Examples of customized charts of accounts

Let’s look at two different business types, their chart of accounts, and how the setup reflects the
accounting profile of each business.

Select each of the tabs to find out more. 

 Sample client A
 Sample client B

Client A is a sole proprietor with no employees and isn’t eligible for corporate tax. Their primary
focus when it comes to data and reporting is customer profitability. 

The reports that this client is most interested in are: 

 Profit and Loss by Customer 

 Un-invoiced Charges 
 Balance sheet 
 Accounts Receivable Aging  

So, how should you set up the chart of accounts for this client?

Because the client deals with job-related expenses in their business, they have two materials
accounts on their COA:

1. Job Materials (Purchases): used for categorizing reimbursable expenses used on

billable jobs
2. Materials and Supplies (Overhead): used for categorizing other non-customer-related
purchases

Merging accounts
Merging accounts is a common practice when there are duplicates or two accounts are being
used for the same thing.

Note that the merging process is permanent and can’t be reversed. Any transactions in merged
accounts are also merged and will appear under one category in reports.  

What do you need to be aware of when merging accounts?

To successfully merge accounts, the Account Name, Account Type, and Detail Type must all be
the same.

What about subaccounts?

You can merge subaccounts that are under the same parent account. To do this, the Account
Name, Account Type, and Detail Type must all be the same. Also, the subaccount Account Type
must be identical to the parent Account Type.

Making an account inactive

When setting up a client file, you may want to make some default accounts inactive. This helps
keep the chart of accounts tidy and prevents clients from posting transactions to the wrong or
redundant account by mistake.

QuickBooks Online lists inactive accounts as deleted on reports. However, transactions in

inactive accounts remain part of the company data. They would appear on reports if they were
posted to the account when it was active.  

Select the headings to see how to make accounts inactive—and how to reactivate them.

You can edit the following accounts’ names, but they can’t be made inactive or merged:

 Accounts Receivable
 Opening Balance Equity
 Retained Earnings
 Reconciliation Discrepancies
 Unapplied Cash Payment Income
 (Sales tax agency name, such as GST, VAT) Payable
 Services
 Sales of Product Income
 Uncategorized Asset
 Uncategorized Expense and Uncategorized Income
 Owner’s Equity

The Inventory/Stock Assets and Cost of Goods Sold/Cost of Sales accounts can be renamed,
made inactive, and merged, with the following limitations:

 They can only be made inactive if they’re not assigned to a Products/ Service item
 They can be merged or renamed, but if any changes are made to a Product/Service item
that relates to these accounts, the merge will be undone, or the account will revert to its
original name
If you didn’t make it quite to the end, or you had a different outcome, try this:

1. Navigate to the Chart of Accounts screen either by selecting the Gear icon and choosing
Chart of accounts or by selecting Accounting from the left-hand navigation
and choosing Chart of accounts from there
2. Find the Bookkeeper account in the list, select the down arrow in the Action column and
choose Edit 
3. In the Edit account panel, change the name of the account to Accounting
4. Next, select Save
5. To confirm that you want to merge the accounts, select Yes, merge accounts
6. Select Save again

How do you know how to configure a list correctly?

QuickBooks Online includes a sample file for each list type so that you and your clients know
how to format each list before you import it. You or your clients can download the sample file by
choosing the relevant list type from the Import screen and selecting Download a sample file.
 
Each sample file is preformatted with the column headings that QuickBooks Online needs in
order to add the data to the company correctly. Using the sample file saves you or your clients
from having to create a new template from scratch.

Here is a sample file for the chart of accounts:

What if the client already has products and services, customers, and/or vendors?

Importing a chart of accounts or a customer/vendor list doesn’t replace or update existing

data in your client’s QuickBooks Online company. Instead, it adds new items to the company.
However, when importing a products and services list, you or your client can choose to overwrite
and update items already in QuickBooks Online. 

In either case, if QuickBooks Online identifies a name that already exists during the importing
process, it prompts you to change the name or clear the box and not import that item.

What information do the Customers/Vendors centers provide?

When clients open either center, the key feature they’ll see is the customer/vendor list. This
shows the name and contact details of each customer/vendor, plus their current open balance.
Selecting a name in the list allows clients to view information about the customer/vendor, such
as their contact details and a list of the transactions to/from them. We’ll cover how to edit the
customer/vendor details later in the lesson.

Customer statements list a customer’s transactions, including invoices, payments received,

credits applied, and balances. 

