QuickBooks Online Certification 2025

1. You are entering journal entries in QuickBooks Online. For each statement about the required information, select TRUE or FALSE.

-You must select Save and Close to record the journal entry-True

-QuickBooks Online automatically inserts the date and the next available journal entry number-True

-After you enter the account for the debit transaction, QBO Automatically enters the account for the credit transaction-False

During a business trip, you pay for the expenses using the company credit card. After the trip, you need to upload your expense receipts to QuickBooks. Which TWO methods can you use?

-Scan all the receipts to one PDF file and email the file to QBO

-From the QBO mobile app, take a picture of each receipt

You own a retail clothing store. You are setting up QBO for your store. You are adding items that you buy or sell to QBO Products and Services. For each item you buy or sell, indicate whether it is an Inventory item or a Non-inventory item.

-Hangers on which you display- Non inventory

-Shirts you regularly stock and sell to customers- Inventory

-A shirt that you ordered for a specific customer but do not usually sell- Non inventory

Which QBO transaction can be made recurring

Check and Journal entry

Which two statements about the Display name as field are True when adding a customer in QBO?

-It is only required field in the Add Customer window

-It is unique name you use to track each customer's balance and other information

6. What is a reason for setting up products or services in QBO?

To have a standard terminology for customers on sales forms

You need to connect financial accounts to QBO. For each account type, select YES if QBO can connect that type of financial account or NO if it cannot.

-Brokerage-Yes

-Credit Card-Yes

-PayPal-Yes

-Savings-Yes

Which list can you import into QBO Plus from the Import Data screen?

Products and Services

For each statement about creating invoices in QBO, select TRUE or FALSE

-The customer address is required for invoice but optional For sales receipts-False

-When a customer will pay you sometimes after they make the purchase, you should create an Invoice-True

-You can Save and Send to save an Invoice and attach it to An email message directly from QBO-True

Which TWO statements describes the difference between recording expenses on checks and as credit card expenses?

-A credit card expense debits the expense account and credits the credit card payable

-A check debits the expense account and credits the bank

In QBO, which items should you mark as billable?

Expenses for which a customer should reimburse you

For each statement about QBO default user types, select TRUE or FALSE

-Time tracking-only user types do NOT count toward user limits-True

-Standard users can enter timesheets, add users, update company info, or manage subscriptions-False

-The Master Admin user is a permanent user account and its control cannot be transferred or assigned to a new user-False

In what ways does QBO payments feature differ from traditional payments?

Payments received via QB payments can be deposited into a QB Cash bank account

You are adding a new customer to QBO. You are working in the Customer Information form. For each statement about the Display name as field, select True or False.

-The Display name is optional-True

-The display name must be unique-True

-The display name is used to sort customer lists-True

Which statement describes 1099 workers?

1099 workers are independent contractors

Match each feature or tool to its purpose

-Classes-Track transactions by departments in a company

-Projects-Track job costs and income

-Locations-Track transactions by city or region

For each statement related to customers and sales tax in QBO, select TRUE or FALSE

-The default tax status for the new customers is Taxable-True

-Taxability of a product service can be changed on the invoice or sales receipt-True

-If you sell a taxable service to a taxable customer, QBO Calculate sales tax and adds it to the invoice-True

-If you sell a taxable service to a non-taxable customer, QBO Calculates sales tax and adds it to the invoice-False

Identify the difference between recording expense on a bill and on a check. Complete the sentences: the bank or Accounts Payable.

-A bill debits the expenses account and credits-Accounts Payable

-A check debits the expense account and credits- the bank

For which type of transaction can you send custom email messages from QBO?

Invoice

Select the correct option: Sales by product/service or Sales by customers.

-To compare products to determine which sell better, use this report-Sales by product/service

-To compare customers. to determine who buys more from you, use this report-Sales by customs

During a business trip, you pay for expenses using the company credit card. After the trip, you upload images of your expense receipts to QB. You import the transactions from the linked credit card account. You need to assign the expenses to the appropriate accounts. What should you do?

