Oracle Inventory Cloud 2020 Implementation Essentials (1Z0-1073-21) Free Practice Test

Question 1

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 areselling the same material.
How do you configure your enterprise to meet this requirement?

A. Set up the domestic and international businesses as separate cost centers.

B. Use data access security to separate what each customer can control.

C. Set up the domestic and international businesses as separate projects.

D. Set up the domestic and international businesses as separate business units.

E. Setup the domestic and international businesses as separate operating units.

Correct Answer: D

Question 2

What are two outcomes when a lot expires on an item with lot control enabled?

A. It cannot bereserved for a date beyond the expiration date.

B. It remains in inventory, but is not considered on-hand when the user is performing min-max or reorder point planning calculations.

C. It is issued out of stores.

D. It is not included in cycle counts.

E. It cannot be transacted.

Correct Answer: A,B

Question 3

Which three statements are true regarding Managing Units of Measure? (Choose three.)

A. A unit of measure conversion is a mathematical relationship between two different units of measure.

B. A unit of measure standard conversion specifies the conversion factor by which the unit of measure is equivalent to the unit of measure class.

C. You must define Unit of measure class with a base unit of measure.

D. If you want to transact items in units of measure that belong to classes other than their primary UOM class, you must define conversions between the base units of measure in different UOM classes.

E. Conversions between classes are unique for each item, the conversion rate varies for intraclass unit of measure.

Correct Answer: A,B,D

Question 4

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. 20

C. 25

D. 24

Correct Answer: A

Question 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 warehousein 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 USAthat 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 payablesservice 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 Canada procurement business unit serves as procurement and payables service provider for only Canada requisitioning Business Unit

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 both Canada and USA requisitioning Business Units

Correct Answer: D

Question 6

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 transfer the ownership of item and perform the return transaction.

B. You cannot return consigned items that are invoiced and paid. Treat the material as scrap.

C. You have to cancel the invoice and send the material back without changing the ownership.

D. Return the material and create a debit memo for the supplier.

Correct Answer: D

Question 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 thesame inventory organization.
Which serial control setting must be used to meet this requirement?

A. Unique within Item and organization

B. Unique across Enterprise

C. Unique across organizations

D. Unique within items

E. Unique within organization

Correct Answer: E

Question 8

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.
Thematerial 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. Requisitions

C. Miscellaneous Transaction

D. Move Request

E. Transfer Order

Correct Answer: C

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Oracle Inventory Cloud 2020 Implementation Essentials (1Z0-1073-21) Free Practice Test