There are three different types of customer statements your clients can create in QuickBooks
Online.

The Balance Forward statement shows a list of invoices and payments with
the balance for the date range selected. 
Balance Forward 
It’s perfect for situations where a client wants to provide customers with a
summary of what’s still due on their account. 
With the Open Item statement, your client can show a list of all open
and/or unpaid invoices.  
Open Item 
It’s great if a client wants to provide detail of all unpaid invoices, unapplied
payments, and credit memos to their customers. 
Use the Transaction Statement to show all the transactions between the
customer and the client’s business between two set dates.
Transaction
Statement 
Clients might use this when there’s a large volume of transactions for a
customer, so they can see how their payments have been applied. 
Identifying the client’s sales tax requirements
Before setting up a client’s sales tax, you should find out what the sales tax requirements are for
their business and location. You may have done this as part of your initial requirements gathering
with the Client Needs Assessment tool.

Some key questions to ask your client are: 

 What is their company address?

 When did their last tax period start?
 Which agencies do they need to pay their sales tax to? 
 When did they start collecting sales tax for each agency?
 What is their filing frequency? 
 Do they do business in more than one state?

Selecting the right sales tax category for a

product/service item
One of the tasks you need to do when setting up sales tax for your client is review their product
and service items and select the appropriate sales tax category for each one. 

By default, QuickBooks Online applies the regular state tax rate to a product/service item. This
appears as Taxable - standard rate in the product/service information panel, as you’ll see
below. However, many states have special tax rates for certain products and services—and other
items might not be taxable at all. Therefore, the client may want to either assign a special sales
tax rate to an item or mark it as nontaxable. 

Select each heading to explore when and how clients may need to change the sales tax rate
for a product/service item.

What type of customer could be tax-exempt?

Certain organizations and businesses that meet specific criteria may be exempt from sales tax.
These criteria are determined by each state, so you’ll need to check the relevant rules.

Some examples of tax-exempt customers are:

 State, local, and federal government

 Nonprofit organizations
 Resellers
 Providers of raw materials used to produce other goods (manufacturers)
While the new Bill Pay powered by Melio feature is integrated with QuickBooks Online, Melio
also has its own app with additional features that aren’t available in QuickBooks Online. Many
of these are great for ProAdvisors, including: 

 Accountant Portal: You can access all your clients from one dashboard
 Approvals workflows: You can schedule payments, then the client approves the
payment before it goes to the vendor. (It’s great for accountants because it shifts the final
responsibility for making the payment back to the client)
 Multiple Users: You can add other users who don’t have access to QuickBooks Online
 Invoices: Vendors that use Melio can send their invoices directly into the Melio app
 Syncing: The Melio app syncs with QuickBooks Online, which means that bills entered
in QuickBooks Online will show in Melio, and bills entered in Melio will show in
QuickBooks Online

How can users with email forwarding access add multiple bills or receipts to 1 email message?

 They need to send them in separate emails

 They can either add them to the body of the email or as attachments

 They need to add them as attachments

 They need to send them to an Admin user because only those users can send multiple bills
or receipts in 1 email message

That’s right.

What is the next step in the receipt addition process once your client has captured a receipt for a
new expense and uploaded it from their computer?

 Go to the For Review tab in Receipts

 Go to the Expenses Center to see the receipt

 Manually enter the corresponding transaction in the bank feed

That’s right. 
Recording deposit transactions
The need for categorizing deposits  

Clients sometimes receive deposits that aren’t related to customer transactions. Some examples
are refunds, cash contributions from owners, or proceeds from loans. Adding these as income
deposits would lead to confusion and inaccuracies with future tax payments. 

When would a client use deposit transactions?

Her are some cases when clients would use deposit transactions: 

 The client receives funds from loan proceeds or contributions of cash from owners 
 The client receives a refund from a vendor and wants to record it directly against the
expense account or to a Refunds Received income account 
 The client doesn’t record income using sales transactions (invoices or sales receipts) and
wants to record deposits directly to income accounts 
 The client receives a refund from a tax agency and needs to record it to reduce the Tax
Liability or Expense account
 An employee reimburses the client’s company, and the client needs to record the
reimbursement against the Employee Loan receivable account 

Clients can also use the deposit transaction workflow with negative deposits. This could be for a
bounced check or when a customer’s refund amount exceeds the amount they’re depositing.

Knowledge check
Which of these situations would call for a deposit transaction? Select all that apply.

