Exam : 1z0-986

Title : Oracle Inventory Cloud 2017 Implementation Essentials

Version : V12.35

NO.1 Your customer has two warehouses (Inventory organizations) located in two different
regions.They have a consigned agreement in place with the supplier. Your customer requests
that whenever consumption advice is created, it should be created separately for each
inventory organization.
What setup is required to achieve this requirement?

A. This cannot be achieved because only one common consumption advice is created
regardless of other parameters.
B. Set Consumption Advice Summary in Consignment Agreement to "All Organizations with
items".
C. Set Consumption Advice Summary in Consignment Agreement to "Organization".
D. Set Consumption Advice Summary in Consignment Agreement to "All Organizations".

Answer:

NO.2 Your customer is a very large organization spanning across multiple countries. Their legal
requirements, Human Resource Policies, and Functional Currencies for ledger are different for
each country. Your customer wants to maintain 10 different companies in the system.Which
combination meets this requirement?

A. 1 Enterprise, 10 Divisions, where each division has its own ledger with common legal entity
across all divisions
B. 10 Enterprises, 10 Divisions, where each division has its own legal entity and ledger
C. 1 Enterprise, 10 Divisions, where each division has its own legal entity and ledger
D. 10 Enterprises, 1 Division, where each division has 10 legal entities and 1 ledger

Answer:
NO.3 Your client has just set up their chart of accounts. They are now designing the
organization hierarchy in the system.
Which three structures should the customer use to do this?

A. Divisions, Business Units, and Departments

B. Cost type, Default Cost Structure, and Item Organization
C. Warehouse, Subinventory, and Locators
D. Cost Centers, Organizations, and Locations

Answer:

NO.4 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. 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.
C. 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.
D. Costs for Lot and serial numbers are tracked at put away time when the items are recorded
in a destination inventory location.

Answer:

NO.5 Identify the availability type that is applicable for the item quantities maintained in a unit
of measure different from the primary unit of measure and is available for various transactions.

A. On Hand
B. Secondary On-hand Quantity
C. available
D. Reserved
E. Secondary Available Quantity
Answer:

NO.6 The physical inventory process is Carried out for & particular inventory organization with
the following parameter:
* 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 system will ask a user to recount before posting.
C. Because the 95 is within the 10% tolerance, it will post without approval.
D. The setup is invalid; it will give an error message.
Answer:

NO.7 Your customer is setting up serial control. The requirement is that if Item A has serial
123, then they do not want item B to also have serial 123 within the same inventory
organization. Which serial control setting must be used to meet this requirement?
A. Unique across Enterprise
B. Unique within Item and organization
C. Unique across organizations
D. Unique within organization
E. Unique within Items

Answer:

NO.8 Which execution document is created by supply chain orchestration when a make
request is received?
A. Work Order
B. Routing Creat
C. Purchase Order
D. Movement Request
E. Transfer Order
Answer:

NO.9 While creating the consignment agreement, you have set the consumption advice
frequency to "monthly" and the billing cycle close date to "31st August, 2020".
What will happen when you run the consumption advice process on 31st August, 2020?

A. No consumption advice is created.

B. Consumption advice is created and the next closing date is set to 7th September, 3020.
C. Consumption advice is created and the next closing date is set to 30th September, 2020.
D. Consumption advice is created and the next closing date Is set to 30th October, 2020.
Answer:

NO.10 While performing the task "Create Chart of Accounts, Ledger, Legal Entities, and
Business Units in Spreadsheet Task", you did not provide the functional currency; however, you
mentioned that the legal entity country is the United States of America.
What will be the functional currency of the ledger you are defining?

A. It is mandatory to provide functional currency, because ledger cannot be defined without

functional currency. The system will throw an error Upon processing.
B. The system will ask the user to provide functional currency at the time of uploading the
spreadsheet if it is not provided in the first place.
C. The system will pick the first available currency from the List of Values.
D. It is mandatory to provide functional currency because ledger cannot be defined without
functional currency. The system will throw an error upon upload of the spreadsheet because all
required fields are not populated.
E. The system will automatically pick "USD" as functional currency from the legal entity
country.
Answer:

NO.11 What are the four steps for the move request process flow?
A. Confirm pick slips
B. Run the Movement Request Pick Slip Report
C. Create shipment
D. Physically move the material
E. Run pick slip allocation
F. Create Movement Request
Answer:

