Your company has multiple inventory organizations where goods are transferred internally. A user has created a new organization but new organization is unavailable when creating an interorganization…

Question

Options

• AInventory organization data access for users is not set up.
• BInterorganization Parameters are not set up between the organizations.
• CThe destination organization transfer type is In Transit.
• DThe source and destination organization doesn't belong to the same legal entity.

• A
  13% (7)
• B
  7% (4)
• C
  4% (2)
• D
  76% (41)

Explanation

For interorganization transfers in Oracle Inventory, both organizations must belong to the same legal entity - this is a foundational prerequisite that controls which organizations even appear as valid transfer destinations. If the new organization was assigned to a different legal entity, it will be invisible to the transfer form regardless of any other configuration in place.

Why the distractors are wrong:

• A - Data access issues would prevent the user from seeing the organization anywhere in the system, not specifically during transfer creation.
• B - Interorganization Parameters define transfer accounts and types between an already-valid pair of organizations; they're a secondary setup, not the gating requirement that controls visibility.
• C - The "In Transit" transfer type is a configuration choice for how goods move, not a blocker that removes an organization from the destination list.

Memory tip: Think of legal entities as a fence - only organizations inside the same fence can freely hand goods to each other. Different legal entity = different fence = intercompany process required, not a simple interorg transfer.

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