1Z0-1060-26 practice question 1 of 15

Your client, a banking organization, is currently using different transaction systems to take care of various types of loans, including vehicle…

Full set: 80 questions
Your client, a banking organization, is currently using different transaction systems to take care of various types of loans, including vehicle loans, personal loans, education loans, and housing loans. You recently uploaded the source system data that includes Loan Origination, Loan Interest Accrual, Loan Scheduled Payment, Loan Interest Adjusted, Loan Late Payment, and Loan Charge Off as event types. Now the customer has asked you to add another transaction type called Loan Interest Accrual Reversal. What should be your response to the customer?
Answer options
A: The source system should be registered again by including the Loan Interest Accrual Reversal event type.
B: A new transaction type cannot be added after the source system is registered.
C: Loan Interest Accrual Reversal can be added as a new event type from the user interface. Correct answer
D: Loan Interest Accrual Reversal can be added as a new event type by using the update spreadsheet template.
Correct Answer:
C. Loan Interest Accrual Reversal can be added as a new event type from the user interface.
Explanation

Oracle Accounting Hub is designed to be flexible and accommodate evolving business needs. After a source system is registered, its definition is not frozen. New components, such as event types, can be added to existing event classes. This can be done directly through the Setup and Maintenance work area using the "Manage Event Types" user interface page. This allows administrators to extend the accounting model without having to re-register the entire source system, ensuring a seamless update process for new transaction types.

Why Incorrect

A. The source system should be registered again by including the Loan Interest Accrual Reversal event type: Re-registering a source system is a disruptive process and is not the standard or required procedure for adding a new event type.
B. A new transaction type cannot be added after the source system is registered: This is incorrect. The Accounting Hub framework is designed to allow for such modifications and extensions after the initial setup.
D. Loan Interest Accrual Reversal can be added as a new event type by using the update spreadsheet template: While using a spreadsheet is a valid method for managing configurations, adding a single event type can also be done directly and more simply via the user interface. Option C is also a correct and direct method.

References

1. Oracle Fusion Cloud Financials, Implementing Subledger Accounting, 23D, Chapter 4: Event Model. "Manage Event Types: Use the Manage Event Types page to create and update event types for an event class. You can add event types to both predefined and user-defined event classes."

2. Oracle Fusion Cloud Financials, Implementing Subledger Accounting, 23D, Chapter 4: Event Model. "You can add event types to an existing event class at any time."

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