NO.12 Which action invokes supply chain orchestration and transfer of data to supply chain
orchestration interface tables?
A. creating a new Inventory Organization for execution of supply Chain orchestration
B. running a scheduled process called "Create Transactions"
C. creating Purchase Order Receipt
D. running Min-Max Planning
Answer:

NO.13 Your company is an automobile spares manufacturing organization, which follows a

discrete process. It has its own manufacturing and distribution centers located globally.
It has these business units:
US - USA business unit
CAN - Canadian business unit
UK - UK business unit
MX - Mexican business unit
IND - India business unit
SPA -Spain business unit
FRA - France business unit
NL - Netherlands business unit
GER - Germany business unit
These are the inventory organizations that exist In each business unit:
Inventory Org - business unit
GM (Master Org) - US
US1 (Child Org) - US
US2 (Child Org) - US
CA1 (Child Org) - CAN
MX1 (Child Org) - MX
IN1 (Child Org) - IND
SP1 (Child Org) - SPA
FR1 (Child Org) - FRA
NL1 (Child Org) - NL
DE1 (Child Org) - GER
Which two statements are true?
A. Items defined in the GM organization can be assigned to US1.US2, NL1, and MX1 inventory
organizations.
B. All inventory organizations do not need to be in the same business unit to assign item.
C. Item organizations are also supported to serve as Inventory organizations.
D. Items cannot be assigned to inventory organizations across business units.
E. You can define an item in the IN1 inventory organization and assign it to the DE1 inventory
organization.
F. Operational Attributes can be controlled only at the Master Level.
Answer:

NO.14 An inventory transaction is imported to the system through an FBDI template.

Which transaction state denotes that an inventory transaction is created in the Oracle Cloud
Inventory Management application?
A. Created
B. New
C. Validated
D. Deferred
E. Staged
Answer:

NO.15 On the Supply Lines Overview page, the deviations in supply type chart show a supply
line status of exception. What action must you take?
A. This indicates that supply line quantities are less than required, so additional quantities
must be procured to meet the requirement.
B. This indicates that supply line quantities are available but the quality is not up to the mark,
so the quality issue must be resolved.
C. This indicates that supply line quantities are not available, so inventory must be procured.
D. This indicates that supply line has an exception in manufacturing goods, so the supply line
must be changed.
Answer:

NO.16 Which two tasks must be defined to set up the Facilities Schedule?
A. Manage Facility Workday Patterns
B. Manage Facility Shifts
C. Manage Facility Holidays
D. Manage Facility Operations
E. Manage Facility Time Cards
Answer:

NO.17 You set up an Item organization and an inventory organization as part of your
customor's requirement.Your customer has, by mistake, performed a receipt transaction in the
Item organization Instead of the inventory organization. How will you rectify the error?
A. Perform a return of item and receive the item again in the correct organization.
B. Perform a correct receipt transaction and receive the item in the correct organization.
C. Perform a new receipt in the correct organization and retain the stock in Item organization
because it does not affect any other operation.
D. It is not possible to receive item in the item organization.
Answer:

NO.18 You have set up min-max planning at the subinventory level with the following to
source item AS12312 for Organization: M1:* Source Type: Organization * Organization: Ml
What type of supply request will be generated?
A. None; this is an invalid setup
B. Movement request
C. Internal Requisition
D. Intraorganization transfer order
E. Purchase Requisition
Answer:

NO.19 Your customer wants to prevent customer shipments out of a specific subinventory.
They are setting up a material status to control this.
Which transaction do they need to disallow?
A. Sales Order Pick
B. Sales Order Issue
C. Move Request Putaway
D. Ship Confirm
E. Miscellaneous Issue
Answer:
NO.20 Your client wants certain inventory items of high importance to be counted periodically
to improve the average level of inventory accuracy.
What type of counting would you recommend?
A. Manual Count
B. Zero Quantity Count
C. Cycle Count
D. Physical Count
E. Blind Count
F. Serialized Count
Answer:

NO.21 A user is performing a material return transaction against excess stock in an Inventory
organization; however, the user fails to select the Physical Material Return Required check box.
What happens?
A. Shipment lines are created.
B. It is considered as accounting-only return.
C. A transfer order line remains open.
D. Stock is reserved.
Answer:

NO.22 Identify the dunning letter template set provided by an application.

