1Z0-1073-26 Sample Questions & Answers
Spans both standard and advanced inventory transaction processing, the two biggest categories, plus enterprise structure setup, inventory costing, replenishment planning, cycle and inventory counts, plus automation, AI and Redwood features.
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- Question 1Intermediate
Implementing Inventory Management · Configure Unit of Measures
An agricultural chemical supplier purchases concentrated fertilizer in Liquid Bulk Tankers measured in 'Gallons' (Volume class), but dispenses and sells the product packaged in 'Pounds' (Weight class). How must the Unit of Measure (UOM) relationship be configured in Oracle Inventory Management to ensure accurate transaction valuation and availability?
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Correct answer: C
A UOM interclass conversion defines the conversion between the base UOM of one UOM class and the base UOM of a different class, and it's defined per item (items must exist before interclass or intraclass conversions can be created). Because the weight of a gallon depends on the product's density, the gallon-to-pound relationship can't be a standard conversion, which only relates a unit to the base unit of its own class. Once the base-to-base factor is defined for the item, it's valid for every unit in both classes, so gallons convert to pounds through the class base units. Each class's base UOM must be the smallest unit in that class.
- Question 2IntermediateSelect 2
Implementing Inventory Management · Configure Facilities Schedule
A warehouse operations consultant is configuring a new facility schedule for a regional distribution center. Which TWO operational calculations directly depend upon the working days and shift patterns defined in this facility schedule? (Select TWO)
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Correct answers: C, D
Oracle states that facility schedules create the workday calendars of inventory organizations and gives 'the scheduling of cycle counts and calculating transit time' as examples. A cycle count selects a 'Workday Schedule', schedules (items in the class x counts per year) / working days per year items each day, and moves a count's due date to the next working day. Transit-time calculations use the inventory organization's schedule to move dates off nonworking days, and min-max planning counts only work days when it derives the requested delivery date. Pick release and ship confirm use transportation schedules instead, cost accounting periods come from the ledger, and transfer prices come from transfer pricing rules.
Oracle states that facility schedules create the workday calendars of inventory organizations and gives 'the scheduling of cycle counts and calculating transit time' as examples. A cycle count selects a 'Workday Schedule', schedules (items in the class x counts per year) / working days per year items each day, and moves a count's due date to the next working day. Transit-time calculations use the inventory organization's schedule to move dates off nonworking days, and min-max planning counts only work days when it derives the requested delivery date. Pick release and ship confirm use transportation schedules instead, cost accounting periods come from the ledger, and transfer prices come from transfer pricing rules.
- Question 3Advanced
Implementing Inventory Management · Understand Receipt Accounting, Cost Accounting, Supply Chain Financial Orchestration
During a physical transfer of finished goods between two inventory organizations residing in different Cost Organizations and Legal Entities, which architectural mechanism is responsible for tracking ownership transfer, executing financial routing rules, and generating intercompany payables and receivables accruals independently of physical receipt confirmation?
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Correct answer: B
Supply Chain Financial Orchestration (SCFO) acts as the financial engine that decouples physical material movement from financial ownership flows. It evaluates financial trade agreements, establishes transfer pricing, monitors ownership change events, and drives intercompany invoicing across Receipt Accounting and Cost Accounting.
sequenceDiagram participant Shipping as Shipping Org participant SCFO as Financial Orchestration participant Cost as Cost Accounting participant Receipt as Receipt Accounting participant Receiving as Receiving Org Shipping->>SCFO: Goods Dispatched (Physical Event) SCFO->>Cost: Trigger Intercompany Trade Event & Transfer Price SCFO->>Receipt: Establish Intercompany Accruals Receiving->>Receipt: Goods Received at Destination - Question 4Beginner
Implementing Inventory Transactions · Understand Inventory Balances and Item Availability
An inventory analyst evaluates stock availability for Item PART-400 in warehouse DC1. The system displays the following balance parameters:
- Total On-Hand Quantity: 1,000 units
- Quantity in Non-Reservable Subinventories (material status disallows reservations): 150 units
- Active Reservations against Sales Orders: 300 units
- Pending Transactions: none
What are the Available to Transact (ATT) and Available to Reserve (ATR) quantities for PART-400?
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Correct answer: D
Oracle's View Item Availability window (Manage Item Quantities) uses these formulas:
- Available to Transact = (Quantity On Hand) - Pending Transactions - Reservations = 1,000 - 0 - 300 = 700 units.
- Available to Reserve = (Reservable Quantity On Hand) - Pending Transactions - Reservations. Reservable on hand excludes the 150 units whose material status disallows reservations: (1,000 - 150) - 0 - 300 = 550 units.
Reservations don't reduce the on-hand quantity itself, but both availability figures subtract them.
- Question 5Intermediate
Implementing Inventory Transactions · Understand the role of Inventory Reservations
A manufacturing company receives high-priority sales orders requiring specific component lots. An implementer configures inventory reservations to safeguard material. What occurs when a user creates an inventory reservation specifying Organization, Subinventory, Locator, and Lot Number for an item?
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Correct answer: A
A reservation that names the subinventory, locator and lot is a low-level (detailed) reservation; a high-level reservation holds only the item and organization, so stock can come from any available subinventory. Reserved material can't be picked for another demand, and when the reservation is to a subinventory and locator it can't be allocated to another supply source or transferred within inventory. Creating a reservation doesn't change the on-hand quantity: Available to Reserve and Available to Transact are reduced by the reserved quantity, and on hand changes only when the material is actually transacted.
graph LR Demand[Sales Order Demand] -->|Detailed low-level reservation| ResPool{Reservation Link} ResPool --> Loc[Locator: RACK-01] ResPool --> Lot[Lot: LOT-A99] ResPool --> Sub[Subinventory: STORES] ResPool -.->|Blocks| OtherDemand[Other Orders ATR = 0] - Question 6Beginner
Implementing Inventory Transactions · Set up Material Status Control
True or False: In Oracle Inventory Cloud, if a Material Status that restricts 'Sales Order Issue' is assigned to a specific Lot Number, warehouse operators can still pick and ship that lot provided the parent Subinventory and Locator have an Active material status that allows all transactions.
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Correct answer: B
False. Material Status Control in Oracle Inventory Cloud is cumulative and operates on the principle of maximum restriction. If any entity level in the hierarchy (Subinventory, Locator, Lot, or Serial) disallows a specific transaction type, the transaction is prohibited, regardless of whether a higher or lower level permits it.
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