Oracle Learning Management Cloud 2021 Implementation Essentials — Question 13

A company has three legal entities each with a corresponding business unit all within the same country. All organizations buy and sell the same products. You are configuring the tax setup.
What is the minimum number of Tax Regimes you need to configure for this company?

Answer options

• A. 2
• B. 6
• C. 1
• D. 3

Correct answer: D

Explanation

You need to establish a separate Tax Regime for each legal entity, which amounts to three. While all entities may sell the same products, tax regulations can differ based on legal status. Therefore, options A, B, and C are incorrect as they do not account for the need for distinct tax setups for each entity.