QuickBooks ProAdvisor flashcards

32 cards. Read the term and the definition here. The deck at the top of this page is optional.

Account and Settings location

Company-level preferences such as company details, sales and expense defaults, payments, and advanced accounting options are edited here after selecting the gear icon.

Enable account numbers

In Account and Settings > Advanced, turn on Enable account numbers, then assign a number to each account so lists and reports sort in numeric order.

Multi-currency activation

Enabled under Advanced > Currency; once a foreign-currency transaction is saved the feature cannot be turned off, so confirm the base currency first.

Closing date and password

Set in Advanced > Accounting; users cannot edit or delete transactions dated on or before the closing date without entering the assigned password.

Location tracking enablement

Locations (classes) are switched on in Advanced > Categories and can only be turned off while no transaction carries a location value.

Fiscal year start month

Configured in Advanced > Accounting; it determines the year columns and comparative periods shown on Profit and Loss and Balance Sheet reports.

Custom form styles

Templates that control logo, fonts, column layout, and email text for invoices, estimates, and sales receipts; managed under Settings > Custom form styles.

Sales receipt versus invoice

A sales receipt records payment taken at the point of sale and posts to the deposit account; an invoice posts to Accounts Receivable until payment is received.

Undeposited Funds holding account

Temporarily stores customer payments until a bank deposit is recorded, so the bank register stays in step with the actual bank statement.

Estimate statuses

Estimates are Pending, Accepted, Closed, or Expired; converting an estimate to an invoice copies the selected lines and links the two documents.

Progress invoicing

Bills a percentage or chosen lines of an estimate; it must be turned on in Account and Settings > Sales before the Create invoice link appears.

Credit memo application

Reduces a customer's outstanding balance; apply it to an open invoice to lower Accounts Receivable, or pair it with a refund receipt for cash returned.

Inventory item requirements

Inventory items need a sales price, purchase price, and opening quantity with an as-of date; QuickBooks Online then tracks quantity on hand and cost of goods sold.

A/R Aging buckets

Default aging periods are Current, 1-30, 31-60, 61-90, and 91+ days past due; the intervals can be changed in the report customization panel.

Bill versus expense

A bill records money owed and posts to Accounts Payable until paid; an expense or check posts immediately to the chosen account and the bank or card.

Pay Bills

Selects one or more open bills and creates a single payment that credits Accounts Payable and debits the paying bank or credit card account.

Vendor credit

Records a supplier return or overpayment; it reduces the balance owed to that vendor and can be applied against an open bill or refunded.

1099 vendor tracking

Enable Track payments for 1099 in expense settings, flag the vendor, and assign 1099 box categories to the accounts paid so the 1099 report totals correctly.

Purchase order posting

A purchase order is a non-posting commitment; it has no effect on financial statements until it is copied to a bill.

Billable expense markup

Marking a bill or expense line billable lets it be added to a customer invoice, where a markup percentage can be applied to the cost.

Bank feed review actions

Each downloaded transaction must be Added as a new entry, Matched to an existing QuickBooks entry, or Excluded, which keeps it out of the books.

Bank rule function

Automatically assigns payee, category, and location to downloaded transactions whose description and amount meet conditions defined when the rule is created.

Reconciliation finish condition

Enter the statement ending date and balance, check off cleared items, and finish only when the calculated difference is exactly zero.

Transfer versus deposit

Use Transfer to move money between two balance-sheet accounts; entering it as a deposit plus an expense double-counts the same movement.

Excluded transaction effect

An excluded bank transaction remains in the bank feed but is never posted to the chart of accounts, so it does not appear on reports.

Opening Balance Equity

System account that absorbs starting balances entered for accounts, customers, and vendors when a company is converted into QuickBooks Online.

Accrual versus cash reports

The Accounting method setting in report customization controls whether reports include open invoices and bills (accrual) or only recorded payments (cash).

Prior period comparison column

Under Customize > Show columns, choose Previous period, Previous year, or % of column to compare figures side by side on the same report.

Trial Balance balance test

Total debits must equal total credits; a nonzero difference points to an unbalanced journal entry or a data integrity problem.

Memorized report

A saved report configuration with its filters and date settings that can be rerun on demand or scheduled for automatic email delivery.

Journal report

Lists every transaction with its debits and credits by account, which makes it useful for tracing a specific entry or balance change.

Management reports pack

A bundled set of reports including Company Overview, Profit and Loss, Balance Sheet, and Statement of Cash Flows, prepared for owners, lenders, or investors.