SAP Business One Technical Test Level 1 Practice Quiz
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You want to see the accumulated assets and liabilities for the financial year to date. Which report can you use?
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Balance Sheet
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Cash Flow Report
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Profit and Loss Statement
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Annual Report
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General Ledger Report
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This Level 1 practice quiz for SAP Business One covers key technical aspects such as financial reports, balance sheet accounts, item master data, and production orders. It is designed to test and enhance your understanding of SAP Business One's functionalities relevant to business operations.
- 2.
There are three types of balance sheet accounts. Which of the following are not among the balance sheet accounts?
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Assets
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Equity
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Liability
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Revenue
Correct Answer
A. RevenueExplanation
The three types of balance sheet accounts are assets, equity, and liabilities. Revenue, on the other hand, is an income statement account. It represents the amount of money a company earns from its primary operations. Unlike balance sheet accounts, revenue is not included in the balance sheet as it reflects the company's performance over a specific period of time rather than its financial position at a particular point in time.Rate this question:
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- 3.
Which of the following is correct concerning the Item master data?
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A non-inventory item can only be changed to a inventory item and not vice versa.
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An inventory item can be changed to a non-inventory item and vice versa when the total quantity of the item is zero or the item has no open document.
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An inventory item can be changed to a non-inventory item and vice versa only when the total quantity of the item is zero and the item has no open document.
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An inventory item cannot be changed to a non-inventory item irrespective of any condition.
Correct Answer
A. An inventory item can be changed to a non-inventory item and vice versa only when the total quantity of the item is zero and the item has no open document.Explanation
The correct answer states that an inventory item can be changed to a non-inventory item and vice versa only when the total quantity of the item is zero and the item has no open document. This means that if there are no remaining quantities of the item in inventory and there are no pending transactions or documents associated with it, the item can be converted from an inventory item to a non-inventory item, or vice versa. This restriction ensures that there are no conflicting or incomplete transactions or documents when making the change.Rate this question:
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- 4.
Which statements are not true regarding issuing components to production order?
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A production order must be released before components can be issued manually.
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By-products can be added to the components list in a production order with a negative quantity to indicate items that are to be put into stock after production.
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The list of components in a standard production order is created from the production bill of materials assigned to the finished product.
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. To issue each component individually as it is used, choose the backflush option.
Correct Answer
A. . To issue each component individually as it is used, choose the backflush option.Explanation
The statement that is not true regarding issuing components to a production order is that "To issue each component individually as it is used, choose the backflush option." This statement is false because the backflush option is used to automatically issue components to a production order based on the quantity of finished products produced, rather than issuing each component individually.Rate this question:
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- 5.
You reach an agreement with your customer to accept payments in three installments. What happens when you create an invoice for this customer?
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The system automatically splits the invoice amount into three equal payments and posts a journal entry for each payment with the relevant due date.
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The system posts a single journal entry that contains a row for each installment. The due date is set to date of the final installment.
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The system posts three separate journal entries, one for each installment, each with the relevant posting date.
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The system posts a single journal entry that contains a row for each installment with the relevant due date.
Correct Answer
A. The system posts a single journal entry that contains a row for each installment with the relevant due date.Explanation
When you create an invoice for a customer with an agreement to accept payments in three installments, the system will post a single journal entry that includes a row for each installment. Each row will have the relevant due date specified. This means that the customer will have to make three separate payments according to the due dates mentioned in the invoice.Rate this question:
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- 6.
Alternative item row type can be defined for which document type?
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Sales Order
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Goods Issue
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Sales Quotation
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Purchase Order
Correct Answer
A. Sales QuotationExplanation
An alternative item row type can be defined for the document type "Sales Quotation." This means that when creating a sales quotation, users have the option to define alternative items for the products being quoted. These alternative items can be different products or variations of the same product, allowing for flexibility in the quoting process and giving customers more options to choose from.Rate this question:
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- 7.
