1Z0-213 - Oracle Receivables 11i Fundamentals
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Choose three statements that explain how to record exception properly. (Choose three.)
To record a stopped payment, you need to void the payment in Payables and then reconcile the "stopped" payment statement line to the voided payment
To record a direct debit from a supplier, you may create a payment in payables for the appropriate invoice and then match the payment against the bank statement line
If you enter your bank statements into Cash Management Manually, you have to enter the receipts for direct deposits and wire transfer in Receivables manually. After saving the receipt, you can match it against the related Cash Management statement line.
Which two statements are true about the "Order to cash" lifecycle? (Choose two.)
You can create new orders by entering information or by copying existing orders
During AutoInvoice, when the data is brought into the interface tables, errors are moved to the interface Exceptions table to be corrected.
Tammy entered a miscellaneous receipt by mistake; it was posted to General Ledger. Now she needs to reverse the miscellaneous receipt. Which method do you advise her to use?
carry out a standard reversal of the miscellaneous receipt
BG Distributors Ltd. does not have the concept of customer profile in its business. It does not categorize its customers' credit profiles. With some exceptions, it has a standard Net 30 payment terms. It also sends monthly statements to all its customers and dunning letters if the customer account becomes delinquent. BG Distributors wants a prudent Accounts Receivable setup and streamline the processes where possible. Choose three feasible actions that it should consider. (Choose three.)
Modify the seeded default profile class for applicable changes and assign it to all customers. For the exceptions, modify the profile at the customer site level.
Assign the seeded default profile class to all customers. Modify the profile such as payment terms, statements and dunning letters, at the customer site level.
Assign the seeded default profile class to most customers. Define additional profile classes to categorize the exceptions and assign them to those customers.
Which statement best describes the purpose of the Transaction Type filed at the header level of a transaction entered in Oracle Receivables?
It determines whether the transaction will update open receivable balances can be posted to the GL, and allows tax calculation
PCS Inc. has a legacy billing system that contains a customer database. The company wants to maintain the legacy billing system and interface it with Oracle Accounts Receivable (AR) for customers and invoices. Which is a feasible customer interface option that PCS should consider?
Maintain the customer database in the legacy billing system. Create new customers in the legacy system and interface with AR by using the customer interface. The interface includes update of customer information.
Which step is mandatory for processing automatic receipts?
create, approve, and format
received an underpayment on an invoice. can't create a check for the same invoice number twice. What is the best way to handle this from the application window?
Create a chargeback
Which two statements are true about the manual clearing transaction process? (Choose two.)
Only cleared transactions would be reconciled with the bank statement.
You can choose to manually clear payments, receipts, miscellaneous transactions, and open interface transactions without first reconciling them.
is implementing Oracle Receivables to manage its credit card receivables from retail customers. It encourages its retail customers to sign up for "Direct Debit" form of payment. Thus the bank is authorized to debit s checking account for either the full amount due or the minimum balance, depending on the option selected by at the time of enrolling of the Direct Debit. Which is the most appropriate receipts solution in Oracle Receivables to direct address this business need of your client?
Implement Automatic Receipts
In order for supplementary data sources to be registered in BPA they must be interfaced with which of the following Oracle Application. (Choose one.)
Your client has these business requirements related to the processing of receipts. 1) The client needs to create receipts which are to be manually entered into Receivables system; the receipts may corresponds to two payment methods: cash and checks. 2) The client has two bank accounts and each account accepts both cash and checks. The receipts entered into the receivables system are to be matched are reconciled daily against the receipts that are cleared by the bank. Select the option containing the correct setup steps, in correct sequence to meet the client's needs:
Set up two remittance banks Set up one receipt class with Entry Method: Manual, Remittance Method: Standard and Clearance Method: By Matching Assign the two payment methods to the same receipt class Set up a receipt source to which the receipt class and payment methods set up in the previous steps will be assigned
XYZ Inc. is a customer of Advanced Network Access. The company is regarded as a low-risk customer. The credit manager finds that every month the system carries out a credit review, and as part of this process, the customer is requested to provide certain financial information. This issue has strained the relationship with XYZ Inc. The credit manager is trying to discover the reason for the review being carried out every month. What is the most likely explanation?
The customer profile class was set up to do a credit review semi-annually, but when creating the customer address, the user set the review cycle to Monthly.
TTY Company Inc. is improving its Chart of Accounts structure. The solution involves creating a new operating unit and a new set of books. The company will configure Accounts Receivable for the new operating unit. TTY had previously implemented a poorly designed solution that resulted in a significant number of customers with sites in the old operating unit. Many of these customers no longer have business transactions with the company. There is an undertaking to "clean up" their customer database. Outstanding transactions are immaterial, and TTY is prepared to write them off. Which is a feasible approach for TTY to consider?
Create a dummy customer with a site in the old operating unit, and merge the redundant customers and their sites with the dummy customer. Create new customer sites for remaining customers in the new operating unit.
received a payment from a customer but does not know which customer it is from. What should they do with this payment?
