choice in QuickBooks C. Use the Advanced/Detailed Setup to go through the EasyStep interview for each company to create a separate company file. - answer-c. Use the Advanced/Detailed Setup to go through the EasyStep interview for each company to create a separate company file. This is the correct answer. You might also create a new file if the old file is beyond repairing and you want to start over. If you want to start over, consider this option. Choose File Utilities Clean Up Company Data. QuickBooks will delete all transactions but will keep During the Advanced/Detailed Setup, how do you setup a new account that is not on the default list of accounts during the EasyStep Interview? a. You can't add accounts that are not on the QuickBooks default list. Finish the interview and add the accounts directly to the Chart of Accounts. b. Click Add new account in the EasyStep Interview. There is no such choice in QuickBooks. c. Click Edit Account during the EasyStep Interview. There is no such choice in QuickBooks. d. Select Import My Chart of Accounts during the EasyStep Interview. There is no such choice in QuickBooks. - answer-a. You can't add accounts that are not on the QuickBooks default list. Finish the interview and add the accounts directly to the Chart of Accounts. This is the correct answer. Also, you can't add any balances to the accounts (an opening Trial Balance). However, you can add bank account balances. You've been hired by a company that started in 1911. They've never used QuickBooks. During the Advanced/Detailed Setup, what "Start Date" should you use in the EasyStep Interview? a. There is no Start Date in the EasyStep Interview. There is a Start Date. b. The date the company bought QuickBooks. This date is probably different from the date you want to start tracking the company's finances. c. 1911 If you entered the actual company's first day of operations, you would then have to enter all the history (past transactions) up to today. d. The date you want to begin tracking the company's finances in QuickBooks - answer-d. The date you want to begin tracking the company's finances in QuickBooks. This is the correct answer. You should use a date for which you have accurate starting balances. If the date is in the past (for example, the beginning of this fiscal year), you will have to enter transactions that have occurred up to that point. How do you restore a company file from a backup copy? a. Choose File Back Up. Then click the Restore from Backup button. There is no such choice in QuickBooks. b. Choose File Utilities File Operations Restore. There is no such choice in QuickBooks. c. Choose File Open or Restore Company. Select Restore a backup copy and click Next. Choose Local or Online Backup and click Next. Select the file to restore and click Open. Choose where to restore the file to and click Save. - answer-c. Choose File Open or Restore Company. Select Restore a backup copy and click Next. Choose Local or Online Backup and click Next. Select the file to restore and click Open. Choose where to restore the file to and click Save. 8. Which of the following is NOT a backup option in QuickBooks? a. Manually back up the file. To do this, choose File Create Backup. Select Online or Local backup and set the options for your backup. When asked when you want to save your backup, select Save it now. b. Automatically back up the data file when closing QuickBooks. To do this, choose File Create Backup. Select Online or Local backup and set the options for your backup. When asked when you want to save your backup, select Only schedule future backups. Select the box to "Save backup copy automatically when I close my company file" and indicate how often you want this to happen. c. Schedule an unattended backup To do this, choose File Create Backup. Select Online or Local backup and set the options for your backup. When asked when you want to save your backup, select Only schedule future backups. Click New to schedule regular backups of your compan - answer-d. All of the above. a. Manually back up the file. To do this, choose File Create Backup. Select Online or Local backup and set the options for your backup. When asked when you want to save your backup, select Save it now. b. Automatically back up the data file when closing QuickBooks. To do this, choose File Create Backup. Select Online or Local backup and set the options for your backup. When asked when you want to save your backup, select Only schedule future backups. Select the box to "Save backup copy automatically when I close my company file" and indicate how often you want this to happen. c. Schedule an unattended backup To do this, choose File Create Backup. Select Online or Local backup and set the options for your backup. When asked when you want to save your backup, select Only schedule future backups. Click New to schedule regular backups of your company file. Why would you restore a data file from the backup file? a. You