 Your client receives a payment from a customer, but it’s not a check

 Your client receives a tax refund from the IRS

  Your client receives a cashback payment from a vendor for ordering in bulk

 Your client receives a gift certificate from a customer

That’s right.

A tax refund and cashback payment are perfect examples of money coming in that isn’t matched
to an existing payment. These need to be recorded as deposit transactions. 

A journal entry is an accounting transaction that posts directly to the general ledger. You or your
client can use journal entries as another way to adjust account balances. They’re useful, for
example, to correct errors or summarize the depreciation of assets, but you or your client
may also use journal entries to enter debits and credits manually, transfer money between income
and expense accounts, or from an asset, liability, or equity account to an income or expense
account.

Before we dive into how to create them, let’s look at some rules regarding journal entries:

 Total debits must equal total credits

 You can’t use product or service items in a journal entry 
 When posting to accounts receivable, you must specify a customer 
 When posting to accounts payable, you must specify a vendor 
 You can’t mark an amount as billable to a customer
 You may use multiple accounts receivable and/or accounts payable accounts in the same
journal entry 

About adjusting journal entries 

An adjusting journal entry is a type of journal entry that adjusts an account’s total balance and
occurs at the end of an accounting period before the company produces its financial statements.

Note that while clients can also create journal entries, only users with access to QuickBooks
Online Accountant can create adjusting journal entries.

Accountants usually use adjusting journal entries to fix minor errors or record uncategorized
transactions. 

Accrued expenses 

These are expenses your client has accrued but hasn’t paid yet, like loan interest or accrued
payroll.

Accrued expenses appear on the balance sheet as liabilities.

. Deferred expenses 

This is where your client has paid for something but has not yet realized the benefit. An example
of a deferred expense would be if they pay for their insurance a year in advance.

Deferred expenses appear on the balance sheet as assets.

Accrued revenues 

This is when a client has earned the revenue but they haven’t invoiced the customer yet. This is a
common practice in many industries that work on long-term contracts.

These appear on the balance sheet as accounts receivable, which is an asset account.

Deferred revenues 
These occur when your client has been paid in advance by a customer but they haven’t finished
the work yet.

This appears on the balance sheet as unearned income, a liability.

Non-cash transactions

Not all expenses are cash expenses. Some things represent expenses that don’t have a cash
effect on your client’s business. Depreciation and allowance for doubtful accounts are two
examples of common non-cash transactions. 

If regular adjustments aren’t recorded to reflect these activities, it’s easy to get a skewed picture
of a company’s financial position.  

For example, a client that has no liability accruing for their annual loan interest might
overestimate how much cash they have. Without ensuring that they keep track of their growing
current debt, they will have incorrect information about the profit they make each month. Also,
when they make the annual business insurance payment, and it’s not accrued, they will have the
monthly insurance expense reflected in the wrong accounting period.
For which of the following should you use the Transfer function in QuickBooks Online?

 Moving money from a checking account to a vendor

 Moving money from an income account to a bank account

 Moving money from a savings account to a checking account

 Moving money from a checking account to a customer

That’s right.

The Transfer function is for moving money from one balance sheet account to another balance
sheet account.

What could cause the beginning balance to be incorrect?

QuickBooks Online calculates the beginning balance from the sum of all the transactions posted
to the account that are marked as reconciled.

So if the balance isn’t correct, the cause is likely one or more of the following:

 Changes have been made to one or more transactions marked as reconciled

For example:
o A transaction was deleted
o A transaction amount was changed
o A transaction was manually unreconciled in the register by changing the reconciliation status
from reconciled (R) to cleared (C) or no status

Other potential changes to reconciled transactions include changing the bank or credit card
(source) account, or voiding the transaction.
  One or more transactions have been manually marked as reconciled by changing their cleared
status to [R] in the register
 QuickBooks Online is including transactions in its calculations that it shouldn’t do

Which of the following statements are true about how you can resolve these discrepancies?
Select all that apply.

 You can re-enter and re-match the Expense transaction

 You can correct the amount of the check paid to Chin’s Gas to match the value of the
reconciled transaction

 Selecting View on the Expense transaction line allows you to remove it from the
Reconciliation Discrepancy report

 If you re-enter and re-match the Expense transaction, you’ll need to mark it as reconciled

 Selecting View in both lines will allow you to correct both transactions

That’s correct.

You can correct transactions from the Reconciliation Discrepancy report, provided they haven’t
been deleted.

