Virtual Assistant Financial and Legal Practices 5

Question 1

A client asks a VA to give specific tax-filing advice. What is the appropriate response?

Accepted Answer

Refer them to a licensed CPA or tax professional

Answer

A VA should not provide professional tax advice and should refer clients to qualified experts.

Question 2

What does reconciling a client's accounts mean?

Accepted Answer

Matching records against bank statements to ensure they agree

Answer

Reconciliation compares internal records to bank statements to catch discrepancies.

Question 3

A VA handling payroll discovers an employee was underpaid. What should they do first?

Accepted Answer

Notify the client and correct it per their instructions

Answer

Reporting payroll errors to the client and correcting them promptly is both ethical and legally required.

Question 4

Which practice helps a VA avoid commingling personal and business finances?

Accepted Answer

Maintaining a separate business bank account

Answer

A dedicated business account keeps finances clean for taxes, audits, and liability protection.

Question 5

What is the purpose of a SOW (Statement of Work)?

Accepted Answer

To detail specific deliverables, timelines, and costs for a project

Answer

A Statement of Work specifies exactly what will be delivered, when, and for how much.

Virtual Assistant Practice Test