November 2024

What is the primary purpose of the Standard Cost Process Global Financial Procedure?

• To establish a new product line
• To ensure consistent application of standard costs globally and appropriate inventory valuation
• To manage employee payroll

Who is responsible for communicating the assumptions for the annual costing exercise?

• Transportation, Global Trade Services (GTS), and Logistics Execution (LEX)
• Sourcing
• Global Process Lead (GPL) Product Costing and VP Global Finance Enterprise Supply Chain (ESC)

What must be done when a product is manufactured for the first time?

• An estimated cost must be developed
• It must be immediately released to the market
• It must be discarded if not of sufficient quality

The requirement for the use of statistical accounts is determined by

• GFAC Accounting Operations Manager
• Area Process Lead
• Financial Controller

Sales Flash has to be prepared during MEC on

• WD+1
• WD+2
• Sales Flash is not obligatory

Each legal entity must review the list of monthly and annual statistical and additional reporting accounts and determine which accounts apply to them.

• True
• FALSE

Who has the ultimate approval to pay an inter-company dividend within 3M?

• Local Financial Management
• Corporate Tax and Treasury
• Regional Tax Management

What must be done when dividends are declared and paid in different accounting periods to minimize currency exposure issues?

• Consult with local tax authorities
• Declare and pay dividends in the same monthly accounting period
• Record dividends net of withheld tax

What is required for non-cash dividends such as stock dividends or capital contributions?

• Approval from local financial management
• Approval from Corporate Tax and Treasury
• No special approval is needed

How often the reconciliation on inventory needs to be carried out:

• at least monthly.
• at least quarterly.
• annually.