Kay Chapter 3 QuickBooks Transactions Complete Test Bank

Computer Accounting with QuickBooks 2019, 19e (Kay)

Chapter 3 QuickBooks Transactions

1) QuickBooks lists include all of the following except:

A) Customer List

B) Item List

C) Owner List

D) Vendor List

Difficulty: 1 Easy

Learning Objective: 03-03 QuickBooks Lists

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

2) In QuickBooks, information about transactions can be entered in onscreen forms, such as:

A) Check

B) Invoice

C) Purchase Order

D) All of the choices are correct

Difficulty: 1 Easy

Learning Objective: 03-04 How Do We Enter Transactions in QuickBooks?

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

3) Which of the following transactions is considered a Customers and Sales transaction?

A) Invoice

B) Purchase Order

C) Pay Bills

D) Check

Difficulty: 2 Medium

Learning Objective: 03-07 Customer and Sales Transactions

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

4) Which of the following transactions is considered a Vendors and Expenses transaction?

A) Invoice

B) Receive Payment

C) Purchase Order

D) Make Deposit

Difficulty: 2 Medium

Learning Objective: 03-08 Vendor and Expense Transactions

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

5) QuickBooks lists include:

A) Customer List

B) Vendor List

C) Item List

D) All of the choices are correct

Difficulty: 1 Easy

Learning Objective: 03-03 QuickBooks Lists

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

6) All of the following are one of the four main categories of transactions in QuickBooks except?

A) Customers

B) Vendors

C) Employees

D) Owners

Difficulty: 1 Easy

Learning Objective: 03-05 What Are The Different Types of Transactions?

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

7) Which of the following is a Banking transaction?

A) Make deposit

B) Pay employees

C) Enter bills

D) Pay bills

Difficulty: 2 Medium

Learning Objective: 03-06 Banking and Credit Card Transactions

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

8) Which of the following is a Vendor transaction?

A) Create invoices

B) Create estimates

C) Receive inventory

D) Receive payments

Difficulty: 2 Medium

Learning Objective: 03-08 Vendor and Expense Transactions

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

9) Which of the following is a Customer transaction?

A) Pay sales tax

B) Enter bills

C) Receive payments

D) Receive bills

Difficulty: 2 Medium

Learning Objective: 03-07 Customer and Sales Transactions

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

10) The Item List can be accessed from which section of the Home Page? 

A) Banking

B) Customers

C) Vendors

D) Company

Difficulty: 2 Medium

Learning Objective: 03-03 QuickBooks Lists

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

11) Which of the following QuickBooks features can be used to save a transaction that will be re-used in the future?

A) Saved transactions

B) Create icon

C) Repeat transactions

D) Memorized transactions

Difficulty: 2 Medium

Learning Objective: 03-11 Memorized Transactions

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

12) To use a memorized transaction, select:

A) Select Lists Menu > Memorized Transaction List

B) Select Navigation Bar > Recurring Transaction List

C) Select Company section of the Home Page > Saved Transactions

D) None of the choices are correct

Difficulty: 3 Hard

Learning Objective: 03-11 Memorized Transactions

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

13) Double-entry accounting records exchanges in a transaction with debits and credits. Which of the following is recorded when a company purchases a desk and pays cash?

A) The desk is recorded with a credit and the cash is recorded with a credit

B) The desk is recorded with a debit and the cash is recorded with a debit

C) The desk is recorded with a credit and the cash is recorded with a debit

D) The desk is recorded with a debit and the cash is recorded with a credit

Difficulty: 2 Medium

Learning Objective: 03-13 Accounting Essentials:Double-Entry Accounting

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

14) The onscreen form for recording bills received is accessed from which section of the Home Page:

A) Vendors

B) Customers

C) Employees

D) Banking

Difficulty: 2 Medium

Learning Objective: 03-08 Vendor and Expense Transactions

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

15) The Banking section of the Home Page includes which of the following banking transactions?

A) Enter Credit Card Charges

B) Enter Bills

C) Pay Bills

D) Receive Payments

Difficulty: 2 Medium

Learning Objective: 03-06 Banking and Credit Card Transactions

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

16) Customer transactions include which of the following?

