Enterprise structure

Q: Which is important mandatory assignment/s related to

sales office in Enterprise structure?

A: Assignment of Sales office to Sales area

Q: Which organizational element is central in shipping?

A: Shipping point is main organizational element in shipping.

Q: Which are the highest organizational units in SD,

MM.PP,FI,CO?

A:
SD – Sales Organization
MM – Plant
PP – Plant
FI – Company Code
CO – Controlling Area

Q: Sales group definition is mandatory

A: false

Q: How many shipping points can you assign to a plant?

A: Relation is Many to One.

Q: A credit control area can include …..(fil in the blank)

A: One or many Company codes.

Q: Explain the relationship among sales organizations, plants
and company codes in enterprise structure assignments.

A: Many to Many to One. i.e. many sales organizations can

be assigned to many plants and vice versa, however one
sales organization can be assigned to only one company
code and similar for a plant.

Q: If you have 3 Sales Organizations, 2 Distribution Channels

and 2 Divisions, what is (A) - The maximum number of sales
areas?, (B) - The minimum number of sales areas?

A:
(A)– Twelve
(B)– Three

Q: In Enterprise structure assignments Plant is assigned to….

A: Sales Organization & Distribution Channel.

Q: To which organizational element is the “Division” is

assigned?

A: Sales Organization.

Q: Pick the correct statements

(a) One sales organization is assigned to one
company code
(b) One plant can have only one shipping point
assigned to it
(c) One sales group can be assigned to many
sales offices
(d) Sales area is a combination of sales organization
and distribution channel
A: (a), (c)

Q: Transportation planning point is assigned to shipping

point in the enterprise structure. True / False

A: False. It is planning point for organizing shipments. This is

defined under a company code but not linked to shipping
point in the enterprise structure.

Q: Departure zone is maintained in the definition of

(a) Plant
(b) Distribution channel
(c) Sales organization
(d) Shipping point

A: (d)

Q: pick the correct statement

(a) Credit control area is assigned to sales area

(b) Item category is assigned to division
(c) Billing type is determined as per delivery type
(d) Plant is assigned to loading point.

A: (a)
Master data

Q: What is the purpose of reconciliation account?

A: A customer master record in SD is also an A/R (accounts

receivables) in FI. When you create a customer master
record you also have to specify the reconciliation account.
Account in G/L accounting, to which automatic entries are
posted during a business activity. It is generally the case
that several sub ledger accounts post to a common
reconciliation account.

This ensures that the developments in the sub ledger

accounts are accurately reflected in the general ledger (i.e.
in line with balance sheet conventions). You can set up a
reconciliation account for, say, all overseas customers.

Q: Can you maintain texts for a specific customer and store

them in the system? If yes, where?

A: Yes, these can be maintained in Customer master record

& also in Customer- Material info records.

Q: What is a product hierarchy and for what can it be used?

A: Alphanumeric character string for grouping materials by

combining various characteristics. The product hierarchy is
used for evaluation and pricing purposes.

In Product Cost Controlling (CO-PC): Structure consisting of

the plant, product group, product, and order. Used for the
interactive analysis of the product costs for each level of the
hierarchy
Q: If currency of the customer and currency of the pricing
condition are different, then what helps to do the currency
conversion?

A: Exchange rate type in the customer master – billing data

helps to determine exchange rate maintained by FI.

Q: A customer is defined as a one-time customer via the

customer's….

A: Account Group control in customizing.

Q: Would you have a different customer number when your

customer is served by two different company codes?

A: No, for a customer the General data is common across

company codes, so there would be no redundant master
data in the organization across company codes.

Q: Is it possible to define different data for the same

customer belonging to 2 different Sales Areas?

A: Yes, for a customer it is possible to maintain different data

across different sales areas, like Pricing, Shipping
information etc.

Q: Can delivery combine items from different orders?

A: Yes, order combination should be made active in the sales

area – shipping data of the customer master

Q: Can you limit minimum delivery quantity for a material?

A: Yes, in the sales view of material master. Customer-
material record will have precedence.

Q: General item category group in the material master is

defaulted as per
a) Material group
b) Item category
c) Material type
d) Product attribute

A: (a)

Q: What is the use of common distribution channel?

