1Z0-520 Oracle EBS R12 Purchasing Essentials Practice Exam Set 7

Identify two types of regions in Daily Business Intelligence. (Choose two.)
A. menu
B. table
C. folder
D. report
E. graph


Options are :

  • A,E
  • A,C
  • B,E (Correct)
  • A,D

Answer : B,E

1Z0-520 Oracle EBS R12 Purchasing Essentials Practice Exam Set 4

Which control option prevents changes or additions to the purchase order or release, but
maintains the ability to receive and match invoices?


Options are :

  • Freeze (Correct)
  • Firm
  • Close
  • Hold
  • Finally Close

Answer : Freeze

Requisition Import groups all requisitions with the same group code under the same requisition
header. If no group code is specified, Requisition Import groups requisitions according to five
types of groups that can be optionally passed to the Requisition Import process. Identify them.
(Choose five.)
A. Group by Item.
B. Group by price.
C. Group by buyer.
D. Group by UOM.
E. Group by location.
F. Group by supplier.
G. Group by description.
H. Group all requisition lines under one requisition header


Options are :

  • A,B,C,D,E
  • A,D,E,F,G
  • A,C,E,F,H (Correct)
  • A,C,E,F,G

Answer : A,C,E,F,H

Consider the following scenario for inventory item A:
1) Standard Cost $10 Purchase Order Line Price: $12, Purchase Order Line Quantity: 10
2) Receipt Routing: Direct Delivery
You created a receipt of 8 units for item A. Which option correctly describes the effect on different
accounts?


Options are :

  • Debit Material Account $80; Credit Inventory AP Accrual Account $80; No effect on Invoice Price Variance Account; Debit Purchase Price Variance Account $16
  • Debit Material Account $80; Credit Inventory AP Accrual Account $96; No effect on Invoice Price Variance Account; Debit Purchase Price Variance Account $16 (Correct)
  • Debit Material Account $96; Credit Inventory AP Accrual Account $96; No effect on Invoice Price Variance Account; Credit Purchase Price Variance Account $16
  • Debit Material Account $80; Credit Inventory AP Accrual Account $96; Debit Invoice Price Variance Account $16; No effect on Purchase Price Variance Account
  • Credit Material Account $80; Debit Inventory AP Accrual Account $96; No effect on Invoice Price Variance Account; Credit Purchase Price Variance Account $16

Answer : Debit Material Account $80; Credit Inventory AP Accrual Account $96; No effect on Invoice Price Variance Account; Debit Purchase Price Variance Account $16

1Z0-520 Oracle EBS R12 Purchasing Essentials Practice Exam Set 8

Which three financial options can be defaulted when you enter a new supplier? (Choose three.)
A. Ship Via
B. Default Buyer
C. RFQ-Only Site
D. Bill-To Location
E. Supplier Classification
F. Payment Bank Account


Options are :

  • C,D,E
  • A,C,D (Correct)
  • A,C,F
  • B,E,F

Answer : A,C,D

Which four sources of information default records Into the Supplier Header? (Choose four.)
A. Invoice Options
B. System Options
C. Financial Options
D. Payables Options
E. Receiving Options
F. Purchasing Options
G. Approved supplier list


Options are :

  • C,D,E,F (Correct)
  • D,E,F,G
  • A,B,C,D
  • A,C,E,G

Answer : C,D,E,F

Company X is identifying the major aspects of its inventory organization structure and definitions.
Which two actions or statements would be correct? (Choose two.)
A. An Inventory location can be an Office Site only If it Is also a registered office.
B. It can consider manufacturing facilities, warehouses, distribution centers, and branch offices, as
well as other entities.
C. It does not need a minimum of two inventory organizations in a master/child relationship, but it
is a best practice to do so.
D. The financial impact of inventory parameters is limited to Purchase Price Variance and Intransit
Account for Interorganization shipments and Transfer Credits for the sending organization.
E. You can control inventory organizations across different operating units from one responsibility
but you cannot have ft default to one operating unit. The last used operating unit used before you
tog off would default when you log in the next time.


Options are :

  • A,D
  • B,C (Correct)
  • A,E
  • C,E

Answer : B,C

1Z1-574 Oracle IT Architecture Essentials Practice Exam Set 5

Which three are true about the Evaluated Receipt Settlement (ERS) proems? (Choose three)
A. Invoice is always created for the supplier site.
B. Invoice is always created In unapproved status,
C. Invoice currency is always defaulted from the purchase order currency.
D. Payment currency is always defaulted from the purchase order currency,
E. Payment terms are always defaulted from the purchase order payment terms.
F. Amount is always determined by multiplying the Quantity received by the purchase order item
unit price.


