Oracle E-Business Suite R12.1: Order Management Essentials — Question 4

Which three statements are true about ABC Analysis and cycle count Classes? (Choose three.)

Answer options

• A. The hit/miss% for the Class overrides the hit/miss%ofthe cycle count header.
• B. The hit/miss% for the cycle count header overrides the hit/miss%ofthe Class.
• C. An ABC Analysis can be compiled for a sub inventory that is defined as a non-quantity-tracked sub inventory.
• D. An ABC Analysis can be compiled for nonasset (expense subinventories for which quantities are tracked).
• E. In ABC Analysis, a quantity variance must always be submitted for approval, regardless of the tolerance levels
• F. Positive and negative tolerances can be entered for each class, which will override the tolerance at the cycle count header level

Correct answer: A, D, F

Explanation

The correct answers A, D, and F highlight that the Class's hit/miss percentage has priority, ABC Analysis can be performed on tracked expense subinventories, and that individual class tolerances can override those set at the header level. Options B and C are incorrect because they misrepresent the precedence of hit/miss percentages, and C incorrectly states that a non-quantity-tracked subinventory can have an ABC Analysis compiled.