Oracle Oracle Certifications 1Z0-508 Questions & Answers

• Question 51:

  Which three objectives must be considered when designing the chart of accounts?

  A. Effectively manage an organization's financial business.

  B. Support the audit and control of financial transactions.

  C. Provide less flexibility for management reporting and analysis.

  D. Anticipate growth and maintenance needs because organizational changes occur

  E. Select the segment qualifiers.

  Correct Answer: ABD

  D:Provides a good foundation for further expansion as well as appropriate storage of current and historical information.

• Question 52:

  Oracle Fusion Accounting Hub is integrated with Oracle Hyperion Data Relationship Management Fusion Edition. What are two primary purposes of this functionality?

  A. ability to maintain charts of accounts values and hierarchies in one central location

  B. ability to download very large amounts of data

  C. a master data management solution for creating and maintaining hierarchies across an enterprise

  D. accurately reflects the accounting rules

  E. stores the identifier for the transaction in the transaction table

  Correct Answer: AC

  Oracle Hyperion Data Relationship Management, Fusion Edition integration that provides the opportunity to perform charts of accounts and hierarchies maintenance. Data Relationship Management is a master data management application and requires licensing. The functionality also establishes corporate wide accounting structures, for Oracle and non-Oracle ledgers, and automatically updates charts of accounts and hierarchies across multiple ledgers.

  Note: Oracle Hyperion Data Relationship Management (DRM) is an enterprise change management solution for building and retaining consistency within master data assets despite endless changes necessary to support underlying transactional and analytical systems. As companies grow and evolve, it becomes essential to manage master data across information silos that result from mergers and acquisitions, departmental initiatives, or legacy system proliferation. Data consistency, integrity, quality and accuracy suffer and no one trusts the information and insight that ensues. Hyperion DRM provides the industry's first data model-agnostic master data management solution built to enable financial and analytical master data management in dynamic, fast-changing business environments.

  Reference: Oracle Fusion Accounting Hub Implementation Guide, Oracle Fusion Accounting Hub Features: Overview

• Question 53:

  What is the most efficient way to add a new year to the accounting calendar?

  A. Add the periods manually.

  B. Use the Add Year button.

  C. Run the Other - Calendar Validation Report.

  D. The application automatically populates the next period.

  Correct Answer: B

  Update an existing calendar before the new periods are needed as future periods, based on the future period setting in your accounting configuration. If a complete year has been defined and validated, use the Add Year button to add the next year quickly. The Add Year button automatically adds the rows for the new year. These new rows can be accepted or changed. For example, with the Other frequency type calendar, dates may differ from what the application generated and need to be changed.

  Reference: Oracle Fusion Help, When do I update an existing calendar?

• Question 54:

  An invoice with two lines is entered, later that day an adjustment is made to the invoice to add another line. At the end of the day, the invoice is sent to the Fusion Accounting Hub. How many events would you create?

  A. Twoevents: one for invoice creation and one for the adjustment

  B. Oneeventforinvoice creation; adjustment happened before transaction sent to the Fusion Accounting Hub

  C. Threeevents: one for invoice creation and two for line creation

  D. Fourevents: one for invoice creation, one each for the two lines arid one for the adjustment

  Correct Answer: B

  Note: Some business events have financial accounting significance and require the recording of financial information. These business events are known as accounting events and provide the data used in accounting transformations.

  Examples of business events from a revenue recognition or billing system include:

  Complete an invoice Record a payment Record late charges

  Examples of business events from a point of sale system include:

  Record an order Accept a payment Receive a return

  Examples of business events from a loan (core banking) system include:

  Originate a loan Fund a loan Record late charges for a loan

• Question 55:

  What are the key performance metrics for Oracle Fusion Financials?

  A. Spend by Category, Spend by Supplier, Spend by Organization and Item Detail

  B. Pipelinefunnel. Opportunity Details, Forecast and Actual versus Quota and Forecast versus Pipeline

  C. Project Performance, Financial Management, Budget Details and Cost Details

  D. Requisitions. Vacancy Analysis, Recruitment Pipeline and Offer Analysis

  E. Expenses, Revenue, Balance Sheet, Cash Flow, Budget versus Actual, Asset Usage, Liquidity, Financial Structure and GL Balance

  Correct Answer: E

  Note: In the financial services industry, Economic Value Added is a financial metric that factors into the measurement of an activity's profitability the cost of economic capital assigned to that activity.

• Question 56:

  Which three types of objects can be created in Allocation Manager?

