Purchase-to-pay Business Process Test Quiz

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Purchase-to-pay Business Process Test Quiz - Quiz


Questions and Answers
  • 1. 

     The SAP ERP system contains many organizational levels, which are responsible for particular functional areas. Which of the following organizational units are only relevant to the Purchase-to-Pay business process? (2 correct answers)

    • A.

      Storage Location

    • B.

      Purchasing Organization

    • C.

      Client

    • D.

      Company Code

    • E.

      Plant

    • F.

      Purchasing Group

    Correct Answer(s)
    B. Purchasing Organization
    F. Purchasing Group
    Explanation
    The purchasing organization and purchasing group are the only organizational units relevant to the Purchase-to-Pay business process. The purchasing organization is responsible for managing the purchasing activities within a company, while the purchasing group is responsible for specific categories or materials. These units are directly involved in the procurement process and play a crucial role in the Purchase-to-Pay process. The other organizational units listed, such as storage location, client, company code, and plant, may be relevant to other functional areas within the SAP ERP system, but they are not specific to the Purchase-to-Pay process.

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  • 2. 

    Purchasing in SAP ERP can be organized centrally or locally. Which of the following scenarios are possible in the SAP ERP system regarding organizational assignments in Purchasing? (3 correct answers) 

    • A.

      Country-specific purchasing

    • B.

      Warehouse-specific purchasing

    • C.

      Plant-specific purchasing

    • D.

      Controlling-area-specific purchasing

    • E.

      Cross-plant purchasing

    • F.

      Cross-company code purchasing

    Correct Answer(s)
    C. Plant-specific purchasing
    E. Cross-plant purchasing
    F. Cross-company code purchasing
    Explanation
    In the SAP ERP system, plant-specific purchasing is possible, which means that purchasing can be organized based on specific plants within the organization. This allows for more localized control and coordination of purchasing activities.

    Cross-plant purchasing is also possible, which means that purchasing can be organized across multiple plants within the organization. This allows for centralized purchasing and coordination of materials across different plants.

    Cross-company code purchasing is another possible scenario in SAP ERP, which means that purchasing can be organized across different company codes within the organization. This allows for centralized purchasing and coordination of materials across different legal entities within the organization.

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  • 3. 

    The material master file is a companies' central source for depositing and accessing material-related data. Thereby, the material master features a functional and organizational aspect. Which of the following statements are true regarding the material master in SAP ERP? (3 correct answers) 

    • A.

      The material master is divided into several views. When entering general data in a particular view, you must specify an organizational level.

    • B.

      The data in the basic view is valid on the client-level.

    • C.

      A SAP ERP user's authorizations for data maintenance can be limited to particular views of a material master.

    • D.

      When maintaining client-specific data in the MRP views, you must enter a specific plant at the organizational level.

    • E.

      When maintaining purchasing-relevant data in the material master you must specify the purchasing organization as the organizational level.

    • F.

      When maintaining purchasing-relevant data in the material master you must specify the plant as the organizational level.

    Correct Answer(s)
    B. The data in the basic view is valid on the client-level.
    C. A SAP ERP user's authorizations for data maintenance can be limited to particular views of a material master.
    F. When maintaining purchasing-relevant data in the material master you must specify the plant as the organizational level.
    Explanation
    The material master is divided into several views, and when entering general data in a particular view, an organizational level must be specified. The data in the basic view is valid on the client-level, meaning it applies to the entire organization. A SAP ERP user's authorizations for data maintenance can be limited to particular views of a material master, allowing for controlled access to specific data. When maintaining purchasing-relevant data in the material master, the organizational level must be specified as the plant, indicating the specific location where the purchasing activities will take place.

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  • 4. 

     The vendor master record contains all the data necessary to control how transaction data is posted and processed for a vendor. Thereby, the vendor master data is divided into three different views. Which of the following statements are true regarding vendor master data? (4 correct answers)

    • A.

      Data maintained in the general data view are valid on client-level.

    • B.

      The vendor master data cannot be maintained without specifying the purchasing organization.

    • C.

