NetSuite Financial User Study Guide Questions and answers, 100% Accurate. VERIFIED.

NetSuite Financial User Study Guide Questions and answers, 100% Accurate. VERIFIED. Total number of subsidiaries in OneWorld - -124 subsidiaries in addition to the root for 125 total Elimination Subsidiary - --Sales between subsidiaries, Inventory transfers between subsidiaries, Loans between subsidiaries -Doesn't count towards subsidiary count -Cannot be a parent subsidiary -Only for journal entries, not for other transactions What should you do before creating subsidiaries? - --Plan organization structure -Build in Sandbox account then in Production account (subsidiaries can't be deleted, and when inactive, it will still show in reports and report filters) The following values cannot be changed after creating a subsidiary - -Sub-Subsidiary of, Elimination, Currency, Edition, Country Classifications used to track records such as financials, transactions, and employees - -Departments and classes Primary classification in OneWorld - --Subsidiaries -When using other classifications (departments, classes, locations), you must associate them with a subsidiary Departments - --Listed first on transactions -Useful when designating transactions and employees as part of an internal team (i.e. Dept for each team of employees to track income/expenses) Classes - -Useful for wider segments within your business (i.e. New or repeat customers; sales order would indicate whether transaction was for new or repeat customer) Locations - --Enable you to track information about employees and transactions for multiple offices or warehouses (i.e. Corporate office, sales offices, warehouses) -Up to 50 locations -Caution: do not use locations to identify areas in your warehouse such as a bin, shelf, or dock What happens when you enable some accounting features? - -System automatically generates account specific to those features Chart of Accounts - -Provides a set of destinations for posting transactions, and categorizes transactions for tracking and reporting purposes Income Statement Accounts - -Cost of Goods Sold, Deferred Expense, Expense, Income, Other Expense and Other Income Balance Sheet Accounts - -Accounts Payable, Accounts Receivable, Bank, Credit Card, Deferred Revenue, Equity, Fixed Asset, Long Term Liability, Other Asset, Other Current Asset, Other Current Liability, Unbilled Receivable Cash Flow Statement Accounts - -Net of Income, Other Income, Accounts Payable, Accounts Receivable, Equity, Fixed Asset, Long Term Liability, Other Asset, Other Current Asset, Other Current Liability and Unbilled Receivable Statistical Accounts - -Part of the Advanced Financial module: track non monetary data then use that information for reports and income statements (i.e. Head count, square feet etc.) Account Numbering - --Accounts are not automatically enabled -Setup > Accounting > Accounting preferences -This initializes a four digit account number Parent Accounts - --You can build your chart of accounts with a hierarchical structure which means an account can have a parent associated with it -Parent accounts can be used as a posting account or non posting account Summary Account - --Automatically inactivates the account, preventing you from posting activity to this account -Solely used for reporting purposes Child Accounts - --Must set the "Subaccount Of" field to be the parent account and the Type must be the same type as the parent account (i.e. Cannot choose Account Payable (liability) as parent of an expense account) Bank Accounts - --Can only be linked to one subsidiary -If the Multiple Currencies feature is enabled, select a currency to associate with the account Restrict an Account - --Limit availability of some accounts to a single department, class, or location -If using OneWorld you can limit the use of an account to a subset of subsidiaries -Set restriction: 1) Set restriction on account records 2) Set restriction for user roles Account Registers - --List of transactions for a particular account, for a selected date range, with the ending balance -NetSuite provides registers for posting and non posting accounts -Each register includes detailed information about all transactions affecting the account for a selected time period, including balance information Accounts Receivable Business Process Flow - -1) Sales Order 2) Items/Services fulfilled, sales order invoiced and sent to customer requesting payment 3) Accept/Deposit customer's payment Invoice - --Record of a sale to a customer -Process of creating bills for goods/services customers receive Create an Invoice - --Transactions > Sales > Create Invoices -Record an invoice when payment is not received at the time of delivery -Invoice amount is the total due to be paid to you by the customer -Indicate terms of payment that specify when you expect to receive the money owed to you Sales Order - --Transaction that records a commitment to sell items or services to a customer -Have no account impact until the items are shipped or services are completed -Fulfilling an order is shipping the items to fill an open order -Invoicing a sales order creates a record of debt owed to you by the customer for the sale Sales Order Process Flow - -1) Enter Sales Order 2) Fulfill items 3) Invoice