1z0-1054-20 Exam Training Practice Tests (Oracle Financials Cloud: General Ledger 2020 Implementation Essentials)]

Question 1

Your customer is implementing budgetary control with encumbrance accounting. Your customer has businesses in Australia, New Zealand, and Singapore with a ledger in each country with a Corporate chart of account instance that has four segments. Which three statements are true regarding the creation of a control budget? (Choose three.)

A. A control budget is associated to a ledger and creates three control budgets for Australia, New Zealand, and Singapore B. A control budget can be associated with a different calendar than accounting calendar C. Control budgets are always absolute to generate encumbrance accounting D. A control budget can allow override rules only if the control level is absolute E. The control budget structure has all the chart of account segments as budget segments

Correct Answer: B,C,D

Question 2

When creating your financial statements, you would like to have a chart, such as a bar graph, included in the report output.
Which two reporting tools allow you to achieve this? (Choose two.)

A. Smart View B. Financial Reporting Studio C. Financial Statement Generator D. Account Inspector

Correct Answer: A,B

Question 3

Which two statements are true regarding the Intercompany Reconciliation Report? (Choose two.)

A. This report displays only the reconciled transactions. You need to further process automatic reconciliation to reconcile the unreconciled transactions. B. This report displays the intercompany receivables and intercompany payables balances in summary for a period. C. This report includes Ledger balancing lines generated when the primary balancing segment value (BSV) is in balance, but either the second or third BSVs are not. D. You can only drill down to the general ledger journal and then from there to the subledger journal entry. E. This report can be run using an additional currency and conversion rate that converts all amounts into a common currency for comparison.

Correct Answer: B,E

Question 4

The Create Accounting program could not determine the debit side of the journal entry.
Which component of Subledger Accounting determines the debit or credit side of a journal entry?

A. Journal Accounting Rule B. Journal Line Rule C. Account Rule D. Journal Entry Rule Set E. Journal Balances Rule

Correct Answer: D

Question 5

Before implementing Financials Cloud, your customer used to manually reconcile their intercompany payables and receivables accounts. What is a more automated approach to do this?

A. Use Oracle Hyperion Close Manager to automatically reconcile intercompany account balances B. Run the Intercompany Reconciliation report, which shows pairs of intercompany receivables and payables accounts that are out of balance C. In Financials Cloud, you must manually reconcile your intercompany account balances D. Create a query using Oracle Transactional Business Intelligence (OTBI) that will match the intercompany payables and receivables balances E. Run the BI Publisher reports called Intercompany Transaction Summary and Account Details to automatically reconcile intercompany balances

Correct Answer: B

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Question 6

Your new accountants have been making mistakes in reconciling accounts assigned to them. Your account balances have either spiked or dropped 30-40% every period due to human error. This causes delays in reconciliation. What feature can you use to be proactively notified of account anomalies in a more timely manner?

A. Financial Reports with Embedded charts B. Smart View C. Account Monitor D. Account Inspector and its charts

Correct Answer: C

Question 7

How do Cross Validation Rules (CVRs) handle existing violations in the Code Combinations Identification (CCID) table?

A. CVRs only test new account combinations being inserted into the table. They ignore any invalid account combinations already existing in the table B. Nothing has changed. If you have an invalid account combination existing in the table, you must deactivate it to prevent further usage C. If CVR determines that an invalid combination exists in the CCID table, it will automatically disable that account code combination. D. CVRs are assigned to the end user role; therefore controlling what account code combination individuals can leverage in the General Ledger and the subledgers

Correct Answer: A

Question 8

You are creating values for the chart of account value set that you are planning to use for the account segment within your Chart of Accounts.
You are not able to assign an Account Type. What is the reason for this?

A. You are creating values before assigning the value set to the structure B. The Account Type qualifier has not been enabled when defining the value set C. You have not set the Allow Budgeting attribute for the value set D. You have not set the Allow Posting attribute for the value set

Correct Answer: D

Question 9

You are implementing Segment Value Security rules. Which two statements are true? (Choose two.)

A. When you enable Segment Value Security on a segment, users will not be able to access any values until you grant access to users and products B. You can use hierarchies to define rules C. When you enable or disable Segment Value Security, you do not need to redeploy your chart of accounts D. The Segment Value Security rules do not take effect until you assign the rules to users and products

Correct Answer: A,B

Question 10

Budgetary control for accounts 5020 and 5021 has a budget of $90,000USD each for the year 2012. The accounts also have balances on obligation of $10,000 USD for each and an expenditure of $20,000 USD for each. A Fund of $50,000 USD is available for account 5010 only. You have run the Encumbrance Year End Carry Forward process for obligation from the last period of the year 2012 to the first period of year 2013.
Which statement is true?

A. If you have included 5020 and 5021 in the encumbrance rule, then budget balances $90,000 USD, obligation $10,000 USD, and expenditure $20,000 USD, and the funds available $50,000 USD will be carried forward B. The Encumbrance Year End Carry Forward process will run for all the accounts to carry forward the general ledger balances C. If you have included 5020 and 5021 in the encumbrance rule, the budget balances $90,000 USD, obligation $10,000 USD and expenditure $20,000 USD only will be carried forward. D. If you have included 5020 and 5021 in the encumbrance rule, then only the obligation of $10,000 USD will be carried forward E. If you have included 5020 and 5021 in the encumbrance rule, then obligation $10,000 USD and expenditure $20,000 USD only will be carried forward.

Correct Answer: A

Oracle Financials Cloud: General Ledger 2020 Implementation Essentials - 1z0-1054-20 Exam Practice Test