Question

I need help with QuickBooks premier desktop 2020 multiple choice, thanks in advance

1. You are applying for a business loan. The two reports that your loan officer is most likely to require are:

a. Transaction Detail Report and Accrual Basis Report '

b. Income Statement (Profit and Loss Statement) and Transaction Detail Report

c. Income Statement (Profit and Loss Statement) and Balance Sheet Report

d. Transaction Detail Report and Cash Basis Report

2. In QuickBooks, ‘Units of Measure’ is used to define:

a. Whether QuickBooks will use Imperial or Metric measurements

b. Whether items will be purchased and sold in different currencies

c. The number of units that will typically be included on an invoice

d. Whether items are typically bought in different measurement units than they are and sold in

3. Why does QuickBooks recommend that you print out each reconciliation report?

a. It is faster to find a hard-copy report than to generate an electronic report

b. It is required by the CRA (Canada Revenue Agency)

c. It is easier to match transactions to the bank statement

d. To provide a permanent record. QuickBooks Pro overwrites the previous reconciliation report with data from the latest reconciliation

Answer 1

1. (C) The bank officer should be provided with the income statement and the balance sheet for his reference. These two are the most important documents on the basis of which the banker can analyze the performance of the entity. Therefore these two reports the officer is most likely to require.

2.(D) Whether items are typically bought in different measurement units than they are and sold in. Unit if measure is the unit which is set for the measurement of the items so that the consistency of the items can be maintained and it becomes easy fir the entity to analyze the results.

3 (D) To provide a permanent record. QuickBooks Pro overwrites the previous reconciliation report with data from the latest reconciliation.