A – You can specify one distribution channel as the source of

condition or material / customer master data for other
distribution channels. You need then only to maintain the
data in one place. This reduces cost of creating and
maintaining master data

Q: If customer wants company to send invoices on specified

dates, how it can be configured?

A – Create calendar based on specific billing days and assign

it in the sales area – billing data of the customer.

Q: A customer has more than one ship-to party but one ship-
to party is the most common receiving partner. Can we
configure to have it as default?

A: Yes, ship-to party, which is common can be set as default

in the partner function data of the customer master

Q: Which partner function is unique in customer master?

A:
Sold-to party

Q: Where do you set the loading group?

A: In Material Master, Sales/Plant view.

Q: What does the account group of the customer /vendor

control?

A: The account group determines the data that is relevant

for the master record and a number range from which
numbers are selected for the master records. Each master
record must be assigned to an account group.

Q: A material is produced in plant Denver, plant Dallas and in

plant Chicago. How many different material master numbers
do you need?

A: ‘One’, the same material number would have separate

plant specific views to maintain plant specific data, but
essentially there would be only one material master record.

Q: Can you assign a material to more than one division?

A: One material can belong to only one division; hence

multiple assignments are not possible.

Q: What are the two possible ways of control for the cost of a
material in the material master record?

A: Standard Price & Moving Average Price.

Q: Which partner function is relevant when it comes to tax
calculation in the sales order?

A: Ship-to Party.

Q: The statistics group for Customer for updating SIS is

assigned in….

A: Customer master record in ‘Sales’ views.

Sales

Q: Name two types of Pre-sales documents.

A: Inquiry
Quotation

Q: Name some of the functions controlled by Sales document

type.

A: Some of the functions controlled by sales document type

in customizing are:
Pricing
Number Assignment
Output
Texts
Availability Check & Transfer of requirements
Default Delivery & Billing type

Q: When can a sales order be deleted from system?

A: A Sales order can only be deleted if there are no

subsequent documents created from the sales order.

Q: What data is copied from the customer records when

creating a sales document without referring to a preceding
document?

A: The following data is determined from customer master

records:
Partner data from Sold-to party record
Sales data like Customer pricing procedure, pricing group etc
from Sold-to party record

Shipping data like Delivering Plant, delivery priority, shipping

conditions from Ship-to party customer record.

Billing data like Terms of Payment, Account assignment

group etc from Payer master record.

Q: What is a schedule line category?

A: Schedule line category is an indicator, which allows each

schedule line to be controlled differently. Schedule line
category influences how functions such as Inventory
Management, Materials requirement planning & Availability
check are performed for each schedule line.

Q. On the basis of which parameters is the schedule line

category in a sales order determined?

A. Item Category of item in sales order and MRP type from

material master.

Q: If you reference an inquiry when creating a quotation,

would the inquiry be updated?

A: Yes.

Can you copy several previous documents into one sales

order?

A: Yes
Q: What three sources provide data for the creation of a
sales document?

A:
1. Material Master
2. Customer Master
3. Previous documents used as reference.

Q: Can you change addresses of partners manually in the

sales document?

A: Yes, addresses can be changed manually of partners in

sales document.

Q: For what would you use the “fast change” function in

sales entry?

A: Alternate Plants, Delivery or Billing Blocks

Q: Name the influencing factors for determining the item

category in the sales document

A: Sales Document type, Item Category Group, Higher Level

Item, Item Usage.

Q: Where are the controls for determining division of

material in sales document?

A: In Sales Document type there is a control whether item-

division from material master is to be taken or whether
header division specified in order entry screen has
precedence & how system should behave if they are
different.
Q: In case of Rush Orders, if material has to be shipped from
different shipping point for the customer and material, which
are used in standard cycle, how would it be controlled?

A: For Rush Orders a separate default shipping condition can

be defined and in customizing a separate shipping point be
maintained with this shipping condition, so this way for the
same customer in Standard order there would be one
shipping point determined and for Rush Order a second one
can be determined.

Q: Can the sales document type be determined by the

system?

A: No, it needs to be manually entered by user in system in

entry screen.

Q: What is replenishment lead-time?

A: Total time for the in-house production or for the external

procurement of a product. For in-house production, the
replenishment lead-time is determined to cover all BOM
levels.

Q: What is the difference between checking availability with

or without replenishment lead time (RLT)?

A:
With RLT: Availability check is done only up to end of RLT. If
material is not available the date on which RLT ends, it is
displayed as Material Availability Date.

