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Monday, March 21, 2016

Oracle General Ledger (GL) and Receivables (AR) Questions and Answers (FAQS) - 2 of 2

Question: 123 ABC Enterprise has operations in the US (East), the US (West), the US (North), and the US (South). The US (North) and the US (East) divisions want to have budgetary controls. The US (West) wants to have journal approvals. ABC Enterprise reports to its parent company in the UK and the reporting currency is GBP. The scope of implementation is for the US operations. The currency, chart of accounts, and calendar are the same for all operations. Identify the number of legal entities and primary ledgers that must be created.
A. 1 and 3
B. 1 and 4
C. 2 and 3
D. 1 and 2
Answer: A

Question: 124 ABC Company in India imports baking equipment from XYZ Company in the US A. There is an outstanding invoice of $1,000,000 to be paid in two months. The USD-to-INR rate when the transaction was done was 47.5. Now the USD-to-INR rate has changed from 47.5 to 40.5. Jack, who is a treasury analyst at ABC Company, reviews the transactions and comes to a conclusion.
Select two correct conclusions arrived upon by Jack. (Choose two.)
A. XYZ Company is not impacted at all by this rate change.
B. XYZ Company has a positive impact by this rate change.
C. ABC Company is not impacted at all by this rate change.
D. ABC Company has a positive impact by this rate change.
Answer: A, D

Question: 125 To create a party paying relationship, the relationship type must be hierarchical and the party type must be _______.
A. Child
B. Parent
C. Person
D. Organization
E. Person or organization
Answer: D

Question: 126 Select four key system options in Oracle Receivables that are related to customers. (Choose four.)
A. Default country
B. Receipt method
C. Automatic site numbering
D. Create reciprocal customer
E. Customer credit classification
F. Automatic customer numbering
G. Allow payment of unrelated transactions
Answer: C, D, F, G

Question: 127 Identify two credit memo options that are available in Oracle Receivables. (Choose two.)
A. Tax only
B. Advance
C. Paid freight
D. Invoice lines
E. Paid amount only
Answer: A, D

Question: 128 Which are the three formats in which late charges can be presented to your customers? (Choose three.)
A. Adjustment
B. Chargeback
C. Debit memo
D. Add-on fees
E. Credit memo
F. Interest invoice
Answer: A, C, F

Question: 129 Select three statements that apply to iReceivables. (Choose three.)
A. It is a Web-based self-service application.
B. It can be used to verify the status of invoices and receipts.
C. It is geared towards call centers, as well as credit and collections departments.
D. It can be used to initiate the Oracle Approvals Management (AME) credit memo request workflow.
Answer: A, B, D

Question: 130 XYZ Company uses financial statement generator reports to produce profit and loss statements and balance sheet reports. Occasionally, XYZ Company needs to run a report that is slightly different from the standard ones that have been created. Identify two types of changes the XYZ Company can make by using the Row Order feature to accomplish this need. (Choose two.)
A. Adding a new calculation
B. Sorting based on column values
C. Displaying segment values and descriptions
D. Changing how rounding options are performed
Answer: B, C

Question: 131 Identify two reasons why ABC Company would use Oracle Business Intelligence (BIS) as one of their reporting tools. (Choose two.)
A. Perform ad hoc query, reporting, analysis, and Web publishing.
B. Provide a secured and centralized location to produce and manage point-in-time reports.
C. Executive-level information about earnings per share and current ratios can be obtained.
D. Monitor the business at a high level and obtain performance measures by using business metrics.
E. Create consolidated reports and perform consolidation for companies that share the same ledger.
Answer: C, D

Question: 132 What does the concurrent program Automatic Reversal do? (Choose two.)
A. Generates reversals for all journals in a date range
B. Generates reversals for the journal batches that you specify
C. Generates reversal journals for all journal categories that have AutoReverse enabled
D. Generates and posts reversal journals if the journal reversal criteria has the AutoReverse and AutoPost reversals enabled for the category
Answer: C, D

Question: 133 Which three statements are true about AutoAccounting? (Choose three.)
A. You define AutoAccounting before you enter transactions in Receivables.
B. AutoAccounting does not allow you to override default accounts in the Transactions Distribution window.
C. AutoAccounting allows you to flexibly define the default account mapping for each segment in your chart of account structure.
D. AutoAccounting is used to determine default general ledger accounts for manual invoices and for invoices created by AutoInvoice.
Answer: A, C, D

Question: 134 Select two ways in which you can complete an invoice. (Choose two.)
A. Use the Complete button in the Transactions window.
B. Run the concurrent program Complete Transactions.
C. Select the complete check box in the Transactions window.
D. Use the Complete button in the Transactions Summary window.
E. Select the complete check box in the Transactions Summary window.
F. Ask the technical developer to run a custom PL/SQL program to update all tables.
Answer: A, D

Question: 135 Identify two features of content sets when creating reports using Financial Statement Generator (FSG). (Choose two.)
A. They are required for profit-and-loss statements.
B. They cannot be added at the time an FSG is run.
C. Content sets provide the ability to add calculations.
D. The ability to override row set definition is provided by content sets.
E. Content sets enable the generation of multiple similar reports in one run.
Answer: D, E

Question: 136 Which three functions can the Create Accounting Program perform? (Choose three.)
A. Creating accrual entries
B. Running the journal import
C. Validating distribution lines
D. Creating accounting entries
E. Transferring data to the interface table
Answer: B, D, E

Question: 137 Which three statements are true about Balance Forward Billing? (Choose three.)
A. Billing date is an optional grouping rule.
B. Billing date value is mandatory when cycle is external.
C. Accept Consolidated Billing Invoices program is available.
D. Print New Consolidated Billing Invoices program is available.
E. It considers both manual transactions and imported transactions.
F. Activity can be consolidated across account sites, or by each billing site.
Answer: B, E, F