      The reconciliation account is maintained in the purchasing data view.

    • D.

      Accounting data are stored on the company code level.

    • E.

      Purchasing data about a vendor are maintained on the purchasing the organization level.

    • F.

      You must maintain the accounting data of a vendor on the company code level to be able to accomplish the purchase-to-pay business process.

    Correct Answer(s)
    A. Data maintained in the general data view are valid on client-level.
    D. Accounting data are stored on the company code level.
    E. Purchasing data about a vendor are maintained on the purchasing the organization level.
    F. You must maintain the accounting data of a vendor on the company code level to be able to accomplish the purchase-to-pay business process.
    Explanation
    The vendor master record contains different views of data that are necessary for controlling transaction data for a vendor. The general data view contains data that are valid on a client-level, meaning they are applicable to all company codes within the client. Accounting data, on the other hand, are stored on the company code level, as they pertain to specific financial transactions within a company code. Purchasing data about a vendor are maintained on the purchasing organization level, as this data is relevant to the procurement process within a specific purchasing organization. Finally, maintaining the accounting data of a vendor on the company code level is necessary to accomplish the purchase-to-pay business process, as it involves financial transactions specific to a company code.

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  • 5. 

     A purchasing info record contains information about a vendor and a material, which can be procured from this particular vendor. Which of the following statements are true regarding purchasing info records? (3 correct answers)

    • A.

      The data for a purchasing info record is divided into client-specific data, purchasing organization-specific data as well as purchasing organization-specific and company-code-specific data.

    • B.

      You can maintain prices and conditions in a purchasing info record.

    • C.

      Purchasing info records must have a validity date or validity period.

    • D.

      Conditions maintained in purchasing info records apply to all purchase order items containing the material or vendor of the purchasing info record.

    • E.

      You can define vendor data and vendor-specific data about a material in a purchasing info record.

    Correct Answer(s)
    B. You can maintain prices and conditions in a purchasing info record.
    D. Conditions maintained in purchasing info records apply to all purchase order items containing the material or vendor of the purchasing info record.
    E. You can define vendor data and vendor-specific data about a material in a purchasing info record.
    Explanation
    Purchasing info records allow for the maintenance of prices and conditions, which can be applied to all purchase order items containing the material or vendor of the purchasing info record. Additionally, vendor data and vendor-specific data about a material can be defined within a purchasing info record.

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  • 6. 

     A Purchase requisition is a SAP ERP document created in requirements planning. It is used to request the purchasing organization to purchase a particular quantity of a material or service for a particular date. Which of the following statements are true regarding the purchase requisitions in SAP ERP? (3 correct answers)

    • A.

      The purchase requisition can be created manually.

    • B.

      A purchase requisition can be created automatically due to a MRP run.

    • C.

      A purchasing requisition can be created as follow up to a purchase order.

    • D.

      You cannot create a purchase requisition for a material that does not have a master data record.

    • E.

      A purchasing requisition derives information from material and vendor master records.

    Correct Answer(s)
    A. The purchase requisition can be created manually.
    B. A purchase requisition can be created automatically due to a MRP run.
    E. A purchasing requisition derives information from material and vendor master records.
    Explanation
    Purchase requisitions in SAP ERP can be created manually by the user or automatically through a Material Requirements Planning (MRP) run. They are used to request the purchasing organization to procure a specific quantity of a material or service by a certain date. Additionally, purchase requisitions derive information from both material and vendor master records, ensuring accurate and up-to-date data. However, it is not possible to create a purchase requisition for a material that does not have a master data record.

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  • 7. 

    In SAP ERP, consumable materials are materials that are used in a procurement process and whose value is posted directly in the cost element or asset accounts. Which of the following statements are true regarding consumable materials? (3 correct answers) 

    • A.

      A consumable material is purchased specifically for a particular account assignment object and is consumed without being put on stock.

    • B.

      When a material is procured directly for consumption, no material master is required.

    • C.

      Consumable materials with a master data record are never subject to inventory management.

    • D.

      Consumable materials with master data record, can be subject to quantity-based inventory management but never to value-based inventory management.

