1z0-1055-24 Oracle Financials Cloud: Payables 2024 Implementation Professional Questions and Answers

Task 1: Create an Expense Report Template for the US1 Business Unit

The following configurations need to be implemented:

✔ Effective Start Date: The current date.✔ Hotel Expense Type: Requires itemization with Internet, Room Rate, and Dinner.✔ Expense Type: Associated with the respective GL account.✔ Card Expense Type Mapping: Not enabled.✔ Receipts Policy: Users can indicate missing receipts, and a warning should be displayed.✔ Expense Fields: All fields should be optional.

Step-by-Step Solution

Step 1: Navigate to Expense Report Templates

Log in to Oracle Financials Cloud with the Expense Manager or Financial Administrator role.

Navigate to Setup and Maintenance.

In the Search Bar, type "Manage Expense Report Templates".

Click on Manage Expense Report Templates.

Step 2: Create a New Expense Report Template

Click Create New Template.

Enter the following details:

Name: "US1 Business Unit Expense Report"

Business Unit: US1 Business Unit

Effective Start Date: (Set to current date)

Enable for Use: ✔ (Check this box)

Click Save.

Step 3: Define the Expense Type – Hotel with Itemization

Navigate to the Expense Types tab.

Click Add Expense Type.

Enter the following details:

Expense Type Name: "Hotel"

Expense Category: "Lodging"

Requires Itemization: ✔ (Check this box)

Under Itemization, click Add Itemization Categories:

Internet

Room Rate

Dinner

Click Save.

Step 4: Associate Expense Types with GL Accounts

Click on Edit Expense Type "Hotel".

Go to the Accounting section.

Select the appropriate GL Account for lodging expenses.

Repeat this process for other required expense types.

Click Save and Close.

Step 5: Disable Card Expense Type Mapping

Navigate to the Corporate Card Expense Mapping tab.

Ensure the "Enable Corporate Card Mapping" checkbox is unchecked.

Click Save.

Step 6: Configure Receipts Policy

Navigate to the Receipts tab.

Under Receipt Handling, set:

Company Policy: Employees must provide receipts.

Allow users to indicate missing receipts? ✔ (Check this box).

Action for Missing Receipts: Raise a Warning (so that expense submission is not blocked).

Click Save.

Step 7: Set Expense Fields as Optional

Navigate to the Fields Setup tab.

Ensure all Expense Fields are set to Optional.

Click Save and Close.

Step 8: Validate and Activate the Template

Review all configurations.

Click Submit and Activate.

Run the Validate and Deploy Expense Templates process to ensure all settings are applied.

Step 9: Testing the Expense Report Template

Simulate an Expense Report Submission:

Select Hotel Expense and enter details.

Verify if the system requires itemization (Internet, Room Rate, Dinner).

Submit without a receipt to check if a warning is displayed.

Ensure all fields remain optional.

Verify no corporate card expense mapping applies.

Expected Outcome:

✔ The Expense Report Template is successfully created for US1 Business Unit.✔ Hotel expenses require itemization into Internet, Room Rate, and Dinner.✔ Receipts are required, and a warning is displayed for missing receipts.✔ GL Account mapping is correctly applied to each expense type.✔ Card Expense Type Mapping is disabled.✔ All fields are optional, allowing flexible data entry.

Conclusion

By following these steps, we have successfully created and configured an Expense Report Template that meets all business requirements for the US1 Business Unit.

Step-by-Step Solution: Configuring Expense Policies by Expense Category in Oracle Financials Cloud

To implement the expense policy for meals in Oracle Financials Cloud, follow these steps:

Step 1: Navigate to the Expense Policies Setup

Log in to Oracle Financials Cloud with the appropriate Expense Manager or Financial Administrator role.

Go to the Setup and Maintenance work area.

Select Manage Policies by Expense Category (Task Name: Manage Expense Policies by Expense Category).

Select the US1 Business Unit to ensure the policy applies to the correct entity.

Step 2: Create or Update the Meal Expense Category

Under Manage Policies by Expense Category, locate or create the Meals Expense Category.

If the Meals category does not exist:

Click Create Expense Category.

Enter Category Name: "Meals".

Category Type: "Meals and Entertainment".

Save the entry.

Step 3: Define Expense Limits for Evening Meals

Select the Meals Expense Category and click Edit.

Navigate to the Policies and Limits tab.

Under Amount Limits, click Add New Rule.

Description: "Evening Meal Limit".

Limit Type: "Maximum Allowed Amount".

Limit Amount: Enter 30 USD.

Per: Select Day.

Apply to All Employees (since this applies regardless of role and location).

Location-Based Rules: Leave blank since it applies universally.

Click Save and Close.

