Oracle Inventory Cloud 2017 Implementation Essentials (1z1-986) Free Practice Test

Question 1

What does the system do if you have not entered a count for a tag during physical inventory process?

A. A warehouse person will be notified.

B. It will adjust your on-hand balances down to zero quantity.

C. You will not be able to post without a quantity for every tag.

D. Any adjustment will be rejected.

E. It will consider the current system quantity.

Correct Answer: D

Explanation: Only visible for TestSimulate members. You can sign-up / login (it's free).

Question 2

Your organization is using min-max planning to replenish stock and the planning parameters are set at item organization level with a default subinventory:
Item: A, Min Qty: 25, Max Qty: 150 and Current Level: 20
The item above is purchased from a supplier. Althrough there is subinventory on hand, the subinventory in below the minimum required level. This should trigger a Min-Max report entry, but the requisition in not generated. Why?

A. Fixed lot multiplier is not set.

B. Rounding the Reorder Quantity is disabled.

C. No value has been set for the "Min-Max Replenishment Reorder Approval" profile.

D. Min-max planning Can be performed at the Organisation level.

E. Item is not defined in Manage item Subinventories.

Correct Answer: D

Question 3

A customer has one Business Unit, two Legal Entities, and each have eight warehouses (defined as Inventory Orgs). While trying to set up Cost Organizations for each of these Legal Entities, you were unable to perform the mandatory step of assigning the Profit Center Business Unit for one set of eight Inventory Organizations; however, you could do it for the other set.
What is the reason for this?

A. The Business Unit is not enabled for Costing.

B. The Legal Entity Setup is incomplete.

C. There is no Inventory Validation Organization defined.

D. The General Ledger is not associated with Business Unit.

E. There is no Business Unit associated with the Legal Entity.

Correct Answer: E

Question 4

As part of implementing Oracle Cloud for your customer, you defined multiple Business Units. The customer wants you to define an Inventory Organization that is associated with all the business units and not just one particular business unit.
How do you achieve this?

A. It is not possible to define an Inventory Organization that is associated with more than one business unit.

B. Leave the Profit Center Business Unit field blank in the Inventory Organization definition.

C. Leave the Management Business Unit field blank in the Inventory Organization definition.

D. Define the Inventory Organization without associating it with any location.

Correct Answer: C

Question 5

Which statement is false about generating an Internal Material Transfer for expense destination Transfer Order?

A. Cost Management will pick up the delivery transaction directly from Receiving and process the expense accounting from that transaction.

B. If the receipt is required, then accounting of the receipt delivery transaction will happen Only in Receipt Accounting because there will not be a delivery transaction in inventory.

C. Costs for Lot and serial numbers are tracked at put away time when the items are recorded in a destination inventory location.

D. Expense destination transfers are expensed upon delivery hitting an expense account Instead of an inventory asset account as would be the case for inventory destination transfers.

Correct Answer: A

Question 6

Your client is about to define their primary ledger.
which set of three primary attributes do they need to know in order to complete this?

A. Chart of Accounts, Ledger Balance, and Accounting Method

B. Chart of Accounts, Accounting Calendar, and Currency

C. Currency, Description, and Accounting Method

D. Chart of Accounts, Description, and Accounting Method

Correct Answer: B

Question 7

What are two outcomes when a lot expires on an item with lot control enabled?

A. It remains in inventory, but is not considered on-hand when the user is performing min-max or reorder point planning calculations.

B. It cannot be reserved for a date beyond the expiration date.

C. It is issued out of stores.

D. It is not included in cycle counts.

E. It cannot be transacted.

Correct Answer: A,D

Question 8

Which three values are applicable for the profile option - "Transaction Processing Mode" for subinventory transfer and interorganization transfer?

A. Offline Processing

B. Background Processing

C. Sequential Processing

D. Online Processing

E. Blind Processing

F. Concurrent Processing

Correct Answer: B,D,F

Explanation: Only visible for TestSimulate members. You can sign-up / login (it's free).

Welcome to TestSimulate

Oracle Inventory Cloud 2017 Implementation Essentials (1z1-986) Free Practice Test