    • E.

      Materials with a master data record cannot be procured for direct consumption.

    Correct Answer(s)
    A. A consumable material is purchased specifically for a particular account assignment object and is consumed without being put on stock.
    B. When a material is procured directly for consumption, no material master is required.
    D. Consumable materials with master data record, can be subject to quantity-based inventory management but never to value-based inventory management.
    Explanation
    Consumable materials are purchased for a specific account assignment object and are directly consumed without being put into stock. When a material is procured directly for consumption, there is no need for a material master. Consumable materials with a master data record can be managed based on quantity, but not based on value. Materials with a master data record cannot be procured for direct consumption.

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  • 8. 

    When procuring materials, the material master data record plays a central role. Which of the following statements are true regarding procurement of materials in SAP ERP? (3 correct answers)

    • A.

      Stock materials always have a material master record.

    • B.

      The valuation class in the material master of a stock material specifies the account assignment category in the purchase order for material.

    • C.

      A consumable material is a material without a material master record.

    • D.

      You cannot procure stock material for consumption.

    • E.

      The account assignment category must be entered in the purchasing document when procuring material for consumption.

    • F.

      When procuring stock materials, the consumption account specified in the purchase order is debited with the procurement value at the time of goods receipt and/or invoice receipt.

    Correct Answer(s)
    A. Stock materials always have a material master record.
    B. The valuation class in the material master of a stock material specifies the account assignment category in the purchase order for material.
    E. The account assignment category must be entered in the purchasing document when procuring material for consumption.
    Explanation
    Stock materials always have a material master record because the material master record contains all the relevant information about the material, such as its description, price, and storage location. The valuation class in the material master of a stock material specifies the account assignment category in the purchase order for material, which determines how the material will be accounted for in the procurement process. The account assignment category must be entered in the purchasing document when procuring material for consumption to ensure proper tracking and allocation of costs.

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  • 9. 

    A purchase order is a formal demand for a vendor for supplying particular goods or services under the negotiated conditions stated in the purchase order. Which of the following statements are true regarding purchase orders? (3 correct answers)

    • A.

      Purchase orders contain a header level, an item detail level, and an item summarization.

    • B.

      A purchase order can be created without reference to a purchase requisition.

    • C.

      A purchase order must be created with reference to a purchase requisition, a request for a quotation, or another document.

    • D.

      A purchase order derives information from vendor master data, material master data, and purchasing info records.

    • E.

      A purchase order can initiate a stock transport order in another plant of the company.

    Correct Answer(s)
    B. A purchase order can be created without reference to a purchase requisition.
    D. A purchase order derives information from vendor master data, material master data, and purchasing info records.
    E. A purchase order can initiate a stock transport order in another plant of the company.
    Explanation
    Purchase orders can be created without reference to a purchase requisition, meaning that they can be initiated independently. Purchase orders also derive information from vendor master data, material master data, and purchasing info records, which helps in ensuring accurate and complete information is included in the order. Additionally, a purchase order can initiate a stock transport order in another plant of the company, enabling the movement of goods between different locations.

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  • 10. 

    When comparing the procurement of stock materials to consumable materials, which of the following statements are true? (3 correct answers)

    • A.

      You must enter the account assignment category for both material types.

    • B.

      The Goods Receipt posting is mandatory for stock materials.

    • C.

      The Goods Receipt posting is mandatory for consumable materials.

    • D.

      When procuring consumable materials, the consumption account specified in the purchase order is debited with the procurement value at the time of goods receipt and/or invoice receipt.

    • E.

      When procuring stock materials, the stock account assigned to this material is debited with the procurement value at the time of goods receipt and/or invoice receipt.

