ASSET MANAGEMENT PROCESSS

The balance sheet is a statement that shows a company's financial position at a specific point in time.

Financial Accounting (FI) is concerned with recording the financial impacts of business processes as they
are executed.

1) _ _____ is concerned with recording the financial impacts of business processes

as they are executed.
A) Financial accounting (Fl) B) Controlling (CO)
C) Bank ledger accounting D) N one of the above

2) Which of the following is a key process in financial accounting?

A) Sales order processing B) Accounts receivable accounting
C) Credit management D) Income verification

3) Which process is used to manage money owed by customers for goods and
services purchased from the company?
A) Accounts receivable accounting B) Fixed asset accounting
C) Bank ledger accounting D) All of the above

4) _ _______ are internal divisions of an enterprise that are used to define areas of
responsibility or to meet the external reporting requirements of an enterprise
segment.
A) Cost centers B) Business area
C) Depreciation areas D) Sub- ledgers

5) Which term refers to an ordered listing of accounts that comprise a company's

general ledger?
A) General ledger B) Balance sheet
C) Chart of accounts (COA) D) Bank ledger

6) Which term represents what a company owns, such as cash, inventory of

materials, and buildings?
A) Liabilities B) Equity C) Assets D) Revenues

7) Which term represents what a company owes to others, including money owed
to vendors and loans from financial institutions?
A) Liabilities B) Equity C) Assets D) Revenues

8) Which term represents the monies a company earns by selling its products and
services?
A) Liabilities B) Equity C) Assets D) Revenues

9) Which term represents the costs associated with creating and selling products
and services?
A) Assets B) Expenses C) Liabilities D) Equity

10) Which element is a part of the typical company code data in general ledger
account?
A) Tax- related data B) Field status groups
C) Line item display D) All of the above

11) Which term is a general ledger account that consolidates data from a group of
related sub- ledger accounts?
A) Sub- ledger B) Reconciliation account
C) Line item display D) None of the above

12) Which of the following is used to implement multiple ledgers and use each
ledger for different purposes?
A) Financial accounting document B) Subsidiary ledger
C) Sub- ledger D) Parallel accounting

13) Which type of asset has a physical form?

A) Master asset B) Tangible asset C) Informal asset D) Intangible asset

14) Which type of asset has a non- physical form?

A) Intangible asset B) Master asset C) Tangible asset D) Informal asset
15) Which of the following is used to report data needed to meet legal and
regulatory requirements?
A) Assets B) Equity C) Tangible document D) Financial statement

16) Which of the following is not a mode of acquiring an asset for a company?
A) Acquiring internally via the production process
B) Acquire from a vendor using the purchasing process
C) Acquire from a vendor without using the purchasing process
D) Selling equipment

17) All of the following are transaction types that occur during the life of an asset
except
A) Acquisition B) Depreciation C) Allocation D) Retirement

18) Balance sheet accounts are grouped into which of the following categories?
A) Revenue B) Assets C) Liabilities D) Equity

19) An organization can possess which of the following types of assets?

A) Tangible B) Intangible C) Financial D) Economic

20) Tangible assets can include which of the following?

A) Computers B) Bonds C) Production Machinery D) Real Estate

21) W hat is true about a business area?

A) It is a internal division of an enterprise
B) It helps management monitor performance
C) It is used for external reporting
D) It is associated with one company code

22) Which of the following are types of chart of accounts?

A) Operative COA B) Country specific COA
C) Active COA D) Group COA

23) What does the COA data include?

A) Client segment B) Storage location segment
C) Plant segment D) Company code segment

24) Which attributes are present in the FI document items?

A) Amount B) Posting key C) Document type D) Currency
25) Which attributes are present in the FI document header?
A) Document type B) Posting date C) Currency D) Amount

26) When does a credit take place?

A) When assets and expenses decrease
B) When assets and expenses increase
C) When revenue and liabilities decrease
D) When revenue and liabilities increase

TRUE/FALSE. Write ʹTʹ if the statement is true and ʹFʹ if the statement is false.
27) Accounting processes are broadly divided into two main categories: Financial
accounting and management accounting
Answer: True False

28) Financial accounting (FI) is concerned with recording the financial impacts of
business processes as they executed.
Answer: True False

29) Management Accounting (CO) is intended primarily for audiences outside the
organization.
Answer: True False

30) The general ledger is used to record the financial impacts of business process
steps.
Answer: True False

31) A chart of accounts (COA) is an ordered listing of accounts that comprise a

companyʹ s general ledger.
Answer: True False

32) Liabilities are what the company owns, such as cash, land, and buildings.
Answer: True False

33) Account currency determines the currency in which all the transactions are
recorded.
Answer: True False

34) An increase in an asset account or an expense account results in a credit

posting.
Answer: True False
35) An increase in revenue or liability results in a debit posting.
Answer: True False
36) Accounts payable accounting is concerned with vendors. 36) ______
Answer: True False

37) Accounts receivable accounting is concerned with customers.

Answer: True False

38) Intangible assets are physical items such as buildings, machinery, and
computers.
Answer: True False

39) Tangible assets are non- physical items such as trademarks and patents.
Answer: True False

40) Reporting within financial accounting is divided into two categories:

generating financial statements and displaying account information.
Answer: True False

41) Which of the following documents are the transaction data that are generated
from procure-to-pay process?
Purchase requisition, Request for quotation, Quotation, Purchase order, Goods
receipt,Packing list, Invoice, Confirmation of payment.

42. In the procure-to-pay process, GBI receive invoice from supplier, before
making a payment, accounting departmentneed to verify which of the following
documents (also called three-way matching)
Invoice, Goods receipt, Purchase order

43. The information of pricing for the materials that are sold in sales order
(standard) is called: Conditions

44. All information to keep track the flow (including the status) of Sales &
Distribution is showned in: Document flow.

45. In the Sales & Distribution process, after post goods issue completed, outbound
delivery document will be transferred to: Billing due list
46. All information of delivery date, Shipped VIA, F.O.B. Point are: Terms of
Delivery.
47. The PO document is sent from buyer to seller, and the buyer is: GBI company.
48. Before sending the PO, the seller and buyer need to confirm about: Pricing
conditions of line items and orther conditions, Terms of Delivery, Terms of
Payment.
49. If any issues occur in the shipment between buyer and seller: The issue is borne
by the buyer, because ownership of material in the shipment legallytransfers to the
buyer.
50. XXX is the type of accounting for manager to control internal activities in
organization and make business decisions: Management accounting, Controlling
(CO).
51. The accounts A, B, C when changing the amount, will be sum up into the
account D. Account D is included in generalledger, but account A, B, C are not.
Account A is called: Sub-ledger account.
52. The accounts A, B, C when changing the amount, will be sum up into the
account D. Account D is included in generalledger, but account A, B, C are not.
Account D is called: Reconcilization account.
53. Which term refers to an ordered listing of accounts that comprise a company's
general ledger? Chart of accounts (COA)
54. Which of the following statements is CORRECT about the balance of financial
account: Assets = Liabilities + Equities.
55. The information of promotions, discounts, tax, charges ... of each material in
sales order is included in
Item Conditions

56. Which of the following documents is created to match with Schedule Line in a
Sales order?
Outbound delivery document.
57. After outbound delivery created, need to input:
Selection date for each schedule line of sales order.

58. Pick and Post are done in which of the following document?
Outbound delivery document.

59. n order to do the pick-up, need to input which of the following information?
The quantity of material needs to deliver, Plant, Storage location

After outbound delivery created and pick-up done, stock status of material changes
from Sales order to
Schedule for delivery

After post goods issue completed, which of the following documents is created
Goods Issue

In order to show the Billing due list, need to input which of the following
information?
Customer number

When an invoice is not paid completely, the invoice is called

Open item
Which of the following information is critical in a sales order
Line items & Terms of payment, Terms of delivery & Schedule lines, Terms of
pricing conditions

Which of the following stock status type is to show the current on-hand stock and
ready for sales
Unrestricted use

Which of the following documents affects FI after created

Goods issue, Invoice, Customer payment

To check any issue on the sales process, need to check from

Document flow

Which of the following key terms is represented for the amount of money made in
sales
Revenue

Which of the following accounts is not shown in balance sheet

Revenue

In the fulfillment process, creating the goods issue document has an impact on
which of the following general ledger accounts
The inventory account decreases and the cost of goods sold account increases

Which of the following statement is WRONG

Expenses are what the company owes to others, including money owed to vendors
andloans from financial institutions

In the fulfillment process, creating invoice has an impact on which of the following
general ledger
The revenue account increases and the accounts receivable account increases

The locate materials step, the prepare shipment step and the ship to customer step
belong to which of the followingbusiness process?
Fulfillment

The request materials step, the locate materials step and the issue materials step
belong to which of the following business process?
Production
Which of the following statements is WRONG?
The first data element in the COA segment is the account group, which groups
togetheraccounts with similar characteristics

The COA or client segment typically includes which of the following components?
Account group, Short text, Balance sheet or income statement account

The company code segment includes which of the following components?

Field status group, Tax related data, Account currency

The liquid assets include which of the following components?

Receivables, Cash/Bank, Prepaid expenses

Which of the following statement is WRONG?