Question: 138 Your client wants to report with Financial Statements Generator (FSG) and perform account inquiry at the summary (business unit) level of the cost center segment. A business unit is a group of cost centers, and a business unit manager typically has several cost centers under his or her responsibility. Which option will meet the client''s requirements?
A. Defining parent cost centers and a hierarchy of parent/child cost centers; defining rollup groups for the parent cost centers; creating FSG based on the rollup groups
B. Defining parent cost centers and a hierarchy of parent/child cost centers; creating summar accounts based on the parent cost centers; creating FSG based on the parent cost center values
C. Defining parent cost centers and a hierarchy of parent/child cost centers; defining summary accounts for the parent cost centers; creating FSG based on the parent cost center values or summary accounts
D. Defining parent cost centers and a hierarchy of parent/child cost centers; defining rollup groups for the parent cost centers, and summary accounts; creating FSG based on the parent cost center values or summary accounts
Answer: D

Question: 139 Peter, the GL accountant, tells you that he has defined the budget and that the budget amounts have been entered and approved by management. After approval, he wants his assistant accountants to NOT be able to update this budget. What would be your response?
A. The budget status must be current.
B. Set the budget status to frozen to meet this need.
C. The Oracle General Ledger budget functionality cannot satisfy this requirement.
D. If the client wants to do this, customization of Oracle Workflow is the only option.
Answer: B

Question: 140 XYZ Company has disabled the Receivables Profile Option "AR: Disable Receivable Activity Balancing Segment". What must be defined in order for the General Ledger Transfer process to execute without error?
A. Gain account
B. Revenue account
C. Expense account
D. Rounding account
E. Suspense account
Answer: E

Question: 141 Select three statements that apply to Interface Data Transformer (IDT). (Choose three.)
A. It ensures reapplication of the same rules each time you transfer.
B. IDT provides greater flexibility by performing no validation on the imported data.
C. User-defined conditions enable you to control when transformation rules must be applied.
D. IDT provides automatic data conversion that converts disparate data formats into an Oracle format.
E. It makes exporting of data from Oracle General Ledger into external feeder systems much easier and less time consuming.
Answer: A, C, D

Question: 142 What two types of access do you need to be able to run year-end closing journals for all legal entities? (Choose two.)
A. Read-only access to the ledgers
B. Full ledger data access set type that provides read and write access to the ledger
C. Read and write access to some of its balancing segment values and management segment values
D. The balancing segment value data access set type that provides read and write access to all balancing segment values for a ledger by selecting the all values check box
Answer: B, D

Question: 143 Select two features regarding the completion of a successful customer merge in Oracle Receivables that support ongoing customer data cleansing efforts after go-live. (Choose two.)
A. Customer merge activity can be reversed after the merge process.
B. Bank details for the merge-from customer remains available after the merge process.
C. Duplicate parties are repointed to the surviving party after the customer merge process.
D. Duplicate customers are repointed to the surviving customer after the customer merge process.
E. Customer sites associated with the old customer or site are associated with the new customer or site after the customer merge process.
F. Customer transactions or audit transactions details for the merge-from customer remain available for reprinting after the customer merge process.
Answer: D, E

Question: 144 Jack, the CFO of ABC Company, wants to prepare the annual capital expenditure budget for the current year where the company plans to grow in the last quarter of the year. The capital expenditure budget is subdivided in multiple items, and the corporate calendar used at ABC Company has thirteen periods. Identify the three budget rules that Jack must use to minimize the effort. (Choose three.)
A. Use the divide evenly rule with the 4/4/4 spread.
B. Use the divide evenly rule with the 4/5/4 spread.
C. Use the divide evenly rule with the 5/4/4 spread.
D. Use the divide evenly rule with the 4/4/5 spread.
Answer: B, C, D

Question: 145 BT Inc. is implementing Oracle Accounts Receivable to interface with an external non-Oracle legacy billing system. The client wants Receivables to generate accounting entries, instead of sending accounting data through the interface. Identify four setup items that are used by Receivables to generate the General Ledger (GL) code combinations. (Choose four.)
A. AutoAccounting
B. Transaction type
C. Accounting rules
D. Transaction source
E. Customer bill-to site
F. Standard memo line
Answer: A, B, E, F

Question: 146 Your company needs a solution that provides the option of transferring a high volume of customer receipts from the bank into the Oracle Accounts Receivable system. You do not want the customers account balance to be affected immediately when the receipts are transferred and uploaded to the receivables system. Which is the most appropriate receipt creation method to implement in Oracle Receivables?
A. Cash receipts
B. Manual receipts
C. Automatic receipts
D. Quickcash receipts
E. Miscellaneous receipts
Answer: D

Question: 147 Which relationship group would you assign to allow each party to pay for its own transactions, as well as the transactions of all parties that are lower in the hierarchy (children, grandchildren, and so on)?
A. Pay group
B. Pay below
C. Pay without
D. Pay parties
Answer: B

Question: 148 Select two components that are required to create the accounting setup by using Accounting Setup Manager. (Choose two.)
A. Ledgers
B. Operating units
C. Data access sets
D. Definition access sets
E. Subledger accounting method
Answer: A, E

Question: 149 A debit memo reversal must be utilized to reverse the receipt if_____ .
A. Receipt is a non-invoice-related receipt
B. Receipt has an open claim associated with it
C. Receipt has been reconciled in Cash Management
D. Receipt has a remitted credit card refund application
Answer: D

Question: 150 After creating two new customers, LeftBank and RightSide, you create and complete an invoice for $105 ($100 plus $5 tax) for LeftBank. You immediately realize that you should have created the invoice for RightSide. Which three steps can you take to correct the situation? (Choose three.)
A. Change the status of the invoice to incomplete. Delete the invoice, and then enter and complete the invoice for RightSide.
B. Change the status of the invoice to incomplete. Change the customer in the invoice to RightSide. Complete the invoice.
C. Create an adjustment to the invoice for the entire amount, and then create a negative adjustment to the account of RightSide.
D. Create an on-account credit memo for $105 for LeftBank. Apply the on-account credit memo to the invoice. Enter and complete the invoice for RightSide.
E. Change the status of the invoice to incomplete. Change the transaction type of the invoice to a transaction type that has creation sign equal to negative sign. Complete the invoice. Enter and complete the invoice for RightSide.
Answer: A, B, D

Question: 151 ABC Company is implementing Oracle Financials. The finance manager wants to set up a control point before the Receivables entries are transferred to General Ledger. Which two statements are correct about the control mechanisms that Receivables can provide? (Choose two.)
A. Oracle approval limit can be used to approve or reject the invoices.
B. Oracle approval limit can be used to approve or reject the credit memos.
C. Oracle approval limit can be used to approve or reject the adjustment activities.
D. Oracle Approvals Management (AME) Workflow can be used to approve or reject the invoices.
E. Oracle Approvals Management (AME) Workflow can be used to approve or reject the credit memos.
F. Oracle Approvals Management (AME) Workflow can be used to approve or reject the adjustment activities.
Answer: C, E