    Correct Answer(s)
    B. The Goods Receipt posting is mandatory for stock materials.
    D. When procuring consumable materials, the consumption account specified in the purchase order is debited with the procurement value at the time of goods receipt and/or invoice receipt.
    E. When procuring stock materials, the stock account assigned to this material is debited with the procurement value at the time of goods receipt and/or invoice receipt.
    Explanation
    The Goods Receipt posting is mandatory for stock materials because it is necessary to record the receipt of stock materials into inventory. When procuring consumable materials, the consumption account specified in the purchase order is debited with the procurement value at the time of goods receipt and/or invoice receipt. This is because consumable materials are not held in inventory but are directly consumed in the production process. Similarly, when procuring stock materials, the stock account assigned to this material is debited with the procurement value at the time of goods receipt and/or invoice receipt to accurately reflect the increase in inventory.

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  • 11. 

     A process resulting in an inventory change is called goods movement. Goods movement refers to both external and internal movements of materials from one location to another. Which of the following are goods movement types in SAP ERP? (4 correct answers)

    • A.

      Goods receipt

    • B.

      Transport order

    • C.

      Goods receive

    • D.

      Goods issue

    • E.

      Stock transfers

    • F.

      Transfer posting

    Correct Answer(s)
    A. Goods receipt
    D. Goods issue
    E. Stock transfers
    F. Transfer posting
    Explanation
    Goods movement types in SAP ERP include goods receipt, goods issue, stock transfers, and transfer posting. These types of movements involve the external and internal transfer of materials from one location to another within the inventory system. Transport order and goods receive are not recognized goods movement types in SAP ERP.

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  • 12. 

    A goods receipt is one type of goods movement. When recording a goods receipt several activities are accomplished by the SAP ERP system. Which of the following activities take place in SAP ERP due to a goods receipt? (3 correct answers) 

    • A.

      The status of the purchase order history of the relevant purchasing document items is updated automatically.

    • B.

      A material document is only created when posting goods receipt in the warehouse if the material is a stock material.

    • C.

      The goods receipt updates the vendor account and the reconciliation account.

    • D.

      An accounting document is created, which records the effects the material movement has on the value of the stock.

    • E.

      You can enter several goods receipt items against a purchase order item in one operation.

    Correct Answer(s)
    A. The status of the purchase order history of the relevant purchasing document items is updated automatically.
    D. An accounting document is created, which records the effects the material movement has on the value of the stock.
    E. You can enter several goods receipt items against a purchase order item in one operation.
    Explanation
    When recording a goods receipt in SAP ERP, three activities take place. First, the status of the purchase order history is updated automatically, providing an updated record of the relevant purchasing document items. Second, an accounting document is created to track the effects of the material movement on the stock's value. Finally, multiple goods receipt items can be entered in one operation against a purchase order item, streamlining the process.

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  • 13. 

     Movement types play a central role in good movements in SAP ERP. Which of the following statements are true regarding movement types? (2 correct answers)

    • A.

      The movement type controls whether a goods movement is a goods issue or a goods receipt.

    • B.

      Each movement type has its respective cancellation movement type, which corresponds to the number of the movement type + A.

    • C.

      In inventory management the movement type of a goods movement controls which stock account in Management Accounting is used for value-based stock changes.

    • D.

      The screen layout of the input mask for document entry or for updating quantity fields is controlled by the movement type used.

    Correct Answer(s)
    A. The movement type controls whether a goods movement is a goods issue or a goods receipt.
    D. The screen layout of the input mask for document entry or for updating quantity fields is controlled by the movement type used.
    Explanation
    Movement types in SAP ERP play a central role in determining whether a goods movement is a goods issue or a goods receipt. Additionally, the movement type used also controls the screen layout of the input mask for document entry or for updating quantity fields.

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  • 14. 

     Stock types play a central role in the good movement in SAP ERP. Which of the following statements are true regarding movement types? (2 correct answers)

    • A.

      A goods receipt for the warehouse can be posted into the following stock types: unrestricted-use stock, quality inspection stock, blocked stock.

    • B.

      If you want to withdraw materials from stock for consumption purposes, this can only be carried out from unrestricted-use stock and quality-inspection stock, but not from blocked stock.

    • C.

      You can transfer materials from blocked stock only to quality-inspection stock.

    • D.

      From quality-inspection stock and blocked stock, you can only withdraw material samples, scrap a quantity, or post an inventory difference. You cannot withdraw materials for consumption in any case.