Without RLT: Availability check is unrestricted. Displays

Delivery Dates as on which partial deliveries can be made
with available stock.
Q: When you carry out availability check, which quantities or
movements can the system take into consideration?

A: The following elements can be included in the availability

check:

Stocks:
Safety stock,
Stock in transfer,
Stock in quality inspection,
Blocked stock.

Inward and outward movements:

Purchase orders,
Purchase requisitions,
Planned orders,
Production orders,
Reservations,
Dependent reservations,
Dependent requirements,
Sales requirements, and
Delivery requirements.

Q: If you run out of stock in a specific plant, can you check if

there are quantities available in other plants during sales
order creation?

A: Yes, Availability check option in sales order provides for

this requirement to check stock in other plants. This needs to
be done manually however.

Q: On sales order, when the system confirms 20 pieces to be

available at a certain date, would these 20 pieces still be
available for other new sales order coming in later?
A: No, once confirmed for an order the stock cannot be used
for other requirements.

Q: Can you link items in a sales order? If yes, when would

you do that?

A: Yes, for Promotions etc.

Q: Can you control that an end user cannot copy a quote of

customer A to a sales order for customer B? If yes, where?

A: Yes, in Customizing of Copy control ‘Sales Document to

Sales Document’ header data.

Q: Where would you specify which data should be copied (at

header, item and schedule line level) when you copy from
one document to another one?

A: In customizing, Copy control for specific areas.

Q: Give an example of when you would specify that a sales

document can only be created referencing another sales
document?

A: Returns can only be created referencing sales order.

Q: What is the source of shipping condition in a sales order?

A: Shipping data of the sold-to party if no specific shipping

condition is maintained for the sales order type.

Q: A billing due list is used to create credit memo request.

True / False
A: False. Billing due list is used to create billing documents.
Credit memo request is not a billing document.

Q: What is the sequence system uses in determination of

plant in sales order

A: Delivering plant searched as per the sequence

1. Customer-material info-record
2. Customer master (Shipping data)
3. Material Master (Sales views)

Q: Which different factors can be used in the determination

of item category?

A:
Sales document type
Item category group
Item usage
Higher level item category

Q: If shipping condition is maintained for sales document

type and it is also maintained for customer, then, which
takes precedence?

A – Shipping condition from sales document type takes

precedence.

Q: Which are the lead times used for transportation

scheduling?

A: Transit time and Transportation lead-time from route

Q: Give an example of sales document type which gets
billing block after it is created.

A: Credit memo request (CR) gets blocked for billing so that

before creating credit memo, amount to be created and the
reason can be checked.

Q: Which is the sales document type in which delivery is

created immediately after the document is saved?

A: Rush order (RO)

Q: Is reference mandatory for creation of sales document?

A: No, but it can be made mandatory when you want to

create orders with reference to some model order made in
the system

Q: If reason for rejection is assigned for an item in a sales

order, name some of the activities, which can be restricted?

A: Reason for rejection can restrict the following

Printing of the item in outputs
Billing of the item

Q: Which is the standard movement type used for Return

order?

A: 651 (GD ret. del. Returns)

Q: Availability check and transfer of requirement should be

active for Return order. True / False
A: False, it is not required because Return order is created
just to get the material back from the customer.

Q: Name 2 configuration controls in which Availability check

can be set.

A: Requirement class (global level) and schedule line

category (local level)

Q: If a sales order has 2 items and if one item is fully

delivered, what will be the delivery status in the sales order
at header and item level?

A:
Delivery status at the header level – partially delivered
Delivery status at the item level –fully delivered for one item
and partially delivered for another item

Q: When it is required to justify giving credit to the customer,

how it is mapped in SAP?

A: In SAP, order reason is used to give the justification. This

can be then put in the incompletion procedure assigned to
credit memo request, CR.

Q: During sales order processing, from which 2 records

delivery priority can be proposed?

A:
It checks customer-material info-record and then customer
master, sales area data for the customer.

Q: Which shipping dates are determined in sales order item?

A:
Goods issue date
Loading date
Material availability date
Transportation planning date

Q: FOB, CIF are types of …….. (Fill in the blank)

A: Inco-terms. FOB (Free on board) and CIF (Cost, Insurance

and Freight)

Q: On what date does the material need to be available to

ship to a customer on time?