Deleted transactions can be fixed by re-entering and rematching them, then marking them as
reconciled.

Which reports could help them make this decision? Select all that apply.

 Balance Sheet

 Profit and Loss

 Statement of Cash Flows

 Expenses by Vendor Summary

 A/R Aging Summary

That’s right.

Before applying for a loan, your client should review the Profit and Loss report against the Cash
Flow Statement to ensure they can make the loan repayments. 

Which of the following statements are correct regarding management reports in QuickBooks
Online? Select all that apply.

 You can export management reports in Word, PDF, and Excel format

 You can customize reports via the Management Reports screens

 You can add as many reports as needed to the package

 You can reorder the reports included in the package

How would you complete the sentence below about the number of tags
available in QuickBooks Online Plus?

Select the correct option from the dropdown.

Clients with a QuickBooks Online Plus subscription can create
an unlimited number of ungrouped tags and 300 grouped tags distributed among
up to 40 tag groups.
That’s right.

Examples of common workflow issues

1. Miss posted check
 2. Transaction via the Bank register
3. Accounts payable workflow

Transaction via the Bank register

The client’s workflow  
Let’s look at a different case where the client used different financial software
before, entering checks and deposits from the Bank register. Out of habit, they
navigate to the Bank register by selecting Accounting, then View register. They
then record a check from there to pay their sales tax from the previous month.
The problem 
Even though the client recorded the payment, QuickBooks Online doesn’t
recognize the liability as being paid.
Solution 
Clients who use the Sales Tax center must record all payments from it for them to
be applied appropriately to the sales tax liability balances. 

Which of these does the Work menu in QuickBooks Online

Accountant allow you to do? Select all that apply.
Set up repeating projects for the same client that will occur on a regular basis

Receive messages from clients in real time

Filter tasks by client, team member, or project type

Share your project dashboard with your clients

That’s correct.
The Work menu allows you to set up repeated projects and filter all tasks by client,
team member, or project type.

Which of the options below does the Books review center help with?
Select all that apply.
Finding transactions with outstanding issues

Reviewing business key metrics and trends

Dealing with unreconciled accounts

Running payroll

Identifying discrepancies with accounts and starting balances

Creating and sending management reports

That’s right.

Finding and fixing transactions and reconciling accounts are key processes in the books
review process. Clients can now also create management reports from within that
workflow.

Year-end review checklist

Now let’s explore some key tasks you’ll likely need to carry out at year end.

We’ll start by looking at fundamental tasks that apply to most QuickBooks Online companies.
These are as follows:

Accessible from Books Which tab in Books

Year-end task
review? review?
Review key year-end reports (Balance Setup
Yes
Sheet, Profit and Loss) Final review
Ensure transactions are categorized Yes Setup
 Transaction review
correctly Account reconciliation
Final review
Analyze fixed asset purchases and Setup
Partially
depreciation expenses Final review
Evaluate accounts receivable (A/R) and
No N/A
accounts payable (A/P)
Ensure that account reconciliations are
Yes Account reconciliation
up to date
Produce any management reports Yes Wrap-up

Use the headings to explore each task in more detail.

Reclassify- transactions tool is designed specifically for accounting

professionals and is only available to accountant users who use
QuickBooks Online Accountant and clients with QuickBooks Online
Advanced.

It provides a variety of search options to allow you to find

transactions that need reclassifying.

Which of the following changes can you carry out using the Reclassify transactions tool?
Select all that apply.

 Reclassifying a non-item transaction that’s incorrectly posting to uncategorized income

 Correcting an insurance payment that has been miscategorized as an interest payment

 Changing the account that a product item has been assigned to

  Changing the payment account for expenses

Good answer!

There are limitations on what transactions—and what data on a transaction—you can change
using the Reclassify transactions tool. 

What’s involved in closing the books?

Closing the books isn’t just a year-end process. You or your clients can close their books at any
frequency. Some clients prefer to do it each month after they’ve completed any reconciliations.
However, the books should be closed at least at each year end, after the tax return has been filed,
to finalize all account balances and lock down the books. 

What do you need to do before closing the books?

Before you can close the books, you need to:

 Reconcile all bank and credit card accounts

 Substantiate all balance sheet account balances. In other words, look for things other than bank
and credit card accounts (for example, loan balances and asset values) on the balance sheet  
 Review the values on each row of the profit and loss report, and ensure they’re correct for the
period being reviewed

As a Certified ProAdvisor, your clients will depend on your expertise to configure their
QuickBooks Online to maximize efficiency and ensure they get the most value.