A. Regular, Final Demand, Medium
B. Final Demand, Soft, Medium
C. Soft, Regular, Hard
D. Regular, Medium, Hard
Answer:

NO.23 A shipment has not yet been created for a pick that you are running.
How is the due date calculated?
A. request date from the order line
B. earliest acceptable date from the order line
C. system date
D. promise date from the order line
E. schedule ship date from the order line
Answer:

NO.24 The Applications Development Framework Desktop Integration (ADFdi) user interface is
supported in Oracle Fusion Receiving, Inventory Management, and Shipping products.
Identify four ADFdi user interfaces that are supported.
A. Manage Shipment Message Interface
B. Manage Lot/Serial Interface
C. Manage Inventory Transaction Correction in Spreadsheet
D. Review Count Interface Records
E. Review Receipts Interface
F. Upload ASN or ASBN
Answer:

NO.25 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. Leave the Management Business Unit field blank in the Inventory Organization definition.
B. It is not possible to define an Inventory Organization that is associated with more than one
business unit.
C. Leave the Profit Center Business Unit field blank in the Inventory Organization definition.
D. Define the Inventory Organization without associating it with any location.
Answer:

NO.26 Your organization performs a restock via a transfer order between inventory
organizations, using the following parameters tor processing:
Transfer Type: In-transit transfer type
Receipt Routing: Standard
Transfer Order Required: Yes
During the process, the receiving organization wants to make a change to the transfer order
line.After which fulfillment stage will they no longer be able to change the transfer order?
A. Ship Confirm
B. Awaiting Receiving
C. Awaiting Fulfillment
D. Closed
E. Awaiting Billing
Answer:

NO.27 Your client has decided that Discrete Manufacturing will be Implemented at a future
stage, soany new supply from current manufacturing will be added to current inventory by the
Open Transactions Interface. The immediate requirement is to go live with Inventory and Order
Management.
Which two seeded transaction types can be omitted for material status control?
A. Backflush Subinventory Transfer
B. All Transaction Types Related to Work in Process
C. All Internal Transactions
D. Average Cost Update
E. Miscellaneous Issues and Receipts
Answer:

NO.28 Your customer has a complex financial reporting structure.

Which three elements should you define first in order to form basis for this reporting?
A. Managerial, Operational, and Industry
B. Tax, Legal, and Industry
C. Legal, Managerial, and Functional
D. Legal, Autonomy, and Operational
Answer:

NO.29 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. Min-max planning Can be performed at the Organisation level.
C. Rounding the Reorder Quantity is disabled.
D. No value has been set for the "Min-Max Replenishment Reorder Approval" profile.
E. Item is not defined in Manage item Subinventories.
Answer:

NO.30 In Supply Chain Orchestration, Automated Change Management performs which two
functions?
A. changing the ship method on a sales order
B. change to need by dates of a purchase order
C. splitting of a sales order
D. change to item attributes
E. changing the supplier on a purchase order
Answer:

NO.31 A supply request has been received in supply chain orchestration. Both organizations
belong to the same legal entity and they do not have a buy-sell relationship between them.
Which type of execution document can fulfill the supply request?
A. Sales Order
B. Purchase Order
C. Transfer Order
D. Purchase Requisitions
Answer:

NO.32 Which three applications originate a buy request that is received by supply chain
orchestration?
A. Inventory
B. Accounts Payable
C. Order Management
D. Purchasing
E. Planning
F. Self Service Procurement
Answer:

NO.33 You face a supply request exception due to some reason. You realize that you need to
make some changes to the Manage Supply Request Exceptions page.
Which action will you perform?
A. The supply request cannot be updated. The only way is to resolve the error in the source
application and resubmit the request.
B. Update the supply request and submit it. The errors will be resolved automatically.
C. Update the supply request and make sure errors are resolved before resubmitting it.
D. The Supply request can be updated using a third-party application only.
Answer:

NO.34 You defined an Inventory Organization that is meant to track the contract
manufacturing process outsourced to a supplier.
Where do you mention that this Inventory Organization is meant for one particular supplier?
A. Manage Inventory Organization Locations
B. Manage Contract Manufacturing Relationships
C. Manage Item Organizations
D. Manage Inventory Organizations
E. Manage Sublnventories
Answer:

NO.35 Your customer wants you to restrict the values of Receivables Transaction Type for their
three business units.You created three reference data sets for each business unit. However, the
user is still able to see the values in the Transaction Type list of values which are not defined in
the business unit data set.
What is the reason for this behavior?
A. The user has multiple Business Unit Roles and, therefore is able to see additional values.
B. Reference Data Sets cannot be used uniquely across business units. They can only be used at
the Legal Entity level.
C. Receivables Transaction Types are common across business units.
D. The user is seeing the values defined in the common set. The values should be removed
from the common set.
Answer:

NO.36 You are a shop floor manager and you have received an order which is a back-to-back
order in nature. You need to reserve 100 pieces of an item in order to finish your order.
However there are only 50 pieces available for reservation.
If you process this request, how many pieces are provided as the fulfillment for the order?
A. 100 pieces. 50 from on-hand and 50 in the form of a purchase order.
B. 0 pieces, because partial fulfillment of reservation not supported.
C. 25 pieces, only half of the quantities can be reserved.
D. 50 pieces, because full 100 quantities are at available.
Answer:

NO.37 Your are in the process of analyzing the demand and supply schedules for the Item
based on high level reservations. Identify the reservation document type that would be
applicable to both supply as well as demand.
A. Work Order
B. On Hand
C. Transfer Order
D. Movement Request
E. Requisition
F. Account Alias
Answer:

NO.38 Your customer has a requirement across their 10 warehouses, each with different
users. They would like that whenever a warehouse user logs in, their default warehouse should
net populated. How will you achieve this?
A. Set the profile option INV_DEFAULT_WHSE_ID at user level for each user.
B. Set the profile option INV_DEFAULT_ORG_ID at site level.
C. Set the profile option INV_DEFAULT_ORG_ID at user level for each user.
D. Set the profile option INV_DF.FAULT_WHSE_ID at role level (different roles for different
warehouses).
E. Set the profile option INV_DEFAULT_ORG_ID at role level for each role (different roles for
different warehouses).
F. Set the profile option INV_DEFAULT_WHSE_ID at site level.
Answer:

NO.39 Which three values are applicable for the profile option - "Transaction Processing
Mode" for subinventory transfer and interorganization transfer?
A. Blind Processing
B. Offline Processing
C. Background Processing
D. Sequential Processing
E. Online Processing
F. Concurrent Processing
Answer:

NO.40 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. There is no Inventory Validation Organization defined.
B. The Legal Entity Setup is incomplete.
C. The Business Unit is not enabled for Costing.
D. There is no Business Unit associated with the Legal Entity.
E. The General Ledger is not associated with Business Unit.
Answer:

NO.41 Your customer has received 50 boxes of item A (priced at $10 per box) and these Items
are transferred to the asset Inventory organization. There are no additional quantities in any of
the inventory organizations apart from the received 50 boxes. After running all the necessary
cost accounting and receipt accounting processes successfully, the Item valuation for Item A is
still zero.
What is the reason?
A. Items are not consigned items and ownership is with the organization.
B. Items are not consigned items but ownership is still with the supplier.
C. Items are consigned and ownership is transferred to "owned".
D. Items are consigned items and ownership lies with the supplier.
Answer:

NO.42 Which two statements are true in regard to using the Enterprise Structures
Configurator?
A. It allows you to create your Enterprise, Business Units, and Warehouses in a single step.
B. It creates the chart of accounts.
C. You cannot modify the recommendation from the tool. You must do it after you perform the
initial configuration.
D. The guided interview-based process helps you set up the enterprise with best practices.
E. It recommends job and position structures.
Answer:

NO.43 You have a high value item that you want to audit on an unscheduled basis to deter
pilfering. Which method would you use to do this?
A. Physical Inventory Count
B. Blind Inventory Count
C. Manual Cycle Count
D. Automated Cycle Count
E. ABC Count
Answer:

NO.44 Which three replenishment count types are used for Periodic Automated
Replenishment (PAR)?
A. Order Quantity: Generates a replenishment request for the order quantity entered for the
replenishment count
B. Reorder Point: Generates a replenishment request for the order quantity based on days of
cover for the item lead time
C. Order PAR: Generates a replenishment requisition for the PAR-level quantity
D. Order Economic Order Quantity (EOQ): Generates a replenishment request for the
calculated quantities based on inventory policies to maintain the PAR quantity
E. On-Hand Quantity: Generates a replenishment requisition for the difference between the
on-hand quantity and the PAR-level quantity
Answer:
NO.45 Your customer has defined three business units: two of the them require the same set
of receivables payment terms whereas the third needs a separate set of receivables payment
terms. How will you achieve this requirement?
A. Define one reference data set and modify the business unit security.
B. Define two reference data sets, assign the first set to the two business units which will
share the same payment terms and second set to the business unit which needs separate
payment terms.
C. Define one data set with common payment terms and exclude the payment terms feature
from the third business unit.
D. Define three reference data sets and assign each data set to each business unit.