A: On Material Availability date in sales document.

Q: Where can you set that item can have different business
data than Header data in sales order?

A: In Item category detail configuration, field ‘Business data’

can be checked to control separate business data at item
level.

Q: The probability on a sales document is calculated by

percentages defined in the:

A: Sales Document type & Customer master record.

Q: Do you always have to copy the entire quantities at item

level when you reference a previous document?

A: No, partial quantities can be referenced and referencing

document can be used for other subsequent document
creation for remaining quantity.
Q: Can you manually change the delivering plant in the sales
order once it was defaulted from the master data?

A: Yes, provided it is assigned to Sales organization &

Distribution channel.

Q: Name several input tools that make order entry faster and
give a definition of them?

A: Customer Material Information, Product Proposal, and

Referencing Documents.

Q: Why would you use different item and schedule line

categories?

A: Item categories are defined to provide additional control

functions for the sales documents and thus meet the
demands resulting from the different business transactions.
The items in a sales document are divided into one or more
schedule lines. These schedule lines differ from each other
with respect to date and quantity. For some schedule lines,
material requirement planning is not carried out; for other
schedule lines, it is carried out. Also goods receipt, not goods
issue, is posted for a schedule line defined in a returns
document.
General sales process

Q: Name two partner functions in SD, which need to be

maintained in FI as well.

A: Sold-to Party & Payer.

Q: Why do you use incompletion log in sales processing?

A: To have a complete sales document so that it doesn’t

affect subsequent sales processing.

Q: What's the advantage of using text as a reference instead

of duplicating it?

A: It can be modified in original document and will be

available in subsequent documents as well. Also there would
be only record for the text and thereby lesser data stored in
system.

Q: Can you have different incompletion logs for different

item categories or schedule line categories?

A: Yes, incompletion logs can be set-up for Sales Header,

Item, Schedule line, Delivery header and item & for Partners.

Q: If the document is incomplete, can it still be saved?

A: Yes, based on customizing settings in status group set for
the field, it can be defined whether document can be saved
or not.

Q: What two ways of number assignment for documents or

master data do you know?

A: Internal & External.

Q: What is a partner type? Give some example?

A: The partner type is an indicator, which informs you of the

type of partner, for example, partner type customer "KU".

Q: How can we find the reference document for a billing

document?

A: Using document flow

Q: Which is the standard output determination procedure in

delivery?

A: V10000

Q: Name some standard text objects

A:
VBBK (Sales Header texts)
KNVV (Customer texts, sales)
KNA1 (Central customer texts)
MVKE (Material text, sales)
Q: Can the requirement of having text related to shipping
instructions made mandatory in the sales order?

A: Yes, text type of shipping instructions can be made

mandatory in the text procedure assigned to sales order
type

Q: Products in a sales order can be substituted without ATP

check. True / False

A: Yes, substitution can be with or without ATP check and

substitution reason can be configured accordingly.

Q: If no records exist for material listing for sold-to party,

then system checks record of which other partner function of
the customer?

A: Payer

Q: Which is the output type used for sending mail during

credit check in a sales order?

A: KRML is the output type in order output procedure,

V10000

Q: Which are standard partner functions in customer master?

A:
Sold-to party
Ship-to party
Bill-to party
Payer
Pricing

Q: Condition tables in Pricing are used for storing ……. (fill in

the blank)

A: Condition record.

Q: Defining Access Sequences is an activity which is ……..(fill

in the blank)

A: Cross-Client

Q: Pricing Procedure is a group of ……..(fill in the blank)

A: Condition types.

Q: Can you explain condition technique used in SAP?

A: It is a hierarchy of elements defining a data combination,

which leads to certain actions. In pricing the condition
technique refers to the method by which the system
determines prices from information stored in condition
records. In Sales and Distribution, the various elements used
in the condition technique are set up and controlled in
Customizing. During sales order processing, the system uses
the condition technique to determine a variety of important
pricing information.
Q: Name four basic elements of condition technique

A: Condition Types, Condition Tables, Access Sequences,

Pricing Procedures.

Q: Explain condition table and access sequence and the

relationship between them.

A: A condition table defines the combination of fields (the

key) that identifies an individual condition record. A
condition record is how the system stores the specific
condition data that you enter in the system as condition
records. For example, when you enter the price for a product
or a special discount for a good customer, you create
individual condition records.

An access sequence is a search strategy that the system

uses to find valid data for a particular condition type. It
determines the sequence in which the system searches for
data. The access sequence consists of one or more accesses.
The sequence of the accesses establishes which condition
records have priority over others. The accesses tell the
system where to look first, second, and so on, until it finds a
valid condition record. You specify an access sequence for
each condition type for which you create condition records.

Q: What is a condition type? Which are the two main

calculation types in condition types?

A: A condition type is a representation in the system of some

aspect of your daily pricing activities. For example, you can
define a different condition type for each kind of price,
discount, or surcharge that occurs in your business
transactions.

Fixed Amount & Percentage are two main calculation types

used in most condition types.
Q: You can create scales for prices and discounts. Name the
four possible scales.

A: Value, Quantity, Gross weight, Net weight, Volume.

Q: What is a group condition?

A: Condition, which can be used to determine a scale, value

based on more than one item in a document. The system
groups the items using either the condition key for the
appropriate condition record or a separately defined
condition key.

Q: Where would you specify that a condition type is a

discount or a surcharge?

A: In Condition type definition screen.

Q: Name two header condition types

A: HB00 (Discount-value) and HD00 (Freight)

Q: You want to list all condition records for a certain material

or a certain sales organization. How would you do that?

A: By usage or creation of Pricing reports.

Q: What is the function of condition exclusion indicator?

A: The system can exclude conditions so that they are not

taken into account during pricing in sales documents.
Q: Can you explain what a statistical condition is? Give an
example for a statistical condition?

A: Statistical condition is used in pricing for reporting

purpose; the amount in the condition is not passed on to
accounting.
Example of statistical condition type is ‘VPRS – Cost’.

Q: Where can you specify that a condition is mandatory?

A: in Pricing Procedure.

Q: Explain pricing procedure.

A: The primary job of a pricing procedure is to define a group

of condition types in a particular sequence. The pricing
procedure also determines:
- Sub-totals, which appear during pricing
- To what extent pricing can be influenced manually
- Method the system uses to calculate percentage discounts
and surcharges.
- Requirements for a particular condition type, which must
be fulfilled before the system takes the condition into
account.

Q: Name the influencing factors for pricing procedure

determination during sales order entry.

A: Customer Pricing Procedure from Sold-to Party customer

master record, Document Pricing Procedure from sales
document type and Sales Area.

Q: If you want to make sure that conditions records apply for

a certain time period only, how it can be set?
A: Validity Period to be specified in condition record

Q: In pricing, header-level condition type does not have

access sequence. True / False

A – True. It does not need access sequence, as condition

record is not required for header-level record

Q: A condition record found by an access sequence can

always be changed in the sales order pricing. True / False

A: False. It can be changed depending on the settings in the

definition of condition type, which allow change of condition
in the sales order.

Q: Can you post revenues of different types of materials to

different G/L accounts?

A: Yes. You can configure revenue account determination

using material account assignment group, which is
maintained in the material master

Q: Which is the standard pricing procedure for US with tax

jurisdiction code?

A: RVCXUS

Q: Do you have to create a condition record for taxes in the

SD application?

A: For determination of tax condition, condition records need

to be maintained. Example - condition type ‘UTXJ’.
Special processes

Q: When is an invoice sent to the customer in a third party

process?

1. When the vendor sends the goods.

2. When customer received goods
3. When company receives invoice from vendor.

A: 3rd option- when company receives invoice from vendor.

Q: In third-party order processing, what controls billing with

reference to sales order?

A: Item category definition (TAS) - Billing relevance field has

the control

Q: What determines billing type in inter-company billing?

A: Sales order type definition has provision to determine

billing type

Q: Name item category used for configuring Free pricing

A: TANN.

Q: Which 2 types of check are basic credit checks in

automatic credit control
A: Static check and Dynamic check

Q: In inter-company sale scenario, which is the key

assignment in enterprise structure of SD?

A: Assignment of supplying plant (of other company code) to

ordering sales organization and distribution channel

Q: Which is the condition type provided by SAP for free

goods inclusive determination?

A: R100 (100% discount) is the condition type. This is active

only in case if free good is active.

Q: Is it possible to give free quantity of material different

than the order material?

A: Yes, this is called as Exclusive free goods scenario. Free

goods discount record can be set accordingly.

Q: If a condition type is marked as statistical but an A/c key

is placed against it in the pricing procedure will the value get
posted to A/c.?

A: No.

Q: Tax jurisdiction processing is a close link between which

two modules?

A: SD & FI.

Q: Credit control area for credit check in sales order can be

determined from the following. Pick the incorrect option.
 (a) Sales Area
(b) Company code
(c) Controlling area
(d) Customer master

A:
Controlling area.

The rest can be used as per sequence given below

Sales Area
Customer master
Company code

Q: Item category controls credit check for material. True/

false.

A: True.
Delivery and shipping

Q: Name few pre-requisites that have to be fulfilled if you

want to create a delivery for the order.

A:
Header Level

There cannot be a delivery block at header level.

The sales document must contain at least one item due for
delivery before a delivery can be created for this document.

Item Level and Schedule Line Level

The schedule line must be due for shipping on the specified
selection date.
A schedule line becomes due for shipping as soon as the
material availability date or the transportation scheduling
date is reached.
The schedule line cannot be blocked for delivery.
The delivery quantity must be greater than one.
The data for items in the order must be complete.
If they are incomplete, you must first edit the
incompleteness log in the order.

Q: If you create a delivery, would this automatically update

the sales order?

A: Yes. The delivery status of the entire order results from

the delivery status of the items. Until all items in the order
have been fully delivered, the order has the status "Partially
delivered". The entire document acquires the status of fully
delivered once all the items have been fully delivered.
Q: Can you change the shipping point determined in the
sales order manually?

A: Yes, provided manual shipping point is specified in

Customizing.

Q: If you have different shipping points in a sales order at

item level then what effect it would have on the delivery?

A: Each item will have individual deliveries.

Q: Why would you carry out route determination in the

delivery again?

A: To reconfirm the weight and volume of the item and

change route based on it.

Q: Why would you carry out availability check in the

delivery?

A: The availability check is calculated using planned inward

and outward movements of goods. Therefore the delivery
situation might have changed in the meantime due to
unforeseen circumstances, such as lost output. The
availability check in the delivery takes any such changes into
account.

Q: When do you initiate packing activity-before or after

goods issue? What is the material type for shipping material?

A: Before doing goods issue. VERP is packaging material

type in standard system.
Q: Can the delivery quantity and the picking quantity in the
delivery document be different?

A: Yes, physically the stock in storage may be different from

delivery quantity available in system hence picking quantity
can be different.

Q: Do you have schedule lines in the delivery?

A: No, Schedule lines in order result in items in delivery.

Q: Item categories from the sales order are copied into the
delivery. What happens if you add a new item in the delivery
– how can the system still automatically determine the item
category for the delivery? If, yes, what are the settings done.

A: You can only enter an item that is not dependent on an

order in a delivery if the delivery permits the item category
for that item. The item category is determined on the basis
of the delivery type and item category group in the material
master record. Thus, items for which an order has to be
created first cannot be added to a delivery.

Materials, which can be included in a delivery, depend on

your system configuration. In the standard version of the
SAP R/3 System, only materials with the item category VERP
can be added to a delivery.

Q: To combine items from several orders to one outbound

delivery, which of the characteristics must be the same for
all items?

A: Delivery due date, Ship-to party and Shipping point

Q: Route can not be re-determined in delivery once it is
determined in sales order. True / False

A: False

Q: Can we set delivery block at item level?

A: Yes, It can be set using schedule line category

configuration.

Q: Which is the standard delivery type used for delivery to

be created without reference to a sales order?

A: LO

Q: Can packing of a material in delivery be made

mandatory?

A: Yes, It can be controlled using item category.

Q: What is the use of storage condition during shipping?

A: Storage condition can be used to determine picking

storage location.

Q: Which is the default order type for deliveries without sales

order?

A: DL

Q: How allowed packaging materials for packing a product

can be set?
A: Allowed packaging material types are assigned to
packaging material group in material master of the finished
product.

Q: In route determination in delivery, which additional

criterion can be used?

A: Weight group

Q: How proof of delivery is set?

A:
Activate it for the customer in the sales area – shipping data.
Set time frame within which if customer does not send POD,
then system can mark delivery as confirmed automatically.

Mark delivery item category as POD relevant

Q: Which movement type is used for standard items having a

standard outbound delivery in system?

A: 601

Q: When Post Goods receipt is posted for Returns delivery,

which stock does the goods move to?

A: ‘Returns’ stock.

Q: What is item category of material you enter directly in

delivery w/o reference to sales order?

A: DLN
Billing

Q: Name several billing types in standard system?

A:
F1: Order related Invoice

F2: Delivery related invoice.

F5: Proforma Invoice for Sales Order

F8: Proforma Invoice for Delivery.

Q: Can you delete an invoice?

A: No, You can cancel it provided billing type has been

assigned a cancellation billing type in customizing.

Q: Can you cancel a Proforma Invoice?

A: No, Proforma Invoice cannot be cancelled in system.

Q: When you create an invoice in SD, how do you post it to

FI?
A: Normally Invoices are automatically released to
accounting on saving. If not then following procedure is
adopted:

Select Billing document and ‘Release to Accounting’. The

system displays a message that the accounting document
has been saved. If the billing document contains an error,
the reason for not forwarding the document is displayed.

If the release was successful, the posting status in the billing

document is set to C (accounting document has been
created). You find the posting status by selecting Header
details in the billing document.

Q: When you create an invoice, can you carry out pricing

again?

A: Yes, in conditions screen, pricing type can be selected for

re-determining pricing.

Q: From which documents, can you create a Proforma

invoice?

A: Based on sales order or delivery.

Q: Can you transfer a proforma invoice to FI?

A: No, Proforma Billing type does not have a account

determination procedure assigned and hence accounts
cannot be determined for transfer of data from SD to FI.

Q: Can you combine deliveries into one invoice? When would

you do that?
A: Yes. If the header data and header partners for specified
delivery or sales order are identical and if requirements for
splitting do not apply. Collective billing option is used in this
case.

Q: What is an invoice list?

A: Invoice lists let you create, at specified time intervals or

on specific dates, a list of billing documents (invoices, credit
and debit memos) to send to a particular payer.

The billing documents in the invoice list can be single or

collective documents (collective invoices combine items
from more than one delivery).

The standard version of the SAP R/3 System includes two

types of invoice lists:
- For invoices and debit memos
- For credit memos

If you wish, you can process invoices, debit memos, and

credit memos at the same time. The system automatically
creates a separate invoice list for credit memos.

Q: Which pre-requisite are necessary to use an invoice list?

A:
- An invoice list type must be assigned to each billing type
that you want to process in invoice lists - the standard
version of the SAP R/3 System includes two invoice list types:
LR for invoices and debit memos, LG for credit memos

- Copying requirements must be defined (for example, the

payer, terms of payment, and other fields that must be
identical in the documents to be included in the invoice list)
In addition, before you process an invoice list, you must
maintain the following master data:

- A customer calendar must be defined, specifying the time

intervals or dates on which invoice lists are to be processed

- The customer calendar must be entered in the Billing view

of the customer master record of the payer (field: Inv. list
schedule)

Q: Name two types of billing plans in the standard R/3

system?

A: Periodic billing, Milestone billing.

Q: What does the billing type control?

A:
The document number

The partner functions allowed at header level

The partner functions allowed at item level

The billing type that can be used to cancel the billing

document

The transfer status of the billing document

Transferred to financial accounting

The procedure for account assignment in Financial

Accounting

Q: Pro-forma Invoice has an accounting document. True /

False
A: True

Q: Can taxes be re-determined in billing document?

A: Yes.
This is set up in the copying control from sales document
type to billing type at item level. Pricing type value is
selected as “G” – copy pricing elements unchanged and re-
determine taxes.

Q: Name two data fields maintained in master data, which

can be used in the determination of revenue accounts

A:
Material account assignment group
Customer account assignment group

Q: Which is the invoice cancellation type for invoice F2?

A: S1 is the invoice cancellation type for invoice F2

Q: Explain Milestone billing and Periodic Billing with

examples.

A: Periodic Billing: It means billing a total amount for each

individual billing date in the plan defined for the defined
period. Like in a rental contract with a customer, system
would propose schedule of monthly rental payments.

Milestone Billing: It means distributing total amount to be

billed over multiple billing dates based on specific milestones
defined. This is used for billing projects like Construction or
Engineering, which involve milestones marking completion of
different stages of work.
Q: Sales office in items of a billing document can be different
True / False

A: True.