Deck 6: Phoebes Photo Studio

Question 1

Linked accounts provide all but one of the following controls -

A)amounts cannot be entered incorrectly
B)required linked accounts must be defined
C)the program automatically updates the corresponding general ledgers
D)there is no need to enter the information twice

Answer 1

A

Question 2

When you post a sales invoice the following accounts are updated -

A)only the sales and accounts receivable general ledgers
B)only the sales and accounts receivable subsidiary ledgers
C)all properly linked accounts
D)only the sales,accounts receivable ledgers and HST Charged

Answer 2

C

Question 3

Which one of the following general statements is incorrect -

A)sales journal reports may be accessed from either the home or the customers windows
B)new customers may be added from both the sales and receipts journals
C)the message "there is no data to report" is found in the receipts journal
D)enter payments in the receipts journal rather than the general journal

Answer 3

C

Question 4

In the receipts journal,once we select the customer we are not required to enter -

A)the payment amount
B)the original amount
C)the date of payment
D)we need to enter all the above details

Question 5

Which one of the following general statements about sales is true -

A)journal reports may be accessed from either the home or the customers windows
B)new customers may be added from both the sales and receipts journals
C)the message "there is no data to report" may be found in the journal reports
D)all of the above

Question 6

What information is not provided by the Sales vs.Receivables chart -

A)amounts of individual receivables and revenue accounts
B)amounts of account receivables and revenue accounts
C)amounts of account receivables and the sales account
D)if accounts are collected in a timely fashion

Question 7

Transactions entered in the receipts journal will not allow the following -

A)payments greater than the invoice amount
B)payments less than the invoice amount
C)editing of the discount amount
D)reversing a previous payment

Question 8

The Cash Flow Projection report allows you to -

A)select more than one cash account
B)project future short term cash commitments
C)project future long term cash commitments
D)all of the above

Question 9

Which of the following reports provides information similar to the Receivables by Aging Periods graph -

A)customer aged report - detail
B)customer address details report
C)customer aged report - summary
D)customer linked accounts report

Question 10

What information is provided by the Receivables by Customer graph -

A)the amount a customer owes shown by double clicking a portion of the graph)
B)the proportion of outstanding receivables for a customer
C)the proportion of outstanding receivables for all customers not selected
D)all of the above are provided

Question 11

How would you enter a sale for an account customer paying by cheque -

A)open the sales journal and choose invoice and cheque
B)open the sales journal and choose invoice and pay later
C)open the receipts journal and choose sale and cheque
D)open the receipts journal and choose invoice,pay later and cheque

Question 12

To have only GST added to a sales invoice in Manitoba where the GST rate is 5% and the PST rate is 8%,the tax code should be -

A)No tax - because the GST is added automatically
B)code G GST @ 5%)
C)code GI GST @ 5% included)
D)code GP GST @ 5%,PST @ 8%)

Question 13

A sales journal entry will not balance if we -

A)omit the payment terms
B)omit the HST charged on sales
C)include a second sale item in the invoice
D)this entry will balance whether we omit or include any of the above items

Question 14

Transactions entered in the sales journal will allow all but one of the following -

A)recording of all necessary details surrounding the invoice
B)only one type of transaction
C)more than one type of transaction
D)omitting the HST from the invoice

Question 15

The linked accounts for HST/GST will be updated after which entry -

A)a sales invoice with cash payment
B)a cash receipt on account
C)a sales invoice quote
D)all of the above

Question 16

The sales journal may be used for -

A)all credit card sales transactions
B)all sale transactions paid by cash
C)all sales transactions paid by cheque
D)all of the above

Question 17

To see a comparison of the amounts owed by a business and the amounts owing to the business you would view -

A)the payables by aging period graph
B)the receivables due vs.payables dues graph
C)the receivables by customers graph
D)the sales vs.receivables graph