Leave as unidentified
Donna, the controller of , wants to review unreconciled bank statements lines with their statuses. Which report does she need to run to get such information?
Bank Statement Detail Report
Choose two reasons why you might want to enter invoices in batches. (Choose two.)
You can print invoices by batch.
Batching provides default values for invoice fields.
does not have the content of customer profile in its business. It does not categorize its customer's credit profiles. With some exceptions, it has a standard Net 30 payment terms. It also sends monthly statements to all its customers and dunning letters if account becomes delinquent. wants a prudent Accounts Receivable setup and streamline the processes where possible. Choose three feasible actions that it should consider. (Choose three.)
Modify the seeded default profile class for applicable changes and assign it to all customers. For the exceptions, modify the profile at site level
Assign the seeded default profile class to all customers. Modify the profile such as payment terms, statements and dunning letters, at site level
Assign the seeded default profile class to most customers. Define additional profile classes to categorize the exceptions and assign them to those customers
ABC company is using miscellaneous cash during its receipt entry. What setup item is driving the GL account?
Enterprises, a customer, has informed you that it will pay for invoices of both its affiliates, Services and Supplies. Both these affiliates are also customers. You are told that only Services is allowed to pay for invoices of Enterprises. Supplies is not. Which option defines the Party Paying Relationship that will work?
Define Relationship Type A for Pay within and Type B for Pay below. Use Relationship Type A for Enterprises and Services and Relationship Type B for Enterprises and Supplies
Which steps are required to set up customer invoicing? (Choose two.)
Remit to address
Which three statements are true about AutoAccounting? (Choose three.)
You define AutoAccounting before you enter transactions in Receivables.
AutoAccounting is used to determine default general ledger accounts for manual invoices and for invoices created by AutoInvoice.
AutoAccounting allows you to flexibly define the default account mapping for each segment in your chart of account structure.
You are implementing Cash Management for a multi-organization environment. Which three setup steps should be performed for each organization? (Choose three.)
Define system parameters.
Define bank transaction codes.
Define bank accounts and assign GL accounts.
The Didier Company is setting its policy on receipts. What should they consider when deciding to use either QuickCash or manual receipts?
use manual if they want to see an updated customer balance during entry
The Bramblett Company uses manual receipts in its application process. They are reviewing the status of a receipt to see if it requires remittance. Which status would they look for?
Your client has these business requirements related to the processing of receipts. 1) The client needs to create receipts which are to be manually entered into the Receivables system; the receipts may correspond to two payment methods: cash and checks. 2) The client has two bank accounts, and each account accepts both cash and checks. The receipts entered into the receivables system are to be matched and reconciled daily against the receipts that are cleared by the bank. Select the option containing the correct setup steps, in correct sequence, to meet the client's needs.
Set up two remittance banks. Set up one receipt class with Entry Method: Manual, Remittance Method: Standard, and Clearance Method: By Matching. Assign the two payment methods to the same receipt class. Set up a receipt source to which the receipt class and payment methods set up in the previous steps will be assigned.
enables you to customize the content and format of bills viewed by customers. Which four actions can you perform? (Choose Four.)
Design the layout and content of a bill
Incorporate attachments on online bills
Display information on bills that is not stored in Oracle Receivables
Assign bill formats to specific customers or to user-defined customer categories
Which type of change to a transaction would the AR: Change Customer on Transaction profile option allow when set to Yes?
updating customer name on a transaction
Transaction numbering is set up using _____.
Choose three statements that properly describe the Transactions Available for Reconciliation Report. (Choose three.)
It lists void payments only if the Show Void Payments option is selected.
It shows all transactions available for reconciliation for a specific bank account.
It lists detailed transaction information for your available receipts, available payments, and available journal entries for reconciliation.
has sales tax requirements that involve 2 types of sales tax. The first sales tax applies to all customers. A second sales tax is based on where the company ships the goods. All goods are taxable, however some customers who resell the goods are exempted from the second sales tax. Choose three applicable options to set up tax for CAN Inc. (Choose three.)
Tax code for exempt tax
Customer exemptions for the second sales tax
Tax group for combination of the two tax codes
Most of Northern Lights Inc.'s customers pay only their own invoices. However, some of the customers also pay other customers' invoices. The client is concerned about applying cash receipts to the wrong customer invoices. Choose a configuration option that meets the client's requirement and alleviates its concern.
Deselect Allow Payment of Unrelated Transactions in System Option, and define reciprocal Customer Account relationships between customers that will pay each other's invoices.
Aotolockbox execution employe a multistep process. These steps can be submitted individually or at the same time from the Submit Lockbox Processing window. Identify the correct sequential combination of steps that are execute while running the Auto Lockbox concurrent process in Oracle Receivables.
Import bank file, validate data, post quick cash
What is true about AutoCash rule sets?
