Oracle Financials Cloud: General Ledger 2017 Implementation Essentials — Question 44

A Billing Specialist runs the Create Automatic Billing Adjustments program to automatically adjust the remaining balance on open invoices, but some of the amounts have exceeded the Billing Specialist's approval limits.
What would be the result?

Answer options

• A. The program creates the adjustments with a status of Pending Approval for the amount that exceeds the Billing Specialist's approval limits.
• B. The program can be run only if the amount is within the Billing Specialist's approval limits.
• C. The program creates the adjustments with a status of Rejected for the amount that exceeds the Billing Specialist's approval limits.
• D. The program creates the adjustments only for the amounts within the Billing Specialist's approval limits.

Correct answer: A

Explanation

The correct answer is A because when the adjustment amount exceeds the Billing Specialist's approval limits, the program will still create the adjustments but mark them as Pending Approval. Options B and D are incorrect because the program can run regardless of the limits, and option C is wrong as the adjustments do not get rejected but rather await approval.