    Correct Answer(s)
    A. A goods receipt for the warehouse can be posted into the following stock types: unrestricted-use stock, quality inspection stock, blocked stock.
    D. From quality-inspection stock and blocked stock, you can only withdraw material samples, scrap a quantity, or post an inventory difference. You cannot withdraw materials for consumption in any case.
    Explanation
    The correct answer states that a goods receipt for the warehouse can be posted into the stock types of unrestricted-use stock, quality inspection stock, and blocked stock. Additionally, it states that from quality-inspection stock and blocked stock, you can only withdraw material samples, scrap a quantity, or post an inventory difference. This means that materials cannot be withdrawn for consumption from quality-inspection stock or blocked stock.

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  • 15. 

     In the invoice processing step of the Purchase-to-Pay business process, the vendor invoice is created. Which of the following statements are true regarding invoice processing? (3 correct answers)

    • A.

      Invoice items can be posted with reference to a goods receipt, a purchase order and a purchase requisition.

    • B.

      The system transfers the items from the purchase order together with their quantities that are still to be invoiced into the invoice document.

    • C.

      If the variances between the invoice values and the expected values from a purchase order exceed specified tolerances, the invoice is automatically blocked for payment.

    • D.

      An accounting document is not created, since accounts in Financial Accounting are not involved in this step.

    • E.

      Posting of an invoice creates an open item on the vendor account in General Ledger.

    • F.

      Posting of an invoice creates an open item on the vendor account in the Sub-ledger Accounts Payable and a corresponding item in the reconciliation account in General Ledger.

    Correct Answer(s)
    B. The system transfers the items from the purchase order together with their quantities that are still to be invoiced into the invoice document.
    C. If the variances between the invoice values and the expected values from a purchase order exceed specified tolerances, the invoice is automatically blocked for payment.
    F. Posting of an invoice creates an open item on the vendor account in the Sub-ledger Accounts Payable and a corresponding item in the reconciliation account in General Ledger.
    Explanation
    The first statement is true because invoice items can be posted with reference to a goods receipt, a purchase order, and a purchase requisition. The second statement is true because the system transfers the items from the purchase order along with their quantities that are still to be invoiced into the invoice document. The third statement is true because if the variances between the invoice values and the expected values from a purchase order exceed specified tolerances, the invoice is automatically blocked for payment.

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  • 16. 

    The Procurement Application is closely integrated with the Financial Accounting in SAP ERP. Which of the following statements are true regarding this integration aspect? (4 correct answers)

    • A.

      When posting a goods receipt for a stock material an accounting document is created that debits the particular General Ledger stock account and credits the goods receipt/invoice receipt clearing account with the value of the material received.

    • B.

      When posting a vendor invoice an accounting document is created that credits the vendor account in the Accounts Payable Sub-ledger and debits the goods receipt/invoice receipt clearing account with the value of the material invoiced.

    • C.

      Since the receipt of the good must take place before the invoice posting, the receipt of the goods/invoice receipt clearing account is always balanced out after the invoice receipt.

    • D.

      Upon goods receipt, the Accounts Payable sub-ledger reconciliation account in the General Ledger is debited with the value of the material received.

    • E.

      Upon invoice receipt, the Accounts Payable Sub-ledger reconciliation account in the General Ledger is credited with the value of the material invoiced.

    • F.

      The payment of the vendor invoice does not create an accounting document. Only the accounting document from the invoice posting is cleared.

    • G.

      Payment of the vendor invoice creates an accounting document that debits the vendor account in the Accounts Payable Sub-ledger and the reconciliation account in General Ledger.