Answer:
NO.46 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 mode. 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. Return the material and create a debit memo for the supplier.
B. You have to cancel the Invoice and send the material back without changing the ownership.
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.
Answer:

NO.47 Identify two statements that are true about the cost-organization relationship.
A. Only inventory organizations belonging to different item Master Organizations can be part of
a cost organization.
B. The inventory organizations that are assigned to a cost organization must all belong to the
same legal entity.
C. Costing Item Validation Organization can only be item Master Organization of the underlying
inventory organizations.
D. Costing Item Validation Organization is used to default the Unit of Measure for costing
calculations.
Answer:

NO.48 For an Item to be enabled for back-to-back order process, which attribute do you need
to set?
A. Organization attribute: Allow Back to Back Processing
B. Item attribute: Reservations Enabled
C. Organization attribute: Allow Reservations
D. Item attribute: Back-To Back Enabled
E. Item attribute: Allow purchase orders off of sales orders
Answer:

NO.49 Material is transferred between two subinventories within an organization via transfer
order. The setup is complete and the transfer order is created through the FBDI process.
What is the primary interface data that needs to be completed in the template?
A. CST_I_INCOMING_TXN_COSTS
B. INV_TRANSACTIONS_lNTERFACE
C. INV_SERIAL_NUMBERS_INTERFACE
D. INV_SUBINVENTORY_TRANSFER
E. INV_TRANSACTION_LOTS_INTERFACE
Answer:

NO.50 You have orders that were due for shipping last week, but as of now they have not been
shipped. Which dashboard should you check at the end of the day to determine which orders
have been shipped?
A. Past Due, Not Completed
B. Past Due Shipments
C. Due Today, Not Completed
D. Past Due, Completed Today
E. Orders Completed in Full
Answer:

NO.51 What three Key Performance Indicators are available in the Warehouse Operations
Dashboard?
A. Inventory Value
B. Cycle Count
C. Shipment Value
D. Exact Matches Rate
E. Distributed Value
F. Hit or Miss Accuracy
Answer:
NO.52 Your client has not been managing Supply Request Exceptions on a regular basis.
What issue does this cause?
A. After the errors reach a set threshold in profile options, no new supply requests can be
created
B. If exceptions are not resolved within a set threshold days, it alerts the manager and
continues to escalate up the Supply Request Exception Chain.
C. Supply orders are not created for these exceptions, thus causing disruptions in the Supply
Chain.
D. No issues would be caused; these are just warnings.
E. The request will be denied automatically if not resolved within two days.
Answer:

NO.53 What does the system do if you have not entered a count for a tag during physical
inventory process?
A. It will consider the current system quantity.
B. Any adjustment will be rejected.
C. You will not be able to post without a quantity for every tag.
D. It will adjust your on-hand balances down to zero quantity.
E. A warehouse person will be notified.
Answer:

NO.54 Which two options constitute the rights and responsibilities of a Legal Entity?
A. Facilitate resource allocation
B. Own property
C. Account for themselves to regulators, taxation authorities, and owners according to rules
specified in the relevant legislation
D. Create opportunities for new business
E. Manage warehouses
Answer:

NO.55 Your organization is planning for a periodic counting of individual items automatically
throughout the course of the year. As part of this activity, the user has loaded items to the cycle
count but some of the Items are not being considered when count schedules and count
sequences are not generated.
Identify two reasons that explain why the items are not being considered.
A. The Cycle Count Enabled flag is not selected for the item.
B. The approval controls are not set up.
C. The Include in Schedule option is not selected to include the item for auto-scheduling.
D. The Cycle Count Enabled flag is not selected for the inventory organization.
E. The ABC assignment group is not defined.
Answer:

NO.56 Identify the correct movement request where the move orders are preapproved
requests for subinventory transfers that bring material from a source location to a shipment
staging subinventory within the organization.
A. Pick Wave Movement Request
B. Shipping Movement Request
C. Replenishment Movement Request
D. Automatic Movement Request Requisitions
E. Movement Request Requisitions
Answer:

