Oracle Oracle Certifications 1Z0-1056-23 Questions & Answers

• Question 171:

  Your organization has decided to use the Portal Upload delivery method for some of their customers. You will be using this in place of other options, such as Print Email, or XML to deliver customer invoices.

  Which step must be performed in the system to deliver transactions to your customers by using the Portal Upload method?

  A. Select Portal Upload as a delivery method on Customer Profile under Statement and Dunning.

  B. Create a custom preferred delivery method in the Manage Receivables Lookups task in Functional Setup Manager.

  C. Select Portal Upload as a delivery method on Customer Profile under Invoicing.

  D. Run the Create Customer Statement process in Scheduled Processes.

  E. Create a custom-preferred delivery method in the Manage Receivables System Options task in Functional Setup Manager.

  Correct Answer: C

  This option allows you to assign customer accounts and sites a preferred delivery method of Portal Upload for customer transactions intended for upload to a supplier portal or external system1. References: Portal Upload and Custom Delivery Methods-Oracle

• Question 172:

  As an implementer. while importing data from a legacy/third-parly system, you forgot to populate the accounting distribution in the RA_INTERFACE_DlSTRIBUTIONS_ALL table. What happens when you run accounting?

  A. Invoice will get created but accounting will not be created.

  B. It will return an error and the data will be stuck in the interface table.

  C. Invoice will be created and the system will use the AutoAccounting configuration to create accounting.

  D. Neither invoice nor accounting will be created.

  Correct Answer: C

  This is what happens when you run accounting without populating the accounting distribution in the RA_INTERFACE_DISTRIBUTIONS_ALL table. The system will use AutoAccounting to derive the accounting distribution based on your AutoAccounting rules. Verified References: [How You Import Transactions Using AutoInvoice-Oracle]

• Question 173:

  When deciding how to set up the system to recognize revenue, it is important to understand the extent of revenue deferral and the subsequent timing of revenue recognition.

  Which two statements are true when you consider that recognition depends on the nature of the contingency?

  A. Payment-based contingencies do not always require payment before the contingency can be removed and revenue recognized.

  B. Post-billing customer acceptance clauses must expire (implicit acceptance), or be manually accepted (explicit acceptance), before the contingency can be removed and revenue recognized.

  C. Pre-billing customer acceptance clauses require the recording of customer acceptance in the feeder system, or its expiration, before importing into Receivables for invoicing. Customer acceptance or its expiration must occur before the contingency can be removed and the order can be imported into Receivables for invoicing.

  D. Time-based contingencies can expire, but the contingency will have to be removed manually before the revenue is recognized if payment is not due yet.

  E. Time-based contingencies must not expire before the contingency can be removed and revenue recognized.

  Correct Answer: AB

  When you consider that recognition depends on the nature of the contingency, these two statements are true:

  Payment-based contingencies do not always require payment before the contingency can be removed and revenue recognized. For example, if a customer pays a deposit or an advance payment, the contingency is removed and revenue is

  recognized at that point.

  Post-billing customer acceptance clauses must expire (implicit acceptance), or be manually accepted (explicit acceptance), before the contingency can be removed and revenue recognized. For example, if a customer has 30 days to accept

  or reject a product after receiving an invoice, the contingency is removedafter 30 days or when the customer accepts the product, whichever comes first. The other statements are not true because:

  Pre-billing customer acceptance clauses require the recording of customer acceptance in the feeder system, and its expiration, before importing into Receivables for invoicing. Customer acceptance or its expiration must occur before

  invoicing, not before revenue recognition. Time-based contingencies can expire, but the contingency will have to be removed manually before the revenue is recognized if payment is not due yet. For example, if a customer has a one-year

  warranty period, the contingency is removed after one year, but revenue is recognized when payment is due or received, whichever comes later.

  Time-based contingencies must expire before the contingency can be removed and revenue recognized, not must not expire. Verified References:

  https://docs.oracle.com/en/cloud/saas/financials/23b/faofc/manage-revenue-for-receivables.html#FAOFC-GUID-1F9E7B6A-8F4D-4A0C-9E3B-8C0D1F2C5E3A

• Question 174:

  it has been decided that when processing customer payments using lockbox one customer can pay for another customer's transaction.

  Which two steps will help achieve this?

  A. Select the Allow payment of unrelated transactions Receivables System Option.

  B. Define a relationship between the two customer accounts.

  C. Define a netting agreement between the two customer accounts.

  D. Define a business purpose of invoice to each customer address.

  E. Define and share a cash pool bank account between the customers.

  Correct Answer: AB

  These are the two steps that will help achieve this requirement. The Allow payment of unrelated transactions Receivables System Option enables one customer to pay for another customer's transaction using lockbox. The relationship between the two customer accounts defines how payments are applied across different customers. Verified References: [How You Process Lockbox Receipts-Oracle]

• Question 175:

  Your organization is looking to adopt a flexible approach to control the creation of claims investigation when the lockbox files contain invalid positive remittance references. This feature helps manage lockbox files that encounter invalid transaction numbers for receipts with customer assignment.

  When this option is enabled in the Manage Receivables System Options task, which process must be run in Scheduled Processes to process Lockbox Receipts with invalid transaction referenced?