  A. components that contain formulas, points of view, or allocation Objects

  B. Journal formulas grouped together and executed sequentially to update account balances step by step

  C. Rules that contain components, such as points of view, formulas, and templates

  D. Rule Sets that contain sets of rules that can be calculated sequentially

  E. Complex computations based on different variables to automatically calculate allocated amounts.

  Correct Answer: C

  The Allocation Manager feature is used to create allocation and other formulaic journal templates for generating periodic journal entries automatically. Allocations are defined and generated on top of the pre-aggregated balances in the balances cubes and provide the following benefits:

  *

  Immediate real-time access to financial balances for allocations

  *

  Accelerated performance with highly scalable allocations

  Allocation components include run-time prompt variables, rules, formulas, and rule sets. These components are stored in Oracle Essbase. The Allocation Manager feature:

  *

  Distributes revenues or costs with recursive allocation rules

  *

  Creates complex formula rules using formula component(C)

  *

  Contains an allocation wizard to define allocation and formula rules

  *

  Uses real-time check of rule definitions to validate correctness of rules

  *

  Minimizes setup and maintenance with reusable components

  *

  Simplifies the allocation-generation process by integrating with enterprise scheduler

  *

  Groups rules together in rule sets to cascade allocations for processing efficiencies (D)

  *

  Creates primary, statistical, or foreign currency allocation and formula rules

• Question 57:

  Identify the two INVALID output options for batch bursting.

  A. Snapshot Reports

  B. Output to Printer

  C. HTML and MHTML

  D. Books

  E. PDF files

  Correct Answer: BC

  Batch Bursting only supports output to Snapshot Reports, Books and PDF files. Output to a printer, HTML and MHTML are not supported for Batch Bursting.

  Reference: Specifying the Batch Destination and Bursted Output Labels

• Question 58:

  Which three tasks that can be performed by using Account inspector in the Account Monitor choice list?

  A. Interactively perform ad hoc inquiries on the financial balances.

  B. Export a custom pivot table to Microsoft Excel.

  C. Drill down to the detailed balances within a custom pivot table.

  D. Close selected accounts and periods that appear in the pivot table.

  E. Do not use a pivot table.

  Correct Answer: ABC

  Account Monitor is fully integrated with the online multidimensional analysis tool called the Account Inspector. With the Account Inspector, the user can:

  *

  (A) Perform ad hoc multidimensional pivot table analysis

  *

  Review charts based on the Account Monitor data

  *

  (C) Use drill down from the Account Monitor from any parent to the next parent or child level

  *

  Perform drill down from any child level to detail balances, journal lines, and subledger transactions

  Note on B:

  You can choose to review reports in your preferred format such as, HTML, PDF, or Microsoft Excel.

  Note:

  A:Account Inspectoris useful for ad-hoc inquiries against an account.

  C: Account Monitor and Account Inspector: Financial analysts monitor and track key account balances in real time at every level of your dimensions and hierarchies. These tools provide multidimensional account analysis and drill down

  capability.

  Reference: Fusion Applications Help, Financial Reporting Center: Explained

• Question 59:

  Which task is NOT allowed when spreading data for time periods in Microsoft Excel?

  A. spreading data in a summary time period that includes members and mixed currency types

  B. spreading the value of a summary time period to its base time periods or to the first parent or first child of the parent time period

  C. spreading values among children and parents proportionally, based on existing distribution

  D. spreading values based on weekly distribution of a quarter, which could be 4-4-5, 5-4-4, or none

  E. temporarily locking the values of certain cells while spreading data over time periods

  Correct Answer: A

  Working with a data form page in Excel, you can spread, or distribute, values in several ways:

  *

  Spread the value of a summary time period to its base time periods or to the first parent orfirst child of the parent time period

  *

  Spread values among children and parents proportionally, based on existing distribution

  *

  Spread values based on the weekly distribution of a quarter, which could be 4-4-5, 5-4-4, 4-5-4, or None (as set up by the budget administrator)

  *

  Temporarily lock the values of certain cells while spreading data over time periods Reference: Oracle Hyperion Smart View for Office, User's Guide, Spreading Data for Time Periods

• Question 60:

  How is an online ad hoc pivot table created?

  A. Export to Microsoft Excel to perform data manipulation

  B. Use the input parameters feature online

  C. Use Online Analyzer, if granted access by an administrator

  D. Use the Location feature

  E. Use Style Templates

  Correct Answer: C

  This procedure describes how to create an interactive pivot table using the Online Analyzer.

  From the report viewer, click Actions and then click Analyzer. Etc.

  Reference: Oracle Fusion Middleware User's Guide for Oracle Business Intelligence Publisher; Creating an Interactive Pivot Table