NO.57 Identify a valid reason for a Collector being unable to enter a dispute against a
particular transaction.
A. The transaction date falls in a closed period.
B. The invoice is not closed.
C. The transaction type is not associated with a credit memo type.
D. The transaction is partially paid.
E. The transaction is an invoice.
Answer:

NO.58 You are currently implementing Oracle Cloud for the Singapore entity of your
Multinational customer. Their head office is located in Japan. Apart from Singapore, their other
entities are using a legacy system.
Their requirement is to implement Oracle Cloud in such a way that at the end of the financial
year, all their financial reporting should be in Japanese Yen.
How will you fulfill the above requirement?
A. Define two ledgers one in SGD (Singapore Dollars) and one in Japanese Yen and transfer data
of all the subledgers in these two primary ledgers.
B. Define one primary ledger with Japanese Yen currency so that all the subledger data gets
converted to Japanese Yen automatically.
C. This requirement cannot be fulfilled.
D. Define one primary ledger with SGD (Singapore Dollars) as primary currency and use the
reporting currency functionality to provide the necessary data in Japanese Yen currency.
Answer:

NO.59 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. Currency, Description, and Accounting Method
B. Chart of Accounts, Accounting Calendar, and Currency
C. Chart of Accounts, Description, and Accounting Method
D. Chart of Accounts, Ledger Balance, and Accounting Method
Answer:

NO.60 While negotiating the terms of the consignment agreement, the buyer and the supplier
mutually agree to set the aging onset point as receipt and the aging period as five days. The
terms also say that the consumption advice will be generated daily.
In which three scenarios will the goods be transferred from the supplier's ownership to buyer's
ownership?
A. You received the goods today and after three days you transfer the ownership using the
"create transfer to consigned transaction" task.
B. You received the goods today and you decide to issue the goods after three days without
transferring the ownership.
C. You received the goods today and for the next one week you do not plan any action on the
same.
D. You received the goods today and after four days you return the material to the supplier.
E. You received the goods today and after six days you decide to transfer the ownership using
the "create transfer to consigned transaction" task.
F. You received the goods today and you transfer the ownership using the "create transfer to
owned transaction" task.
Answer:

NO.61 You need to load on-hand balances for go live. Which template should be used for this?
A. InventoryMiscellaneousTrxTemplate.xlsm
B. InventoryTransactionImportTemplate.xlsm
C. InventoryBalanceImportTTemplate.xlsm
D. InventoryReservationImportTemplate.xlsm
E. InventoryOnHandBalanceTemplate.xlam
Answer:
NO.62 Your organization has lot controlled and nonlot controlled material and stores all
defective material in a subinventory called "Defect." The organization does not want defective
material to be available for reservations or for subsequent shipping to customers.
Which option satisfies this requirement?
A. Tag the lot as defective product.
B. Assign the lot a material status that disallows reservations and allows subinventory transfers
and issues to scrap.
C. Put a hold on the lot.
D. Disallow all inventory transactions for the subinventory "Defect".
E. Assign the subinventory a material status that disallows reservations and Allows
subinventory transfers and issues to scrap.
Answer:

NO.63 You have an organization that runs both its domestic and international business from
the same offices.However, the organization does not want the domestic side of the business to
be able to transact on the International side, even though they are selling the same material.
How do you configure your enterprise to meet this requirement?
A. Use data access security to separate what each customer can control.
B. Set up the domestic and International businesses as separate projects.
C. Set up the domestic and International businesses as separate cost centers.
D. Set up the domestic and International businesses as separate operating units.
E. Set up the domestic and International businesses as separate business units.6
Answer:

NO.64 During Cloud Inventory implementation your customer requires you to enable the
Oracle Transactional Business Intelligence (OTBI) KPI to review the list of standard reports
which is useful for their Current business scenario. When navigating to reports and analytics,
the warehouse dashboard doesn't show any KPI watchlist. Identify two causes.
A. Supply Chain and Order Management Business Intelligence Analytics is not enabled.
B. Logistics Business Intelligence Analytics is enabled.
C. Organization is not enabled for warehousing.
D. Data permissions for the organization being referenced are not set up.
E. Logistics Business Intelligence Analytics is not implemented.
Answer:

NO.65 Which three types of Jurisdictions should be considered while designing the Enterprise
Structure?
A. Local Jurisdiction
B. Identifying Jurisdiction
C. Labor Jurisdiction
D. Obligatory Jurisdiction
E. Income Tax Jurisdiction
F. Transaction Tax Jurisdiction
Answer:

NO.66 Your customer wants to transfer material from facility A to facility B.