Liabilities are what the company owns, such as cash, inventory of materials, land,
buildings,and money owed to the company by itscustomers (receivables).

Which of the following statements is WRONG about data in an enterprise system?

Data in an ERP system are used to represent the logical system.
The functions such as the production planning, the service or maintennance and the
creation of products and services areperformed in which of the following
organizational level?
Plant

Customer, vendor and material are example of which of the following types of data
in an ERP system?
Master data

Client is example of which of the following types of data in an ERP system?

Organizational data

Which of the following statement is WRONG?

Controlling [CO] documents record materials movements

Which of the following statement is WRONG?

Invoice can not be retrieved and displayed from the document flow.

Which of the following material types is mentioned in the below statement?"GBI

simply purchases the helmets from a supplier and resells them to its customers"
Trading goods
Tube, Seat kit, Frame and Handle bar are examples of which of the following
material types utilized by GBI?
Raw materials

Knee pads, Repair kit and Air pump are examples of which of the following
material types utilized by GBI?
Trading goods

Which of the following steps in order is WRONG about the procurement process?
Create and send purchase order → Receive invoice → Receive materials

The procurement process also referred to as which of the following?

Requisition-to-pay

Which of the following data are the additional organizational data and are relevant
to purchasing?
Purchasing group, purchasing organization, storage locations

Which of the following statement is CORRECT?

A plant can have multiple storage locations, each of which is designated for
different purposes.

Which of the following statement is CORRECT about Purchasing Organization

A purchasing organization is the unit within an enterprise that performs strategic
activitiesrelated to purchasing for one or more plants.

Cross-company code purchasing organization also referred to as which of the

following?
Enterprise-level purchasing organization

Which of the following statement is WRONG?

Purchasing groups are responsible for the strategic aspects of purchasing

Which of the following steps in order is WRONG about the procurement process?
Invoice verification → Goods receipt → Payment processing

The role of accounting process is to?

Record the financial consequences of the various process steps
Which of the following statement is WRONG?
Accounts receivables accounting is used to record the financial impacts of business
process steps.

Which of the following processes are the key processes in the financial accouting?
General ledger accounting; Accounts receivable accounting; Accounts payable
accounting;Asset accounting; Bank ledger accounting

An income statement is also known as

Profit and loss statement

The global GBI enterprise is represented by which of the following data?

A client

The account in the operative COA are mapped to which of the following types of
charts of accounts (COA)?
Alternative accounts in country-specific charts of account

Which of the following statement is CORRECT? (Choose the best answer)?

All enterprises must maintain an operative COA in order to record financial data.
Which term represents what a company owns, such as cash, inventory of materials,
and buildings?
Assets

Which of the following statements is CORRECT about business processes ?

They are executed across multiple functions, They are initiated by some type of
trigger, They involve multiple steps

Which of the following statements is WRONG about reconciliation accounts ?

Data are posted directly into them

Which of the following is mentioned in the below statement?"... indicates the

financial condition of a company at a specific point in time"
Balance Sheet

Which of the following types of data is used to determine the selling prices of
companies' products
Pricing Conditions

Which of the following statements is WRONG

Expenses are what the company owes to others, including money owed to vendors
and loansfrom financial institution

Which term does represent the debt that the company owes to external partners,
including the debt owed to the supplierand loans from financial institutions?
Liabilities

Which of the following is used to report data needed to meet legal and regulatory
requirements?
Financial statement

In the fulfillment process, which of the following steps has an impact on

financials?
Send shipment, receive customer payment

Which of the following documents informs about the contents in a shipment?

Packing List

Which of the following information does help to manage the whole fullfilment
process?
Document flow
Which of the following is a management method that allows businesses to control,
store safely and track the versionsof the document
Document Management

Which of the following is represented in the below statement?"By the year 2020,
the ABC Company will have a million-dollar brand with branch network beyond
Vietnam"
The vision of the business

Which of the following is represented in the below statement?"The ABC company

will obtain at least 200000 USD in profit in 2017"
The goal of the business

Which of the following is represented in the below statement?"Vinamilk commits

to delivering the valuable nutrition to community with our respect, love and
responsibility"
The mission of the business

The steps in the fulfillment process are performed by staffs in which of the
following departments?
Sales & Distribution (SD), Materials Management (MM) and Financial Accounting
(FI)
Before Order-to-cash process started (step 6 - create Sales order), GBI received
which document from customer first?(choose the best answer)
Purchase order

In business process, the document called internal document if only used for
tracking (for internal usage), calledexternal document if sent to customer or
received from them. Which of following documents is internal?
Sales order

In business process, the document called internal document if only used for
tracking (for internal usage), called externaldocument if sent to customer or
received from them. Which of following documents is internal?
Goods issue