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O2C

Total questions: 12

Worksheet time: 6mins

Name
Class
Date
1.

Which of the following makes up O2C?

a)

Receivable Management

b)

Order Management

c)

Receivable Management & Order Management

d)

None of the above

2.

Which of the following teams is responsible for creating the customer Master Record?

a)

Credit Management

b)

Order Management

c)

Master Data Management

d)

Contract Management

3.

Which of the following is a function of the collections team?

a)

Create customers accounts in the ERP

b)

Collect money from the customers for their respective receivables

c)

Write of Bad debt

d)

All the above

4.

Credit risk can be defined as the risk of financial loss resulting form the failure of the debtor to honor part or all of its obligations to pay the creditors invoices as they become due . Is this true or false?

a)

True

b)

False

5.

Which of the following is the document that the customer is asked to sign upon receipt of goods delivered?

a)

Proof of delivery

b)

Sales Order

c)

Goods Receipt Notes

d)

Return Material Authorization

6.

What is Dunning Letter?

a)

It is a document acknowledging costs and expenses

b)

It is a document sent to a customer for credit denied.

c)

It is a document or letter that states Overdue payment

d)

None of the Options are correct

7.

When is a sales order prepared?

a)

Before a PO is Received from the customer

b)

Before a PO is Received from the Vendor

c)

After a PO is Received from the customer

d)

After the Invoice is sent to the customer.

8.

The Sales team is from which part of O2C?

a)

Order Management

b)

Receivable Management

c)

Order Management & Receivable Management

9.

What does the Order processing team do?

a)

Receive customer orders

b)

Validate orders

c)

Create Sales Orders

d)

All the above

10.

Which of the following is Order Management a Part off?

a)

Downstream Process of the O2C cycle

b)

Upstream Process of the O2C cycle

c)

All the above

11.

In case of short billing which of the following document issued by the seller to the customer

a)

Credit Memo

b)

Debit Memo

c)

Dunning Letter

d)

All the above

12.

Which of the following statements is correct about cash Collections?

a)

It is the process of collecting on delinquent invoices post the due date

b)

It is to manage the risk factor in the extension of credit to promote sales

c)

It is increased subrogation and reinsurance recovery

d)

It is to align the appropriate payment and credit terms to a customer to optimize sales.