Oracle Revenue Management Cloud Service 2021 Implementation Essentials (1Z0-1059-21) Free Practice Test

Question 1

When is it required to populate the number of periods and percentage of revenue (seen in the image below) while defining a revenue scheduling rule?

A. when the Deferred Revenue box is checked

B. when the Type is Fixed or Variable

C. when Context Values are populated

D. when it is a business requirement

Correct Answer: B

Question 2

A corporation uses a primary ledger with a currency of USD. The organization's data includes source document lines with amounts expressed in the Euro currency. However, Revenue Management calculates transaction totals, allocations, and creates accounting in the ledger currency.
What needs to be done in Revenue Management to convert transaction amounts to the USD currency?

A. Populate exchange rates in Revenue Price Profile.

B. Populate Conversion Rate Type in System Options.

C. Create revenue prices in the Euro currency.

D. Create source document types specifically for Euro documents.

Correct Answer: B

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Question 3

What are two major changes when comparing the new revenue recognition guidance under ASC 606 and IFRS 15 versus the old standard?

A. Revenue can be recognized for performance obligations only using the "Point in Time" approach.

B. Revenue and performance obligation liabilities are not dependent on billing.

C. Pricing estimates cannot be used In the absence of pricing data.

D. Expected consideration value is applicable to all industries.

Correct Answer: C,D

Question 4

Given you can optionally use pricing bands to create standalone selling prices, which setting enables you to use pricing bands?

A. when a source document type is enabled to use pricing bands

B. when a pricing dimension structure Instance Is enabled for pricing bands

C. when a value set segment label of Set Band is used

D. when a pricing dimension structure is enabled for pricing bands

Correct Answer: D

Question 5

What is the correct match sequence of the descriptions A, B and C against the titles?

A. C, B, A

B. A, B, C

C. A, C, B

D. B, A, C

E. B, C, A

F. C, A, B

Correct Answer: D

Question 6

A business entity (your client) sells a computer, monitor, keyboard, and mouse as a single package to consumers. The entity has identified that this bundle is a distinct performance obligation. How should you configure Revenue management to ensure that these items are grouped into one performance obligation?

A. By defining a Performance Obligation Template.

B. By defining a Revenue Item Group

C. By defining a Standalone Selling Price Profile.

D. By defining a Contact Identification Rule.

Correct Answer: B

Question 7

Revenue Management creates journal entries from a contract In order to recognize revenue properly. Which three event types are used by Revenue Management to create these journal entries?

A. Performance Obligation Billed

B. Initial Performance

C. Revenue Recognized

D. Standalone Selling Prices Allocated

E. Performance Obligation Satisfied

Correct Answer: B,C,E

Question 8

What does a Variable Consideration require?

A. an estimate of the consideration be made at inception only

B. an estimate of the consideration be made at Inception, and corrections of the accrual at made at each period end until revenue Is recognized

C. that the consideration be monetary

D. a disclosure be made to the shareholders

Correct Answer: A

Question 9

A furniture store is running a promotion for a toaster with the purchase of a sofa or chair set. Data about the free toaster is not captured in any upstream application.
How should you handle this scenario In Revenue Management?

A. Define an Implied Performance Obligation Template to automatically add a performance obligation for the toaster.

B. Define an adhoc rule in the Revenue Price Profile to include the toaster.

C. Create the performance obligation for the toaster manually.

D. Ignore the performance obligation for the toaster because it was free of cost to the customer.

Correct Answer: A

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Oracle Revenue Management Cloud Service 2021 Implementation Essentials (1Z0-1059-21) Free Practice Test