Question: 152 Choose the correct sequence of events taking place in the data access set setup process.
1. Define a legal entity.
2. Define ledger sets.
3. Define data access sets.
4. Define a secondary ledger.
5. Define a primary ledger.
6. Assign a data access set to responsibilities.
7. Define operating units.
A. 1, 7, 5, 4, 2, 3, 6
B. 1, 2, 3, 4, 5, 6, 7
C. 1, 7, 4, 5, 3, 2, 6
D. 1, 7, 3, 2, 5, 4, 6
Answer: A

Question: 153 ABC Enterprise has operations in the US, France, and Italy. The US, France, and Italy operations have separate legal and statutory requirements. The tax requirements also differ for each country. Identify the action you would perform to set up Oracle General Ledger.
A. Create a separate legal entity and accounting setup for each operation.
B. Create one legal entity and three accounting setups for the US, France, and Italy.
C. Create three legal entities for the US, France, and Italy, and one accounting setup.
D. Create three legal entities for each operation. Create one accounting setup for France and Italy, and one for the US.
E. Create two legal entities: one for France and Italy, and one for the US. Create two accounting setups: one for France and Italy, and one for the US.
Answer: A

Question: 154 Identify the Receivable interface table into which the receipt information contained in the bank file can be loaded by using a SQL*Loader script.
A. AR_PAYMENTS_INTERFACE_ALL
B. AR_INTERIM_CASH_RECEIPTS_ALL
C. AR_INTERIM_CASH_INTERFACE_ALL
D. AR_INTERIM_CASH_RCPT_LINES_ALL
E. AR_INTERIM_PAYMENTS_INTERFACE_ALL
Answer: A

Question: 155 Which module of Oracle E-Business Suite Release 12 sends revaluation and accrual entries to General Ledger?
A. Oracle Assets
B. Oracle Projects
C. Oracle Treasury
D. Oracle Receivables
E. Oracle Property Manager
Answer: C

Question: 156 Your client is implementing Oracle Financials and Order Management. The AR team lead has heard about the Tax Reporting Ledger and wants to know which subledger modules are used by the report. Identify three applications that can be reported by the Tax Reporting Ledger. (Choose three.)
A. Treasury
B. Payables
C. Purchasing
D. Receivables
E. General Ledger
F. Cash Management
G. Order Management
Answer: B, D, E

Question: 157 Select three levels where additional reporting currency representations can be maintained. (Choose three.)
A. Batch
B. Journal
C. Balance
D. Subledger
Answer: B, C, D

Question: 158 Tina is entering a receipt and she determines that a short payment on a customer''s invoice should be considered an invoice deduction. Tina applies the cash to the customer''s open invoice, thereby triggering receivables to create a claim in Trade Management. After Tina saves her work, Receivables _____.
A. Partially applies balance to customer invoice and places the full invoice amount in dispute
B. Fully applies customer invoice, thereby creating a chargeback for the remaining invoice Balance
C. Fully applies customer invoice, thereby creating a debit memo for the remaining invoice balance
D. Partially applies balance to customer invoice and places the remaining invoice balance in dispute
Answer: D

Question: 159 Computer Operations Inc. has its headquarters in Frankfurt. It uses two ledgers: one for corporate accounting (primary) and another for statutory reporting (secondary). Both ledgers have different charts of accounts and accounting calendars but use EUR as the functional currency. It has a subsidiary in California, which uses its own chart of accounts and the USD currency. Identify two options by which Computer Operations Inc. can consolidate their global operations. (Choose two.)
A. A secondary ledger must be defined for California.
B. Consolidation can be done by mapping between the California secondary ledger and the Frankfurt secondary ledger.
C. A new ledger set must be defined, which will group the Frankfurt primary ledger and the California secondary ledger.
D. The chart of accounts and calendar of the Frankfurt secondary ledger must be the same as that of the California secondary ledger.
Answer: A, C

Question: 160 AutoAccounting automatically generates accounting flexfields for Receivables transactions. Identify four accounts generated by AutoAccounting. (Choose four.)
A. Tax
B. Freight
C. Payable
D. Discount
E. Revenue
F. Receivable
Answer: A, B, E, F

Question: 161 When you change a summary account template funds check level from none to advisory or absolute, you must _____.
A. Do nothing else (no additional work is needed)
B. Complete the required data on the template for the new funds check level
C. Delete the original template and then re-create it for the appropriate funds check level
D. Change the time period on the template to the earliest period to identify the begin date of the new funds check level
Answer: C

Question: 162 Choose the correct sequence of the budget accounting cycle in Oracle applications.
A) Freeze budgets.
B) Define budgets and budget organization.
C) Review and correct budgets.
D) Report on budgets.
E) Enter budget amounts.
A. E, D, C, B, A
B. B, E, C, D, A
C. A, B, C, D, E
D. E, A, B, C, D
E. B, E, C, A, D
Answer: E

Question: 163 What are the five steps for creating MassAllocation journal entries? (Choose five.)
A. Posting journal entries
B. Reviewing journal entries
C. Validating cross-validation rules
D. Freezing the accounting flexfield
E. Generating MassAllocation journals
F. Creating the MassAllocation definition
G. Validating the MassAllocation definition
Answer: A, B, E, F, G

Question: 164 John has created two ledgers: one primary and one secondary. The primary ledger stores transactional data and the secondary ledger stores only adjustments. The secondary ledger shares the same chart of accounts, accounting calendar or period-type combination, and currency as the associated primary ledger. John wants to obtain a complete accounting representation that includes both transactional data and adjustments while running reports. Identify the best option.
A. Merge the primary ledger and the secondary ledger, and run reports.
B. Transfer adjustment data from the secondary ledger to the primary ledger while running reports.
C. Transfer transactional data from the primary ledger to the secondary ledger while running reports.
D. Use ledger sets to combine the adjustments-only secondary ledger with the primary ledger when running reports.
Answer: D

