CCP GL Integration & Revenue Recognition 3 — Questions and Answers
Question 1: In CargoWise, what happens to a revenue line if the associated job is cancelled before an invoice is raised and the revenue code has a 'job confirmation' posting trigger?
- The GL entry remains and must be manually reversed
- CargoWise automatically reverses the GL entry when the job is cancelled (Correct answer)
- The entry is moved to a suspense account
- No action is required as the entry never posted to the GL
Correct answer: CargoWise automatically reverses the GL entry when the job is cancelled
When a job is cancelled, CargoWise automatically reverses any GL entries that were posted upon job confirmation.
Question 2: A CargoWise user needs to post a manual adjustment to a GL account after the accounting period has been closed. What must be done first?
- Delete the original transaction and re-enter it
- Unlock the accounting period in the Period Management settings (Correct answer)
- Create a new branch to post the adjustment
- Contact CargoWise support to override the lock
Correct answer: Unlock the accounting period in the Period Management settings
A closed accounting period must be unlocked in Period Management before manual adjustments can be posted to it.
Question 3: Which report in CargoWise is most commonly used to reconcile the AR subledger balance to the AR control account in the GL?
- Job Profitability Report
- Aged Receivables Report (Correct answer)
- Revenue by Port Report
- Cash Flow Forecast Report
Correct answer: Aged Receivables Report
The Aged Receivables Report shows outstanding invoices by aging bucket and is used to reconcile the subledger to the GL control account.
Question 4: In CargoWise, 'accrual accounting' for freight revenue means revenue is recognized when:
- Cash is received from the customer
- The goods physically arrive at the destination port
- The invoice is raised or the job is confirmed, per the posting trigger (Correct answer)
- The shipment booking is created
Correct answer: The invoice is raised or the job is confirmed, per the posting trigger
Under accrual accounting in CargoWise, revenue is recognized based on the posting trigger — either at job confirmation or invoice generation, not when cash is received.
Question 5: What is the purpose of the 'GL Integration' settings within a CargoWise Organization/Branch configuration?
- To define which freight carriers are approved for use
- To map operational transaction types to their corresponding GL accounts (Correct answer)
- To configure EDI transmission rules for invoices
- To set the default currency for all customer accounts
Correct answer: To map operational transaction types to their corresponding GL accounts
GL Integration settings within the Branch configuration map operational transaction types (revenue, cost, AR, AP) to their respective GL accounts.
Question 6: When a CargoWise WMS receipt is processed, revenue is typically recognized via which document type in the GL integration flow?
- Supplier Invoice
- WMS Billing Invoice raised against the client (Correct answer)
- Purchase Order
- Stock Transfer Note
Correct answer: WMS Billing Invoice raised against the client
WMS revenue is recognized when a billing invoice is raised against the warehouse client for storage, handling, or other warehouse services.
Question 7: In CargoWise, a 'dimension' in the context of GL transactions refers to:
- The physical size of the shipment being costed
- An analytical segment (e.g., Branch, Department) that provides additional reporting granularity on GL entries (Correct answer)
- The exchange rate dimension between two currencies
- The number of cost lines on a job
Correct answer: An analytical segment (e.g., Branch, Department) that provides additional reporting granularity on GL entries
GL dimensions in CargoWise are analytical segments like Branch or Department that allow financial data to be sliced and reported in multiple ways.
CCP GL Integration & Revenue Recognition 3
In CargoWise, what happens to a revenue line if the associated job is cancelled before an invoice is raised and the revenue code has a 'job confirmation' posting trigger?