CAT Accounting Technician Software & Technology 2 — Questions and Answers
Question 1: In QuickBooks Online, which feature automatically matches bank transactions to existing records in the books?
- Bank Reconciliation Wizard
- Bank Feed / Bank Rules (Correct answer)
- Journal Entry Import
- Transaction Sync
Correct answer: Bank Feed / Bank Rules
Bank Feeds in QuickBooks Online automatically download transactions and Bank Rules auto-categorize and match them to existing records.
Question 2: A company uses a cloud-based accounting system. Which security practice is MOST critical to protect sensitive financial data?
- Using the same password across all modules for consistency
- Enabling multi-factor authentication (MFA) for all users (Correct answer)
- Storing backup files on the same cloud server
- Sharing admin credentials with the bookkeeping team
Correct answer: Enabling multi-factor authentication (MFA) for all users
MFA adds a second verification layer beyond a password, significantly reducing the risk of unauthorized access to cloud accounting systems.
Question 3: When importing a CSV file of transactions into accounting software, what must be done FIRST to ensure data integrity?
- Post all imported entries immediately
- Map CSV columns to the corresponding software fields (Correct answer)
- Delete existing transactions to avoid duplication
- Convert the CSV to PDF format
Correct answer: Map CSV columns to the corresponding software fields
Column mapping ensures each CSV field (date, amount, description) aligns with the correct field in the accounting software before import.
Question 4: In a relational accounting database, what is the primary purpose of a foreign key?
- To encrypt sensitive financial data
- To link a record in one table to a record in another table (Correct answer)
- To automatically calculate running totals
- To restrict user access to certain modules
Correct answer: To link a record in one table to a record in another table
A foreign key creates a relationship between two tables, such as linking an invoice record to a customer record using the customer ID.
Question 5: Which accounting software report is BEST used to identify which customers owe money and for how long?
- Trial Balance
- Accounts Receivable Aging Report (Correct answer)
- Cash Flow Statement
- Profit and Loss Statement
Correct answer: Accounts Receivable Aging Report
The Accounts Receivable Aging Report categorizes outstanding invoices by time buckets (0-30, 31-60, 61-90 days) to show overdue amounts by customer.
Question 6: An accounting technician needs to prevent a specific user from deleting journal entries in the ERP system. Which action accomplishes this?
- Assign the user an Accountant license instead of Admin
- Configure role-based access controls to restrict delete permissions (Correct answer)
- Ask the user to self-restrict via their profile settings
- Enable read-only mode for the entire system
Correct answer: Configure role-based access controls to restrict delete permissions
Role-based access control (RBAC) allows administrators to grant or restrict specific permissions—such as delete—at the user or role level.
Question 7: Which file format is the international standard for exchanging structured business and financial data between different software systems?
- MP4
- XML (including XBRL) (Correct answer)
- JPEG
- MP3
Correct answer: XML (including XBRL)
XML and its financial variant XBRL (eXtensible Business Reporting Language) are the standard formats for structured financial data interchange between systems.
CAT Accounting Technician Software & Technology 2
In QuickBooks Online, which feature automatically matches bank transactions to existing records in the books?