Oracle Field Service Cloud Service 2016 Implementation Specialist — Question 18

A tax authority requires that you calculate tax only on the selling price of an item that you are selling, and not on the shipping charge.
How will you achieve this?

Answer options

Correct answer: B

Explanation

The correct answer is B because moving the 'Compute Tax' step before the 'Create Shipping Charges' ensures that tax is only applied to the selling price. Options A, C, and D do not specifically address the positioning of the tax calculation in relation to the shipping charges, which is crucial for fulfilling the tax authority's requirement.