Deck 16: Questions Velocity

Question 1

To check the accuracy of the inventory records after you create them you would print -

A) the inventory list and price list
B) the inventory summary report
C) the inventory quantity report
D) all of the above

Answer 1

all of the above

Question 2

Which of the following general statements about inventory is true -

A) Sage 50 Accounting uses a weighted average perpetual inventory method as the default method of costing
B) the selling price refers to a single unit, while value refers to cost of the entire stock
C) a variance account adjusts the difference between cost of an item sold and the new purchase price
D) all of the above

Answer 2

all of the above

Question 3

From the inventory settings options screen you may choose all but one of the following -

A) profit evaluation method
B) method of sorting inventory
C) inventory linked accounts
D) allow inventory levels to go below zero

Answer 3

profit evaluation method

Question 4

Which one of the following statements about inventory prices for foreign customers is not correct -

A) foreign prices may be entered in the inventory ledger
B) inventory prices in the ledger may be stated only in the home currency
C) prices may be based on the exchange rate at the time of the sale
D) prices may be based on the exchange rate in the customer's ledger

Question 5

To sell inventory items, you must -

A) identify linked revenue and C.O.G.S. accounts for inventory items
B) identify linked inventory adjustment and write-off accounts
C) identify linked revenue and C.O.G.S. accounts
D) identify linked variance, asset and revenue accounts

Question 6

Which of the following can be done from the inventory ledger -

A) change inventory profit evaluation from markup to margin
B) create a ledger for Services Revenue
C) create a new inventory item
D) all of the above

Question 7

You cannot enter separate inventory prices for -

A) individual inventory asset accounts
B) preferred customers
C) individual inventory items
D) foreign customers

Question 8

Which statement about inventory linked accounts is true -

A) enter linked accounts from the setup menu
B) enter linked accounts in the inventory ledger
C) you can finish entering the history without entering inventory linked accounts
D) all of the above

Question 9

Which one of the following general statements is not correct -

A) HST is never charged on services, only GST is charged
B) you cannot add details for inventory cost and quantity once you finish entering the history
C) services are not involved in inventory item assembly entries
D) item assembly does not involve customers or suppliers

Question 10

Creating the record for inventory items requires -

A) input of the item assembly costs linked accounts
B) input of the quantity on hand
C) input of the inventory item linked asset account
D) all of the above

Question 11

Inventory prices for sales to foreign customers -

A) may be based on the exchange rate
B) may be selected from the ledger record
C) may be changed or entered in the sales journal
D) all of the above

Question 12

If you are unable to finish entering the history for the inventory ledger, a message might advise you that -

A) the inventory items historical information does not equal the opening balances of their linked asset accounts
B) the linked accounts are not in logical order or are missing
C) a backup copy of the file has not been taken
D) the inventory items historical information does not equal the opening balances of their linked revenue accounts

Question 13

Ledger records for inventory items and services differ as to -

A) the requirement to enter linked expense accounts
B) the requirement to enter linked revenue accounts
C) the requirement to enter linked asset accounts
D) items and services require the same linked accounts

Question 14

There are two units of an inventory item in stock. The selling price is $400 and the value is $400. What is the individual cost of the item -

A) $100
B) $200
C) $300
D) $400

Question 15

If inventory statistics details are not entered you will -

A) allow tracking of year-to-date inventory sales and purchases
B) not be able to track year-to-date inventory sales and purchases
C) allow tracking of number of transactions purchased
D) allow tracking of number of transactions sold

Question 16

When you change the inventory item number you must also change -

A) the linked accounts for the inventory ledger
B) the related inventory settings
C) the linked accounts where the information is posted
D) none of the above

Question 17

Which of the following choices are not options when using the inventory ledger -

A) accessing inventory lists from the home window or the inventory & services window
B) item assembly costs or adjustment write-off costs
C) sort inventory by item and name
D) profit evaluation method by markup or margin

Question 18

To allow the choice between using the exchange rate or ledger information for individual foreign inventory prices, you should -