wish to review the company data as it stood at an earlier date. This is possible, but so are the other answers. b. The company data file on your hard drive is damaged and cannot be used. This is a common reason to back up. c. Your computer crashed. You reloaded QuickBooks, and now you are ready to open the company file. When you reload QuickBooks, it does not contain your company data. You have to restore this from a backup. d. All of the above. - answer-d. All of the above. a. You wish to review the company data as it stood at an earlier date. This is possible, but so are the other answers. b. The company data file on your hard drive is damaged and cannot be used. This is a common reason to back up. c. Your computer crashed. You reloaded QuickBooks, and now you are ready to open the company file. When you reload QuickBooks, it does not contain your company data. You have to restore this from a backup. How do you switch to Multi-User Mode? a. Choose Company Set Up Users and Passwords Set Up Users from the menu. This is how you set up or edit users. It does nothing to change the "mode" QuickBooks is currently operating in. b. Open the data file from a remote location. This has no effect on whether you are in Single or Multi-User mode. c. Choose Edit Preferences Multi-User from the menu. There is no such choice in Preferences. d. Choose File Switch to Multi-user Mode from the menu - answer-d. Choose File Switch to Multi-user Mode from the menu. This is the correct answer. When the file is in Multi-User Mode, more than one user can access the file (but they must all be using the same version of QuickBooks). There are certain activities that can only be performed in single-user mode (QuickBooks will alert you when this is the case), but anyone can access the file in single-user mode. If you choose to remove transactions as of a specific date from the "Condense Data" window, what does QuickBooks do? a. Removes all payroll transactions that occurred on that date. This is a great way to fix the mistakes a new person made on a particular day. There is no such choice in QuickBooks. b. Removes all transactions while leaving lists, preferences, and service subscriptions intact. c. Changes the company's start date. QuickBooks summarizes transactions that are being removed so you can still run Financial Statements from the original Start Date. d. Deletes all transactions, as well as user passwords and access privileges. QuickBooks only removes transactions. - answer-b. Removes all transactions while leaving lists, preferences, and service subscriptions intact. This is the correct answer. What happens when you press F2 in QuickBooks? a. Nothing, because function keys are not designed to work with QuickBooks. This is not true. There are not many that are used, but F2 does work. b. QuickBooks opens the Help. F1 opens the Help. c. QuickBooks opens the Product Information window which includes version and company file information. regarding the version and release of QuickBooks you are using. d. QuickBooks closes all windows. To close all windows, choose Window Close All. You can also press Esc to close open windows - answer-c. QuickBooks opens the Product Information window which includes version and company file information. This is the correct answer. QuickBooks displays information regarding the version and release of QuickBooks you are using. When would you enter a journal entry? a. To correct errors (if you have a strong accounting background) This is correct, but so are the other choices. b. For year-end adjustments This is correct, but so are the other choices. c. To enter depreciation This is correct, but so are the other choices. d. All of the above - answer-d. All of the above This is the correct answer. You should only use journal entries if you have a strong accounting background and truly understand debits and credits. Also, you should not use journal entries instead of the built-in forms and windows in QuickBooks. This can create unexpected results on reports If the computer that houses your QuickBooks data crashes, what should you do? - answer-Restore a back up copy of your company file This is the correct answer. QuickBooks suggests you back up your company file daily, monthly, and at the end of the year. Restore one of these files to have access to your data When you start a company or are hired as a bookkeeper, it is important to know which edition of QuickBooks you are using. What are the major QuickBooks editions? - answer-QuickBooks Online, QuickBooks Pro, QuickBooks Premier, QuickBooks Enterprise Solutions This is the correct answer. QuickBooks Online is accessed via the Web. The other options are desktop software with increasing functionality (starting with Pro and ending with Enterprise Solutions, the most advanced QuickBooks). When entering a journal entry, what happens if the debits don't equal the credits? - answer-QuickBooks will not allow you to record the transaction.