Question: 165 ABC Enterprises is implementing Oracle E-Business Suite Release 12. They possess much data relating to Assets, HRMS, Inventory, vendors, and customers. They also have budgetary control enabled, and they have a substantial amount of budget data. They want to upload their data into Oracle with the use of Oracle Web Application Desktop Integrator. Identify four types of data that can be used for uploading data by using Web ADI. (Choose four.)
A. HRMS data
B. Assets data
C. Vendors data
D. Budgets data
E. Inventory data
F. Customers data
Answer: A, B, D, E

Question: 166 The GL accountant tells you that to minimize maintenance efforts, disabled account code combinations must be automatically deleted from the budget organization periodically. At the same time, if new account code combinations have been defined, these must be automatically added. What would be your response?
A. The Oracle General Ledger budget functionality cannot satisfy this requirement.
B. If the client wants to do this, customization of Oracle Workflow is the only option.
C. To do this, automatically run the Maintain Budget Organization program periodically.
D. It is possible to automatically add new account code combinations, but disabled accounts must be deleted manually.
E. It is possible to automatically delete the disabled account code combinations, but new accounts must be added manually.
Answer: C

Question: 167 Journal creation rules in Subledger Accounting are defined by event type and event class. Identify the event type associated with the event class of reverse.
A. Invoice
B. Receipts
C. Adjustment
D. Chargeback
E. Transactions
F. Credit memo
G. Bills receivable
Answer: B

Question: 168 Treeline Company is getting ready to complete its month-end process. It needs to create a profitand- loss statement and wants to use the Financial Statement Generator feature to create the report. Which two elements are required to create the report? (Choose two.)
A. Row set
B. Report set
C. Workbook
D. Column set
E. Content set
Answer: A, D

Question: 169 Your client is using Oracle Trading Community Architecture (TCA) relationship manager to create and manage relationships among parties. However, your client is having difficulty understanding circular relationship types. Select two examples of circular relationships. (Choose two.)
A. Company H is an affiliate of company G.
B. Company A is the parent company of company B and company C.
C. Company J is a subsidiary of company K and company L is a division of company K.
D. Company M is a shareholder of company N and company N is a shareholder of company P.
E. Company D is a competitor of company E, which is a competitor of company F, which in turn is a competitor of company D.
Answer: A, E

Question: 170 Your client has requested that you set up gapless numbering for its invoices. In your testing, you realized that the numbers for deleted invoices were missing from the sequence. How would you prevent that problem?
A. Reuse deleted invoice numbers.
B. Do not allow deletion of invoices.
C. Create a custom report listing deleted invoice numbers.
D. Select Show Deleted Invoice Numbers in your system options.
Answer: B

Question: 171 The accounting setup process in Oracle General Ledger consists of three main steps. (Choose three.)
A. Update accounting options.
B. Approve accounting options.
C. Complete the accounting setup.
D. Create an accounting setup structure.
Answer: A, C, D

Question: 172 ABC Enterprise closes its books on March 31st. These activities have been identified to be performed for the closure of books.
1) post
2) translate
3) review
4) consolidate
5) revalue
6) run accounting reports
7) close accounting period
In which order must these activities be performed?
A. 1, 3, 5, 2, 4, 6, 7
B. 5, 2, 3, 1, 7, 4, 6
C. 1, 5, 2, 3, 4, 7, 6
D. 1, 3, 2, 5, 7, 4, 6
Answer: A

Question: 173 The GL accountant tells you that he has defined two budgets. After selecting the budget organization in the Enter Budget Amounts form, he can select only one budget from the list of values (LOV). What would be your response?
A. The budget status is current.
B. The last fiscal year of the budget is closed.
C. The first fiscal year of the budget was never opened.
D. Accounts must be reassigned to the budget organization.
Answer: C

Question: 174 There are several setup steps for receipts in Oracle Receivables; some are required whereas others are optional. Which two setup steps are optional? (Choose two.)
A. Define receipt classes.
B. Define receipt methods.
C. Define receipt sources.
D. Define AutoCash rule sets.
E. Define application rule sets.
Answer: D, E

Question: 175 Your manager has asked you to create a period close process that maximizes the efficiency of your two staff members and minimizes the number of closing days. Identify two sets of subledgers that can be closed concurrently. (Choose two.)
A. Payables and Assets
B. Projects and Payables
C. Inventory and Receivables
D. Payables and Receivables
E. Order Management and Projects
Answer: D, E

Question: 176 When you assign a template to a rule in Bill Presentment Architecture, you enter a range of ___.
A. Data sources
B. Transaction types
C. Transaction dates
D. Customer accounts
Answer: C

Question: 177 Ten analysts are assigned the same Receivables responsibility and are given their own logins. The requirement is to restrict three of the analysts from creating chargebacks or adjustments. What would be your advice to ensure compliance with this internal control?
A. Use forms personalization to restrict function access.
B. Set the "AR: Cash - Allow Actions" system profile to no at the responsibility level.
C. Set the "AR: Cash - Allow Actions" system profile to no at the user level for the three analysts.
D. Set the "AR: Cash - Allow Actions" system profile to yes at the user level for the three analysts.
E. Set the "AR: Cash - Allow Actions" system profile to yes at the application level for the three analysts.
Answer: C

Question: 178 Which three statements are true about mapping rules? (Choose three.)
A. You can define account rules.
B. You can define segment mapping rules.
C. You can modify your rollup rule after it has been saved.
D. You can define segment or account rules, but not a combination of both.
E. You can define segment rules instead of account rules for faster processing.
Answer: A, B, E

Question: 179 All receipts that fail validation during AutoLockbox processing remain in the _____ table.
A. AR_PAYMENT_SCHEDULE
B. AR_PAYMENTS_INTERFACE_ALL
C. AR_INTERIM_CASH_RECEIPTS_ALL
D. AR_INTERIM_CASH_RCPT_LINES_ALL
Answer: B

Question: 180 Which three statements are true about accounting rules? (Choose three.)
A. Accounting rules enable you to defer revenue.
B. Accounting rules enable you to define fixed and variable rules to recognize revenue.
C. Accounting rules enable you to define the number of periods and percentage of total revenue that you can record in each accounting period.
D. Accounting rules enable you to define the number of periods and amount of invoice that you can bill your customer in each accounting period.
Answer: A, B, C

