Oracle Cost Management Cloud 2019 Implementation Essentials (1Z0-1074) Free Practice Test

Question 1

Identify two ways that standard cost is calculated.

A. Users must manually enter the cost of each configured item; the calculation is not automated.

B. The roll-up calculation can be performed to update standard costs for Cost Accounting purposes

C. The standard cost is the sum of the cost of the selected option items.

D. The cost of a configured item is calculated based on the work definition of the model item.

E. The standard cost of the configured item is based on the purchase order price quoted by the supplier for the configured item.

Correct Answer: B,C

Question 2

If the accounting method does not have an assigned chart of accounts (COA), which option is valid?

A. Accounting rules cannot override the accounting method.

B. The accounting method can be assigned to any ledger.

C. Theaccounting method must have a mapping set to convert the accounts.

D. The accounting method may only be used by ledgers without a COA.

E. Any secondary ledger that uses the method cannot have a COA.

Correct Answer: A

Question 3

Your client uses actual costing and needs to cost to the subinventory level. They have a few subinventories that hold normal goods and one subinventory that holds returned goods. They want their normal goods subinventories to be costed differently from their returned goods subinventory.
Which cost policy supports this requirement?

A. Manually create one cost profile for the normal goods subinventories and one cost profile for the returnedgoods subinventory.

B. EnaWe the inventory organization that holds the subinventories to be costed to the subinventory level by changing the organization parameter field from "Costing Level" to "Subinventory."

C. Create a separate cost book for the normal goods subinventories and one cost book for the returned goods subinventory Add both cost books to the same cost organization.

D. Create a separate cost organization for the normal goods subinventories and one cost organization for the returned goods subinventory.

E. Manually create one valuation unit for the normal goods subinventories and one valuation unit for the returned goods subinventory.

Correct Answer: B

Question 4

Trade events for physical shipmentsare interfaced into the Cost Accounting subledger from which module?

A. Shipping

B. Inventory

C. Purchasing

D. Financial Orchestration

E. Order Management

Correct Answer: D

Question 5

Your client wants to set up some of their items as expenseitems and then enable them to be accrued at period end for one of their business units.
Which two configurations will support this request?

A. Configure Procurement Business Function > Select the business unit > Set Select Receipt Close Point to Accrue at At Receipt.

B. Configure Procurement Business Function > Select the business unit > Set SelectReceipt Close Point to Accrue at Period End.

C. Manage Common Options for Payables and Procurement > Select the business unit > Expense Accruals
> Set Accrue Expense Items to Period End.

D. Product Information Item > Search and select the expense item > Specifications > Manufacturing > Verify that Inventory Asset Value is set to "Yes".

E. Manage Common Options for Payables and Procurement > Select the business unit > Expense Accruals
> Set Accrue Expense Items to At Receipt.

F. Product Information Item > Search and select item > Specifications > Manufacturing > Verify that Inventory AssetValue is set to "No".

Correct Answer: B,E

Question 6

You have an item with two work definitions. One work definition is production priority 1 and named Plan A.
Another work definition is production priority 2 and named Plan
B. In your cost planning scenario, you have specified the work definition selection criteria as name and then production priority, and you have defined the name as Plan B.
How will the application select the work definition?

A. The scenario will choose the work definition that is production priority 1.

B. The application will generate an error because there are two work definitions for the same item.

C. The application will use the work definition that isnamed Plan B.

D. While you can have more than one work definition for the same item, the cost scenario has no way to unambiguously select one of them.

E. The cost planning scenario will use both work definitions for the item.

Correct Answer: A

Question 7

After all relevant transactions are in Receipt Accounting, which two tasks must be completed for these transactions to be transferred to the General Ledger?

A. Transfer transactions from receiving.

B. Transfer transactions from payables.

C. Assign accruals to purchase order transactions.

D. Transfer to Sub ledger Accounting.

E. Create distributions.

Correct Answer: E

Question 8

When running the Transfer Costs to Cost Management process,where will the primary default source for costs come from and what is the effect?

A. Payables invoices; invoice price variance can be added to item cost.

B. Purchase order costs; item catalog costs can be used.

C. Requisition costs; validated costs can be used.

D. Receipt costs; costs include adjustments.

E. Receivables invoices; actual cost can be used.

Correct Answer: E

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Oracle Cost Management Cloud 2019 Implementation Essentials (1Z0-1074) Free Practice Test