Oracle Oracle Certifications 1Z0-1054-22 Questions & Answers

• Question 51:

  In Financial Cloud, which three reporting tools can be used to access General Ledger balances? (Choose three.)

  A. Application Composer

  B. Oracle Enterprise Repository

  C. Oracle Transactions Business Intelligence

  D. Financial Reporting Studio

  E. Smart View

  Correct Answer: CDE

  These are some of the reporting tools that can be used to access General Ledger balances in Oracle Cloud ERP2. Oracle Transactions Business Intelligence (OTBI) is a real-time self-service reporting tool that provides pre-built dashboards and reports based on live transactional data. Financial Reporting Studio is a tool that enables you to create and manage financial reports using data from various sources, such as General Ledger balances, Essbase cubes, or external data sources. Smart View is an Excel add-in that allows you to access and analyze data from various sources, such as General Ledger balances, Essbase cubes, or OTBI subject areas.

• Question 52:

  You are setting up Close Monitor, which compromises a ledger set hierarchy definition.

  Which two components of the enterprise structure should the ledgers in the ledger set share? (Choose two.)

  A. Accounting Calendar

  B. Legal Entities, Business Units, and Chart of Accounts

  C. Chart of Accounts

  D. Chart of Accounts and Business Units

  E. Chart of Accounts, Currency, Accounting Calendar, and Subledger Accounting Method

  Correct Answer: AC

• Question 53:

  Which delivered role can access the full functionality of Functional Setup Manager?

  A. Application Implementation Manager

  B. Functional Setup Manager Superuser

  C. IT Security Manager

  D. Any functional user

  E. Application Implementation Consultant

  Correct Answer: A

  According to Oracle documentation2, the delivered role that can access the full functionality of Functional Setup Manager is Application Implementation Manager. Functional Setup Manager is a tool that enables you to manage and perform all of the setup tasks required for an application implementation. Application Implementation Manager is a predefined role that grants access to Functional Setup Manager and all of its features, such as setup tasks, implementation projects, setup export and import, and setup reports. Therefore, option A is correct. Option B is incorrect because Functional Setup Manager Superuser is not a delivered role. Option C is incorrect because IT Security Manager is a role that grants access to security-related tasks, not Functional Setup Manager. Option D is incorrect because any functional user does not have access to Functional Setup Manager by default. Option E is incorrect because Application Implementation Consultant is not a delivered role.

• Question 54:

  Which two statements are true regarding the Translation process? (Choose two.)

  A. Any resulting offset from the translation is entered in the Cumulative Translation Adjustment account.

  B. If necessary, before submitting the Translation process, the Revaluation process should be completed.

  C. The Translation process should be run before posting Period Close adjustment entries.

  D. The Translation process can only be used for translating the balances of Secondary ledgers.

  E. The Translation process can only be used to translate balance sheet accounts.

  Correct Answer: AB

  According to Oracle documentation1, the following statements are true regarding the Translation process: Any resulting offset from the translation is entered in the Cumulative Translation Adjustment account, and if necessary, before submitting the Translation process, the Revaluation process should be completed. The Translation process enables you to translate balances from one currency to another for reporting purposes. The Translation process calculates any difference between the translated balance and the entered balance and posts it to the Cumulative Translation Adjustment account. The Revaluation process enables you to adjust balances denominated in foreign currencies to reflect current exchange rates. The Revaluation process should be completed before the Translation process to ensure that the balances are accurate. Therefore, options A and B are correct. Option C is incorrect because the Translation process should be run after posting Period Close adjustment entries. Option D is incorrect because the Translation process can be used for translating the balances of primary ledgers, secondary ledgers, and reporting currencies. Option E is incorrect because the Translation process can be used to translate both balance sheet accounts and income statement accounts.

• Question 55:

  Your customer uses Financials Cloud, Projects, Inventory, and SCM.

  Which two statements are true regarding intercompany accounting for these products? (Choose two.)

  A. Intercompany balancing rules in General Ledger need to be mapped with the intercompany configuration in each product

  B. Intercompany Balancing Rules are defined centrally and applied across Financials and Projects

  C. Each product has its own Intercompany Accounting feature that needs to be configured separately

  D. In Financials Cloud, Intercompany Balancing Rules are used to balance both cross-ledger allocation journals and single-ledger journals

  Correct Answer: BC

  he two true statements regarding intercompany accounting for Financials Cloud, Projects, Inventory, and SCM are that Intercompany Balancing Rules are defined centrally and applied across Financials and Projects, and that each product has its own Intercompany Accounting feature that needs to be configured separately. Intercompany Balancing Rules are defined in General Ledger Cloud and are used to balance cross-ledger intercompany journals between Financials and Projects. Each product also has its own Intercompany Accounting feature that enables intercompany transactions within the product or across products. For example, Payables and Receivables have Intercompany Invoicing, Projects has Intercompany Billing and Capitalization, Inventory has Intercompany Transfer Pricing, and SCM has Intercompany Drop Shipments. Intercompany balancing rules in General Ledger do not need to be mapped with the intercompany configuration in each product, as they are independent of each other. In Financials Cloud, Intercompany Balancing Rules are not used to balance both cross-ledger allocation journals and single-ledger journals, as they are only used to balance cross-ledger journals. Reference: Oracle Financials Cloud: General Ledger 2022 Implementation Professional Objectives-Configure and Process Intercompany 12

• Question 56:

  On a primary ledger in the system options close section, the following field has been selected 'Prevent General Ledger Period Closure When Open Subledger Periods Exist'.