Step 4: Enable and Activate the Policy

Ensure the policy is enabled by selecting the checkbox for Active.

Click Submit to finalize the configuration.

Run the "Validate and Deploy Expense Policies" process to apply changes.

Step 5: Testing the Policy

Simulate an Expense Report Submission:

Have an employee create a new expense report.

Select Meals as the expense category.

Enter an evening meal expense of 35 USD (which exceeds the policy limit).

Verify if a policy violation warning appears, restricting the claim to 30 USD.

Submit an expense of 30 USD and ensure no policy violation occurs.

Expected Outcome:

Employees can claim up to 30 USD per day for an evening meal.

Any claim above 30 USD triggers a policy violation warning.

The rule applies to all employees regardless of role and location.

Conclusion

By following the above steps, you successfully configure an expense policy for meals that limits evening meal claims to 30 USD per day. This ensures compliance with the company's expense management guidelines while streamlining the expense approval process in Oracle Financials Cloud.

TASK 2: CREATE EXPENSE ITEMS

We need to create expense items with the following requirements:

✔ Effective Start Date: Set to current date.✔ No tax implications.✔ Projects are not used.✔ Receipt and expense fields should match those from the expense report template created earlier.✔ Dinner expense item must be linked to the Meal policy created in the previous task.

Step-by-Step Solution: Configuring Expense Items in Oracle Financials Cloud

Step 1: Navigate to the Expense Items Setup

Log in to Oracle Financials Cloud as an Expense Manager or Financial Administrator.

Navigate to Setup and Maintenance.

In the Search Bar, type "Manage Expense Items".

Click on Manage Expense Items.

Step 2: Create Expense Items

Click Create New Expense Item.

Enter the following details:

Expense Item: Internet

Name: "Internet"

Expense Category: "Meals and Entertainment"

Effective Start Date: Current Date

Tax Classification Code: None (No tax implications)

Projects Used? No (Uncheck "Enable for Projects")

Receipt Required? Follow Template Policy

Expense Fields? Set as Optional

✔ Click Save and Close.

Expense Item: Room Rate

Click Create New Expense Item again.

Enter the following details:

Name: "Room Rate"

Expense Category: "Lodging"

Effective Start Date: Current Date

Tax Classification Code: None

Projects Used? No

Receipt Required? Follow Template Policy

Expense Fields? Set as Optional

✔ Click Save and Close.

Expense Item: Dinner (Linked to Meal Policy)

Click Create New Expense Item again.

Enter the following details:

Name: "Dinner"

Expense Category: "Meals and Entertainment"

Effective Start Date: Current Date

Tax Classification Code: None

Projects Used? No

Receipt Required? Follow Template Policy

Expense Fields? Set as Optional

Link to the Meal Policy Created Earlier:

Navigate to Expense Policies.

Select the previously created Meal Policy.

Ensure that Dinner Expense Item is associated with this policy.

Set Limit Type: Warning Only (if applicable).

✔ Click Save and Close.

Step 3: Validate and Confirm the Expense Items

Review the created expense items.

Ensure that:

No tax classification codes are applied.

Projects are disabled.

Receipt and expense fields match those in the Expense Report Template.

Dinner Expense Item is correctly linked to the Meal Policy.

✔ Click Submit and Activate.

Step 4: Test the Expense Items

Simulate an Expense Report Submission:

Select Internet, Room Rate, and Dinner as expense types.

Enter sample amounts.

Ensure that:

No tax implications appear.

Projects field is disabled.

Receipt rules match the Expense Report Template.

A warning is displayed if the Dinner Expense exceeds the Meal Policy limit.

Expected Outcome:

✔ Expense items are successfully created.✔ No tax implications are applied.✔ Projects are not enabled.✔ Receipts and expense fields match the template.✔ Dinner expense item is linked to the Meal Policy and displays a warning if the limit is exceeded.

Conclusion

By following these steps, we have successfully created expense items that comply with all business requirements.

Comprehensive and Detailed In-Depth Explanation:

Managing incomplete invoices is crucial to ensure a smooth period close process in Oracle Financials Cloud. As a Payables Supervisor, you have specific tools and reports at your disposal to identify and address these incomplete supplier portal invoices:

Query Invoices on the Manage Invoices Page (Option C):

Purpose: The Manage Invoices page allows you to search and view all invoices within the system. By applying filters such as status (e.g., "Incomplete") and source (e.g., "Supplier Portal"), you can identify invoices that are incomplete and originated from the supplier portal.

Action Steps:

Navigate to the Manage Invoices page.

Use the search filters to specify criteria:

Status: Set to "Incomplete".

Source: Set to "Supplier Portal".

Review the filtered list to identify invoices that require cancellation.