CCP GL Integration & Revenue Recognition 2 — Questions and Answers
Question 1: In CargoWise, which posting rule configuration controls whether a revenue transaction posts to GL upon job confirmation or invoice generation?
- Branch Default Setting
- Posting Trigger on the Revenue Code (Correct answer)
- Currency Exchange Rule
- Tax Code Configuration
Correct answer: Posting Trigger on the Revenue Code
The Posting Trigger on the Revenue Code determines whether GL entries are created at job confirmation or when an invoice is generated.
Question 2: When a multi-currency invoice is posted in CargoWise and the exchange rate has changed since the original transaction, what GL account captures the resulting difference?
- Accounts Receivable Control Account
- Unrealized Foreign Exchange Gain/Loss Account
- Revenue Suspense Account
- Realized Foreign Exchange Gain/Loss Account (Correct answer)
Correct answer: Realized Foreign Exchange Gain/Loss Account
When the invoice is settled at a different exchange rate than when it was posted, the difference is recorded in the Realized Foreign Exchange Gain/Loss account.
Question 3: A freight invoice is raised in CargoWise with a tax code. Where in the GL does the tax component of that invoice post by default?
- Directly into the Revenue account
- Into the Tax Payable/Receivable account linked to the Tax Code (Correct answer)
- Into the Accounts Receivable control account
- Into a Suspense account pending tax filing
Correct answer: Into the Tax Payable/Receivable account linked to the Tax Code
CargoWise posts the tax component to the Tax Payable or Receivable GL account configured on the Tax Code setup.
Question 4: Which CargoWise function allows you to review unposted GL transactions before they are committed to the general ledger?
- GL Journal Entry Screen
- Transaction Preview / Posting Queue (Correct answer)
- Chart of Accounts Maintenance
- Period Lock Screen
Correct answer: Transaction Preview / Posting Queue
The Posting Queue or Transaction Preview allows users to review pending GL transactions before they are finalized and committed.
Question 5: In CargoWise, the 'Branch' dimension on a GL transaction is used primarily for:
- Determining which tax code applies to the transaction
- Segmenting financial reporting by organizational unit (Correct answer)
- Setting the currency of the transaction
- Controlling which users can view the transaction
Correct answer: Segmenting financial reporting by organizational unit
The Branch dimension allows financial results to be segmented and reported at the organizational unit level within the GL.
Question 6: When a credit note is issued in CargoWise to reverse a freight revenue invoice, what is the effect on the GL?
- The original invoice entries are deleted from the GL
- A new set of reversing entries is created, crediting the AR and debiting the Revenue account
- The GL is updated but the original invoice remains unchanged (Correct answer)
- Only the tax portion of the invoice is reversed
Correct answer: The GL is updated but the original invoice remains unchanged
CargoWise creates new reversing GL entries for a credit note, leaving the original invoice entries intact in the audit trail.
Question 7: Which of the following best describes the purpose of a 'GL Code' (also called Account Code) in CargoWise's chart of accounts?
- A code that identifies the freight customer for billing
- A unique identifier for a financial account that categorizes financial activity (Correct answer)
- A code that routes documents to specific users for approval
- A tariff code used to calculate freight charges
Correct answer: A unique identifier for a financial account that categorizes financial activity
A GL Code uniquely identifies a financial account in CargoWise and categorizes all financial transactions for reporting purposes.
CCP GL Integration & Revenue Recognition 2
In CargoWise, which posting rule configuration controls whether a revenue transaction posts to GL upon job confirmation or invoice generation?