QBO QuickBooks Setup & Navigation 5

Question 1

A client's QuickBooks Online is set to 'Cash Basis' accounting. What does this mean for how income is reported?

Accepted Answer

Income is recorded when payment is actually received

Answer

Under cash basis accounting, income is recognized only when cash is received, not when the invoice is issued.

Question 2

Which of the following is NOT a default account automatically created by QuickBooks Online during company setup?

Accepted Answer

Work in Progress

Answer

Work in Progress is not a default account created by QBO; it must be added manually if the business needs it.

Question 3

A ProAdvisor wants to prevent users from entering transactions dated before a certain date. Which setting accomplishes this?

Accepted Answer

Closing Date with password

Answer

Setting a Closing Date with an optional password (under Gear > Account and Settings > Advanced) prevents users from adding or changing transactions before that date.

Question 4

When navigating QuickBooks Online, where does the 'Recent Transactions' list appear for quick access?

Accepted Answer

In the Search bar dropdown after clicking it

Answer

Clicking the Search icon reveals a dropdown that displays recent transactions, making it easy to quickly reopen recently accessed records.

Question 5

A client switched from desktop QuickBooks to QuickBooks Online. Which method is recommended to migrate the company file?

Accepted Answer

Use the built-in QuickBooks Desktop migration tool to export and import the file

Answer

Intuit provides a built-in migration tool within QuickBooks Desktop that converts and uploads the company file directly to QuickBooks Online.

(QBO) Certified QuickBooks ProAdvisor Practice Test

(QBO) Certified QuickBooks ProAdvisor Practice Test

QBO QuickBooks Setup & Navigation 5