Five common questions Viva board about Quickbooks .

1. What are the main features of QuickBooks, and how does it benefit businesses?

Answer: QuickBooks offers features such as:

• Invoicing: Create and send customized invoices.
• Expense Tracking: Automatically import and categorize expenses.
• Payroll Management: Simplify payroll processing and tax calculations.
• Financial Reporting: Generate profit and loss statements, balance sheets, and cash flow reports.
• Bank Reconciliation: Match transactions with bank records to ensure accuracy.

These features help businesses save time, improve accuracy, and gain insights for better financial decisions.

2. How does QuickBooks handle different types of transactions (e.g., sales, expenses, and inventory)?

Answer:

• Sales Transactions: You can record sales through invoices or sales receipts. QuickBooks tracks payments, calculates taxes, and adjusts accounts receivable.
• Expenses: Expenses are recorded by entering bills or expenses directly. QuickBooks allows linking expenses to accounts and projects for accurate cost tracking.
• Inventory: The system tracks inventory levels, cost, and valuation in real-time, automatically updating quantities as purchases and sales occur.

These processes ensure proper financial records and inventory management.

3. Can you explain the process of setting up a new company file in QuickBooks?

Answer:

1. Open QuickBooks and select Create a New Company.
2. Enter basic details such as company name, address, and industry.
3. Choose a chart of accounts based on the business type.
4. Add opening balances for bank accounts, customers, and vendors.
5. Configure tax settings, payment methods, and inventory if needed.

Once the setup is complete, you can start entering transactions and running reports.

4. How does QuickBooks ensure data accuracy and security?

Answer:

• Data Accuracy: QuickBooks includes automated error-checking tools, reconciliation features, and audit trails to ensure entries are correct and traceable.
• Data Security: It uses encryption protocols, user roles, and multi-factor authentication. Regular backups and cloud storage in QuickBooks Online ensure data is safe from loss or corruption.

These measures protect sensitive financial information and maintain data integrity.

5. What are the differences between QuickBooks Online and QuickBooks Desktop, and which would you recommend in specific scenarios?

Answer:

FeatureQuickBooks OnlineQuickBooks DesktopAccessibilityCloud-based, accessible anywhereInstalled locally, offline accessUpdatesAutomaticManual updatesMulti-user SupportEasier collaborationLimited without additional licensesCostSubscription-basedOne-time purchase or subscription