Janice has created a new payment method for outgoing checks. When she runs the Payment Wizard to pay her vendors, she does not see the new payment method. What did Janice forget to do?
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She did not set up outgoing checks in the 'Payment Terms' for the vendor master data
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She did not assign the new payment method to the vendor properties.
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She did not include the new payment method in the payment run defaults.
Correct Answer
A. She did not assign the new payment method to the vendor properties.Explanation
Janice forgot to assign the new payment method to the vendor properties. This means that even though she created the payment method, she did not specify which vendors should use this method for outgoing checks. As a result, when she runs the Payment Wizard, the new payment method does not appear as an option for paying her vendors. To resolve this issue, Janice needs to go into the vendor properties and assign the new payment method to the appropriate vendors.Rate this question:
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- 8.
Which of the following statements are not true regarding sales orders?
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You can create a purchase order based on a sales order.
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A delivery date is optional when a sales order is first created.
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A sales order entered for a product will reduce the available stock for that item by the quantities entered in the sales order
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A sales order can be created from a quotation.
Correct Answer
A. A delivery date is optional when a sales order is first created.Explanation
When a sales order is first created, a delivery date is not optional. A delivery date is a required field that needs to be specified in the sales order. This is because the delivery date determines when the customer can expect to receive the ordered products.Rate this question:
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- 9.
When the system administrator assigns a professional license to a user, what databases can that user access in the system?
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Log in to a second company database with a different user code without getting an error message.
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Log in with the same authorized user code to other company databases.
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Log in to any database with total access.
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Log in to the same database up to five times simultaneously.
Correct Answer
A. Log in with the same authorized user code to other company databases.Explanation
When a system administrator assigns a professional license to a user, that user can log in with the same authorized user code to other company databases. This means that the user will be able to access multiple databases belonging to different companies using the same login credentials without encountering any error messages. This allows for seamless access and navigation between different databases within the system.Rate this question:
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- 10.
What is a typical reason to set up a user-defined field with Alphanumeric as the Type and Text as the Structure?
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Allows the field to store rate, amount, and price types.
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Allows the field to store the date and hour structures.
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. Allows the field to store a long description or notes.
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Allows the field to store hyperlinks or image files.
Correct Answer
A. . Allows the field to store a long description or notes.Explanation
A user-defined field with Alphanumeric as the Type and Text as the Structure would typically be set up to store a long description or notes. This type and structure combination allows for the storage of textual information that can be longer in length and can include multiple lines or paragraphs. This is useful for providing detailed descriptions or adding additional notes or comments to a record or data entry.Rate this question:
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- 11.
What affects the receipts quantity on the MRP recommendation?
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Forecasts
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Sales Orders
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Purchase Orders
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Min. inventory levels
Correct Answer
A. Purchase OrdersExplanation
Purchase Orders affect the receipts quantity on the MRP recommendation. When a purchase order is placed, it indicates that the company is ordering a certain quantity of a product from a supplier. This purchase order is considered as a receipt in the MRP system, which helps in determining the future inventory levels and planning production accordingly. Therefore, the quantity mentioned in the purchase orders directly impacts the receipts quantity on the MRP recommendation.Rate this question:
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- 12.
One of your customers has a product you would like to purchase. What must you do to order this product from your existing customer?
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Create a new vendor master record and create a purchase order for this vendor.
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Enter a purchase order for the product but enter the customer number in the vendor field.
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Use the A/P Invoice with a one-time vendor.
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In the customer master, tick the checkbox ;use as vendor', you can then use the customer code in a purchase order.
Correct Answer
A. Create a new vendor master record and create a purchase order for this vendor.Explanation
To order a product from an existing customer, you need to create a new vendor master record for that customer and then create a purchase order for this vendor. By creating a vendor master record, you can establish the necessary vendor details and information to facilitate the purchasing process. Once the record is created, you can proceed to create a purchase order specifically for this vendor, ensuring a smooth and accurate ordering process.Rate this question:
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- 13.
When an item is selected in a sales order, which type of prices does the system look for first?
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Prices based on a discount group linked to the Business Partner.
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Special prices set up for the customer.
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Quantity-based prices for an item valid for a given time period.
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Item prices from the price list linked to the Business Partner
Correct Answer
A. Special prices set up for the customer.Explanation
The system looks for special prices set up for the customer first when an item is selected in a sales order. This means that if there are any special prices specifically assigned to the customer, the system will prioritize those prices over other types of prices such as discount group prices or quantity-based prices. This ensures that the customer receives any special pricing agreements or discounts that have been set up specifically for them.Rate this question:
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- 14.
Your company sells 10 different products in 20 different sales regions. If you are using account segmentation to track by region you would need ...?
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100 segmented accounts.
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200 segmented accounts.
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20 segmented accounts.
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10 segmented accounts.
Correct Answer
A. 200 segmented accounts.Explanation
If you are using account segmentation to track by region, you would need 200 segmented accounts because there are 10 different products and 20 different sales regions. Each product needs to be tracked separately in each region, resulting in a total of 200 segmented accounts.Rate this question:
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- 15.
In SAP Business One, you can define banks and house banks. Why do you need to define house banks?
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In order to define payment terms.
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In order to define bank GL accounts.
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In order to deposit incoming checks.
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In order to define credit cards.
Correct Answer
A. In order to define bank GL accounts.Explanation
House banks need to be defined in SAP Business One in order to link them to bank GL accounts. This allows for proper tracking and recording of financial transactions related to the specific house banks.Rate this question:
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- 16.
Your customer has several rent and loan payments due each month. What can you recommend to post these payments quickly each month?
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Create an Outgoing Payment.
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Create a recurring posting for each payment, and set the posting frequency to monthly.
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Create a journal entry for each payment with the repeat checkbox selected, and set the frequency for each repeat posting.
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Batch the payments in a journal voucher, then you only need to post them once a month.
Correct Answer
A. Create a recurring posting for each payment, and set the posting frequency to monthly.Explanation
Creating a recurring posting for each payment and setting the posting frequency to monthly would allow the customer to automate the process of posting their rent and loan payments each month. This would save them time and ensure that the payments are consistently and accurately recorded.Rate this question:
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- 17.
You have created a query for a document with a "Where" condition area in the formula that states: Document Date EQUAL '[%0]'. What does the '[%0]' mean?
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The '[%0]' is a condition, and since it is attached to the date of a document, each time you run the query, you can use the Query Generator to display the date.
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The '[%0]' represents a fixed value, and since it is attached to the date of a document, each time you run the query, the system will enter a date for you.
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The '[%0]' is a field from the OITM table, which you can view from the Query Generator or Query Wizard.
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The '[%0]' is a unique variable, and since it is attached to the date of a document, each time you run the query, the system will prompt you to enter a date.
Correct Answer
A. The '[%0]' is a unique variable, and since it is attached to the date of a document, each time you run the query, the system will prompt you to enter a date.Explanation
The '[%0]' is a unique variable, and since it is attached to the date of a document, each time you run the query, the system will prompt you to enter a date. This means that the query is designed to be flexible and allows the user to input a specific date each time the query is executed. It ensures that the query can be customized to retrieve information based on different dates as needed.Rate this question:
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- 18.
Which of the following documents are optional in the purchasing process?
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Goods Receipt PO
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A/P Invoice
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Landed cost document
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Purchase Order
Correct Answer
A. Landed cost documentExplanation
The landed cost document is optional in the purchasing process. This document is used to calculate and track additional costs associated with the purchase of goods, such as customs duties, transportation fees, and insurance. While it can be helpful in accurately determining the total cost of goods, it is not always necessary for every purchase. Therefore, it is considered optional in the purchasing process.Rate this question:
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Current Version
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Mar 22, 2023Quiz Edited by
ProProfs Editorial Team -
Jun 30, 2011Quiz Created by
Shreyashah03
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