Financial Closing Quiz 2- (Book 4)

You do not have to assign an accounting principle to an FI valuation area to post foreign currency valuations to different ledgers.

True

False

To which object do you assign a valuation methods?

Valuation procedure

Account assignment

Accounting principle

Valuation area

Which of the following are true regarding foreign currency valuation? (three correct)

It is executed before creating financial statements

It can include general ledger balance sheet accounts

It can include open item accounts

It must be reversed in the next period

It posts to the reconciliation account found on the BP master record

Which of the following are value adjustment types for receivables? (three correct)

Accrual/deferral posting

Individual value adjustment with a special GL transactions

Flat rate adjustment

Foreign currency valuation program

Flat rate individual value adjustment

The value adjustment key contains the percentage and overdue period, and must be assigned to a BP customer if you want to include them in the value adjustment posting.

True

False

You cannot change the reconciliation account in the customer or vendor master record during a fiscal year.

True

False

The following are reasons you might regroup receivables and payables: (three correct)

To display their balance correctly on the balance sheet

To calculate the amount of doubtful receivables

To group them according to their remaining life (term)

To post the realized exchange gain

To create adjustment postings if reconciliation accounts have been changed on a customer or vendor master record

Foreign currency valuation can use the periodic post and reverse method, or the delta posting logic.

True

False

You must define account determination for foreign currency exchange gains and losses.

True

False

Financial Closing Quiz 2- (Book 4)

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