Oracle payables 11i funfamentats

1.Which four statements are true about modifying a payment batch? (Choose four.)
A.You can create a zero-amount payment for a supplier site.
B.You can remove all invoices for a particular supplier site.
C.You can create a negative-amount payment to clear a credit memo.
D.You can modify the payment or discount amounts for a selected invoice.
E.Payables automatically builds payments after you modify a payment batch.
Correct:A B D E
2.From which three areas do the defaults come when you enter a supplier? (Choose three.)
A.Items
B.Operating Unit
C.Financial Options
D.Payables Options
E.Receiving Options
Correct:C D E
3.The bank account in the Payment Batches and Payments window defaults from _____.
A.Supplier level
B.Bank Accounts
C.Supplier Site level
D.Financial Options
E.Payables Options - Payments region
Correct:E
4.Why would you use the clearing payment method?
A.to generate a payment document to clear a debit memo
B.to generate a payment document to clear a credit memo
C.to account for intercompany expenses when you disburse funds through banks
D.to account for intercompany expenses when you do not disburse funds through banks
Correct:D
5.Which two statements regarding receipt accruals are true? (Choose two.)
A.For accruals generated at period end, the accrual is sent to General Ledger after the Receipt Accruals - Period-End process is run and the accrual is cleared when the journal entry is reversed in General Ledger.
B.For accruals generated at receipt, the accrual is automatically sent to General Ledger and subsequently cleared when the journal entry is reversed in General Ledger.
C.For accruals generated at period end, the accrual is sent to General Ledger after the Receipt Accruals - Period-End process is run and subsequently cleared when an invoice is entered and matched to the purchase order.
D.For accruals generated at receipt, the accrual is automatically sent to General Ledger and subsequently cleared when an invoice is entered and matched to the purchase order.
Correct:A D
6.Which statement is true about invoices?
A.An invoice can be paid without being validated.
B.An invoice can be paid only after the invoice accounting entries are created.
C.Both invoice accounting entries and payment accounting entries need to be transferred to General Ledger at the same time if they are in the same calendar period.
D.An invoice needs to be validated before you can create the invoice accounting entries.
E.Invoice accounting entries and payment accounting entries can be transferred at different times to General Ledger only if they are in different calendar periods.
Correct:D
7.Client R has configured its Accounts Payables application to require three-way matching. All invoice tolerances are set to zero. No discounts are allowed. A standard purchase order is entered for consulting services only. An invoice is entered and matched against this purchase order, having no tax or freight charges on it. The total invoice amount matches the distribution amount. When the steps to prepare the invoice for payment are completed, the invoice is placed on hold. The companys business policy states that all holds cannot be manually released. The client wants to pay this supplier now. What would you recommend?
A.Manually release the hold because it is not a system hold.
B.The service must be received in Purchasing because three-way matching is required
C.The service must be received in Accounts Payable because it is a purchase order for a service and not a commodity or item.
D.Inspection is required because it is a three-way match, so you have to register the inspection in the system first.
E.Change the invoice tolerances in the Payables Options form to be greater than zero, so that the invoice does not go on hold again.
Correct:B
8.The period-close processes of which Oracle Applications can be directly affected by the Payables period-close activities and processes? (Choose all that apply.)
A.Purchasing
B.Installed Base
C.Advanced Pricing
D.Assets
E.Enterprise Asset Management (EAM)
Correct:A D
9.ABC Inc. has found that one of its suppliers needs to be enabled as a 1099 vendor, which is a tax-related designation for self-employed contractors. But for this supplier invoices have already been entered and paid. Which two steps should the company take to ensure accurate tax reporting? (Choose two.)
A.Run the Update Income Tax Details Report.
B.Update the tax reporting information in the supplier site.
C.Create a new supplier with tax reporting information and merge the supplier.
D.Create a new supplier site with tax information and update the supplier site in all invoices.
Correct:A B
10.Company A wants to use Oracle Internet Expenses, and wants to set up expense report templates for that purpose. Which three statements are true about the setup of the expense report templates? (Choose three.)
A.The expense report must be enabled for Internet Expenses.
B.The policy schedule must be attached to the expense item.
C.Each expense item must have an expense category assigned to it.
D.The tax code assigned to an expense item must be Web enabled.