The certification exam will assess your ability to:

 Customize the chart of accounts

 Import products and services, customers and vendors
 Manage the products and services list
 Manage customers and vendors
 Managing bank feed connections
 Add and manage users

To get a feel for if you're ready for the exam, try answering the following question.

Where would you go to see if any transactions had been miscategorized?

 Gear icon > Recurring transactions

  Accountant Tools > Voided/deleted transactions

 Accountant Tools > Reclassify transactions

 Expenses center > Modify transaction

Well done!

To revisit this topic before taking the exam, try our Closing the accounting cycle training.

Where in QuickBooks Online Accountant would you find the link to do this?

 In the Subscriptions and billing section, on the Accountant-billed subscriptions tab

 In the Clients menu from the left-hand navigation, under the Actions column

 In the Subscriptions and billing section, on the Client-billed subscriptions tab

 In the Accountant Tools panel, under Quick Links

Well done!

To revisit this topic before taking the exam, try our Managing your clients and work training.

How would QuickBooks Online alert you of a discrepancy in the beginning balance when
reconciling your clients’ accounts?

 An error message will be displayed once the reconciliation has been completed

 The account to be reconciled will be greyed out in Account to reconcile dropdown

 An alert will be displayed in the reconcile tab, stating that the account isn’t ready to be
reconciled yet, as the beginning balance is off

Well done!

QuickBooks Online solutions: Billable users

For clients with a QuickBooks Online Plus account, what’s the maximum number of billable
users?

 1

 3

 5

 25

Well done!

To revisit this topic before taking the exam, try our QuickBooks Online solutions training.

What is the minimum subscription level in QuickBooks Online you would recommend?

 Self-Employed

 Simple Start

 Plus

 Advanced

Well done!

To revisit this topic before taking the exam, try our QuickBooks Online solutions training.

Which 2 levels of users can add apps to QuickBooks Online?

 Company Admin

 Primary Admin

 Standard user
  Custom team user

Well done!

To revisit this topic before taking the exam, try our Setting up QuickBooks Online features
training.

Your client has been using the QuickBooks Online Mileage Tracker throughout the year. It’s
nearing year-end and you are preparing the log for auto expense deduction.

Which 3 of the tasks below should be completed to prepare the log for auto expense deductions
at year end?

 That the dollar rate per mile is set manually

Check the calculated mileage

Look for vehicle changes (bought or sold)

 That the Reimbursable mileage account has been reconciled

Ensure no trips are left unreviewed 

Well done!

To revisit this topic before taking the exam, try our Closing the accounting cycle training.
Which 2 of the following are ways to create a new tag?

 Open the Products and services list and select Edit for the required product or service. Then
select + New from the Tags dropdown

 On the invoice, start entering the tag name in the Tags field, then select
+ Add from the pop-up

 Select the Manage tags link on the invoice, followed by Create tag. Then enter the tag
name

 Select the Manage tags link in the Gear menu, followed by Create tag. Then enter the tag
name

You need your client to send you a copy of a paper receipt so that you can match it to a gas
expense in their QuickBooks Online. You create a client request and add a screenshot of the
expense entry in QuickBooks Online to help your client identify which receipt they’re looking
for. 

How do you ensure the client receives an email notification to alert them about the
new request for information?

 Once the request has been created, a pop-up will ask if you want to send an email to the
client with the reference number of the request

 When creating the request, ensure the Notify client slider is on

 When the request is created, a task will be assigned to remind you to email the client

While preparing your client’s books for year end, you find some transactions that may not have
been appropriately recorded.
In which 2 of these cases could you use the Reclassify transactions tool?

 To change the expense account for billable expenses, but not the income account for the
related income transactions

 To change the class and/or location for invoices, sales receipts, checks, or bills with items
(products or services) on them

 To change the account or class for inventory adjustments

 To change the payment account (bank or credit card) for expenses

Well done!

To revisit this topic before taking the exam, try our Closing the accounting cycle training.

Which 2 of these statements about setting up and editing a chart of accounts are correct?

 Account names can be edited

 Deactivated accounts can be reactivated

 Merged accounts can be unmerged

 Account numbers in a QuickBooks Online account can’t be turned off

Well done!

To revisit this topic before taking the exam, try our Configuring a QuickBooks Online
company training.