Question: 181 You have transferred, closed, and reconciled all subledgers. The sales manager informs you about a material transaction that was completed on the last business day of the closing period. Select the best option in this situation.
A. Ignoring the transaction in the current period
B. Opening the subledger to enter the transaction
C. Reversing the prior postings and retransferring data from the subledgers
D. Recording a manual accrual journal in the current period and reversing the journal in the next period
Answer: D

Question: 182 Select four mandatory requirements for creating ledgers in Oracle General Ledger. (Choose four.)
A. Currency
B. Period types
C. Operating units
D. Chart of accounts
E. Accounting method
F. Accounting calendar
Answer: A, D, E, F

Question: 183 When you enter a journal, the journals in that batch _____.
A. Must share the same period
B. Must share the same currency
C. Must share the same accounting date
D. Must share both the same period and currency
E. Can have different periods, currencies, and accounting dates
Answer: A

Question: 184 Your client has set up Oracle Lease Management (OKL) and Oracle Credit Management (OCM) without scoring models. Which three tasks can be successfully completed by Oracle Workflow in OCM without manual intervention? (Choose three.)
A. Creating a case folder
B. Calculating a credit score
C. Creating a credit application
D. Creating a final credit recommendation
E. Sending notifications to the credit scheduler
Answer: A, C, E

Question: 185 Identify four steps involved in the setup for late charges. (Choose four.)
A. Assigning different policies to your customers
B. Indicating by transaction type if a late charge policy is enforced
C. Enabling late charges in the Receivables System Options form
D. Enabling late charges in the System Profiles form at the user level
E. Deriving accounting from transaction type when late charges are in adjustment format
F. Indicating if a specific invoice should be exempt from late charges at the transaction level
Answer: A, B, C, F

Question: 186 Which four transaction types or activities are affected by the "AR : Disable Receivable Activity Balancing Segment" profile option? (Choose four.)
A. Invoices
B. Adjustments
C. Late charges
D. Debit memos
E. Credit memos
F. Discounts (both earned and unearned)
G. Activity applications (such as receipt write-off, short-term debt, and claims investigation)
Answer: B, C, F, G

Question: 187 Select two correct journal types to be used based on the context provided. (Choose two.)
A. Company E wants to track availability of funds against budgets. Use encumbrance journals.
B. Company D wants to track availability of funds against budgets. Use budget journals
C. Company B wants to track floor space and other physical attributes. Use statistical journals.
D. Company A wants to track floor space and other physical attributes for Mass Allocation. Use encumbrance journals.
Answer: A, C

Question: 188 Identify two places where you can define a legal entity. (Choose two.)
A. Set of books
B. Data access set
C. Legal Entity Configurator
D. HRMS organization setup
E. Accounting Setup Manager
Answer: C, E

Question: 189 Select two actions that ledger sets permit. (Choose two.)
A. Performing variance inquiries
B. Being used for mass budgets
C. Sending budget balance inquiries
D. Viewing account balances for multiple ledgers in one view
E. Grouping multiple ledgers that share the same chart of accounts and calendar
Answer: D, E

Question: 190 Flavour Inc. in the United Kingdom has a subsidiary in India known as Spices Inc. Flavour Inc. has a four-segment chart of accounts, whereas Spices Inc. has a five-segment chart of accounts. Select three statements that apply to consolidating ledgers with different charts of accounts. (Choose three.)
A. Only one action can be defined per parent segment.
B. Consolidations based on account rules process faster.
C. Consolidations based on segment rules process faster.
D. Segment rules override account rules if there is any conflict.
E. A segment rule action must be defined for each segment in the parent chart of accounts.
Answer: A, C, E

Question: 191 Select three criteria that are required to assign multiple legal entities to the same accounting setup. (Choose three.)
A. Have similar ledger processing options
B. Open and close periods simultaneously
C. Have tax requirements that are specific for a legal entity
D. Require autonomous document sequencing for a legal entity
E. Operate in a country that allows multiple legal entities to share the same primary ledger and ledger attributes
Answer: A, B, E

Question: 192 Identify four consolidation tools. (Choose four.)
A. Interface Data Transformer
B. Global Consolidation System
C. Global Intercompany System
D. Financial Statement Generator
E. Applications Desktop Integrator
Answer: A, B, D, E

Question: 193 You are setting up Receivable Accounting Events in Subledger Accounting. Identify the Event Entity.
A. Invoices
B. Deposits
C. Guarantees
D. Transactions
E. Chargebacks
Answer: D

Question: 194 Identify three setups in Oracle Receivables that control how discounts are calculated. (Choose three.)
A. Profile options
B. Payment terms
C. System options
D. Receipt classes
E. Customer profiles
Answer: B, C, E

Question: 195 Select three activities that must be performed to complete the setup of the key accounting flexfield. (Choose three.)
A. Create aliases.
B. Define a value set.
C. Define security rules.
D. Define an account structure.
E. Define valid segment values.
F. Create account combinations.
Answer: B, D, E

Question: 196 There are three invoice correction methods: underinvoicing, overinvoicing, and invalid transactions. Which option lists all the correct underinvoicing choices?
A. Void, delete
B. Void, delete, re-create invoice
C. Update invoice, create a debit memo, perform an adjustment
D. Update invoice, create a credit memo, create an on-account credit memo, perform an adjustment, refund
Answer: C

Question: 197 Which three activities would use summary accounts? (Choose three.)
A. Creating a monthly recurring standard journal entry to amortize goodwill
B. Allocating the total monthly costs of the Information Services department to other departments
C. Estimating a sales commission accrual based on the total of all product sales for each division
D. Formulating a budget for employee benefits in each company based on the total of all budgeted employee salaries
Answer: B, C, D

Question: 198 XYZ Inc. wants to ensure that no changes are made to unposted journals that come in from its subledgers. At which setup can you control this?
A. Ledgers
B. Journal approval
C. Journal sources
D. Journal categories
Answer: C

Question: 199 After creating a number of Financial Statement Generator reports, ABC Company wants a list of the definitions for one specific account. Identify the report that would provide this information.
A. FSG Attribute Listing
B. FSG Where Used Report
C. FSG Report Detail Listing
D. FSG Content Set Detail Listing
E. FSG Content Summary Listing
Answer: B

Question: 200 AutoInvoice does not import Receivables invoices from the interfaces. Identify two reasons that can cause AutoInvoice to fail. (Choose two.)
A. AutoCash rule set is not defined.
B. Sold To Customer is validated by ID.
C. Default Remit-to address is not defined.
D. Receivables adjustment activities are not defined.
E. Transaction General Ledger date is in a closed period.
Answer: C, E

Question: 201 Select two actions that ledger sets permit. (Choose two.)
A. Performing variance inquiries
B. Being used for mass budgets
C. Sending budget balance inquiries
D. Viewing account balances for multiple ledgers in one view
E. Grouping multiple ledgers that share the same chart of accounts and calendar
Answer: D, E

Question: 202 Flavour Inc. in the United Kingdom has a subsidiary in India known as Spices Inc. Flavour Inc. has a four-segment chart of accounts, whereas Spices Inc. has a five-segment chart of accounts. Select three statements that apply to consolidating ledgers with different charts of accounts. (Choose three.)
A. Only one action can be defined per parent segment.
B. Consolidations based on account rules process faster.
C. Consolidations based on segment rules process faster.
D. Segment rules override account rules if there is any conflict.
E. A segment rule action must be defined for each segment in the parent chart of accounts.
Answer: A, C, E

Question: 203 Select three criteria that are required to assign multiple legal entities to the same accounting setup. (Choose three.)
A. Have similar ledger processing options
B. Open and close periods simultaneously
C. Have tax requirements that are specific for a legal entity
D. Require autonomous document sequencing for a legal entity
E. Operate in a country that allows multiple legal entities to share the same primary ledger and ledger attributes
Answer: A, B, E

Question: 204 Michael is responsible for the accounting setup. Here is the list of accounts for the accounting setup structure mapped to their requirement.
1. suspense account - suspense posting
2. reserve for encumbrance account - exchange rate gain/loss
3. non-postable net income account - average balance processing
4. ledger currency balancing account - for using Oracle subledgers and balance subledger journals by the entered currency and balancing segment value
5. entered currency balancing account - for using Oracle subledgers and balance foreign currency subledger journals by the ledger currency and balancing segment value Identify two correct mappings of accounts. (Choose two.)
A. 1
B. 2
C. 3
D. 4
E. 5
Answer: A, C

Question: 205 Invoice batching provides checks and balances that are not available in a single invoice. Choose two reasons why you might want to enter invoices in batches. (Choose two.)
A. You can print invoices by batch.
B. Batching provides default values for invoice fields.
C. You can post invoices to General Ledger by batch.
D. You can apply cash receipts directly to a batch of invoices.
Answer: A, B

Question: 206 After reviewing an incomplete invoice entered last week by her assistant, Jovi clicked the Complete button in the Transactions window. What are three changes this would create in Oracle Receivables? (Choose three.)
A. This invoice can now be printed.
B. A dunning letter is now sent to the customer for the invoice amount.
C. This invoice now becomes eligible to be transferred to General Ledger.
D. Payment schedules are now created based on the payment terms and invoice date.
E. The invoice is now included in the standard aging and collection process if the transaction type has open receivables set to No.
Answer: A, C, D

Question: 207 Your client wants to import paid invoices from its legacy system to Oracle Receivables. It does not want to post the paid invoices to GL or update the customer balances. How would you import invoices in this scenario?
A. Create a transaction source and set the status to Inactive.
B. Create a transaction source with the GL Date in a Closed Period box set to Adjust.
C. Assign a transaction type with no values for the receivable and revenue accounts.
D. Assign a transaction type with the Open Receivable and Post to GL boxes deselected.
Answer: D

Question: 208 AB Company in the United Kingdom is a subsidiary of ABC Company in the United States. The majority of transactions done by AB Company are entered in GBP. At the end of the year, AB Company restates all its ledgers or balances to report at the headquarters in the US. What is this process called?
A. Revaluation
B. Translation
C. Conversion
D. Observation
E. Alteration
Answer: B

Question: 209 XYZ Enterprises, a US-based export firm, has two offices in the US (East) and the US (West). They use their primary ledger for their US operations, and an additional ledger for management analysis and reporting. They use five segments for their accounting flexfield: company, department, account, product, and future. Select the minimum number of required flexfield qualifiers that they would be using for the accounting structure. (Choose three.)
A. Future segment
B. Product segment
C. Balancing segment
D. Cost center segment
E. Department segment
F. Management segment
G. Natural account segment
Answer: C, D, G

Question: 210 During the testing phase of your implementation, you find that you are unable to delete a journal batch, though it is not yet posted. You ask the technical consultant for help and he emails you a checklist of scenarios in which the batches cannot be deleted. Select three scenarios that would be on the checklist. (Choose three.)
A. The source is frozen.
B. The journal batch has not been posted.
C. Funds have been reserved for the batch.
D. The journal batch has not been approved.
E. Funds are in the process of being reserved for the batch.
Answer: A, C, E

Question: 211 Choose the reason why Tina is unable to view the subledger entries from Oracle Payables in the Oracle General Ledger module. She has run the transfer program that completes successfully.
A. Journal Import is not submitted.
B. The Journal source is not defined.
C. The Journal category is not defined.
D. Payables is not integrated with General Ledger.
Answer: A

Question: 212 XYZ Corporation has five segments in its accounting flexfield. For a special profit-and-loss report, they want to sort by the fourth segment, which is "product." Select the element that would meet this need.
A. Row set
B. Row order
C. Content set
D. Column set
Answer: B

Question: 213 You reviewed all the reconciliation reports for month-end close. Identify the correct sequence of actions you would undertake to close the month.
A. Run Applied Receipts Report, run AR Reconciliation Report, run Journal Import.
B. Run AR Reconciliation Report, run Sales Journal Report, run Create Accounting Program.
C. Run Sales Journal Report, run AR to GL Reconciliation Report, run Create Accounting Program.
D. Run Create Accounting Program, run AR Reconciliation Report, run AR to GL Reconciliation Report.
Answer: D

Question: 214 A user attempted to close the Accounts Receivable accounting period and received an error. What could be the cause of the error?
A. AutoInvoice did not run.
B. There are lockbox interface errors.
C. Create Accounting program did not run.
D. There are existing invoice exceptions.
E. There are AutoInvoice interface errors.
F. Invoices are entered but not completed.
G. General Ledger Journal Import did not run.
Answer: C

