Projects & Job Costing Flashcards

A user tries to delete a project that has invoices and bills attached. What is the expected QBO behavior?

Answer: Projects with transactions should be marked Completed or Canceled instead of deleted

Projects with linked transactions are usually closed out with a status change, not deleted, so history is preserved.

In the project overview, which three summary figures appear by default?

Answer: Income, Costs, and Profit margin

The project overview sums up income, costs, and the resulting profit margin.

A billable expense of $200 has a 15% markup set. What amount will appear when it is added to the invoice?

Answer: $230

$200 × 1.15 = $230 when the 15% markup is applied.

Which QBO report compares a project's estimated amounts with the actual income and costs recorded?

Answer: Estimates vs. actuals (Project estimates vs. actuals)

The Estimates vs. actuals report compares estimated figures against actual recorded results for a project.

A contractor (1099 vendor) logs time on a project. What allows their time to add labor cost to the project?

Answer: Entering a cost rate for the contractor

Entering a cost rate for the contractor lets QBO count their tracked hours as project labor cost.

A user records a credit card expense for permit fees but forgets to choose the project. What's the effect on project reports?

Answer: The cost won't appear in that project's profitability

Project reports only include transactions tagged with the project, so untagged costs are left out.

Which statement about project-specific billable expenses is TRUE in QBO?

Answer: They can be entered on expenses, checks, bills, and credit card charges

Billable costs can be recorded on expense, check, bill, and credit card transactions linked to a customer/project.