Question 18

Which one of the following general statements is correct -

A)a sales discount is recorded as a negative amount in the receipts journal
B)a sale return is recorded as a negative amount in the sales journal
C)cash sales are recorded as other receipts in the receipts journal
D)a and b above are correct

Question 19

The receipts journal may be used for the following -

A)full cash payment from customers
B)partial cash payment from customers
C)customers paying more than one invoice with a single cheque
D)all of the above

Question 20

Which reports provide information similar to Receivables Due vs.Payables Due chart -

A)customer aged summary and supplier aged detail
B)customer aged detail and supplier aged summary
C)customer aged summary and supplier aged summary
D)customer cash flow report

Question 21

Which one of the following is not included as an option for tax reports -

A)report on PST
B)report sales transaction amounts
C)report purchase transaction amounts
D)all of the above can be included in tax reports

Question 22

Which one of the following general statements about credit cards is correct -

A)credit card payments must be entered in the receipts journal
B)credit card receipts are deposited into the accounts receivable account
C)credit cards sales do not involve any linked accounts
D)the credit card discount fee is deducted from the receipts

Question 23

Adding the discount terms 2/10,n/30 to a sales invoice for $1 000 will -

A)change the accounts receivable amount to $980
B)change the cash in bank amount to $980
C)credit $20 to accounts receivable and debit $980 when the account is paid
D)not change the amounts in the journal entry for the sales invoice

Question 24

The customer aged detail report will not include -

A)the names of customers who have had no sales
B)invoice dates and sales terms
C)invoices that are fully paid
D)the report will include all these details

Question 25

Choosing to show corrections in the journal report options window will -

A)show the original,reversing and correcting entries
B)show the original and reversing entries
C)show the reversing and correcting entries
D)show only the final correct entry

Question 26

You can customize the sales journal by -

A)removing any of the columns in the invoice detail section of the journal
B)removing the customer address field
C)removing the ship to field and its details
D)none of the above

Question 27

A sales journal entry will not balance if we -

A)include a discount
B)omit the GST/HST charged on sales
C)include a second sale item in the invoice
D)this entry will balance whether we omit or include any of the above items

Question 28

Which one of the following statements is true about credit cards -

A)credit card issuers charge a percentage of the sale as the transaction fee
B)credit cards used and credit cards accepted use the same set of linked accounts
C)the linked bank account for credit cards used is the payables linked bank account
D)the linked asset account for credit cards accepted is the receivables linked bank account

Question 29

Customizing the sales journal will not -

A)remove the columns you selected from the journal window
B)modify the invoice you print from the journal
C)simplify the journal by hiding the fields or columns you do not need
D)allow you to change the journal window again later

Question 30

To enter a NSF cheque -

A)reverse the receipt in the cash sales journal with a payment by cheque
B)enter a sales invoice for a negative amount
C)reverse the receipt in the receipts journal
D)none of the above

Question 31

If GST charged had been omitted from a posted sales invoice you should correct the entry by -

A)selecting the invoice through the adjusting an invoice screen and selecting the appropriate tax code
B)correct the posted invoice by entering the corrected version
C)look up the invoice and reverse it
D)record a separate entry for the GST charged

Question 32

You will see the message "there is no data to report" when -

A)there are no journal entries for the dates selected for the report
B)you sort the journal report by invoice number
C)you filter the journal report by invoice number
D)you choose to show corrections and there are no correcting entries

Question 33

The Statement of Cash Flows shows -

A)how much money there is in the bank account
B)how much money you have saved
C)how efficiently cash is being used
D)b and c above

Question 34

Discounts for early payments are offered to encourage customers to -

A)buy more goods or services
B)buy on account and pay later instead of paying at the time of the purchase
C)settle their accounts on time
D)avoid using their credit cards for purchases

Question 35

To record a NSF cheque,you can -

A)re-enter the original sales invoice to restore the balance owing
B)reverse the receipt from the adjusting receipt screen
C)make a general journal entry that debits Accounts Receivable and credits the bank account for the cheque amount
D)use any of the above methods to record the NSF transaction correctly