They are using the interorganization transfer to perform the transaction in the system.
Their requirement is "whenever material is transferred from their facility A to facility B, facility
B needs to pay 5% additional amount to the current Item cost." Which task must be set up to
accomplish this requirement?
A. Manage Cost Plus Pricing
B. Manage Interorganization Markup
C. Manage Cost Organization Relationships
D. Manage Transfer Pricing Rules
E. Manage Organization Relationships
Answer:

NO.67 Your customer is managing a large sales team divided in two different geographies in
the USA. They have the East Coast sales team and the Central sales team. Both teams are
handled by one manager and perform the same function. You customer wants to track the
expenses of the two teams separately; however, they do not consider them different as they
are handled by one manager only.
How will you fulfill the requirement?
A. Define them as a single department and two separate cost centers.
B. Define them as two separate departments and a single cost center.
C. It is not possible to fulfill the requirement.
D. Define them as one department and one cost center.
Answer:

NO.68 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 Canada procurement business unit serves as
procurement and payables service provider for only Canada requisitioning Business Unit
B. BU1: USA - as procurement and requisitioning Business Unit (BU)
BU2: Canada - as requisitioning Business Unit
Define Service provider relationship where Canada procurement business unit serves as
procurement and payables service provider for Canada Requisitioning Business Unit
C. 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
D. 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 only Canada requisitioning Business Unit
Answer:

NO.69 A third-party Service equipment is used for various purposes in a manufacturing facility
and needs to be overhauled once a year. This equipment is charged based on its consumption
without a project dependency.
At this point, it should be transferred out to the vendor's warehouse for maintenance and then
returned back in the future depending upon the requirement.
The material stock transfer should happen with an offline approval and with an account alias as
a logical reference.
What is the ideal way to handle this process?
A. Subinventory Transfer
B. Transfer Order
C. Move Request
D. Miscellaneous Transaction
E. Requisitions
Answer:

NO.70 In the Back-to-Back (B2B) Order to Cash flow, ordered items are purchased from a
supplier. The Sourcing Rules have been defined for the item and the buy flow has been
initiated. The sales order line is shown as Awaiting Shipping and the supply line status is "In
Purchasing" with the supply order generated but the purchase requisition not generating.
What is the reason?
A. Supply order is generated with exceptions.
B. Preparer is not valid.
C. The Sourcing rule is incorrect.
D. No Blanket Purchase Agreement (BPA) exists for this supplier-item combination.
E. Buy requests originate from Order Management.
Answer:

NO.71 Reorder quantities for an item subinventory are calculated using Fixed Lot Multiple and
Round Order Quantity. Assume that the reorder quantity is 24 and you specify 10 for the fixed
lot multiple and enable rounding the reorder quantity.
What will be the reorder quantity?
A. 30
B. 24
C. 25
D. 20
Answer:

NO.72 What are two outcomes when a lot expires on an item with lot control enabled?
A. It cannot be reserved for a date beyond the expiration date.
B. It is not included in cycle counts.
C. It cannot be transacted.
D. It remains in inventory, but is not considered on-hand when the user is performing min-
max or reorder point planning calculations.
E. It is issued out of stores.
Answer:

NO.73 Your company has multiple inventory organizations where goods are transferred
internally. A user has created a new organization but the new organization is unavailable when
creating an interorganization transfer.
What is the missing setup?
A. The source and destination organization doesn't belong to the same legal entity.
B. Inventory organization data access for users is not set up.
C. The destination organization transfer type is In Transit.
D. Interorganization Parameters are not set up between the organizations.
Answer:

NO.74 Identify three statements that are true about reservations in back-to-back processing.
A. One reservation is created for a demand and supply.
B. Reservation supplies that can be reserved are Purchase Orders. Transfer Orders, Work
Orders, and On Hand inventory.
C. Reservations cannot be created for back-to-back On Hand supply orders.
D. Partial fulfillment of reservations is supported.
E. Changes to reservation in Oracle Logistics Cloud leads to exceptions, which are displayed in
the Supply Chain Orchestration work area.
Answer:

NO.75 Your client wants the purchasers to be able to run the min-max plan for items under
their control and then manage the POs created out of these.
Which parameters can they use to be able to do this?
A. Sort by
B. Planning Level
C. From Buyer to Buyer
D. From Item to Item
E. From Planner to Planner
Answer: