Practice Test Geeks(CFC) Certified Financial Controller Practice Test
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ERP Systems & Financial Technology Flashcards

7 cards from real CFC practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 ERP Systems & Financial Technology flashcards as text

  1. Which technology enables ERP systems to communicate and share data with external applications such as banking portals or tax filing systems?

    Answer: Application Programming Interface (API)

    APIs define the protocols and data formats that allow ERP systems to securely exchange information with external third-party applications.

  2. A company using an ERP discovers that a user in Accounts Payable can both create vendors and approve payments to those vendors. This is BEST described as a:

    Answer: Segregation of duties (SoD) conflict

    Allowing one person to create vendors and approve payments is a classic SoD conflict that creates risk of fraudulent vendor creation and unauthorized payments.

  3. In ERP financial reporting, what is the key difference between a 'drill-down' report and a standard summary report?

    Answer: Drill-down reports allow users to click from summary totals to the underlying transaction detail

    Drill-down functionality lets users navigate from high-level aggregated balances directly to the individual journal entries or transactions that comprise them.

  4. What is the primary purpose of data migration 'cleansing' before an ERP implementation go-live?

    Answer: Identifying and correcting duplicate, incomplete, or inaccurate records before they are loaded into the new ERP

    Data cleansing ensures only accurate, complete, and deduplicated records are migrated, preventing legacy data quality issues from contaminating the new system.

  5. A controller wants to use predictive analytics within the ERP to forecast cash flow. Which data source MOST directly supports this capability?

    Answer: Historical accounts receivable aging, accounts payable due dates, and sales order pipeline

    Cash flow forecasting models draw primarily on AR aging (expected inflows), AP due dates (expected outflows), and the open sales order pipeline for near-term projections.

  6. Which ERP implementation approach goes live with all modules simultaneously across the entire organization?

    Answer: Big Bang implementation

    A Big Bang implementation deploys all ERP modules enterprise-wide on a single go-live date, maximizing speed but also concentrating implementation risk.

  7. In financial technology, what does 'continuous accounting' refer to?

    Answer: Distributing close tasks throughout the period so month-end becomes a verification rather than a data entry event

    Continuous accounting spreads reconciliations, accruals, and adjustments throughout the month so the period-end close is fast and low-effort.