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INTUIT BOOKKEEPING EXAM NEW EST 2024 ACTUAL
EXAM COMPLETE 250 QUESTIONS AND CORRECT
DETAILED ANSWERS ( VERIFIED ANSWERS )
|ALREADY GRADED A
In bookkeeping, a signed agreement between two parties, used to document money owed, interest, and payment timeframe is known as what? - ANSWER- Promissary Note
Rent for Eternal Summer is $1,200/month , but if it is prepaid , rent is only $12,000 for the year. If Eternal Summer pays $12,000 on January 1, how would you book this transaction? - ANSWER- Debit prepaid rent for $12,000 and Credit Cash rent for $12,000
Which path would you select in Quickbooks Online to create a sales receipt? - ANSWER- New > Sales Receipt
When creating an invoice in Quickbooks Online, which path would you choose to add a new customer? - ANSWER- Customer > Add New
True or False. The Direct Write-Off method of accounting for "Bad Debt" adheres to the matching principle - ANSWER- False 1 / 4
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True or False. A perprtual inventory system is one that updates the inventory account at specified intervals - ANSWER- False
The inventory cost flow assumption which supposes that inventory flows through the system from oldest to newest is defined as what assumption? - ANSWER- First In, First Out
(FIFO)
True or False. Inventory errors will self-correct after two years (assuming no other errors occur.) - ANSWER- True
True or False. PP&E and expenses are treated the same when it comes to taxes. - ANSWER- False
True or False. Depreciation expense is recorded on the balance sheet below PP&E. - ANSWER- False
When using QBO software, depreciation expense must be
entered as a: - ANSWER- Journal Entry
A kind of lease in which ownership of the asset is intended at
the end of the lease is called: - ANSWER- A capital lease
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A capital lease will show up on the profit and loss statement - ANSWER- False
In a lease agreement, the party that is paying rent is referred to
as the: - ANSWER- Lessee
Big Boss Building Company purchased some construction equipment to keep up with demand. The new bookkeeper booked this as an expense , is this correct? - ANSWER- No
Aubergine's Antiques took out a capital lease for a moving van to transport heavier antiques. Will they be able to depreciate this equipment? - ANSWER- Yes
Ade just purchased $75 worth of new staplers for her Honey Helpers Bees business. She wants to book this as a noncurrent asset. Is that correct way to book it? - ANSWER- No
Jason's Medicinal Juniper Farm recently leased a stump drilling machine for 12 months on an operating lease. Will he be able to account for disposition of this equipment at the end of the lease?
- ANSWER- No
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Why is deferred revenue considered a liability? - ANSWER- Because it is technically for goods or services still owed to customers
In the same state, shoes, bananas, and a haircut would all be subject to the same sales tax rate. - ANSWER- False/it depends
Funds in the Sales Tax Payable account can be treated as if they were Sales Revenue - ANSWER- False
The following could be payroll deductions on an employee's
paystub, expect: - ANSWER- SUTA
The following are examples of employee-related items on a
paystub, expect: - ANSWER- FUTA; Federal Unemployment
Tax
Payroll reports are for internal use only - ANSWER- False
The process of systematically repaying a loan over time is
referred to as: - ANSWER- Amortization
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