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Oracle Inventory Cloud 2023 Implementation Professional Sample Questions:

1. Identify two statements that are true about the cost-organization relationship.
Response:

A) Costing Item Validation Organization can only be item Master Organization of the underlying inventory organizations.
B) Costing Item Validation Organization is used to default the Unit of Measure for costing calculations.
C) Only inventory organizations belonging to different item Master Organizations can be part of a cost organization.
D) Should have chosen
E) The inventory organizations that are assigned to a cost organization must all belong to the same legal entity.

2. The physical inventory process is carried out for a particular inventory organization with the following parameters:
Negative Quantity Tolerance Percentage is set to 10%
Approval Type = 'Always'
The system says that there are 100 on hand, but you only counted 95. What will happen?

A) An approval will be required before posting.
B) The setup is invalid; it will give an error message.
C) Because the 95 is within the 10% tolerance, it will post without approval.
D) The system will ask a user to recount before posting.

3. Your supplier sent you stock against a consigned agreement. You transferred all the stock to owned and generated a consumption advice. An invoice was raised by the supplier and the payment made. A few days after using some of the quantities of the stock, you realized that some of the stock sent by the supplier is not of suitable quality and you need to send the stock back.
What is the process of returning the material?

A) You have to cancel the invoice and send the material back without changing the ownership.
B) Return the material and create a debit memo for the supplier.
C) You cannot return consigned items that are invoiced and paid. Treat the material as scrap.
D) You have to transfer the ownership of item and perform the return transaction.

4. 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 Legal Entity Setup is incomplete.
B) The Business Unit is not enabled for Costing.
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.

5. Your customer decides to implement Cloud Procurement and Inventory. While discussing with your customer, you come to know that they have a business that spans across multiple locations and they have warehouses situated across USA and Canada.
1) All their procurement, payables, and distribution activities take place from USA.
2) They have a central warehouse in USA and after the goods are delivered to this warehouse, they are distributed across multiple additional warehouses. The warehouses are managed separately from the requisitioning units.
3) For requesting material they have two units. One located in USA that monitors the current stock. They are responsible for creating requisition for any material shortage in USA. They have another location in Canada for requesting material.
Which setup fulfills this scenario?

A) BU1: USA - as procurement business unit (BU) BU2: Canada - as requisitioning business unit BU3: USA - as requisitioning business unit Define Service provider relationship where USA procurement business unit serves as procurement and payables service provider for both Canada and USA requisitioning Business Units
B) BU1: USA - as procurement business unit (BU) BU2: Canada - as requisitioning business unit BU3: USA - as requisitioning business unitDefine Service provider relationship where Canada procurement business unit serves as procurement and payables service provider for only Canada requisitioning Business Unit
C) BU1: USA - as procurement business unit (BU) BU2: Canada - as requisitioning business unit BU3: USA - as requisitioning business unitDefine Service provider relationship where USA procurement business unit serves as procurement and payables service provider for only Canada requisitioning Business Unit
D) BU1: USA - as procurement and requisitioning Business Unit (BU) BU2: Canada - as requisitioning Business UnitDefine Service provider relationship where Canada procurement business unit serves as procurement and payables service provider for Canada Requisitioning Business Unit

Solutions: