1Z0-1005 Online Practice Questions and Answers

Certain suppliers that your customer regularly deals with are exempt from tax. How would you configure tax for this?

A. Enable the relevant suppliers for Offset Tax and create an Offset Tax to remove the calculated tax line from these suppliers.

B. Define a Tax Status and Rate for Exempt, define a Party Fiscal Classification of Exempt, assign it to the relevant suppliers, and write a rule to incorporate the exempt Party Fiscal Classification.

C. Create a new Tax Regime for the Exempt tax and subscribe the exempt suppliers to the tax regime on the Configuration Options tab.

D. Define a Tax Status and Rate for Exempt, define a Supplier Fiscal Classification of Exempt, assign it to the relevant suppliers, and write a rule to incorporate the exempt Supplier Fiscal Classification.

You have invoices with distributions across primary balancing segments that represent different

companies.

What feature should you use if you want the system to automatically balance your invoice's liability amount

across the same balancing segments on the invoice distributions?

A. Payable's Automatic Offset

B. Intercompany Balancing

C. Subledger Accounting's Account Rules

D. Suspense Accounts

E. Payables' Allow Reconciliation Accounting

You have successfully processed the expense reports for reimbursement and have transferred the information to Payables. What is the next step before you can pay them?

A. Transfer the data to General Ledger.

B. Validate the invoice in Payables.

C. Create a payment process request in Payments.

D. Create Accounting for the invoice in Payables.

In what order should the import process be run when importing suppliers?

A. Supplier, Supplier Site Contacts, Supplier Site, Supplier Site Assignment

B. Supplier, Supplier Address, Supplier Site, Supplier Site Assignments

C. Supplier, Supplier Site Assignment, Supplier Site, Supplier Contacts

D. any order

During your business trip to the UK, you took a taxi ride and paid for it by using your personal Visa credit

card. While entering your expenses, you get a warning that a different conversion rate was applied to the

taxi expense by Visa that the one used by your company.

How do you handle this situation?

A. Do not enter the taxi expense and call your Finance Department so that they can make changes in the conversion rate settings and you do not violate the allowable limit.

B. Call Visa to address the issue and tell them to make adjustments to their conversion rate. Then, wait to get a revised statement.

C. Overwrite the conversion rate with the one Visa provided and enter a justification that Visa used a different conversion rate.

D. Use the corporate-defined conversion rate even if it means you will not be reimbursed fully.

Which three are attributes that are recognized by Invoice Imaging? (Choose three.)

A. Terms Date

B. Payment Method

C. Invoice Date

D. PO Number

E. Invoice Number

Select three reasons why you cannot close your Payables period. (Choose three.)

A. open intercompany transactions

B. unapplied prepayments

C. suppliers on payment holds

D. bills payable requiring maturity

E. unaccounted invoices and payments

An installment for $2,000 USD is due for payment on July 31, 2018. The installment has two discounts: the first discount date is June 15, 2018 for $150 USD and the second discount date is June 30, 2018 for $50 USD.

You submit a Payment Process Request with the following criteria: Payment Date = June 20, 2018 Pay Through Date = July 30, 2018 Date Basis = Due Date

What will be the resulting status of the installment and discount?

A. The installment is not selected because the discount dates are before the Pay Through Date.

B. The installment is selected and no discount is applied.

C. The installment is not selected because the due date is after the Pay Through Date.

D. The installment is selected and a discount of $50 USD is applied.

E. The installment is selected and a discount of $150 USD is applied.

The Accounts Payable Manager voided a foreign currency payment due to insufficient funds. Which three statements are correct? (Choose three.)

A. All related interest invoices are reversed if previously created.

B. Any previous accounting and payment records for an invoice are reversed.

C. All related withholding tax invoices are automatically voided.

D. Any realized gain or loss previously calculated is reversed.

E. Voiding the payment automatically places an invoice on hold.

You have an invoice for a three-month lease and wish to recognize the expense monthly for the duration of

the lease.

What must be entered on the invoice in order to do this?

A. You must provide a start date and an end date for the prepaid expenses in the invoice lines or distributions.

B. You must provide a start date, an end date, and the accrual account for the prepaid expenses in the invoice lines or distributions.

C. You must provide a start date and the accrual account for the prepaid expenses in the invoice lines or distributions.

D. You must provide the accrual account for the prepaid expenses in the invoice lines or distributions.

You have created an approval rule as follows:

Rule 1: If the invoice amount > $1000, route it to User 1. Rule 2: If the invoice amount < $1000, auto approve it.

Now, the user creates an invoice for $1000 and routes it for approval. What will happen?

A. Invoice will not be processed.

B. The system will issue an error message after the approval has been initiated.

C. Invoice will be sent to User 1 for approval.

D. Invoice will be auto-approved.

An invoice for $200 USD and a credit memo for $225 USD are due for payment and the "Apply credits up to zero amount" option is enabled for the payment process request. Which statement is correct?

A. The payment process request pays only $200 USD alone.

B. The payment process request applies $200 USD of the credit memo to the invoice, leaving a remaining credit of $25 USD, and creates a payment for $0 USD.

C. The payment process request creates a refund for $225 USD and leaves the invoice unpaid.

D. The payment process request doesn't select the invoice or credit memo for payment because the credit reduces the payment to - $25 USD, which is below zero.

Before you can configure payment approval rules, your company must define a payment approval policy. Which three are done by the payment approval policy? (Choose three.)

A. It allows approvers to review payments and decide whether or not to approve a payment.

B. It defines criteria for triggering the payment approval process, such as payment amount, bank account, or pay group.

C. It defines a list of approvers who review payments and make final payment decisions.

D. It defines when to initiate the payment approval process.

E. It determines which payments must go through the payment approval process.

You are voiding a payment and have selected Cancel as the Invoice Action. After performing the void, you

notice the invoice is not cancelled but has an Invoice Cancel hold on it.

What is reason for this?

A. The invoice has been partially paid by another payment.

B. The invoice date is not in the current open period.

C. The invoice is already on hold.

D. The invoice accounting date is not in the current open period.

XYZ Supplier has third party relationships defined with ABC Supplier and ACME Corporation. However,

when reviewing the invoice installments for XYZ Supplier the payables specialist is unable to override the

remit-to supplier name and address on the Invoice installments.

What is the reason for this?

A. The option 'Allow remit-to supplier override for third-party payments' is not checked in the Invoice Options page for the business unit.

B. The option 'Allow remit-to supplier override for third-party payments' is not checked in the Common Options for Payables and Procurement page for the business unit.

C. The option 'Allow remit-to supplier override for third-party payments' is not checked in the Payment Options page for the business unit.

D. The option 'Allow remit-to supplier override for third-party payments' is not checked in the Disbursement System Options page for the business unit.