A) make the choice in the ledger record for the inventory item
B) make the choice in the inventory ledger settings screen
C) make the choice in the foreign customer's ledger record screen
D) make the choice in the sales journal invoice screen

Question 19

One of the following is required when import duties are charged on purchases -

A) change the inventory ledger settings to charge duty on inventory items
B) change the payables ledger settings to charge import duties
C) enter a linked account to track import duties
D) change the system settings to charge import duties

Question 20

Which one of the following statements about inventory items is not correct -

A) you will be unable to change the opening value after you finish entering the history
B) you will be unable to change the quantity on hand after you finish entering the history
C) you will be able to change the value and quantity after you finish entering the history
D) linked inventory accounts are not required in order to finish entering the history

Question 21

The currency setting for a bank account is changed in -

A) the settings window for the general ledger
B) the account tab screen of the bank's ledger record
C) the class options tab screen of the bank's ledger record
D) the bank tab screen of the bank's ledger record

Question 22

You can change the default industry terminology for all of the following except -

A) sales and purchase quotes and orders
B) receipts and payments
C) sales and purchases
D) suppliers and customers

Question 23

Which one of the following is the preferred order for entering supplier information -

A) supplier name and address, historical invoices, terms, currency
B) supplier name and address, terms, currency, historical invoices
C) supplier name, terms, sales taxes and codes, historical invoices, currency
D) it does not matter which order you use to enter the above information

Question 24

One of the following is not a required step in setting up foreign currency sales and purchases -

A) enter the linked account for tracking exchange rate differences
B) choose the foreign currency in the supplier and customer ledger
C) choose a foreign currency bank as the linked account
D) all of these are necessary steps

Question 25

Which one of the following is the best order for entering setup information -

A) accounts, currencies, sales taxes and tax codes, suppliers and customers
B) accounts, suppliers and customers, sales taxes and codes, currencies
C) currencies, accounts, suppliers and customers, sales taxes and codes
D) it does not matter which order you use to enter the above information

Question 26

The first step in setting up company files to allow foreign currency sales and purchases is -

A) allow foreign currency transactions in the ledger record for the bank account
B) allow transactions in a foreign currency from the setup menu
C) change the currency setting in the supplier's ledger
D) enter an exchange rate for the session date

Question 27

After you finish the history for a company data set, you cannot change the inventory -

A) item number
B) item description
C) unit of measure
D) you can change any of these inventory details

Question 28

You can access the assign tax codes feature from -

A) the Company Sales Taxes settings window
B) the Payables tax codes settings window
C) the Receivables tax codes settings window
D) the ledger records for customers or suppliers

Question 29

To change a supplier's currency after entering historical invoices and before finishing the history you must -

A) delete the supplier record and re-enter it
B) edit the currency selection
C) select the correct currency for later invoices and it will be changed for the supplier overall
D) pay historical transactions, clear paid transactions, remove the supplier record, re-enter the supplier with the correct currency selection and re-enter the historical invoices

Question 30

Foreign selling prices for inventory items -

A) are always set at a fixed price for the currency
B) are always based on the home currency price and the exchange rate
C) can be based on the exchange rate or fixed prices
D) are not needed because inventory is not sold to customers outside of the country

Question 31

You cannot use the assign tax codes feature -

A) to change tax codes for customers who do not pay taxes
B) to create new tax codes
C) to change the tax codes for foreign currency suppliers
D) unless a tax code has already been assigned

Question 32

Which one of the following is not a reason for entering currency information early in the setup -

A) to allow entering sales tax codes for foreign suppliers and customers
B) to allow selection of currency for suppliers and customers
C) to allow entering bank account balances in the foreign currency
D) to allow entering the linked bank account for foreign currency transactions

Question 33

As the linked bank account for foreign and home currency transactions, you can select -

A) any asset account, except accounts receivable
B) any account that is listed in the Banking module window account list
C) any foreign currency bank class account
D) any home currency bank class account

Question 34

You might use the assign tax codes feature -

A) to change tax codes already assigned to customers
B) change the tax codes for all customers from a single screen
C) remove tax codes already assigned to customers
D) for all of the above