1Z0-1160-1 practice question 2 of 10

Which two features are part of Oracle Fusion Cloud ERP's Tax Reporting module?

Full set: 53 questions
Answer options
A: Automated tax calculations Correct answer
B: Supplier invoice validation
C: Employee expense tracking
D: Compliance with global tax regulations Correct answer
Correct Answer:
A. Automated tax calculations; D. Compliance with global tax regulations
Explanation

Oracle Fusion Cloud ERP's Tax engine and reporting repository provide a centralized framework for managing indirect and transaction taxes across global operations. Key features include automated tax calculations across procurement and sales transactions based on flexible, regime-to-rate tax rules, alongside ensuring strict compliance with global tax regulations through standardized audit reports and tax authority filings. The system evaluates geographic, party, and product tax attributes to automatically determine tax applicability, tax rates, and recoverability. Supplier invoice validation is managed by Payables, and employee expenses are processed in Oracle Expenses, leaving automated tax determination and regulatory reporting as the core tax module features.

Why Incorrect

Option B: Supplier invoice validation is handled by Accounts Payable to verify invoice matching, tolerances, and holds.
Option C: Employee expense tracking and policy enforcement are managed in the Oracle Fusion Expenses module.

References

Oracle Financials Cloud Implementing Tax, Section: "Overview of Oracle Tax Engine Architecture".

Oracle Fusion Cloud Financials Documentation, Using Tax, Section: "Tax Reporting and Global Compliance".

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