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Oracle EBS R12: General Ledger and Payables Fundamentals Sample Questions:

1. You just received an invoice for a new supplier. You need to pay it and ensure that all accounting entries are created in General Ledger. You perform these steps, in the order shown:
1.Enter the supplier.
2.Enter the invoice.
3.Create the pay run.
4.Create payment accounting entries.
5.Validate the invoice.
6.Create invoice accounting entries.
7.Transfer the information to General Ledger.
What would be the result?

A) The invoice is not paid and no entries are created in General Ledger.
B) The invoice is paid and all accounting entries are created in General Ledger.
C) The invoice is not paid but the invoice accounting entry is created in General Ledger.
D) The invoice is paid but only the invoice accounting entry is created in General Ledger.

2. You are implementing Oracle General Ledger at a client site. The client is based in the US, but they have a global presence in many countries and transactions in multiple currencies. The implementation team decides that the Oracle General Ledger multi-currency setup will be a part of the implementation. The client's Chief Financial Officer wants a system that has these features:
1.Enter transactions and reports in any currency.
2.Enter exchange rates online or automatically.
3.Calculate realized and unrealized gains and losses. IV. Translate actual and budget balances.
4.Produce foreign currency financial statements and reports.
Which requirements can be satisfied with the implementation?

A) 1, 2, 3, and 4 only
B) All requirements from 1 through 5 can be satisfied.
C) 1, 2, and 3 only
D) 1, 2, 4, and 5 only

3. What is a benefit of the secondary tracking segment?

A) More details are provided to retained earnings, cumulative translation adjustments, and revaluation gains/losses accounts.
B) The Management segment is enabled automatically when the secondary segment is defined.
C) Additional security ensures that correct accounts are selected while entering transactions.

4. Your client, Company A, has these requirements:
1.Asset invoices are entered in the Payables daily, but assets are transferred to Oracle Assets only once per week.
2.Payables journal entries have to be transferred to GL at least once per month for reporting purposes.
3.Oracle Projects balances must be updated once every month.
4.Payment batches must be processed daily.
On the basis of the above requirements, what would be the minimum recommended frequency of running the Transfer to GL program?

A) monthly
B) weekly
C) daily
D) once every two weeks

5. E-Business Tax calculates the amount of tax that is recoverable on the basis of the tax setup. To implement accrual-based accounting recoverable tax, four setups are needed. (Choose four.)

A) Enable the default recovery settlement options at the regime, tax, tax status, or tax rate levels.
B) Enable "Allow tax recovery."
C) Define tax accounts, tax expense, recoverable tax, and interim tax.
D) Enable "Set as offset tax."
E) Set the default recovery settlement option to "Deferred."

Solutions: