FINANCIAL-USER sample questions

Question 1

A company needs to allocate its monthly rent expense from a single corporate account to three departments: Sales, Marketing, and Operations. The allocation is fixed and based on square footage: Sales 50%, Marketing 30%, and Operations 20%. Which components must be configured on the Expense Allocation Schedule to achieve this? (Select THREE)

Accepted Answer

On the Source tab, specify the single Rent Expense account.

Accepted Answer

On the Destination tab, specify the Rent Expense account for each of the three destination departments.

Accepted Answer

On the Destination tab, enter the fixed weights (50, 30, 20) for each respective department line.

Answer

Set the Allocation Mode to 'Dynamic'.

Answer

Create a statistical account to hold the square footage for each department.

Question 2

A controller is reviewing a dynamic expense allocation schedule that distributes IT costs based on departmental headcount. The schedule ran, but the resulting journal entry allocated amounts that are inconsistent with the current month's headcount figures. What is the most likely cause of this discrepancy?

Accepted Answer

The journal entry for the current month's headcount in the statistical account was not posted before the allocation schedule was run.

Answer

The allocation schedule was set to a frequency of 'Monthly' instead of 'End of Period'.

Answer

The 'Use Source/Credit Accounts on Destination Lines' box was not checked on the schedule.

Answer

The source IT cost accounts were not fully cleared, indicating a configuration error in the source tab.

Question 3

A company sells a software product with a recurring annual license fee. However, to help customers with cash flow, they are billed in equal quarterly installments. Which type of billing schedule should be used to automate this process?

Accepted Answer

A standard billing schedule with a 'Repeat Every' frequency of 3 months and a recurrence count of 4.

Answer

A standard billing schedule that bills the entire amount in arrears at the end of the year.

Answer

A fixed bid, milestone billing schedule with four milestones, one for each quarter.

Answer

A charge-based billing schedule linked to project expenses.

Question 4

A project manager has marked several project tasks as complete. These tasks are associated with a 'Fixed Bid, Milestone' billing schedule on the related Sales Order. However, when the billing clerk goes to 'Bill Sales Orders', the order does not appear in the billing queue. What is the most likely reason?

Accepted Answer

The project tasks were not specifically linked to the billing milestones on the Sales Order.

Answer

The customer has exceeded their credit limit.

Answer

Time entries have not been approved for the project.

Answer

The Sales Order has not been fulfilled.

Question 5

The controller needs to post an accrual for professional fees at the end of January. This entry must be automatically reversed on February 1st to avoid overstating expenses in the next period. Which action should the user take when creating the initial journal entry?

Accepted Answer

Set the Reversal Date to February 1st on the header of the original journal entry.

Answer

Create a memorized transaction to post a debit in February.

Answer

Manually create and post a reversing journal entry on February 1st.

Answer

Use the 'Defer Entry' checkbox and schedule the reversal.

Question 6

A financial analyst is preparing a custom Income Statement using the Financial Report Builder. They need to display a subtotal for Gross Profit, which is calculated as Revenue minus Cost of Goods Sold. Which row type should be used to create the 'Gross Profit' line?

Accepted Answer

Formula Row

Answer

Header/Summary Row

Answer

Reference Row

Answer

Text Row

Question 7

An accountant is reconciling the company's main checking account. They notice a $50 bank service charge on the bank statement that has not been recorded in NetSuite. What is the most efficient method to record this expense directly from the 'Reconcile Bank Statement' page?

Accepted Answer

Click 'New Charge', select the appropriate expense account, enter the amount, and save the new transaction.

Answer

Navigate to 'Write Checks', create a new check for the fee, then return to the reconciliation page.

Answer

Create a new journal entry in a separate browser tab and then refresh the reconciliation.

Answer

Manually adjust the ending balance of the reconciliation to account for the fee.

Question 8

A new 'Computer Equipment' fixed asset account has been created. The CIO wants to ensure that only employees in the IT Department can post transactions to this account. What is the most direct and enforceable method to achieve this in NetSuite?

Accepted Answer

Edit the 'Computer Equipment' account record, and in the 'Department' field, select the IT Department.

Answer

Send a company-wide email memo about the new policy.

Answer

Customize the roles of all non-IT employees to exclude access to the account.

Answer

Create a workflow that sends an alert if a non-IT employee uses the account.

Question 9

True or False: Once an accounting period has been closed using the Period Close Checklist, a user with the 'Re-open Period' permission can unlock it, but all actions taken while the period is re-opened are logged in the System Notes.

Accepted Answer

True

Answer

False

Question 10

A budget is created and imported for the Sales department's expense accounts. The controller then runs a Budget vs. Actual Income Statement, filtering for the Sales department, but the budget columns are entirely blank. The actuals are displayed correctly. What is the most likely configuration error?

Accepted Answer

The budget was created for a specific 'Category' that was not selected in the report footer.

Answer

The budget was imported using account numbers instead of account names.

Answer

The report's column filter was set to 'Class' instead of 'Department'.

Answer

The user running the report does not have permission to view budget information.

Free FINANCIAL-USER sample questions