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1z1-986 PDF DEMO:

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

QUESTION NO: 2
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 Centers, Organizations, and Locations
C. Cost type, Default Cost Structure, and Item Organization
D. Warehouse, Subinventory, and Locators
Answer: B

QUESTION NO: 3
Which statement is false about generating an Internal Material Transfer for expense destination Transfer Order?
A. 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.
B. Costs for Lot and serial numbers are tracked at put away time when the items are recorded in a destination inventory location.
C. Cost Management will pick up the delivery transaction directly from Receiving and process the expense accounting from that transaction.
D. 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.
Answer: C

QUESTION NO: 4
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 legal entity and ledger
B. 1 Enterprise, 10 Divisions, where each division has its own ledger with common legal entity across all divisions
C. 10 Enterprises, 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: A

QUESTION NO: 5
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. The system will ask a user to recount 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. An approval will be required before posting.
Answer: C

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Updated: May 28, 2022