AutoCash rules determine how a receipt is applied to open debit items
CAN Inc. has sales tax requirements that involve 2 types of sales tax. The first sales tax applies to all customers. A second sales tax is based on where the company ships the goods. All goods are taxable, however some customers who resell the goods are exempted from the second sales tax. Choose three applicable options to set up sales tax for CAN Inc. (Choose three.)
tax code for exempt tax
customer exemptions for the second sales tax
tax group for combination of the two tax codes
Most of 's customers pay only their own invoices. However, some of s also pay other customer's invoices. The client is concerned about applying cash receipts to the wrong customer invoices. Choose a configuration option that meets the client's requirement and alleviates its concern.
Deselect Allow Payment of Unrelated Transactions in System option and define reciprocal customer Account relationships between customers what will pay each other's invoices
Your company is setting up a new bank. Which two account uses can they define for the bank? (Choose two.)
is implementing the Oracle Accounts receivable (AR). needs a solution that provides the option of transferring a high volume of customer receipts from the bank into the Oracle AR system. In its legacy system, receipts are handled by two separate people and it wants to keep the jobs this way. Rosemary is responsible for entering the receipts and uploading them to the AR system and reporting the total collections for the day. Ben is responsible for posting and applying the receipts after performing due diligence in identifying and classifying receipts that do not have any customer information or receipts that do not have details such as specific invoice numbers against which the receipt is to be applied or receipts which have been received as an ad-hoc payment from a particular customer. Ben does not want s account balance to be affected immediately when the receipts are transferred and uploaded to the receivables system. Before the receipts are posted and applied to each individual customers accounts, he needs to check whether the receipts have been assigned with the appropriate invoice number for accurate application and whether the rest of the receipt information is correct. It is only after performing this checking process that he finally posts the receipts through a mass update in the present legacy system. What is the most appropriate receipt creation method to implement in Oracle Receivables?
Quick Cash Receipts
The customer service department identified an order that was shipped but was not invoiced. Which factor is NOT a potential cause for the Accounts Receivable (AR) invoice not being created for the shipment?
The invoice lacks an accounting rule.
The Dider Company is using miscellaneous cash during its receipt entry. What setup item is driving the GL account?
Which option represents the correct sequence of events in the Order life cycle?
Pricing the order, booking the order and reviewing the credit if the order exceeds the credit limit
From which three data source does Bill Presentment Architecture (BPA) provide the architecture to retrieve billing data? (Choose three.)
Other Oracle Applications
Oracle Applications seeded in BPA, such as Oracle Order Management and Oracle Service Contracts
You may use the reconciliation programs of Cash Management to validate the information in the bank statement open interface tables, import the validated bank statement, and perform reconciliation after the import process. Which three statements are true about Bank Statement Interface errors? (Choose three.)
You can correct import errors by using the Bank Statement Interface window.
You can repair the Bank Statement Open Interface tables manually to correct import errors.
If you prefer to review the errors in a printed report, the AutoReconciliation Execution Report is run automatically when you run either of the programs that include the import of the bank statement .
Which statement best describes the steps in a credit review process?
Initiate credit review, data collection and data analysis and also making and implementing the recommendations
ABC Inc. has three organizations, and is evaluating Oracle Credit Management to improve the collection of outstanding receivables. As an implementation consultant, how would you explain the product to the client?
Oracle Credit Management allows credit or collection personnel to use a matrix approach, using the key data points and historical data on the basis of the credit relationship with a customer or prospect, and credit review type to arrive at a calculated credit decision.
Arthur, an accountant at , is running AotuReconciliation. He wants to review any error arising from reconciliation. The company does not use Receivables LockBox and the bank statement includes direct deposits. He wants the program to create a debit for "Not sufficient Fund (NSF)" or rejected receipts. As a Autoreconciliation, which two suggestions would you provide him? (Choose two.)
He can review the autoReconciliation Execution Report to identify any errors. This report is run automatically
He must create receipts related to direct deposits manually in Receivables before running AutoReconciliation
Autolockbox execution employs a multistep process. These steps can be submitted individually or at the same time from the Submit Lockbox Processing window. Identify the correct sequential combination of steps that are executed while running the Auto Lockbox concurrent process in Oracle Receivables.
Import bank file, validate data, post quick cash
Select the four possible results of incorrectly setting up transaction types. (Choose four.)
Transactions would not appear in the aging reports
Transactions would not be posted to any accounts in General Ledger
Transactions would be posted to the wrong accounts in General Ledger
You would not be able to select and snort the Aging report the way you want to
Todd is a novice user of Oracle Receivables. He is trying to apply a customer receipt in a foreign currency to a transaction in the functional currency. He notices that the Cross Currency Rate field is not updatable in the Receipt Applications window. He does not understand the cause. What explanation do you provide?
There is a fixed rate relationship defined between the foreign currency of the receipt and the functional currency of the transaction.
XYZ Corp. prepared a manual invoice in Receivables for the sale of an inventory item. While performing an analysis in general ledger, XYZ Corp notices that the accounting for the sale is correct and shows a debit to the Accounts Receivable account and a credit to the Sales account. However, there is no entry coming from Inventory, to show the decrease in the Inventory account and the increase to Cost of Goods Sold. Which option best explains the missing entry?
Oracle Receivables does not relieve inventory. You must use Order Management if you are invoicing an item that needs to relieve inventory.