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Oracle 1z0-1074-23 Oracle Cost Management Cloud 2023Implementation Essentials Exam Practice Test

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Total 79 questions

Oracle Cost Management Cloud 2023Implementation Essentials Questions and Answers

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Question 1

How is the standard cost of a manufactured configured item calculated?

Options:

A.

It is based on the material and resource requirements of a released work order.

B.

The standard cost of a model item is calculated.

C.

The standard cost is calculated for every possible combination of options under a model

D.

It is based on the actual cost of the work order after it is completed.

Question 2

Identify three Landed Cost Management tasks.

Options:

A.

Capture Charges

B.

View Rolled Up Costs

C.

Manage Cost Scenarios

D.

Perform Allocations

E.

Create Accounting

F.

Review Journal Entries

Question 3

Identify four reasons to use the set ID when defining Cost Accounting setups. (Choose four)

Options:

A.

You can share definitions across multiple cost organizations.

B.

You can control which definitions are visible to different cost organizations

C.

You can streamline your setup effort.

D.

You have the option to share setup data across all cost organizations using the common set.

E.

You can take advantage of the business unit-to-set ID mapping defined in Cost Accounting.

F.

You don't have to create any definitions for cost books.

Question 4

If the Create Accounting process ends with errors or warnings, which three statements outline places you can go to get more detailed information about the specific errors and warnings?(Choose Three)

Options:

A.

Refer to the Accounting Event Diagnostic report.

B.

Review errors in the Create Accounting Execution log.

C.

Review errors in the Create Accounting Execution report.

D.

Query the transaction from Review Cost Accounting Distributions to see the error message.

E.

Refer to the Accounting Event Diagnostic Log.

Question 5

You have just finished modifying an accounting method. What is the final step to complete the accounting method configuration?

Options:

A.

Activate its journal entry rule set assignments.

B.

Transfer costs to Cost Management.

C.

Create Accounting.

D.

Transfer transactions from Receiving to Costing.

E.

Execute the Preprocessor.

Question 6

Your client is using Quick Setup to implement Costing. They have a requirement to track costs for manufacturing overhead. How can you make sure that this requirement is met?

Options:

A.

Complete Quick Setup and then create the user-defined cost using the Manage Cost Component task.

B.

This requirement will already be met by the default data generated when using Quick Setup.

C.

Create the cost in Manage Cost Scenarios.

D.

You can only track costs for Direct Labor and Direct Equipment; this requirement cannot be met.

Question 7

You can track costs at what granularity level in Cost Accounting for the actual costing method?

Options:

A.

Subinventory, Make, Lot, Serial

B.

Grade, Serial, Group, Lot

C.

Subinventory. Lot, Serial, Grade

D.

Grade, Subinventory, Locator, Serial

E.

Subinventory, Lot, Serial, Locator

Question 8

You have configured your expense items to accrue at receipt. You have created a few purchase orders and want to verify that the supplier invoices have been created.

Which accounting entries signal this process has taken place?

Options:

A.

Debit Charge Account (expense or inventory), Credit Receiving Inspection

B.

Debit Accrued Liability, Credit Accounts Payable

C.

Debit Receiving Inspection, Credit Accrued Liability

D.

Debit Expense, Credit Receiving Inspection

E.

Debit Expense, Credit Expense Accrual

Question 9

You have finished creating your sub ledger journal entry rule sets and see that they are still in the incomplete status. Which two steps will ensure that the journal entries are generated?

Options:

A.

Add the subledger journal entry rule sets to the Manage Journal Entry Rule Set task.

B.

Add the subledger journal entry rule sets to the Manage Accounting Methods task.

C.

Run the "Activate Subledger Journal Entry Rule Set Assignments" process.

D.

Run the "Activate Accounting Methods" process.

E.

Validate the subledger journal entry rule sets using Validate Journal Entry Rule Set.

Question 10

There are freight charges on an invoice. Which two setups are required to get create accounting to enter a separate accounting line for it?

Options:

A.

Sub ledger accounting is set up to accomplish this out-of-the-box.

B.

Line Type must be set to Freight.

C.

Account Class must be set to Freight.

D.

Create a condition for a journal line for freight.

Question 11

Your customer wants to run a report to review account balances for both inventory valuation and cost of goods sold. Which two Oracle Transactional Business Intelligence reports would you run so the customer can review these balances?

Options:

A.

Inventory Account Balances Report

B COGS Account Balances Report

B.

Revenue and COGS Matching Report

C.

Costing Balances Report

D.

Inventory Valuation Report

Question 12

Which predefined report should you use from Oracle Business Intelligence Publisher to manage the balance of accrued supplier liabilities for a business unit?

Options:

A.

Accrual Supplier Liability Report

B.

Accrual Reconciliation Report

C.

Accrual Clearing Report

D.

Uninvoiced Receipt Accrual Report

E.

Receipt Accounting Real Time Report

Question 13

After "Cost Accounting Processor" has processed the physical inventory classification of transactions which transaction types will it process next?