Closing the accounting cycle: Closing the

books
Which 3 of these steps should you complete before you close a client’s books?

 Reconcile all bank and credit card accounts

 Set the status of all the client’s projects to Completed

 Substantiate all balance sheet accounts

 Disconnect any bank feed links

 Review the profit and loss accounts

Well done!

To revisit this topic before taking the exam, try our Closing the accounting cycle training.

Which tab in QuickBooks Online Banking shows the bank data that has
not yet been accepted into QuickBooks Online?

 Matching

 Categorized

 For Review

 Bank Feed

Well done!

To revisit this topic before taking the exam, try our Banking and tools training.

Your client has noticed a duplicate transaction in the bank feed. What advice would you give
them?

 You need to exclude the transaction if it’s a duplicate because it’ll cause the bank
balance and reports to be incorrect
  It’s OK to have duplicate transactions in the bank feed because QuickBooks Online will
ignore them during reconciliation

 You can add an adjusting journal entry to offset the duplicated transaction

 QuickBooks Online will automatically detect and delete the duplicate transaction

Well done!

To revisit this topic before taking the exam, try our Banking and tools training.

You need to add a gift basket with a collection of beauty products to your client’s
list of Products and Services. Which item type would you assign this to in
QuickBooks Online?

 Service

 Non-inventory

 Bundle

 Inventory

Well done!

To revisit this topic before taking the exam, try our Configuring a QuickBooks Online
company training.

In which 4 of these situations would you use a Deposit transaction?

 When the client receives funds from loan proceeds or contributions of cash from
owners
  When the client receives a refund from a vendor and wants to record it directly
against the expense account or to a Refunds Received Income account

 When the client doesn’t record income using sales transactions (invoices or sales
receipts) and wants to record deposits directly to income accounts

 When the client receives money from an employee to pay down a loan owed to
the company

 When the client receives a partial payment from a customer against an open invoice

 When the client receives a deposit from a customer for future purchases

Well done!

To revisit this topic before taking the exam, try our Using transaction types and features in
QuickBooks Online training.

Your client wants to make it quick and easy for customers to make a one-off
payment straight from their smartphone.

Which sales process would be best suited to this?

 Create an invoice, enable Online Payments, then set the invoice link to expire after it’s been
used

 Generate a QR code and save it as a PDF or JPEG file. Then create an invoice in QuickBooks
Online and attach the file to the invoice
  Use the Payment links tab in the Sales Center to send a payment link to the
customer

Well done!

Which of these statements about Vendor credits in QuickBooks Online is true?

 Vendor credits cannot be applied to a bill that has already been received

 Vendor credits post as a debit to decrease accounts payable

 Vendor credits post as a debit to increase accounts payable

 A Vendor credit can be linked to a cash refund, when the cash is deposited

Which 2 of these common issues does the Pay down credit card feature help to resolve?

 Duplicate entries

 Payments categorized to the wrong account

 Payments being recorded as paid by check

 Payments being recorded as an expense on the Balance Sheet

Well done!

One of your e-commerce clients ordered far too many products in the build-up to
the holiday season last winter. This left her with too much stock in January and she
had to offer discounts in order to reduce the stock.
Which report could help your client avoid ordering too much stock?

 Profit and Loss

 Expenses by Vendor Summary

 Sales by Product/Service Summary

 Sales by Customer Summary

You want to provide your client with a professional-looking downloadable report

that includes a cover page, table of contents, and a custom letter that they can send
to potential investors.

Where would you go to create such a report?

 Reports Center > Custom reports tab

 Accountant Tools > Reports options

 Reports Center > Performance Center

 Reports Center > Management reports tab

In which section of the Customize report drawer can you add the date and
time the report was prepared?

 General

 Filter

 Aging
  Header/Footer

Well done!

What additional 2 pieces of information are used to calculate sales tax on an

invoice?

 The customer’s payment terms

 The customer’s sales tax status

 The tax category for the product or service

 The quantity of the product or service still on hand

Where would you go in QuickBooks Online to make a sales tax agency inactive?

 Accounts and settings > Sales > Products and services

 Taxes Center > Sales tax > Sales tax settings

 Taxes Center > Sales tax tab > View return

 Taxes Center > Sales tax tab > Actions

Which 3 questions should you ask your client to help you set up their sales tax
correctly?

 Do they do business in more than one state?

 What agencies do they need to pay their sales tax to?

 How much sales tax did they pay last year?

 What is their filing frequency?