E.The GL account assigned to an expense item must have all the Accounting Flexfield segment values filled in.
Correct:A C D
11.Which four selection criteria can be used when creating a payment batch? (Choose four.)
A.Supplier
B.Due Date
C.Customer
D.Pay Group
E.Invoice Batch
F.Payment Priority
Correct:A D E F
12.In standalone AP, you can enable autonumbering for _____ through the Financial Options form.
A.invoices
B.suppliers
C.payments
D.employees
E.expense reports
Correct:B
13.Identify four purposes for which the Special Calendar is used. (Choose four.)
A.for payment terms
B.for recurring invoices
C.for the Key Indicators Report
D.for automatic tax withholding
E.for opening and closing payables periods, which Payables uses to allow transactions to process in General Ledger accounting periods
F.for controlling the number of future periods that Payables would allow for invoice entry and accounting
Correct:A B C D
14.Which items do not require approval through the workflow? (Choose all that apply.)
A.invoices not matched to a purchase order
B.invoices that existed before you enabled the feature
C.expense reports imported through the Payables Expense Report Import Program
D.recurring invoices if the recurring invoice template did not have the Approval Workflow Required option enabled
E.invoices that completed the Invoice Approval Workflow process, and the Invoice Approval Workflow process determined that according to the rules set up in Oracle Approvals Management, no one needs to approve the invoice
Correct:B C D E
15.At your client site, under Payables Options, the Transfer to GL option has been set to Summarize by Accounting Period. The period end close processes for Accounts Payable have run and the Payables journals (Purchase Invoices and Payments) have been created and posted in General Ledger. Which statement is true?
A.Drilling down from the journals of Purchase Invoices and Payments categories in GL to Payables is possible.
B.Drilling down from the journals of the Payments category in GL to Payables is possible, but drilling down from journals of the Purchase Invoices category in GL to Payables is not possible.
C.Drilling down from the journals of the Purchase Invoices category in GL is possible, but drilling down from journals of the Payments category in GL to Payables is not possible.
D.Drilling down from GL to Payables is not possible.
Correct:A
16.At your client site, Cash Management is installed along with Oracle Payables. The Payables option for payment accounting is set to account for a payment both on issue and clearing. The cash clearing accounts and cash accounts are different. What accounting happens when a payment is issued?
A.Debit AP Liability, Credit Cash Clearing
B.Debit AP Liability, Credit Cash
C.Debit Cash Clearing, Credit Cash
D.Debit Cash, Credit Cash Clearing
Correct:A
17.Identify the two invoice types processed by the Payables Open Interface process. (Choose two.)
A.credit memos
B.mixed invoices
C.standard invoices
D.prepayment invoices
Correct:A C
18.What are the three options available for the parameter 'Transfer to GL Interface' when running the request 'Payables Transfer to General Ledger'? (Choose three.)
A.In Detail
B.Summarize by Invoice Date
C.Summarize by Payment Date
D.Summarize by Accounting Date
E.Summarize by Accounting Period
Correct:A D E
19.A client has two requirements for its AP application: 1) AP should automatically create balancing accounting entries for invoice and payment transactions using the expense GL Account. 2) Stop the application of a prepayment amount to an invoice or expense report amount that is charged to a different balancing segment. Which two steps would satisfy both these requirements? (Choose two.)
A.Set the Automatic Offset Method to Accrual
B.Set the Automatic Offset Method to Account
C.Set the Automatic Offset Method to Balancing
D.Enable the Prevent Prepayment Application Across Offset Segments option
E.Enable the Prevent Prepayment Application Across Account Segments option
F.Enable the Prevent Prepayment Application Across Balancing Segments option
Correct:B F
20.You are working on an implementation for Accounts Payable. Many payments for small suppliers will be made outside of the system, but your client does not want to manually record them because that would be too time consuming. What would be the best solution?
A.Create electronic payment batches using a check payment method for those multiple suppliers, and destroy those checks.
B.Create electronic payment batches using an electronic payment method, such as Electronic Funds Transfer (EFT), for those multiple suppliers, and then do not send the resulting electronic file to the bank.
C.Create electronic payment batches using a clearing payment method for those multiple suppliers, because this payment method does not generate a file.
D.Create electronic payment batches using a wire payment method for those multiple suppliers, and then delete the resulting electronic file.