A) Write Checks

B) Enter Bills

C) Pay Bills

D) Create Invoices

Difficulty: 2 Medium

Learning Objective: 03-07 Customer and Sales Transactions

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

17) Vendor transactions include which of the following?

A) Enter Credit Card Charges

B) Enter Bills

C) Make Deposits

D) Receive Payments

Difficulty: 2 Medium

Learning Objective: 03-08 Vendor and Expense Transactions

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

18) When a customer deposit is recorded using the Make Deposits window, behind the screen QuickBooks converts the transactions into a journal entry that:

A) Debits Checking account, Credits Undeposited Funds

B) Credits Checking account, Debits Undeposited Funds

C) Debits Checking account, Credits Accounts Receivable

D) Debits Accounts Receivable, Credits Checking account

Difficulty: 3 Hard

Learning Objective: 03-07 Customer and Sales Transactions

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

19) When a bill is entered using the Enter Bills window, QuickBooks records a journal entry that:

A) Debits Checking account, Credits Expense account

B) Credits Expense account, Debits Checking account

C) Debits Expense account, Credits Accounts Payable

D) Debits Accounts Payable, Credits Checking account

Difficulty: 3 Hard

Learning Objective: 03-08 Vendor and Expense Transactions

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

20) When a bill is paid using the Pay Bills window, QuickBooks records a journal entry that:

A) Debits Checking account, Credits Undeposited Funds

B) Credits Checking account, Debits Accounts Payable

C) Debits Expense account, Credits Accounts Payable

D) Debits Accounts Receivable, Credits Checking account

Difficulty: 3 Hard

Learning Objective: 03-08 Vendor and Expense Transactions

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

21) In QuickBooks, how do you enter transaction information?

A) Onscreen Journal and onscreen forms

B) Onscreen Journal and QuickBooks reports

C) Onscreen forms and QuickBooks reports

D) None of the choices are correct

Difficulty: 2 Medium

Learning Objective: 03-04 How Do We Enter Transactions in QuickBooks?

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

22) A business transaction is an exchange between the QuickBooks company and:

A) Vendor

B) Employee

C) Customer

D) All of the choices are correct

Difficulty: 2 Medium

Learning Objective: 03-04 How Do We Enter Transactions in QuickBooks?

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: automatic

23) What are the three parts or processes of QuickBooks SatNav? 

1. QuickBooks Settings. This includes Company Settings when setting up a new QuickBooks company and the Company Chart of Accounts.

2. QuickBooks Transactions. This includes recording transactions in QuickBooks. Transaction types can be categorized as Banking, Customers and Sales, Vendors and Expenses, and Employees and Payroll. In basic terms, recording transactions involves recording money in and money out.

3. QuickBooks Reports. QuickBooks reports are the output of the system, such as commonly used financial statements of Balance Sheet, Income Statement, and Statement of Cash Flows.

Difficulty: 2 Medium

Learning Objective: 03-01 QuickBooks SatNav

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: manual

24) List 4 main types of QuickBooks transactions.

1. Banking and credit card transactions

2. Customers and sales transactions

3. Vendors and expenses transactions

4. Employees and payroll transactions

Difficulty: 2 Medium

Learning Objective: 03-05 What Are The Different Types of Transactions?

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: manual

25) Discuss the two main ways of entering information into QuickBooks. Why are two different ways necessary for entering information. What are the advantages and disadvantages of each method.

1. Onscreen forms

2. Onscreen journal

Transactions can be entered using onscreen forms without knowing debits and credits, so this makes it easier for QuickBooks to be used by clients who do not have an accounting background. Some items, however, such as adjusting entries, are easier to enter using the onscreen journal. In addition, even when transactions are entered using onscreen forms, behind the screen, QuickBooks converts the information into a debit and credit journal entry that can be viewed in journal form.

Difficulty: 2 Medium

Learning Objective: 03-04 How Do We Enter Transactions in QuickBooks?

Accessibility: Keyboard Navigation; Screen Reader Compatible

Gradable: manual