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NEW QUESTION: 1
A. Option A
B. Option B
C. Option C
Answer: A
NEW QUESTION: 2
Which "market characteristic" includes reducing costs by using suppliers in low cost countries where risk is greater in currency fluctuations?
A. Global sourcing
B. Number of qualified suppliers
C. Capacity constraints
D. Price Uncertainty
Answer: A
Explanation:
The "Global sourcing" "market characteristic" includes reducing costs by using suppliers in low cost countries where risk is greater in currency fluctuations. "Capacity constraints" "market characteristic" includes markets where only a few suppliers produce a certain item or provide a service which is negatively impacted if one or more suppliers can no longer supply. "Price Uncertainty" "market characteristic" includes buying organizations that cannot accurately forecast price changes and need to engage in hedging. "Number of qualified suppliers" causes risk because there is a smaller pool of qualified suppliers if the organizations good or service is specialized.
NEW QUESTION: 3
Your customer has a large number of legal entities. The legal entity values are defined in the company segment and the primary balancing segment. They want to easily create eliminating entries for the intercompany activity.
What should you recommend?
A. Define an intercompany segment and qualify it as the second balancing segment to make sure all entries are balanced for the primary balancing segment and intercompany segment.
B. Define an intercompany segment in the chart of accounts. The Intercompany module and the intercompany balancing feature in general ledger and sub ledger accounting will automatically populate the intercompany segment with the balancing segment value of the legal entity with which you are trading.
C. There is no need to define an intercompany segment. You can track the Intercompany trading partner using distinct intercompany receivable/payable natural accounts to identify the trading partner.
D. There is no need to define an intercompany segment, the Intercompany module keeps track of the trading partners for you based on the Intercompany rules you define.
Answer: C