Options are :

  • A,C,E
  • D,E,F
  • A,B,C
  • B,C,F (Correct)

Answer : B,C,F

Select three statements that are true regarding the clearing account. (Choose three.)
A. An asset clearing account can also be used as a project clearing account.
B. You can have a maximum of one asset clearing account per asset category.
C. For each payables document you create, you can have a separate cash clearing account.
D. You can use Cash in Transit report in cash management only if cash clearing account and cash
account are separate.
E. You use a separate cash clearing account and cash account to have visibility of the Cash in
Transit on the balance sheet.


Options are :

  • A,B,C
  • D,E,A
  • A,C,E
  • B,C,E (Correct)

Answer : B,C,E

The following transactions occurred at BUY Co., where you implemented the ERS functionality in
Oracle Purchasing:
Purchase order unit price: $10
Receipt #1001: 150 units (gross of 50 units returned at the time of receiving)
Receipt #1002: 250 units
The Pay on Receipt process is run nightly, with the summary level set to Pay Site at the supplier
site. The aging period is 0.
What would the Pay on Receipt process generate for these transactions?


Options are :

  • a $3500 invoice (Correct)
  • a $4000 invoice
  • a $50 invoice and a $2500 invoice
  • a $1000 invoice, a $2500 invoice, and a $50 debit memo
  • a $1500 invoice, a $2500 invoice, and a $50 debit memo

Answer : a $3500 invoice

1Z1-574 Oracle IT Architecture Essentials Practice Exam Set 3

A medium-sized multinational company based in US has two business groups (B6), BGI (for US)
and B62 (for Europe), with position approval hierarchies HI and H2, respectively.
The company has a policy that only the Controllers and those above them can approve capital
Items on requisitions and purchase orders. However, the Purchase Manager (who reports to the
Controller) must also be able to authorize capital purchases.
The account range for capital items is: 2000-2599.
The relevant approval limits are:
1) Purchase Manager in both BGs: $100,000
2) Controller in BGI: $500,000
3) Controller in BG2: $200,000
Which two options represent a valid and efficient approval process? (Choose two.)
A. An employee in B62 raises a requisition for $5000. This is verified by the employee's manager
and forwarded to the group Controller in BGI who approves it.
B. An employee in BG2 raises a capital requisition for $250,000, which is verified by the
employee's manager and then forwarded to the group Controller in BG2 who approves it.
C. The buyer hi BGI raises a standard purchase order for $250,000 with the charge account 2106.
The Purchase Manager verifies it and forwards it to the controller in BGI who approves it.
D. A buyer in BG2 raises a purchase order for $10,000 with charge for inventory items to be
stocked in an asset subinventory. The Purchase Manager in BG2 verifies and forwards it to the
Controller in BG2.
E. The shop floor supervisor in BGI raises a requisition for a new drilling machine for $250,000.
The supervisor's manager (Production Manager) verifies the requisition and forwards it to the
Controller in BGI for a final approval.
F. The Purchase Manager in BG2 raises a requisition for $5000 for computer equipment. The
Controller in B62 approves it and instructs the buyer to ensure a 2-year warranty on this
equipment. The buyer in BG2 places the order on the supplier.


Options are :

  • B,D
  • C,E
  • C,F (Correct)
  • A,E

Answer : C,F

The buyer decides to automatically update and create sourcing rules, as part of the blanket
purchase agreement approval process. However, on clicking the Approve button, the buyer does
not see any option to update and create blanket purchase sourcing rules.
Which profile option has the buyer failed to set up?


Options are :

  • MRP: Default Sourcing Assignment Set
  • PO: Automatic Document Sourcing
  • PO: Allow Auto-generate Sourcing Rules (Correct)
  • PO: Allow Autocreation of Oracle Sourcing Documents

Answer : PO: Allow Auto-generate Sourcing Rules

You have been asked by the HR Manager to define Oracle Alert to show all employees terminated
in the past six months.
Identify three pieces of information that is required to define this Alert. (Choose three.)
A. actions that you want Alert to perform
B. frequency with which you want to run this Alert
C. a SQL statement that retrieves terminated employees
D. name of the concurrent program to be run after Alert runs
E. database table name, which stores employee Information to specify In the Event Details section


Options are :

  • A,D,E
  • A,C,E
  • A,B,C (Correct)
  • D,E,A

Answer : A,B,C

1Z1-574 Oracle IT Architecture Essentials Practice Exam Set 3

Which two statements are true about using foreign currency? (Choose two)
A. Requisition total is expressed in foreign currency.
B. Currency can be changed even after a requisition is approved.
C. Currency cannot be changed once a purchase order is approved.
D. A foreign currency reference can be specified for each purchase order line.
E. Requisition can automatically source blanket agreements or catalog quotations with foreign


Options are :

  • B,C
  • C,D (Correct)
  • A,E
  • A,C

Answer : C,D

You match an unordered receipt to_____.


