QBO - Certified QuickBooks ProAdvisor Sales and Receivables Workflow Questions and Answers

Question 1

A client has several customers who paid with checks and cash throughout the day. To efficiently record these payments and ensure the bank deposit matches, what is the recommended final step in the QuickBooks Online sales workflow?

Accepted Answer

Use the 'Bank Deposit' feature to group the payments received from Undeposited Funds into a single deposit transaction.

Answer

The correct workflow is to first receive payments against invoices (or create sales receipts) and direct these funds to the 'Undeposited Funds' account. Then, when the physical deposit is made at the bank, use the 'Bank Deposit' screen to select all the individual payments that constitute that single deposit. This ensures that the deposit amount in QuickBooks matches the actual bank deposit, simplifying bank reconciliation.

Question 2

A customer overpaid an invoice. Which of the following is the best practice in QuickBooks Online to handle this overpayment and give the customer credit for future purchases?

Accepted Answer

Create a Credit Memo for the overpayment amount, which can then be applied to a future invoice.

Answer

When a customer overpays, the best practice is to create a Credit Memo. This formalizes the credit on the customer's account. Later, when a new invoice is created for that customer, QuickBooks will prompt you to apply the available credit from the Credit Memo, maintaining a clear and accurate accounts receivable history.

Question 3

When creating an invoice for a service that will be performed in the future, what is the correct transaction to use in QuickBooks Online to record a customer's initial deposit?

Accepted Answer

Create an invoice for the full amount and record a partial payment against it.

Answer

The standard workflow is to create an invoice for the full amount of the agreed-upon service. Then, use the 'Receive Payment' function to record the partial payment (deposit) against that specific invoice. This correctly tracks the outstanding balance in Accounts Receivable.

Question 4

A business provides services and collects payment immediately at the time of service. Which QuickBooks Online transaction form is most appropriate for this scenario?

Accepted Answer

Sales Receipt

Answer

A Sales Receipt is the correct form to use when payment is collected at the same time the service is provided or the product is sold. It records the sale and the payment in a single transaction and does not affect Accounts Receivable, unlike an invoice which is used when payment will be received later.

Question 5

Which of the following sequences represents the correct and most common accounts receivable workflow in QuickBooks Online for an accrual-basis business?

Accepted Answer

Invoice > Receive Payment > Bank Deposit

Answer

For an accrual-basis business that extends credit to customers, the standard workflow begins with creating an Invoice to record the sale and the account receivable. When the customer pays, a Receive Payment transaction is recorded to close the invoice. Finally, the payment (often held in Undeposited Funds) is included in a Bank Deposit.

(QBO) Certified QuickBooks ProAdvisor Practice Test

(QBO) Certified QuickBooks ProAdvisor Practice Test

QBO - Certified QuickBooks ProAdvisor Sales and Receivables Workflow Questions and Answers