Question: 215 Oracle Credit Management (OCM) uses lookups to help speed up data entry and increase accuracy. Select two required lookups used by OCM. (Choose two.)
A. Risk code
B. Credit rating
C. Payment terms
D. Credit review type
E. Credit classification
Answer: D, E

Question: 216 Your client occasionally charges sales tax erroneously to some customers. The client''s current process involves manually issuing a credit memo to correct the customer''s account. Customers routinely deduct the sales tax from the invoice before paying. Identify two steps that can help simplify the clients current process. (Choose two.)
A. Set up AutoAccounting.
B. Set up adjustment approval limits.
C. Set up transaction type for tax adjustment.
D. Select the TAX: Allow Override of Tax Code profile option.
E. Define receivables activity of adjustment with tax accounting distribution.
F. Define receivables activity of miscellaneous cash with tax accounting distribution.
Answer: B, E

Question: 217 Which is the correct sequence of steps in planning your summary accounts?
(1) planning the summary account structure
(2) planning the parent segment values and rollup groups needed for summary accounts
(3) determining summary account needs
(4) planning summary account templates to generate multiple summary accounts
A. 2, 3, 1, 4
B. 3, 1, 2, 4
C. 1, 2, 3, 4
D. 2, 1, 3, 4
Answer: B

Question: 218 Identify what three considerations must be executed before creating a report by using the financial statement generator. (Choose three.)
A. Download Web ADI.
B. Create the database link.
C. Determine the data to be reported.
D. Define attributes for rows and columns.
E. Decide which rows and columns will make up the report.
Answer: C, D, E

Question: 219 To properly associate one transaction type with another in Receivables, you have to define transaction types in a specific order. Identify the correct order.
A. Invoice, credit memo, debit memo
B. Invoice, debit memo, credit memo
C. Credit memo, invoice, debit memo
D. Credit memo, debit memo, invoice
E. Debit memo, invoice, credit memo
F. Debit memo, credit memo, invoice
Answer: C

Question: 220 Choose the maximum number of secondary ledgers that can be assigned to a primary ledger.
A. Unlimited
B. Two per primary ledger
C. One per primary ledger
D. One per primary ledger with a reporting currency
Answer: A

Question: 221 Your client has requested that you set up a relationship type that would allow any party within the relationship to pay for the accounts of any other party. Identify the relationship group that you would assign your relationship type to, in order to accomplish this.
A. Pay all
B. Pay within
C. Pay below
D. Pay parties
Answer: B

Question: 222 Select two correct statements for the management segment qualifier in Oracle General Ledger. (Choose two.)
A. The management segment can be a balancing segment.
B. The management segment can be a natural account segment.
C. The management segment cannot be an intercompany segment.
D. This segment qualifier is used for management reporting and analysis.
E. Data access sets cannot limit access to specific management segment values.
Answer: C, D

Question: 223 Which two statements are true about invoicing rules and accounting rules? (Choose two.)
A. If a transaction has an invoicing rule, an accounting rule is optional.
B. If a transaction has an invoicing rule, an accounting rule is not allowed.
C. If a transaction has an invoicing rule, an accounting rule is also required.
D. Invoicing rules and accounting rules have no effect until invoices are paid.
E. Invoicing rules and accounting rules have no effect unless you choose the accrual method of accounting.
F. Invoicing rules determine when invoices are due. Accounting rules affect how invoices are accounted for.
Answer: C, E

Question: 224 After registering new data sources, you must complete your Bill Presentment Architecture by creating database views. How many database views can you create for each data source?
A. One
B. Nine
C. Three
D. Unlimited
Answer: D

Question: 225 Scott, the CFO at ABC Company in the USA, wants to present the annual income statement to the board of directors of the company. ABC Company engages in many exports and import activities and follows the policy to revalue all its transactions in foreign currency with the current market rates. Scott requests George, the head accountant of the company, to revalue all foreign currency transactions done during the year. Select two prerequisites that George must comply with to ensure that the revaluation is done as desired. (Choose two.)
A. Define accounts for realized gains and realized losses.
B. Define accounts for unrealized gains and unrealized losses.
C. Define the weights for each currency used for doing transactions.
D. Define a batch under which the revaluation journals would be stored.
E. Define a revaluation rate for each currency for each period or date for which the revaluation must be run.
Answer: B, E

Question: 226 Which three payment terms validations are performed by AutoInvoice for imported balance forward billing (BFB) transactions? (Choose three.)
A. The transaction is stamped with legal entity information.
B. All transactions are batched by batch source name and request ID.
C. Transactions with balance forward billing payment terms having the external billing cycle have a billing date.
D. Transactions with balance forward billing payment terms have balance forward billing enabled at the account and site profiles.
E. Transactions with nonbalance forward billing payment terms for balance forward customers have the override terms check box selected.
Answer: C, D, E

Question: 227 You need to verify that your system has enough resources to handle the volume of accounts that would be generated by the summary account template. The template has been designed as follows:
D-Region-D
The first segment is company, which has ten values.
The second segment is division, which is represented by the rollup group region.
It has six parent values. The last segment is account, which has 500 values.
How many summary accounts would be generated by the template?
A. 60
B. 500
C. 3,000
D. 5,000
E. 30,000
Answer: E

Question: 228 Which three statements are true about AutoInvoice? (Choose three.)
A. It determines the General Ledger (GL) accounts by using AutoAccounting.
B. It imports invoices that have only transaction types that are of the "imported" transaction class.
C. It determines the GL accounts from the rows in the RA_INTERFACE_DISTRIBUTIONS_ALL table.
D. It determines whether the invoices should have open or closed status on the basis of the line amounts.
E. It uses the AutoInvoice clearing account if it cannot determine the Receivables account by using AutoAccounting.
F. It uses the AutoInvoice clearing account if the price multiplied by quantity does not equal the total amount for a line.
Answer: A, C, F

Question: 229 How many data source views can you register for the Lines data source in Bill Presentment Architecture?
A. Five
B. One
C. Nine
D. Seven
Answer: B

Question: 230 Which four attributes are validated during the Journal Import process? (Choose four.)
A. Period
B. Approval level
C. Balanced journal
D. Cross-validation rule
E. Account combination
F. Journal sequence number
Answer: A, C, D, E