    Correct Answer(s)
    A. When posting a goods receipt for a stock material an accounting document is created that debits the particular General Ledger stock account and credits the goods receipt/invoice receipt clearing account with the value of the material received.
    B. When posting a vendor invoice an accounting document is created that credits the vendor account in the Accounts Payable Sub-ledger and debits the goods receipt/invoice receipt clearing account with the value of the material invoiced.
    E. Upon invoice receipt, the Accounts Payable Sub-ledger reconciliation account in the General Ledger is credited with the value of the material invoiced.
    G. Payment of the vendor invoice creates an accounting document that debits the vendor account in the Accounts Payable Sub-ledger and the reconciliation account in General Ledger.
    Explanation
    The Procurement Application in SAP ERP is closely integrated with Financial Accounting. When a goods receipt is posted for a stock material, an accounting document is created that debits the General Ledger stock account and credits the goods receipt/invoice receipt clearing account with the value of the material received. Similarly, when a vendor invoice is posted, an accounting document is created that credits the vendor account in the Accounts Payable Sub-ledger and debits the goods receipt/invoice receipt clearing account with the value of the material invoiced. Upon invoice receipt, the Accounts Payable Sub-ledger reconciliation account in the General Ledger is credited with the value of the material invoiced. Additionally, payment of the vendor invoice creates an accounting document that debits the vendor account in the Accounts Payable Sub-ledger and the reconciliation account in the General Ledger.

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  • 17. 

    The Purchasing Information System is based on information structures. Information structures contain three basic information types. Those are... (3 correct answers)

    • A.

      Attribute

    • B.

      Object

    • C.

      Characteristics

    • D.

      Period units

    • E.

      Performance figure

    • F.

      Key figures

    Correct Answer(s)
    C. Characteristics
    D. Period units
    F. Key figures
    Explanation
    The Purchasing Information System relies on information structures, which consist of three fundamental types of information: characteristics, period units, and key figures. Characteristics refer to the specific attributes or qualities of the objects being analyzed. Period units determine the time intervals used to measure and analyze data. Key figures are the performance figures or metrics that provide insights into the purchasing process. These three elements work together to provide a comprehensive understanding of the purchasing information within the system.

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  • 18. 

    What is determined through conditions in a purchase order? (1 correct answer)

    • A.

      Price

    • B.

      Terms of payment

    • C.

      Delivery information

    • D.

      Contract information

    Correct Answer
    A. Price
    Explanation
    Conditions in a purchase order determine the price at which the goods or services will be purchased. The price is a crucial aspect of any purchase order as it specifies the amount that the buyer is willing to pay for the products or services. The conditions may include any discounts, taxes, or additional charges that need to be considered while determining the final price.

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  • 19. 

    Which of the following statements regarding a specific material master record are correct? (2 correct answers)

    • A.

      The material master record can be assigned to different material types in different plants.

    • B.

      The data maintained in a view, can be used in more than one organizational unit.

    • C.

      All logistic modules use the same material master record.

    • D.

      Each plant has to have its own material master record.

    Correct Answer(s)
    B. The data maintained in a view, can be used in more than one organizational unit.
    C. All logistic modules use the same material master record.
    Explanation
    The material master record can be assigned to different material types in different plants, allowing for flexibility in categorizing and managing materials across different locations. The data maintained in a view can be used in more than one organizational unit, enabling sharing of information across different departments or divisions. All logistic modules use the same material master record, ensuring consistency and integration of data across different functional areas. Each plant does not have to have its own material master record, as the record can be shared and accessed by multiple plants.

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  • 20. 

    There are stock types that indicate a materials usage type. If the usability of a material changes, you are required to make transfer postings between the different stock types. Which stock types specify the usability of materials in SAP ERP? (3 correct answers)

    • A.

      Restricted use

    • B.

      Un-restricted use

    • C.

      Quality inspection

    • D.

      Blocked

    Correct Answer(s)
    B. Un-restricted use
    C. Quality inspection
    D. Blocked
    Explanation
    The stock types that specify the usability of materials in SAP ERP are un-restricted use, quality inspection, and blocked. The "un-restricted use" stock type indicates that the material can be used without any restrictions. The "quality inspection" stock type is used when the material is undergoing quality inspection and cannot be used until it is approved. The "blocked" stock type is used when the material is blocked and cannot be used due to some issues or restrictions.

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  • 21. 

    The term consumable material is understood to cover a material that is subject to a procurement transaction and whose value is recorded in the cost element or asset accounts. Which of the following are examples of consumable materials? (2 correct answers)

    • A.

