1z0-1005 Free Practice Test

Which two setups are required to ensure the same tax is applied on both intercompany payable and receivable invoice?

1. A. Payable options are receivable system options should have same tax application options.
2. B. Tax for inter-company is to be loaded using Create Taxable Transactions in Spreadsheet.
3. C. First enter Payable transaction to calculate tax and then for Receivable Transaction.
4. D. You should check if any specific rules defined should cover both Sales_transaction and purchase_transaction business category.
5. E. Ensure that both the receiver and provider business units and legal entities are subscribed to the applicable tax regime on the transaction date.

Correct Answer: CE

When reviewing installments, what setup is required to override the supplier site on an invoice?

1. A. Allow the remit-to supplier override for third-party payments at Manage Payment options.
2. B. Allow payee to override for third-party payments while Manage Invoice options.
3. C. Allow the remit-to supplier address override for third-party payments at Manage Invoice options.
4. D. Allow the remit-to supplier override for third-party payments at Manage Invoice option

Correct Answer: D

Which invoice types can be included in the Create Payment flow?

1. A. Standard, Credit Memo and Debit Memo
2. B. Standard, Credit Memo, and Invoice Request
3. C. Standard, Credit Memo and Customer Refund
4. D. Standard, Debit Memo and Customer Refund

Correct Answer: A

Identify three scenarios where you are not allowed to cancel an invoice.

1. A. An accounting entry has been created for the invoice.
2. B. Prepayments were applied to the invoice.
3. C. The invoice was adjusted by a credit or a debit memo.
4. D. The invoice is validated.
5. E. The invoice is fully or partially pai

Correct Answer: BCE

You are using the Payable’s Deferred Expense feature (also known as Multiperiod Accounting). You have entered an invoice for a three-month lease that is entered on Jan 10th. The total expense is $12,000 and it covers the rental period from Jan 1st to Mar 31st.
Assuming that the rental expenses are split evenly per month and a monthly accounting calendar is used, what would the accounting entry be?

1. A. On Jan 10th, Debit Prepaid Expense 12,000 and Credit Liability for 12,000and thenOn Jan 31st, Debit Rental Expense for 4,000 and Credit Prepaid Expense for 4,000On Feb 28th, Debit Rental Expense for 4,000 and Credit Prepaid Expense for 4,000On Mar 31st, Debit Rental Expense for 4,000 and Credit Prepaid Expense for 4,000
2. B. On Jan 10th, Debit Prepaid Expense 12,000 and Credit Liability for 12,000
3. C. On Jan 31st, Debit Rental Expense for 4,000 and Credit Prepaid Expense for 4,000On Feb 28th, Debit Rental Expense for 4,000 and Credit Prepaid Expense for 4,000
4. D. On Mar 31st, Debit Rental Expense for 4,000 and Credit Prepaid Expense for 4,000On Jan 10th, Debit Prepaid Expense for 12,000 and Credit Liability for 12,000

Correct Answer: A