Options are :

  • a purchase order shipment from any organization
  • a purchase order shipment from the same organization for any supplier
  • a purchase release shipment from the same organization for the same supplier (Correct)
  • a finally closed purchase order shipment from the same organization for the same supplier
  • a Return Material Authorization (RMA. from any organization

Answer : a purchase release shipment from the same organization for the same supplier

Identify four ways in which sourcing rules significantly improve efficiency of procurement
processes. (Choose four.)
A. Allowing you to transfer from one supplier site to the other, if It is a global supplier.
B. Assigning sourcing rules at the item or item-organization level using an assignment set.
C. Giving you the ability to identify the priority to be given to the local sites of a global supplier.
D. Sourcing the highest percentage of an item from only those suppliers who ranked the highest.
E. Allowing you to identify the most efficient shipping method to be used for a specific sourcing
rule,
F. Automatically allocating planned orders across different suppliers based on predetermined
criteria such as rank and percentage.
G. Allowing the implementer to define a single sourcing rule for an item at the Item Master level, to
cater to all inventory organizations.


Options are :

  • A,C,F,G
  • A,B,C,D
  • B,C,E,F (Correct)
  • E,F,G,A

Answer : B,C,E,F

1Z1-574 Oracle IT Architecture Essentials Practice Exam Set 8

There are several types of RFQ, Including Catalog RFQ, Standard RFQ, and Bid RFQ.
There are only two classes of RFQ. Identify the two valid classes and their appropriate purposes.
(Choose two.)
A. Bid Class, which supports Shipments
B. Standard Class, which supports Items
C. Planned Class, which supports Catalogs
D. Catalog Class, which supports Price Breaks
E. Cost Class, which supports Bid Price Breaks
F. Category Class, which supports Supplier Catalogs
G. Contract Class, which supports Total Dollars Agreed to


Options are :

  • F,G
  • A,D (Correct)
  • D,E
  • B,C

Answer : A,D

Price Tolerance (%) on the Purchasing Options Control section refers to the percentage by which
___________.


Options are :

  • the supplier catalog price cannot exceed purchase order line price
  • the purchase order line price cannot exceed a price quote
  • the purchase order line price cannot exceed the requisition line price (Correct)
  • the purchase order line price cannot exceed the blanket amount
  • the invoice price cannot exceed the purchase order line price

Answer : the purchase order line price cannot exceed the requisition line price

Your client has the following requirements for electronic delivery of purchasing documents to
indirect spend vendors:
1. No third-party software should be needed; the built-in Oracle functionality should be used.
2. No special supplier set up should be required; the supplier should need minimal resources to
participate.
3. No requirement for audit trail or confirmation.
The best method within standard functionality is _____.


Options are :

  • Email (Correct)
  • EDI
  • Facsimile
  • XML
  • Direct interface

Answer : Email

1Z1-574 Oracle IT Architecture Essentials Practice Exam Set 8

Identify the correct sequence of steps in the Procure to Pay period dose process.


Options are :

  • Prepare for period dose. > Run Validation/ Review and resolve holds. > Create accounting. > Transfer and review. > Close the period in AP. > Post journal entries in GL > Reconcile AP activity for the period. > Close the PO period. (Correct)
  • Prepare for period dose. > Run Validation/ Review and resolve holds. > Transfer and review. > Close the period in AP. > Create accounting. > Post journal entries in GL. > Reconcile AP activity for the period. > Close the PO period.
  • Prepare for period close. > Run Validation/ Review and resolve holds. > Create accounting. > Transfer and review. > Close the period in AP. > Reconcile AP activity for the period. > Close the PO period. > Post journal entries in GL
  • Prepare for period dose. > Run Validation/ Review and resolve holds. > Create accounting. > Transfer and review. > Close the period in PO. > Post journal entries in GL > Reconcile PO activity for the period. > Close the AP period.
  • Prepare for period dose. > Run Validation/ Review and resolve holds. > Create accounting. > Transfer and review. > Close the period in AP. > Reconcile AP activity for the period. > Post journal entries in GL > Close the PO period.

Answer : Prepare for period dose. > Run Validation/ Review and resolve holds. > Create accounting. > Transfer and review. > Close the period in AP. > Post journal entries in GL > Reconcile AP activity for the period. > Close the PO period.

In the eTRM Technical Reference, where can you find the workflows associated with an
application?