      Valuated stock that is assigned to WBS-element.

    • B.

      Equipment that is assigned to a maintenance order.

    • C.

      Office supplies that are assigned to a cost center.

    • D.

      Material that is procured for an internal order.

    Correct Answer(s)
    C. Office supplies that are assigned to a cost center.
    D. Material that is procured for an internal order.
    Explanation
    The correct answers are office supplies that are assigned to a cost center and material that is procured for an internal order. Consumable materials are materials that are subject to procurement transactions and their value is recorded in cost element or asset accounts. Office supplies that are assigned to a cost center and material that is procured for an internal order both fit this definition as they are materials that are procured and their value is recorded in the appropriate accounts.

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  • 22. 

    In Materials Management, the procurement process is completed by Invoice Verification. There, invoices and credit memos are entered and checked for accuracy of the contents and prices. Which business processes are the effects of the invoice verification accomplishment? (2 correct answers)

    • A.

      The vendor master is updated with the invoice receipt.

    • B.

      An open item is created on the vendor's account.

    • C.

      The warehouse stock of the material is raised.

    • D.

      The invoice document is entered in the purchase order history.

    Correct Answer(s)
    B. An open item is created on the vendor's account.
    D. The invoice document is entered in the purchase order history.
    Explanation
    The effects of the invoice verification accomplishment include creating an open item on the vendor's account and entering the invoice document in the purchase order history. These processes help maintain accurate records of vendor transactions and ensure transparency in the procurement process.

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  • 23. 

    Your organization is implementing the SAP ERP Procurement Cycle, to improve operational efficiencies. Which of the following organizational levels are required to create a purchase order? (3 correct answers)

    • A.

      Plant

    • B.

      Purchasing organization

    • C.

      Storage location

    • D.

      Vendor

    • E.

      Purchasing group

    Correct Answer(s)
    A. Plant
    B. Purchasing organization
    E. Purchasing group
    Explanation
    To create a purchase order in the SAP ERP Procurement Cycle, three organizational levels are required: Plant, Purchasing organization, and Purchasing group. The plant represents the physical location where goods are produced or stored. The purchasing organization is responsible for procurement activities within the company. The purchasing group is a subgroup within the purchasing organization that is responsible for specific purchasing tasks. The storage location and vendor are not directly involved in the creation of a purchase order.

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  • 24. 

    Logistic invoice verification, in SAP ERP, is the process whereby a vendor's invoice is compared to the goods receipt document in the purchase order. What business integration processes, within SAP ERP, occurs with the completion of logistic invoice verification? (3 correct answers)

    • A.

      The vendor master record is updated.

    • B.

      The provisions in the GR/IR clearing account are reversed.

    • C.

      The on-hand quantity in the material master is updated.

    • D.

      The purchase order history is updated.

    • E.

      An open item is created in the vendor's account.

    Correct Answer(s)
    B. The provisions in the GR/IR clearing account are reversed.
    D. The purchase order history is updated.
    E. An open item is created in the vendor's account.
    Explanation
    With the completion of logistic invoice verification in SAP ERP, the provisions in the GR/IR clearing account are reversed. This means that any outstanding amounts in the account are resolved or adjusted. Additionally, the purchase order history is updated to reflect the invoice verification process, providing a record of the transaction. Lastly, an open item is created in the vendor's account, indicating that there is an outstanding payment or balance to be settled.

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  • 25. 

    Within SAP ERP Procurement, the procurement process is completed by logistics invoice verification. What happens when the invoice is posted in SAP ERP? (1 correct answer)

    • A.

      The payment is applied to the vendor's account.

    • B.

      The standard price in the material master is recalculated.

    • C.

      An accounting document is generated which posts directly to the Accounts Payable account within the general ledger.

    • D.

      The GR/IR account wihtin the general ledger is debited.

    Correct Answer
    D. The GR/IR account wihtin the general ledger is debited.
    Explanation
    When the invoice is posted in SAP ERP, the GR/IR account within the general ledger is debited.

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