Bookkeeping with QuickBooks
Questions and Answers 100% Pass
How do you categorize an expense in QuickBooks?
✔✔ To categorize an expense in QuickBooks, go to the "Expenses" menu, select "Enter Bills" or
"Write Checks," choose the expense account from the drop-down list, and enter the expense
details.
What is a QuickBooks balance sheet report?
✔✔ A balance sheet report in QuickBooks shows the company’s financial position at a specific
date, listing assets, liabilities, and equity.
How do you record a bank transfer in QuickBooks?
✔✔ To record a bank transfer, go to the "Banking" menu, select "Transfer Funds," choose the
accounts to transfer money between, enter the amount, and save the transaction.
What is the function of the QuickBooks "Undeposited Funds" account?
✔✔ The "Undeposited Funds" account in QuickBooks temporarily holds payments until they are
deposited into a bank account.
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,How do you handle a refund to a customer in QuickBooks?
✔✔ To handle a refund, go to the "Customers" menu, select "Create Credit Memos/Refunds,"
enter the details of the refund, and apply it to the appropriate invoice.
What is the purpose of the QuickBooks "Accounts Payable" feature?
✔✔ The "Accounts Payable" feature in QuickBooks helps manage and track bills from vendors,
ensuring timely payments and accurate record-keeping.
How do you create a budget in QuickBooks?
✔✔ To create a budget, go to the "Company" menu, select "Planning & Budgeting," choose "Set
Up Budgets," and enter the budgeted amounts for each account and period.
What is a QuickBooks "Sales Receipt"?
✔✔ A "Sales Receipt" in QuickBooks is used to record sales transactions where payment is
received immediately, such as in cash or credit card sales.
How do you back up your QuickBooks data?
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, ✔✔ To back up QuickBooks data, go to the "File" menu, select "Back Up Company," and
choose "Create Local Backup" to save a copy of your data to your computer or an external drive.
What is the role of QuickBooks in managing inventory?
✔✔ QuickBooks helps manage inventory by tracking product quantities, costs, and sales, and it
updates inventory levels automatically as transactions occur.
What is the purpose of QuickBooks in bookkeeping?
✔✔ QuickBooks is used to manage and automate financial transactions, track expenses, generate
reports, and simplify the bookkeeping process.
How do you create a new customer in QuickBooks?
✔✔ To create a new customer in QuickBooks, go to the "Customers" menu, select "New
Customer," and enter the customer’s details such as name, contact information, and billing
address.
What is a chart of accounts in QuickBooks?
✔✔ A chart of accounts in QuickBooks is a list of all the accounts used to categorize financial
transactions, including assets, liabilities, equity, revenue, and expenses.
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