Options:

A.

In-transit

B.

Retro-reprice

C.

Adjustments

D.

Overhead

E.

Cost of Goods Sold

Question 14

Which two things must your customer check daily in order to ensure that all their purchase order transactions from that day have been accounted for in Receipt Accounting Distribution?

Options:

A.

Review their audit receipt accrual clearing balances.

B.

Review their journal entries, including their sub-ledger accounting events and class where the charges from the purchase orders are going to be charged to.

C.

Review their accrual balances and clear them.

D.

Review their Receipt Accounting processes that show whether any processes failed and why.

E.

Review their distributions that show the debit and credit information specific to the Receipt Accounting transaction selected.

Question 15

Identify four characteristics of a cost element.

Options:

A.

Users can define any number of cost elements.

B.

It is the most granular level of cost captured by upstream systems such as procurement, accounts payable, and manufacturing.

C.

It is the granularity at which costs are tracked and accounted.

D.

It is user-defined.

E.

The mapping of cost components into cost elements is user-defined.

F.

It uses date effectivity.

Question 16

At what level can you define item cost profiles?

Options:

A.

Item cost profiles are defined within an inventory organization. There can be only one cost method for an inventory organization.

B.

Cost profiles are ultimately defined at the item level. Different items within the same inventory organization can use different cost profiles.

C.

Item cost profiles are defined at the cost organization level. All items within a cost organization must use the same cost profile.

D.

Different items within an inventory organization can use different cost profiles, but items within an item category must all use the same cost profile because that is the level at which the default cost profile is defined.

Question 17

An invoice is created in a foreign currency. The invoice is not paid until several weeks later. By then, the currency conversion rate has changed.

How do you get the journal line rule to calculate the gain or loss?

Options:

A.

Create a foreign reporting currency to track gain/loss.

B.

Create a secondary ledger to track gain/loss.

C.

Turn on the Subledger Gain or Loss Option.

D.

Subledger Accounting is already set up to process it.

Question 18

Which two rules determine whether a condition has been met for accounting rules?

Options:

A.

When the condition is met, the rule associated with that priority is used.

B.

Priorities determine the order in which accounting rule conditions are examined.

C.

The conditions are evaluated in the sequence they are defined in the accounting rule.

D.

After all conditions are tested, the final resulting value is used.

E.

Use parenthesis to control the order of the condition evaluation.

Question 19

Your customer has asked you to create a report so they can view their receipt accounting distributions along with their receipt accounting transactions.

Which subject area would you select to create this report?

Options:

A.

Receipt Accounting- Receipt Accounting Distributions Real Time

B.

Receipt Accounting-- Receipt Accounting Transactions Real Time

C.

Costing –Receipt Accounting Real Time

D.

Financials-Subledger Accounting-Detail Transactions

E.

Costing-Cost Accounting Real Time

Question 20

Your client wants to set up some of their items as expense items and then enable them to be accrued at period end for one of their business units.

Which two configurations will support this request?

Options:

A.

Product Information Item > Search and select item > Specifications > Manufacturing > Verify that Inventory Asset Value is set to "No".

B.

Manage Common Options for Payables and Procurement > Select the business unit > Expense Accruals > Set Accrue Expense Items to Period End.

C.

Configure Procurement Business Function > Select the business unit > Set Select Receipt Close Point to Accrue at Period End.

D.

Product Information Item > Search and select the expense item > Specifications > Manufacturing > Verify that Inventory Asset Value is set to "Yes".

E.

Configure Procurement Business Function > Select the business unit > Set Select Receipt Close Point to Accrue at At Receipt.

F.

Manage Common Options for Payables and Procurement > Select the business unit > Expense Accruals > Set Accrue Expense Items to At Receipt.

Question 21

Your organization currently has the August period for this year open. They want to be able to open the September period, while keeping August open. When you try to open the target period, August of this year, you get an error.

What must you do to meet your customer's requirement and resolve this error?

Options:

A.

Perform cost account validations for August in Manage Cost Accounting Periods

B.

Run the Transfer Transactions to Costing process.

C.

Close the August period; you can never have two open periods at the same time.

D.

Change the number of maximum open periods in Manage Cost Organization Relationships

Question 22

Which two types of costs are included in the cost of contract manufactured items?

Options:

A.

The cost of Items that the contract manufacturer had to purchase to perform the contract manufacturing service, and the cost of resources used by the contract manufacturer

B.

The cost of items that the original equipment manufacturer (OEM) owns and has provided to the contract manufacturer for use in the process of making the output Items

C.

The cost of resources consumed at the OEM's factory

D.

The cost of the contract manufacturing service Item. This is the price that the contract

E.

Manufacturer will charge to make the outputs and would normally be enough to cover their costs and include a fair profit.

Question 23

Identify two reference types used to tie a receipt trade operation to an expense invoice for landing.

Options:

A.

Internal requisition number

B.

Shipment number

C.

Expense invoice number

D.

Bill of Lading

E.

Receipt number

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Total 79 questions