Question 36

The default customer early payment and discount terms -

A)apply to all customers
B)apply only when customers pay at the time of the sale
C)are removed automatically when you choose cheque or debit card as the payment method
D)can be changed for individual invoices

Question 37

Which of the following errors can be corrected by adjusting a posted payment or receipt -

A)the amount of the payment was entered incorrectly
B)the payment cheque was returned by the bank as NSF
C)the payment was entered for the wrong customer or supplier
D)none of the above - they all require a reversing entry

Question 38

To reverse a sales invoice for selecting the wrong customer,you should -

A)open the adjusting sales invoice window and choose the reverse entry tool
B)open the receipts journal and pay the invoice to cancel it
C)open the adjusting sales invoice window and edit the customer name choose the correct customer)
D)make a general journal adjustment that reduces Accounts Receivable and the revenue accounts for the invoice amount

Question 39

Using the Continue option for new customers instead of choosing one-time customer may be preferred because -

A)continue adds the sale to the customer aged detail report
B)continue records the customer's name in the journal entry
C)continue creates a partial customer record that you can complete later
D)all of the above

Question 40

To record a NSF cheque from a customer you could -

A)choose the adjust a receipt tool,select the customer's receipt,change the amount paid to zero and post
B)notify the customer and ask for a new cheque so no additional journal entry will be needed
C)in the general journal,debit accounts receivable and credit the bank account for the cheque amount
D)choose the adjust a receipt tool,select the customer's receipt,then choose the reverse entry tool

Question 41

When you see the message that a sale will cause the customer to exceed the credit limit,you should -

A)cancel the sale
B)call security to escort the customer from the store
C)ask the customer to pay for the sale item by cheque
D)not necessarily do any of the above

Question 42

Which of the following statements is correct about using the Add link for new customers on the sales journal invoice form -

A)choosing the Add link gives the same results as choosing Continue
B)choosing the Add link gives the same results as choosing Quick Add
C)choosing the Add link gives the same results as choosing Full Add
D)none of the above

Question 43

To remove a line from the invoice -

A)click on the first completed field in the line to be removed and press the delete key
B)click anywhere on the first line of the journal,press the delete key to remove this line
C)click anywhere on the line to be removed,choose the edit menu and click remove line
D)all of the above methods will remove the line

Question 44

In the Receivables module window,you can add shortcuts -

A)only for the general journal and payables journals
B)only for purchase invoices and payments
C)only for the general journal and the chart of accounts
D)for up to ten different journals or ledger functions

Question 45

When you click the Add link above the Customer field in the sales journal invoice form -

A)you will create a complete customer record if you include the address in the journal
B)you will automatically create a partial customer record with only a name and continue in the journal
C)you will open the customer ledger record form for entering the customer details
D)you will open the customer ledger record and must complete all the ledger details before you can return to the sales invoice

Question 46

To insert an extra invoice line before the first line of a sales invoice -

A)click anywhere on the first line of the invoice,choose the edit menu and click insert line
B)click at the beginning of the first line of the invoice,type the new information and press enter to insert it
C)click anywhere on the first line of the journal,press delete to remove this line and then add the new details
D)you cannot insert a line,you must add it below the invoice lines already used

Question 47

If you choose Quick Add to enter a sales invoice for a new customer -

A)you can display the customer's transactions in receivables aged detail reports
B)no ledger record is created for the new customer
C)you cannot choose pay later as the payment method for the sale
D)the customer's ledger record will include all the details you added to the invoice

Question 48

To find an invoice you need to adjust when you know only the customer's name,the invoice amount and the approximate date of the sale,you would enter -

A)the customer's name as the search parameter
B)a range of dates as the search parameter
C)the customer's name and a range of dates as the search parameter
D)the invoice amount and customer name as the search parameters