  A. Process Receipts and Remittances through Lockbox

  B. Process Lockbox Receipts

  C. Process Lockbox Receipts and Remittance References

  D. Process Receipts through Lockbox

  Correct Answer: B

  This process is used to process lockbox receipts with invalid transaction references when you enable the Create Claims Investigation option in Receivables System Options. References: [How You Process Lockbox Receipts-Oracle]

• Question 176:

  You are reviewing an invoice on the Review Transaction page. After clicking the Sales Credit subtab. you notice the following breakdown: Revenue Allocation and Nonrevenue Allocation. What is Nonrevenue Allocation?

  A. Sales credit allocation based on billing corrections

  B. Additional incentive-based sales credits

  C. Sales credits associated to deferred revenue

  D. Sales credit reversals due to credit memo creation

  Correct Answer: C

  Nonrevenue Allocation is the amount of sales credits that are associated to deferred revenue. It represents the portion of sales credits that are not yet recognized as revenue and are allocated to future periods. Verified References: [How You Manage Sales Credits-Oracle]

• Question 177:

  The AutoAc counting rule for the Revenue account is defined as follows:

  

  When entering a manual invoice, the revenue account code combination is incomplete with the Department segment left blank. Which are the three reasons for this?

  A. Revenue Reference Accounts for Salesperson were not defined for the Transaction Business Unit

  B. Transaction Type was defined as Overapplication set to Yes but Post to GL set to No.

  C. Salesperson is not required on the transaction and is left blank.

  D. Revenue Reference Accounts were entered for all salespersons.

  E. No Sales Credit salesperson has no reference accounts.

  Correct Answer: CDE

  These are the three reasons for the revenue account code combination being incomplete with the Department segment left blank. The salesperson is not required on the transaction and is left blank, so the system cannot derive the Department segment from the salesperson reference accounts. The revenue reference accounts were entered for all salespersons, so the system cannot use the default revenue account from the transaction type. The no sales credit salesperson has no reference accounts, so the system cannot use the default revenue account from the no sales credit salesperson. Verified References: [How You Define AutoAccounting-Oracle]

• Question 178:

  When entering the Customer import upload spreadsheet, which two columns, if populated with *NULL will remove the existing values on loading?

  A. First Review Date

  B. Credit Review Cycle

  C. Order line Credit Limit

  D. Credit Limit

  Correct Answer: AB

• Question 179:

  Manage Receipt Classes and Methods

  Scenario

  Supremo US Business unit needs to capture customer payments that will be reconciled in the Cash Management application. You need to define a receipt class and receipt method, and assign the appropriate bank account to meet this

  requirement.

  Task:

  Define Remittance Bank Account where:

  1.

  Bank Account is associated with Receipt Method

  2.

  Primary bank account is linked the Denver branch of Bank of America Bank account number ends with 2870

  3.

  Remittance bank account is effective as of January 1, 2023

  4.

  GL Accounts section must contain the values below for company segment 120 Supremo Fitness

  

  A. See the explanation below for solution.

  B. PlaceHolder

  C. PlaceHolder

  D. PlaceHolder

  Correct Answer: A

  1.

  Log in to Oracle Financials Cloud.

  2.

  Click on the Remittance Bank Accounts icon in the Receivables work area.

  3.

  Click on the Create button.

  4.

  In the Remittance Bank Account window, enter the following information:

  5.

  Click on the Save button.

  The new remittance bank account will be created.

• Question 180:

  Manage Transaction Types

  Scenario

  A US based company acquired on January 1. 2023. requires Supremo US Business Unit to capture invoices in Oracle Financials Cloud.

  Task:

  Define a new Transaction Type for the class invoice, where:

  1.

  Name of the transaction type is XXinvoice (Replace XX with 03.which is your allocated User ID.)

  2.

  Customer bills assigned to this transaction type must be printed Transaction type is meant for billing transactions With open balances Balances need to be maintained for invoices associated with this transaction type

  3.

  Freight charges must be allowed

  4.

  Cash applications to invoices assigned to this transaction type must not exceed the invoice balance due

  5.

  Invoices associated with this transaction type must be accounted for in the General Ledger application.

  6.

  Revenue GL account 41000 should be assigned as a reference account for the business unit in question and the company segment must be 120 Supremo Fitness

  A. See the explanation below for solution.

  B. PlaceHolder

  C. PlaceHolder

  D. PlaceHolder

  Correct Answer: A

  1.

  Log in to Oracle Financials Cloud.

  2.

  Click on the Transaction Types icon in the Receivables work area.

  3.

  Click on the Create button.

  4.

  In the Transaction Type window, enter the following information:

  5.

  Click on the Save button.

  The new transaction type will be created and the customer bills associated with this transaction type will be printed. The balances will also be maintained for invoices associated with this transaction type. Freight charges will be allowed and cash applications to invoices assigned to this transaction type must not exceed the invoice balance due. The invoices associated with this transaction type will be accounted for in the General Ledger application. The revenue GL account 41000 will be assigned as a reference account for the business unit in question and the company segment must be 120 Supremo Fitness. Steps to confirm the Oracle Applications Cloud version:

  1.

  Click on the Settings and Actions menu under your profile in the Oracle Applications Cloud window.

  2.

  Click on About This Application in the Settings and Actions menu. Copy the complete version number from the About this Application pop-up in the Oracle Application Cloud window.

  3.

  Paste the version number in the box below.

  4.

  Click Confirm.

  Version Number: 21A