Question: 231 Which three statements are true about data conversion rules? (Choose three.)
A. Journal conversion rules are applied to select the journals for transfer to the secondary ledger based on journal batches.
B. Chart of account conversion is required if the primary ledger and secondary ledger have the same chart of accounts structure.
C. Currency conversion rules are required for consolidating primary and secondary ledgers only when their currencies are different.
D. For calendar conversion, the journal effective date determines the corresponding nonadjusting period in the secondary ledger.
E. The General Ledger Posting program uses the rules to determine which journals to automatically transfer to the secondary ledger during posting.
Answer: C, D, E

Question: 232 Your client will use the seeded credit classifications of Low Risk, Moderate Risk, and High Risk to evaluate the credit worthiness of customers. It has also created the following credit review types:
New Credit Limit
Domestic Credit
International Credit
Guarantor of Credit
Lease Application Credit
How many credit checklists should the management set up in Oracle Credit Management to perform credit reviews in accordance with the organization''s current policies?
A. Ten
B. Five
C. One
D. Eight
E. Three
F. Fifteen
Answer: F

Question: 233 You created an invoice with one line item of $100 and a tax of $10. This line item is credited with an applied credit memo of $50. What is the credit to the tax line?
A. $5
B. $1
C. $10
D. $20
Answer: A

Question: 234 After you define a credit analyst, you can modify any of the analyst''s information, except _____.
A. Employee and group
B. Employee and username
C. Organization and territory
D. Cost center and employee
E. Username and organization
F. Group and group member role
Answer: B

Question: 235 Jane is the financial controller of ABC Corporation. ABC Corporation has three legal entities: ABC East, ABC West, and ABC South. She was advised by the Oracle General Ledger consultant that there is no need for any balancing segment values to be assigned to the legal entities or ledgers. She is worried as to which values will be available for transactions and journal entries. Identify the right option in the given scenario.
A. All balancing segment values will be available to enter transactions and journal entries.
B. No balancing segment values will be available to enter transactions and journal entries.
C. ABC East and ABC West balancing segment values will be available to enter transactions and journal entries.
D. ABC East and ABC South balancing segment values will be available to enter transactions and journal entries.
E. ABC South and ABC West balancing segment values will be available to enter transactions and journal entries.
Answer: A

Question: 236 Party Merge provides the capability to merge parties and their related entities in the Oracle Trading Community Architecture (TCA) Registry, thereby eliminating duplicate data in the Registry. Select four entities that can be successfully merged using the Party Merge functionality. (Choose four.)
A. You can merge bill-to sites with bill-to sites.
B. You can merge bill-to sites with ship-to sites.
C. You can merge individuals with individuals.
D. You can merge individuals with organizations.
E. You can merge organizations with organizations.
Answer: A, C, D, E

Question: 237 Which two setups are required for customer invoicing? (Choose two.)
A. Lockbox
B. Customers
C. Remit-to address
D. Customer profile classes
Answer: B, C

Question: 238 Identify two functions the Revenue Accounting Management (RAM) Wizard performs in Oracle Receivables. (Choose two.)
A. Apply receipts
B. Resolve claims
C. Adjust sales credits
D. Execute the invoicing process
E. Manage revenue contingrncies
Answer: C, E

Question: 239 Select three true statements about mapping rules. (Choose three.)
A. Up to two rollup rules are possible.
B. You can define a combination of segment values and account rules.
C. Mapping sets enable you to transfer data from multiple subsidiaries simultaneously.
D. There are only two mapping rule actions consisting of copy value from and assign value from.
E. A rollup rule indicates to General Ledger what detail level of information to transfer and how to roll that information up to the parent.
Answer: B, C, E

Question: 240 Your company is using Oracle Receivables and Trade Management to create and resolve claims. A non-invoice-related claim is generated in Oracle Receivables and transferred to Trade Management for investigation. The balancing segments used for accounting on the individual transactions are:
Claim Investigation:1001
Unapplied Cash: 1000
Cash: 1000
Receivables: 2000
Receipt Write-Off: 3000
If you are using the Account Generator to update the balancing segment values, what is the
balancing segment that is derived if the claim is resolved via receipt write-off?
A. 1000
B. 1001
C. 2000
D. 3000
Answer: A

Question: 241 Identify four types of transaction flexfields. (Choose four.)
A. Key transaction flexfield
B. Line transaction flexfield
C. Link-to transaction flexfield
D. Source transaction flexfield
E. Invoice transaction flexfield
F. Reference transaction flexfield
Answer: B, C, E, F

Question: 242 Which three are part of the Global Consolidation System (GCS) functionality? (Choose three.)
A. Viewing the multilevel structure of your consolidation in a graphical format
B. Defining mapping rules to determine how subsidiary account balances roll up into the parent
C. Creating consolidated journal entries in both parent and subsidiary sets of books as part of the consolidation process
D. Using the Interface Data Transformer to transfer data from Oracle global consolidations to external financial feeder systems
E. Viewing the status and monitor subsidiary account balances for any changes that occur after the subsidiary data has been transferred
Answer: A, B, E

Question: 243 The data access set with the full ledger access set type defines three ledgers/ledger sets:
Full ledger access set type
Ledger/ledger set Sets privileges
Vision Services read and write
Vision Operations read-only
Vision Global read-only
Which statement is correct?
A. Users can only view existing data for the Vision Operations ledger.
B. Users have full read and write access to the Vision Operations ledger.
C. Responsibilities that use this data access set can only view existing data for the Vision Services ledger.
D. Responsibilities that use this data access set have full read and write access to the Vision Global ledger.
Answer: A

Question: 244 Your customer ABC Inc., has headquarters in San Diego, California. The billing function is performed in St. Louis, Missouri. It has a plant in Baltimore, Maryland, a warehouse in Richmond, Virginia, and an assembly line in Nashville, Tennesse. John Thomas, plant supervisor at Baltimore, orders equipment from you to be shipped to the assembly line in Nashville. Later, the assembly line in Nashville will send the equipment to the warehouse in Richmond. Identify the state sales tax to apply to this invoice.
A. Virginia
B. Missouri
C. Maryland
D. California
E. Tennessee

Answer: E

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