Options are :

  • PDF files
  • DBA data
  • HTML files
  • FND data (Correct)

Answer : FND data

1Z0-517 Oracle EBS R12.1 Payables Essentials Practice Exam Set 3

The Requisition Open Interface is loaded from a variety of sources. Identify five. (Choose five.)
A. Oracle Inventory
B. Oracle Purchasing
C. Oracle iProcurement
D. Oracle Order Management
E. Internal Requisitions
F. Oracle WIP (Work in Process)
G. Flat files from non-Oracle systems
H. Oracle MRP (Material Requirements Planning)


Options are :

  • A,B,C,D,E
  • A,D,F,G,H (Correct)
  • A,C,E,F,H
  • D,E,F,G,H

Answer : A,D,F,G,H

You need to set up a Material Review Board (MRB) subinventory for storing defective goods that
are awaiting disposition. The management team does not want the material in the MRB
subinventory to be considered by the Material Requirements Plan (MRP). Which is the key flag in
the setup that instructs MRP not to account for the material in the MRB subinventory?


Options are :

  • Quantity Tracked flag selected
  • Asset Subinventory flag deselected
  • Nettable flag deselected (Correct)
  • Planning flag deselected
  • Allow Reservation flag deselected

Answer : Nettable flag deselected

Which two functional areas have default category sets? (Choose two.)
A. Planning, Engineering, Costing
B. Purchasing, Payables, Inventory
C. Inventory, Purchasing, Bill of Materials
D. Order Management, Inventory, Purchasing
E. Inventory, Bill of Materials, Work in Process
F. Planning, Order Management, General Ledger
G. Order Management, Inventory, Work in Process


Options are :

  • A,F
  • B,E
  • C,G
  • A,D (Correct)

Answer : A,D

1Z1-574 Oracle IT Architecture Essentials Practice Exam Set 7

A Quotation may be verbal or written. When a supplier responds to an RFQ, their quoted
information needs to be recorded in the system. Which are the documented methods of loading
the supplier quote into the system?


Options are :

  • SQL *Loader Script, Manual, and e-Commerce Gateway
  • SQL *Loader Script into the Purchasing Documents Open Interface, Manual load, using Copy Documents window to create the quotation directly from the RFQ, and e-Commerce Gateway. (Correct)
  • Spreadsheet Loader, Purchasing Documents Open Interface, and Manual load
  • Data Loader, Manual load, Purchasing Documents Open Interface, and using Copy Documents window to create the quotation directly from the RFQ.
  • Using Copy Documents window to create the quotation directly from the RFQ, Manual load, and Data Loader.
  • Manual load, and using the Purchasing Documents Open Interface

Answer : SQL *Loader Script into the Purchasing Documents Open Interface, Manual load, using Copy Documents window to create the quotation directly from the RFQ, and e-Commerce Gateway.

For performing an ABC analysis, you need to define ABC Compile, ABC Classes, and ABC
Assignment Groups. Identify two correct actions. (Choose two.)
A. Link an ABC Group to an ABC Compile.
B. Link an ABC Compile to an ABC Group.
C. Assign an ABC Group to an ABC Class.
D. Assign an ABC Class to an ABC Group.
E. Enable an ABC Group in Subinventories.


Options are :

  • A,C
  • C,E
  • A,E
  • B,D (Correct)

Answer : B,D

Which purchasing Electronic Data Interchange (EDI) transaction is NOT supported in e Commerce
Gateway?


Options are :

  • Advance Shipment and Billing Notice
  • Request for Quotation (Correct)
  • Scheduled Release
  • Planned Purchase Order
  • Quotation

Answer : Request for Quotation

1Z0-520 Oracle EBS R12.1 Purchasing Essentials Practice Test Set 6

Application program interface (API) is a software transaction connector for a specific function
within Oracle Purchasing. Select three options that describe the function of APIs. (Choose three.)
A. Load Receipts
B. Custom Pricing
C. Load Requisitions
D. Load Receipt Returns
E. Load Purchase Orders
F. Cancel Purchase Orders
G. Purchasing Order Changes


Options are :

  • A,E,F
  • B,F,G (Correct)
  • A,C,D
  • A,B,G

Answer : B,F,G

Select three statements that are true. (Choose three.) The timing and frequency of running the
process to transfer payables transactions to General Ledger depends on _____.
A. how often you need to process mass additions
B. how often you need to see balances in Projects updated
C. how often you need to run the Invoice Validation process
D. how often you need to run the Period-End Accrual process
E. how often you need to do financial reporting out of the general ledger
F. how often you need to run the Payables Accounting process to create the accounting entries


Options are :

  • A,D,E
  • A,B,E (Correct)
  • A,C,F
  • A,B,D

Answer : A,B,E

Your client has material that varies in size, weight, and container type. It wants to have flexibility in
creating locators based upon receipt of goods. Which Locator Control type would accommodate
this requirement?


Options are :

  • Dynamic Entry (Correct)
  • Item Level
  • None
  • Subinventory Level
  • Prespecified

Answer : Dynamic Entry

1Z0-520 Oracle EBS R12 Purchasing Essentials Practice Exam Set 4

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