  For which three subledgers can you opt out of the period close checking feature by using the lookup ORA_GL_INCLD_STRICT_PRD_CLOSE? (Choose three.)

  A. Receipt accounting

  B. Receivables

  C. Revenue Management

  D. Assets

  E. Order Management

  Correct Answer: ABD

  According to Oracle documentation3, you can opt out of the period close checking feature for these three subledgers by using the lookup ORA_GL_INCLD_STRICT_PRD_CLOSE: Receipt accounting, Receivables, and Assets. The period close checking feature prevents you from closing a General Ledger period if there are any open subledger periods that exist for that ledger. You can opt out of this feature for specific subledgers by using the lookup ORA_GL_INCLD_STRICT_PRD_CLOSE and setting the Enabled flag to No for those subledgers. Therefore, options A, B, and D are correct. Option C is incorrect because Revenue Management is not a subledger that can be opted out of the period close checking feature. Option E is incorrect because Order Management is not a subledger that can be opted out of the period close checking feature.

• Question 57:

  Which AMX builder method is most effective in routing the journals to the Accounting Manager when his subordinate, The General Accountant, enters a journal?

  A. Supervisory level approval

  B. Cost center based approval

  C. Dynamic Approval Groups

  D. Management Chain approval

  E. Approval Groups

  Correct Answer: A

  Supervisory level approval is the most effective AMX builder method for routing the journals to the Accounting Manager when his subordinate, The General Accountant, enters a journal. Supervisory level approval routes journals based on the management hierarchy defined in Human Capital Management (HCM). The Accounting Manager would be the direct supervisor of The General Accountant in HCM, and therefore would receive the journal for approval. Cost center based approval routes journals based on the cost center segment value of the journal lines. Dynamic Approval Groups routes journals based on user-defined conditions and approval groups. Management Chain approval routes journals based on user-defined management chains and approval levels. Approval Groups routes journals based on user-defined approval groups and rules. Reference: Oracle Financials Cloud: General Ledger 2022 Implementation Professional Objectives-Configure Journal Approval 12

• Question 58:

  Which feature outside of reporting and analysis leverages the Essbase cube?

  A. revaluations and translation to revalue and translate currencies stored in the Essbase cube

  B. calculation manager to perform allocations based on multidimensional balances and budgets

  C. period closing and opening of ledgers to keep General Ledger Cloud and the Essbase cubes in sync

  D. journal entries and journal approval to create journals that update balances to the cube directly

  Correct Answer: B

  According to the Oracle documentation3, "Oracle Essbase is embedded within Oracle General Ledger and provides multidimensional balances cubes. Every time a transaction or journal is posted in General Ledger, the balances cubes are updated at the same time." Essbase balances cubes are used for interactive reporting and analysis, but also for performing allocations using calculation manager. Calculation manager enables you to create allocation rules that use balances and budgets from Essbase as sources and targets. The other options are not features that leverage Essbase cubes.

• Question 59:

  You want your sales representatives to be able to find points of interest, such as customers, while out on business. What should you enable to achieve this?

  A. HZ_GEO_IDENTIFIER_SUBTYPE Lookup

  B. Geocoding

  C. Validation

  D. Address Cleansing

  Correct Answer: B

  According to Oracle documentation1, you should enable geocoding to achieve the requirement of finding points of interest, such as customers, while out on business. Geocoding is the process of assigning geographic coordinates to a physical address. Geocoding enables you to use maps and location-based services to find and visualize points of interest. Therefore, option B is correct. Option A is incorrect because HZ_GEO_IDENTIFIER_SUBTYPE Lookup is not a feature that enables finding points of interest. Option C is incorrect because validation is not a feature that enables finding points of interest. Option D is incorrect because address cleansing is not a feature that enables finding points of interest.

• Question 60:

  You want to monitor the close process of all financial subledgers and ledgers.

  How can you quickly obtain this information?

  A. Use the Manage Accounting Periods page to view the status of all subledgers and ledgers

  B. Access each subledgers' calendar and General Ledger's Manage Accounting Periods page to view the status of each period

  C. Run Closing Status reports

  D. Use Close Monitor in General Accounting Dashboard

  Correct Answer: D

  To quickly obtain information about the close process of all financial subledgers and ledgers, you should use Close Monitor in General Accounting Dashboard. Close Monitor is a tool that allows you to view the overall status of the close process across different ledgers and subledgers. You can also drill down to view details of each subledger or ledger period status and perform actions such as opening or closing periods. You do not need to use the Manage Accounting Periods page to view the status of all subledgers and ledgers, as this page only shows the status of one ledger at a time. You do not need to access each subledger's calendar and General Ledger's Manage Accounting Periods page to view the status of each period, as this is a time-consuming and inefficient way to obtain information. You do not need to run Closing Status reports, as these reports only show the status of one ledger at a time and do not provide drill down or action capabilities. Reference: Oracle Financials Cloud: General Ledger 2022 Implementation Professional Objectives-Configure Period Close Components 12