Display each receipt in QBO and select the corresponding account

You are setting up products and services in QBO. For which items is the "Income account used when recording a sale" field available?

Inventory items and Service items

You are reviewing download bank and credit card transactions. You need to select the correct actions for each transaction. Match each actions to the description

-Add-Creates a new transaction

-Match-Links the new transaction with an existing transaction

-Split-Categorize parts of a transaction differently

-View-Displays multiple transactions that might match an existing transaction

A vendor currently has payment terms of Net 10. The terms change to Net 15 starting today for all future bills. This is a new term that you have not used before. Which TWO actions must you complete to support his change?

-In the All Lists area, go to Terms list. Add the term "Net 15" to the list

-Edit the vendor record. In the terms list, select Net 15

What is a bank rule?

A list of criteria QBO uses automatically categorize transactions for you

Which THREE actions can you perform from the QBO business dashboard

-Add a new customer

-Review and accept bank transactions

-Review last month's profit and loss data

For which THREE reasons would you install QBO apps?

-To automate tasks such as data entry

-To add additional data tracking and reporting capabilities

-To tailor QBO for specific industries such as real estate

You need to share a report. For each method, select YES if you can share reports by using this method or NO if you cannot.

-Email-Yes

-Save as PDF-Yes

-Export to Google Sheets-Yes

An existing vendor decides to purchase products from your company in QBO, you set up a customer account for the vendor. For each account field, you select YES if the vendor and customer account entries must be unique or NO if they can be identical.

-First Name-No

-Last Name-No

-Display Name-Yes

-Company Name-No

In QBO, what is the difference between void and deleting a check?

Voiding a check keeps it in reports but reduces its value to zero. Deleting a check removes It from reports other than the Audit Log

For each statement about managing unbilled expenses in QBO, select TRUE or FALSE.

-The Unbilled Costs by Job report displays the unfilled expenses-True

-If you clear the Billable check box for a cost, it is no longer a business expense-False

-You can change the billable status of a cost by Selecting or clearing the Billable check box the check-True

What information does an Accounts Receivable Aging report present?

Unpaid balances for each customer, grouped by days past due

For which TWO reasons should you connect your online bank accounts to QBO?

-To help prevent data entry errors

-To automatically download and categorize your bank and credit card transactions

You pay a bill by using a check. You record the transactions in QBO. The check is damaged before the vendor can deposit it. You write a new check. What should you do with the original check in QBO?

Void the check

Which two statements about credit memos are TRUE?

-A credit memo immediately reduces a customer's current open balance

-A credit memo can be used by the customer as payment for an invoice

On your bank's website, you transfer $5,000 from your savings account to your checking account to pay bills. You are processing bank feed transactions. You need to record this transaction properly. Which TWO actions should you perform?

-Mark the checking account transactions as a Transfer

-Match the savings account transactions to the checking account transactions

For each statement about setting up payment terms for a new customer in QBO, select

TRUE or FALSE.

-You can create new payment terms from the New Customer form-True

-You must specify payment terms when setting up a new customer-False

-If you do not select payment terms for a customer QBO assigns the default invoice terms-True

You are sending an invoice to a customer you need to set up the payment terms. What does a payment term of "Net 15" mean?

The customer must pay the invoice in full within 15 days of the invoice date

Complete the sentences by selecting deleting or voiding

-A transaction erasers it completely from your books-Deleting

-An invoice does not alter any payment you've recorded for that invoice-Voiding

-A transaction does not affect your account balance, and you keep a record of the transaction-Voiding

You are setting up products and services in QBO. For which items is the initial quantity on hand field available?

-Inventory items only

You want to reduce the amount your loyal customers owe you on each invoice by 10%.

Which feature should you use?

-Discounts

For each aspect of a report, select YES if you can customize that aspect or NO if you

cannot.

The date range-Yes

The accounting method-Yes

The way numbers are formatted-Yes

For each statement about merging vendor accounts, select TRUE or FALSE

-After the two vendors are merged, the action cannot be Undone-True

-To begin merging two vendors, edit the vendor record you want to keep-False

-To merge one vendor record with another, change the Company Name or the First and Last names to match the other vendor-False

What does the audit log display?

Transactions that affect your company file, including the time and associated user

You want to pass on some of your costs directly to customers in QBO. You are able to assign a customer to a cost, but you cannot mark it as billable. You need to make costs billable in QBO. What should you do?

In the Account and Settings area, on the Expenses tab, toggle on Make expenses and items billable

What are the four types of products and services that can appear on QB sales form?

Bundle, Inventory, Non-Inventory, and Service

Which list can you import into QBO Plus from the Import Data screen?

Products and Service

Which two methods can you use to upload a receipt to QBO?

-Email an image directly to QBO

-Upload an image directly from your Google Drive

You need to connect financial accounts to QBO. For each account type, select YES if QBO can connect to that type of financial account or NO if it cannot.

-A money market account-Yes

-A business savings account-Yes

-A personal credit card account-Yes

For which TWO reasons should you set up the services and products you sell in QBO?

-So you can add each product and service to invoices, sales receipts, expenses, and other sales forms

-So you can track sales by product and service

For each statement about the Cash Flow Statement, Select True or False

-It shows a business's assets, liabilities and equity-False

-It summarized the cash flowing in and out of a Business-True

-It is divided into three sections: Operations, Investments, and Financing-True

-It is another name for an Income Statement for Companies that use accrual accounting-False

Which statement describes 1099 workers?

-1099 workers define for themselves when, how, and where they work

You need to determine which vendor charge the most for goods and services they provide to your company. Which report should you run?

Expenses by Vendor

Which THREE tasks can you perform when using Bank Feeds in the Banking area?

-Create a Receive Payment transaction if invoices are open in QB and one or more

payments have cleared the bank

-Create a Pay Bills transaction if the bills are unpaid in QB and one or more

payments cleared the bank.

-Match transactions entered in OB to the bank information as they clear the bank

For each statement about QuickBooks Online Plus, select TRUE or FALSE.

QBO Plus provide inventory tracking-True

QBO Plus allows up to 5 users license-True

QBO Plus provides project profitability tracking-True

QBO Plus includes Payroll support at no additional costs-True

You own a retail clothing store. You order three dozen shirts from a vendor. Tow of the shirts arrive with obvious manufacturing errors. You contact the vendor, who offers you a credit. In QBO, what is the effect of the vendor credit?

Credit the cost of the damaged shirts to the Vendor Credits and Refunds income account

For each statement about QBO Payments in QBO, select TRUE or FALSE

-QBO Payments allows you to accept payments directly from customers-True

-QBO Payments accepts credit cards, debit cards, cash, check, and ACH bank transfers-True

-Transaction fees for using QBO Payments are charged on a separate monthly invoice from Intuit-False

What are three recurring transactions types in QBO

-Reminder

-Unschedule

-Scheduled

For each statement about risk and benefits of extending functionality through apps, select TRUE or FALSE.

Your QBO account includes free use of all App Store apps-True

The QBO App Store is available directly from QBO Plus-True

Apps that are not fully compliant with Intuit will not connect to or sync with your QBO company account-True

Which THREE tasks can you perform when using Bank Feeds in the Banking area?

-Create a Receive Payment transaction if invoices are open in QBO and one or more payments have cleared the bank

-Create a Pay Bills transactions if the bill are unpaid in QB and one or more payments cleared the bank

-Match transactions entered in QB to the bank information as they clear the bank

You need to record a new transaction from a sales receipt. In which order should you perform the actions? (Indicate the step (1-4) in the blank line

-Upload an image of the receipt to QBO-2

-Select the receipt to make corrections or add missing informations-4

-Create a new expense-1

-Match the receipt to the expense-3

Choose either Profit or Loss Statement or Balance Sheet for each descriptor.

Shows assets, liabilities, & Equity-Balance Sheets

Used to understand change in revenues & expenditures-P&L

Shows income, expenses, and net income- Balance Sheet

Provides information about the current and financial health-P&L