Correct:D
21.XYZ Inc. has these due dates for its invoices: 1. Invoice -1 - 01-APR-06 2. Invoice -2 - 06-APR-06 3. Invoice -3 - 08-APR-06 The company has defined Additional Pay Through Days as 5. It is running a payment batch on 02-APR-06. Which invoices would be selected for payment?
A.2 only
B.1 only
C.1 and 2
D.1 and 3
E.1, 2 and 3
Correct:C
22.Where is the Expense AP Accrual Account used in the Period End Accrual process default from?
A.Purchasing Options
B.Payables Options
C.Financial Options
D.Receiving Options
Correct:A
23.Which types of items would prevent period close in Payables? (Choose all that apply.)
A.unpaid invoices
B.unaccounted invoices
C.unpaid expense reports
D.pending payment batches
Correct:B D
24.In the accrual process for Period End Accruals, which two events generate accounting entries that can be transferred to General Ledger? (Choose two.)
A.processing a receipt
B.entering Purchase Order
C.entering invoices and matching them in Payables
D.running the Period End Accrual program
Correct:C D
25.ABC Corporation has closed its APR-XX accounting period. The APR-XX period started on 27-MAR-20XX and ended on 26-APR-20XX. It has run the Posted Invoice Register, the Posted Payments Register, and two Accounts Payable Trial Balance reports (as of 30-MAR-20XX and 30-APR-20XX). Unfortunately, the accounts do not balance. Which two actions should be taken? (Choose two.)
A.Check to make sure that all invoices for the period are paid.
B.Check the dates on the Accounts Payable Trial Balance reports.
C.Check to ensure that invoice and payment journals are posted in General Ledger.
D.Check to make sure that there are no unaccounted transactions in APR-XX by using the Unaccounted Transactions report.
Correct:B C
26.Which three statements are true regarding purchase order matched invoices? (Choose three.)
A.You can set up controls in your system to require you to purchase order match each invoice.
B.You can set an option on a purchase order shipment that controls whether invoices should match to that shipment directly or to a receipt.
C.You can set up controls in your system to require you to invoice match credit memos or debit memos that have been matched to a purchase order.
D.You set tolerances to specify the range of variance you will allow if the amounts or quantities on the invoice are less than the amounts or quantities on the purchase order or receipt.
E.You set tolerances to specify the range of variance you will allow if the amounts or quantities on the invoice are greater than the amounts or quantities on the purchase order or receipt.
Correct:A B E
27.Which two statements are true regarding the Payables Options region in the Bank Account window? (Choose two.)
A.You can enter the Payables Options information for Supplier bank accounts.
B.The Maximum Payment field controls the largest payment amount that you allow in a payment batch.
C.The Maximum Payment field controls the largest currency outlay that you allow for a payment batch for this bank account.
D.The Minimum Payment field controls whether you would allow zero amount payments from this bank account.
E.If the bank account is a foreign currency or multiple currency account, realized gain and realized loss accounts would be displayed by default in the Payables Options window.
Correct:B E
28.You are working on a multiorganization Accounts Payable implementation with several payable entities. Your client will not set up supplier bank accounts, and will use payment batch, quick payments and manual payments. Which payment methods can your client use? (Choose all that apply.)
A.clearing
B.check
C.wire
D.electronic
Correct:A B C
29.Which three statements are true regarding the setting up of a bank? (Choose three.)
A.Each bank can have multiple branches.
B.Each branch can have multiple accounts.
C.Each account can be associated with multiple Payables payment documents AND multiple Receivables payment methods.
D.Each account can be associated with only one Payables payment document and one Receivables payment method.
E.Each account can be associated with multiple Payables payment documents OR multiple Receivables payment methods, but not both.
Correct:A B E
30.During the entry or update of expense reports in the Payables Expense Report window, holds can be applied on an expense report. These holds are carried forward to the invoice created from the expense report in Payables. Which statement is true?
A.Any number of user-defined holds and any number of system holds can be applied on one expense report in the Payables Expense Report window.
B.Only one user-defined hold and no system hold can be applied on one expense report in the Payables Expense Report window.
C.Any number of user-defined holds and only one system hold can be applied on one expense report in the Payables Expense Report window.
D.Only one user-defined hold and any number of system holds can be applied on one expense report in the Payables Expense Report window.
Correct:B