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Oracle Cost Management Cloud 2023 Implementation Essentials Sample Questions:

1. You have just finished modifying an accounting method. What is the final step to complete the accounting method configuration?

A) Transfer transactions from Receiving to Costing.
B) Create Accounting.
C) Transfer costs to Cost Management.
D) Activate its journal entry rule set assignments.
E) Execute the Preprocessor.

2. After "Cost Accounting Processor" has processed the physical inventory classification of transactions which transaction types will it process next?

A) Overhead
B) In-transit
C) Adjustments
D) Cost of Goods Sold
E) Retro-reprice

3. Identify four characteristics of a cost element.

A) It is the most granular level of cost captured by upstream systems such as procurement, accounts payable, and manufacturing.
B) The mapping of cost components into cost elements is user-defined.
C) Users can define any number of cost elements.
D) It is user-defined.
E) It is the granularity at which costs are tracked and accounted.
F) It uses date effectivity.

4. You have configured the application as follows:
* Expense items are set to accrue at receipt.
* Receipt Close tolerance is set to 75 percent.
* Purchasing Line types are set to 2-way match.
When you create a purchase order, the Accrue on Receipt check box is automatically selected when a line is added.
Which two configurations changes will ensure the Accrue on Receipt check box is not selected by default?

A) Change the Receipt Close tolerance so it is 100 percent.
B) Change the Purchasing Line types to 4-way match.
C) Change expense items to accrue at period end.
D) Change the Purchasing Line types to 3-way match.
E) Change inventory items to accrue at period end.

5. Identify the four types of cost adjustments.

A) A retroactive purchase order price adjustment can cause an adjustment to the inventory value and the cost of goods sold.
B) A revenue recognition event, which in turn triggers a cost of goods sold recognition event, can cause a cost adjustment.
C) When a supplier invoice is processed in accounts payable, it can cause an adjustment to the inventory value and the cost of goods sold if the amounts processed for payment are different from the estimated amount on the purchaseorder.
D) A standard cost update will create an inventory value adjustment.
E) A change to a requisition after the purchase order has been created will create a cost adjustment.
F) Authorized users can manually create cost adjustments.

Solutions: