Michelle Jewelry Company

Michelle Jewelry Company’s finance team is growing and is considering upgrading to QuickBooks Online Advanced to take advantage of the advanced custom user permissions. The new permissions allow you to limit a user’s access to which 2 groups of reports?(Select all that apply)

Basic reports
Sales and customer reports
Employee
Expense and vendor reports
Sales tax
Business overview

Which tier will Dianne achieve if she adds two new QuickBooks Online clients to her QuickBooks Online Accountant account?

Silver
Gold
Platinum
Elite
Diamond

Dianne Doolittle has received a review on her Find-a-ProAdvisor profile listing and would like to respond to the review. Which steps should she take to leave a response?

It is not possible to respond to reviews written on the Find-a-ProAdvisor website.
Dianne must contact ProAdvisor support to initiate the response request.
Dianne can reply to the review by selecting the Profile icon on the menu bar of QuickBooks Online Accountant, scrolling to the “Client reviews” section and selecting “Reply to review.”
Dianne can reply to the review directly from the Find-a-ProAdvisor website by entering her Intuit ID and password where indicated on the page.

What are 3 benefits of adding non-QuickBooks Online clients to your Client List in QuickBooks Online Accountant? (Select all that apply)

You can keep all client contact info, notes, and documents in one place.
You can access all your ProConnect Tax Online clients from the same dashboard.
You can launch your QuickBooks Desktop client companies directly from the Client Dashboard.
You can create projects and tasks for non-QuickBooks Online clients in the Work tab to stay on top of important client deadlines.
You can share documents stored in QuickBooks Online Accountant with the client.
You can add one button for conversion to QuickBooks Online through QuickBooks Online Accountant.

Carla is a partner in a firm with over 40 team members who have access to QuickBooks Online Accountant. She needs to assign a payroll specialist to work on a new client that just signed up with the firm. She needs to: Navigate to ________ in QuickBooks Online Accountant, then _____ Payroll Specialist in the ____________. Fill in the missing steps.

Work; select; second drop-down
Team; type; Search box
Team; select; drop-down
Team; filter for; Gear icon
Work; type; Search box

The QuickBooks Online Accountant Work feature supports integration with which popular communication app?

WhatsApp
Slack
Facebook Messenger
SMS Texting

Dianne Doolittle has opened a client’s QuickBooks Online Company from her Client Dashboard in QuickBooks Online Accountant. She wants to see which apps are connected to the client’s account. Where can she find this information without logging out of the client’s QuickBooks Online account?

Gear icon > Account and Settings > Billing and Subscriptions
Client Overview > Company Setup
Client Overview > Common Issues
Left navigation > Apps
Left navigation > My Accountant

The search box in the Client apps screen allows you to search for apps by which 2 criteria?

Name of the app
Apps you connected
Discounted apps
Name of the client
Apps others connected

Which 4 features are available in the Work tab in QuickBooks Online Accountant?

You can add new clients to your client list in the Project setup screen.
You can track Projects and Tasks for your Firm’s internal work.
You can create custom Project Templates.
You can bulk-assign Project Templates to many clients.
You can create projects using predefined Quick Start Templates.

Dianne Doolittle wants to download an itemized invoice for the QuickBooks Online subscriptions on her wholesale billing account for last month. The statement can be downloaded in which 2 file formats?

XLS(X)
CSV
JPEG
PDF

MB has permanently deleted a QuickBooks Online client from her client list in QuickBooks Online Accountant, but she still needs to do a tax return for them in ProConnect Tax Online.

What does MB need to do to reinstate access to the client’s tax information?
Tell the client to re-invite MB as an accountant user to their QuickBooks Online account.
Go to Team, select the team member who needs access to the client, select the Client Access tab, check the box next to the client’s name, select Save.
Select the Gear icon at the top right of the Client list, check the box Include inactive clients, select Make active in the Actions column.
Go to her ProConnect Tax Online Client Dashboard and reinstate the client.

Stacy needs to install an app for her client’s QuickBooks Online account. Which permission level does she need to have to add the app from the Apps tab in QuickBooks Online Accountant?

Full Access level
Basic level
Firm Master Admin level
Custom level

Johanna Day is a QuickBooks Online Advanced certified ProAdvisor at the Platinum Level Tier whose current Advanced certification has expired. After her 90-day grace period, which point balance will Johanna need in order to maintain her Platinum Level status?

100
200
800
1600

What is the maximum amount of times the URL for your listing on the Find-a-ProAdvisor directory can be changed?

Esther will be helping Heather with her firm’s billing, but she does not want Esther to have access to her firm settings or her clients’ QuickBooks Online companies.Which settings should Heather select to give Esther the appropriate access to her firm’s books? Refer to the graphic and select the letter of the image that shows the correct settings.

Exam Section 2

Esther is thrilled to see that paychecks created in QuickBooks Online that have two direct deposit accounts show up in QuickBooks as two separate transactions. Which 2 processes will be made easier by this functionality?

Esther won’t have to create two paychecks for employees who want to use two direct deposit accounts.
The transactions will be easier to reconcile using the Reconcile tool.
The transactions will now match the transactions imported from the bank in the Bank Feed.
Esther won’t have to create an extra Journal entry.

Craig’s Design and Landscaping Services recently hired a new employee to help with purchasing. Which feature in QuickBooks Online would help the new employee know who Craig usually purchases specific products and services from?

Price Rules
Vendor Type field
Preferred Vendor field
Preferred Product field

Your client, Kellie’s Kandy Shoppe, just started using QuickBooks Online. They collect and remit sales tax. As you set up Kellie’s business in QuickBooks Online, you have found that it will not permit you to use Automated Sales Tax. What are 2 possible reasons why you cannot use Automated Sales Tax?

They are using multicurrency.
They collect and remit sales tax in more than one jurisdiction.
They sell candy across state lines.
They use a cash-based accounting method in QuickBooks Online.
Their company file was recently imported from QuickBooks Desktop.

Craig’s Design and Landscaping Service has entered into a subcontracting agreement with Long General Contractors. The contract states a negotiated special price that should be used for each product and service item utilized in the jobs that Craig completes for Long. Which type of Price Rule should you recommend Craig use in this situation?

Percentage
Fixed discount
Custom price per item

While completing a client’s May bank reconciliation in QuickBooks Online, you see this alert: “We found a hidden transaction that is affecting your difference.” What are 2 reasons that would cause this message to appear?

A check was voided, but actually cleared the bank in May.
There was a barter transaction in May for a service rendered in June.
Your client recorded a deposit with a transaction date in June, but physically deposited it in May.
You client received a pre-payment deposit from a customer in May on an invoice that was dated in June.
Your vendor deposited a post-dated check that you gave them, and the bank accidentally cleared it.

Your client, Brian’s Bike Shop, insists on doing all the QuickBooks Online entries himself, but with some guidance from you. In fact, he has not even given you access to his QuickBooks Online company. You have persuaded him to send you a spreadsheet version of the report “Ask My Accountant,” which is a listing of all the transactions posted to his “Ask My Accountant” suspense account for the week. Then, you add your comments and instructions for corrections into the last column and send it back to him. What is Brian’s best option for sending you the “Ask My Accountant” Excel report out of QuickBooks Online?

Create the report every week, export it to Excel, and email from Excel.
Create the report every week and email it as an Excel spreadsheet.
Save the report as a Custom report, Edit it, and set email schedule to weekly. Check “Attach the report as an Excel file.”
Save the report as a Custom report, run it every week, export it to Excel, save the spreadsheet, and attach it to an email message from the email client.

Which 2 types of changes can be made on the sales tax calculation screen of an invoice using Automated Sales Tax?

Change the product being sold.
Mark the customer tax-exempt.
Change the company address of the seller.
Override the currently calculated sales tax.
Change your customer to accrual basis on the invoice to calculate the correct amount of sales tax

Liz has set up a new employee with Standard user access but has unchecked the Payroll access box. Which part of QuickBooks Online will the new employee not have access to?

Bank register
Employees tab
Workers tab
Report Center

Once connected, where can you manage the settings for the Connect to PayPal app?

In QuickBooks, Banking > Pencil icon > Edit Settings
In QuickBooks, Apps > Client apps > PayPal > Manage Connection
In QuickBooks, Accounting > Chart of Accounts > PayPal Bank > Edit
In PayPal, Settings > Apps > QuickBooks Settings

Which 4 Invoice elements can be customized using the Custom Form Styles Design screen?

Field placement
Template
Logo
Color
Font
Field size

Where can you turn on Price Rules in QuickBooks Online?

Gear > Account and Settings > Advanced > Automation > Turn on price rules
Gear > All lists > Price Rules
Gear > Account and Settings > Sales > Products and services > Turn on price rules
Sales > Customers > Turn on price rules

Your client turned on the Tips function in QuickBooks Online and specified that their team will be getting tips. They then created their first sales transaction with a tip on it. Which 2 statements are true?

The tip amount posts to an Other Current Liability Account.
The tip amount posts to an Income Account.
The Tips account can be changed.
The sales transaction type was an invoice.
Your client must be using QuickBooks Online Plus or Advanced.

What are the names of the three tabs listed across the top of the Reports Center?

Favorites, Custom reports, Management reports
Standard, Custom reports, Management reports
Business overview, Favorites, Custom reports
Standard, Business overview, Custom reports

How many months of QuickBooks Payments merchant account statements can you view in your Account and Settings?

Which 4 steps are necessary to complete a migration to the Automated Sales Tax feature?

Select Make the switch in the Tax Center.
Confirm the physical address for the company.
Select where and how often your client files their taxes.
Select the bank account that will be used to pay the sales tax agencies.
Review the default tax rate.
Run an Accrual Basis Balance Sheet as of the last tax filing date.
Sign into QuickBooks Online as an Accountant user.

Laura has started using PayPal in her business to collect payments from her customers. She has heard about the Connect to PayPal app that syncs with QuickBooks Online. Where should Laura go to begin the setup of the Connect to PayPal app?

Banking
Apps
Gear icon > Tools > Connect to PayPal
Gear icon > Account and Settings > Payments

Your client wants to offer a 10% discount to their wholesale customers. Which 2 features of QuickBooks Online will they need to use to set this up?

Price Rules
Delayed Charges
Customer Types
Projects

Which 3 navigation features are missing in a Reports Only User's view?

(Select all that apply)

Navigation panel
Search box
Quick Create (+) icon
Gear icon
Help menu

Which report should you run to determine who is to receive tips and the amount they should receive?

Unpaid Tips Liability Report
1099 Contractor Balance Summary
Sales by Product/Service Detail Report
Sales by Product/Service Summary Report
There is no report that identifies to whom the tips should be paid.

What are 2 functions of the “cleared date” column in the reconciliation window?

QuickBooks adjusts the transaction date to the cleared date.
QuickBooks automatically marks anything dated during the month as “cleared.”
Users can manually enter the date that transactions cleared in the reconciliation window.
QuickBooks marks “cleared” any transactions with a cleared date in the statement period.
You can determine why certain transactions came through on the bank feed but are not marked “cleared.”

Which 4 statements are true about migrating to the Automated Sales Tax experience in QuickBooks Online?

New QuickBooks Online companies will automatically be enrolled for Automated Sales Tax.
Migration to Automated Sales Tax begins in the Tax Center.
If a client is eligible to migrate to Automated Sales Tax, they will be able to select Make the Switch.

The Automated Sales Tax feature only supports companies that collect sales tax for a single agency.

If an existing customer has chosen to migrate to Automated Sales Tax, they can revert back to the old sales tax center if they want to.
Migration to Automated Sales Tax begins on the Alerts section of the Dashboard.
Once an existing customer has chosen to migrate to Automated Sales Tax, it cannot be reversed.

Under which report category heading will she find the report she needs?

Your answer:
Accounts Receivable

When moving to the Automated Sales Tax from Manual Sales Tax in QuickBooks Online, which 2 elements will you see in the Migration Wizard?

“Continue to old tax center” button
“Make the switch” button
“I am using cash-basis accounting” button
“I am converting from QuickBooks Desktop” button
“E-file here” button

Heather is looking for a summary of her customers’ open balances.

Under which report category heading will she find the report she needs?

Business overview
Who owes you
For my accountant
Accounts Receivable
Sales and customers

Erin’s European Bath Products is planning to run a promotion for their best customers. For a limited time, these customers will receive a 15% discount off selected products. Erin tells you that although she has completed the setup for the promotion, the promotional pricing isn’t being applied when she creates an invoice. She explains the steps she took to set up the Price Rule:

Navigated to the Gear and Account and Settings to turn on the Price Rules setting
Navigated to the Customer Center and selected Customer Types, and created a new Customer type called Best Customers
Navigated to the Gear, selected All Lists, and then Price Rules and selected Create a rule
Named the rule February promotion and entered the start and end dates, selected Best Customer from the drop-down list, and then selected the Product/Service items that should be included in the promotion
Set the sales price or rate by Percentage Decrease by 15% with No rounding

Based on the scenario, which step did Erin skip during the setup process?

Turn on Price Rules in Account and Settings
Set up Customer Types
Assign Customer Types to customers
Create a price rule > Select customers

Stacy wants to change the look of the emails that are sent to her customers along with her invoices. Where can she go to make these changes?

Quick Create (Plus +) icon > Custom Form Styles > Edit > Emails
Gear icon > Custom Form Styles > Edit > Emails
Gear icon > Account and Settings > Custom Form Styles > Edit > Emails
Gear icon > Tools > Edit Email Templates
Gear icon > Account and Settings > Edit Email Templates

Bryce received a notification in the Banking Center to update his bank connection and wants to know what he should do. You explain that Intuit has an easier way to connect bank accounts to QuickBooks, and that once he reconnects the account he will not have to worry about reconnecting again when he changes his password at the bank. Bryce is thrilled by this and asks you if you can connect to the bank for him using your login to the account. You tell him you are unable to reconnect the account but offer to do a screen share to help him through the process.

What is the likely reason that you are unable to reconnect the bank account for him?

Accountant users do not have permissions to connect bank and credit-card accounts to their clients’ QuickBooks companies.
Only a Master Administrator user can connect an account using the new Bank API connection.
His bank only allows the primary user for the bank’s website to establish the connection to his bank.
Only the Firm Administrator of QuickBooks Online Accountant can connect an account for a client. You are not the Firm Administrator.

Where can you find up to two years of detailed QuickBooks Payments merchant statements in QuickBooks Online?

Gear icon > Your Account > Payments
Gear icon > Account and Settings > Payments
Sales > All Sales > QuickBooks Payments
Quick Create (Plus +) icon > Bank Deposit > View Merchant Statements
Accounting > Reconcile > History by Account

Exam Section 3

You have been hired to prepare 1099s for your client, Donna’s Design.

Here are the related transactions for the year:

They paid Books by Bessie $100/month for 12 months.
For Books by Bessie, the first five months were paid by check.
The remaining seven months were paid by credit card.
Computers by Han was paid $700 by debit card.
The landlord, John Johnson, was paid $100/month by EFT.
Mahoney Advertising was paid $500 by check.
Nancy Seitz, CPA, was paid $1200 by check.

Which 2 businesses should receive a 1099?

Computers by Han
Nancy Seitz
Books by Bessie
John Johnson
Mahoney Advertising

In which of these situations should you have the ability to convert sub-customers to Projects?

Projects turned on in each customer that you want to convert
Any sub-customers that have elected to “Bill this customer”
Any sub-customers that have inactive sub-sub-customers
Any sub-customers that are only one level deep

In which 2 situations should you use Projects instead of sub-customers?

You want a different address for a job than for other jobs of the same parent.
You want to see one-click unbilled time and expenses for a particular job.
You want to invoice the job without invoicing the parent.
You want to see the costs related to time entered for employees or vendors.
You want to be able to invoice the customer, create jobs for locations, and sub-jobs for work done.

Where can you easily see the invoices created and emailed overnight using Automated Invoicing?

In the Audit log, filtered by the System Administration user.
In the QuickBooks Online Audit log, filtered by Import Administration user.
In the Customer Center, filtered by open invoices.
In the Sales Center, filtered by unbilled activity.
In the Report Center > Invoice List > Report Period = Yesterday, filtered by user.

What is true about revaluing foreign balances in QuickBooks Online?

The journal entries show a zero gain or loss for foreign credit-card accounts.
The journal entries show a zero gain or loss for foreign bank accounts.
The journal entries are adjusting.
The journal entries show a zero gain or loss for A/R and A/P.

Which steps are involved in turning on batch creating and sending invoices for unbilled activity?

Account and Settings > Sales > Automation > Batch Invoicing
All Sales > Unbilled Activity > Select Customers > Create Invoices
There are no special steps to turn on batch creating and sending invoices.
Account and Settings > Advanced > Automation > Batch Invoicing

Chayelle has been assigned to add the products of a new product line to QuickBooks. The items are being tracked as non-inventory type, but her boss wants to use them on sales forms as well as purchase forms. |Her boss printed off the item list with the item name, description, preferred vendor, income account, and expense account. She is only on her second entry and realizes that the item is supposed to post to Widget Purchase, a sub-account of the Cost of Goods Sold account.|

What should you recommend as the best practice to get this account set up?

Cancel the item setup, open up the Chart of Accounts, and add the new sub-account of Cost of Goods Sold.
Add the account from the item setup screen as a parent account because you can’t add a sub-account on the fly.
Add the account from the item setup screen, and make it a sub-account of Cost of Goods Sold.
Import a new chart of accounts, including the new account.

You are using bills, checks, and expense forms to partially fulfill purchase orders.

What is true about the functionality of partial purchase orders?

Purchase orders can use Product/Service Items only and not Accounts.
You must turn on Partial Purchase Orders in Account and Settings.
The purchase order must be marked as Accepted before you can receive items against it.
You can overwrite individual line items and purchase more than the original purchase order amount.

What is the reason?

The estimate is post-dated.
The estimate is for a quantity of 1.
The customer has no email address.
The estimate status has not been changed to Accepted.

Mark’s Magic Shoppe is having a hard time keeping up with his inventory. He walks around the store to determine what to order but often runs out of stock because he misses something. What 2 options should Mark do?

Set an alert for Low Stock on specific Products.
Set an alert for Low Stock on specific Products.
Run the Stock Status by Item report on a weekly basis.
Filter the Products and Services List by low stock status.
Set a reorder point for each inventory part that Mark is concerned about running out of stock.

What 2 things can you do when you select an individual project from the Projects Dashboard?

You can add transactions to the project.
You can see time activity by products and services.
You can see the cost of unpaid time in the profit margin bar.
You can view a report of non-billable time from Project Reports.
You can view a bar chart of cost of goods sold.

You want to import a new chart of accounts that includes sub-accounts. Which character should you use to indicate the account is a sub of a parent?

You cannot import sub-accounts
Use a “:”
Use a “;”
Use a “,”

Your client, Heather’s Hair Salon, has called you because her supplier wants to know which bills were paid by Heather’s last payment to them by EFT. Which report should you recommend Heather send to her supplier?

There is no report that will help.
Bill Payment List filtered for the vendor
Purchases by Vendor Detail filtered for the vendor
Bills and Applied Payments filtered for the vendor

Which statement is true regarding hourly cost rate for Projects?

When using the hourly cost rate calculator, the boxes are initially populated from the employee record.
The hourly cost rate is initially populated by the vendor’s or employee’s billable rate.
When on the Projects Dashboard, you can enter an hourly cost rate for a vendor.
Best practice is to use the hourly cost rate field when you are not using QuickBooks Payroll.
Best practice is to enter time for each vendor, use the cost rate per hour and split the vendors' bills by project.

You have been hired to prepare 1099s for your client, Donna’s Design.

Here are the related transactions for the year:

They paid Books by Bessie $100/month for 12 months.

For Books by Bessie, the first five months were paid by check.

The remaining seven months were paid by credit card.

Computers by Han was paid $700 by debit card.

The landlord, John Johnson, was paid $100/month by EFT.

Mahoney Advertising was paid $500 by check.

Nancy Seitz, CPA, was paid $1200 by check.

What is the total amount of 1099s issued (what would normally go on a Form 1096 if not e-filing)? (enter with two decimal points, no commas, no dollar signs, e.g. 1300.00)

Which 2 statements are true about the Projects Dashboard (the Center)?

You can see the cost of time entered against each project.
You can see the number of hours entered against each project.
You can compare the profitability of all projects against each other.
You can create a new project from an existing project.
You can add transactions directly from the Projects Dashboard.

How does QuickBooks Payroll integrate with Projects?

If you enter time using time-tracking and add a project, QuickBooks Payroll will allocate costs to Projects.
If you enter time and the project on the paycheck, QuickBooks Payroll will allocate costs to Projects.
When you enter time, it will display the related costs on the Project Profitability report, even if paychecks have not been created.
You must use TSheets to enter time for projects when using QuickBooks Payroll.

You are using bills, checks, and expense forms to partially fulfill purchase orders. What is true about the functionality of partial purchase orders?

Purchase orders can use Product/Service Items only and not Accounts.
You must turn on Partial Purchase Orders in Account and Settings.
The purchase order must be marked as Accepted before you can receive items against it.
You can overwrite individual line items and purchase more than the original purchase order amount.
Your client, Heather’s Hair Salon, has called you because her supplier wants to know which bills were paid by Heather’s last payment to them by EFT. Which report should you recommend Heather send to her supplier?
There is no report that will help.
Bill Payment List filtered for the vendor
Purchases by Vendor Detail, filtered for the vendor
Bills and Applied Payments, filtered for the vendor

Your client is an attorney. Her new admin is just learning how to use QuickBooks Online. The “Automatically create invoices and don’t notify me” setting is on. The attorney charges her clients for copies made. These should have been entered using delayed charges, but the admin did not know that, and they were not entered into QuickBooks Online.

What is the risk/danger of the new office admin person not entering the copies made in the Delayed Charges?

There is no risk. Invoices will go out just fine.
Invoices will go out without having been tracked and charged on the invoices.
The attorney’s clients will be undercharged.
Photocopy expense will be understated.

Your client, Mary Beth, is starting a new QuickBooks Online company. She had been using a legacy system and is able to export that system’s lengthy chart of accounts into Excel. That chart of accounts includes accounts and sub-accounts.

What is the most efficient way to import Mary Beth’s chart of accounts into QuickBooks Online?

Use a third-party app to import the chart of accounts into QuickBooks Online.
Make sure accounts are in Excel in parent:sub format, and import.
Import the parent accounts only, and enter the sub-accounts manually.
Import all the accounts as parent accounts, and edit each account once they are in QuickBooks Online to make them sub-accounts.’

What are 2 relevant settings related to Projects?

Track inventory quantity on hand
Show Items table on expense and purchase forms
Track expenses and items by customer
Create multiple partial invoices from a single estimate

Track billable expenses and items as income in multiple accounts Your client is using QuickBooks Online Advanced. Your client has different customers on several different invoicing schedules and some on “no schedule at all.” However, when your client does invoice, he wants to be sure he is capturing absolutely everything for each customer. Why would your client batch-create and send invoices for unbilled activity instead of automatically invoicing for unbilled activity?

Automatic invoicing is not available in QuickBooks Online Advanced.
Automatic invoicing allows for only one fixed invoicing schedule.
Batch-creating allows you to filter the Sales Center for sales activity and Customer Type.
Automatic invoicing does not capture Delayed Credits

What is the advantage of adding a Preferred Vendor to an inventory item in the Products and Services list?

There is a report that lists Preferred Vendors and their inventory items.

When reordering this item from the Products and Services list, it populates the purchase order with the vendor information.

When entering a purchase order from this vendor, all inventory items using this vendor as the Preferred Vendor are available to populate the purchase order.

When entering a bill or expense from this vendor, all inventory items using this vendor as the Preferred Vendor are available to populate the purchase order.

Joe, of Joe’s Bait Shop, is adding a new line of products. As Sally, his employee, adds the first product, she realizes that he needs a new income account on the Chart of Accounts so she can link the new products to it. Which statement is true?

Sally is not the administrator, so she cannot add an account.
Only Service type of items can have accounts added on the fly.
The account needs to be set up before it can be added to the item.
Sally can add it directly from the “Income account” field when adding the product.

Your client, Brian’s Baseball Consulting, has heard about Projects and wants to try using them. He has some customers that have sub-customers three levels deep, including the parent. He has said that he can work with just the customer and one level in.

What are 2 things you can do to get his QuickBooks Online company working with Projects?

(Select all that apply)

Make sub-sub-customers inactive, and then convert.

Set up a new project, and manually move transactions to a new project.

Turn on Projects in Account and Settings.

Delete all sub-customers, and recreate them as Projects.

Create a new customer, and rename all the old jobs for this customer.