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SAP® MM Questions and Answers

Book Description

Designed for SAP users as a quick reference or for computer science and business students, SAP MM Questions and Answers includes all the major concepts related to SAP MM functionality, technical configuration, and implementation in an easy-to-understand question and answer format. It discusses the new aspects related to SAP ERP 6.0 and all the important MM codes and concepts for materials and vendors, including clients, company codes, plants, storage locations, purchase organizations, etc. The organized and accessible format allows the reader to quickly find the questions on specific subjects and provides all of the details to pass certification exams in a step-by-step, easy-to-read method of instruction.

Table of Contents

  1. THE JONES AND BARTLETT PUBLISHERS SAP BOOKS
  2. TRADEMARK ACKNOWLEDGMENT
  3. TABLE OF CONTENTS
  4. INTRODUCTION
  5. CHAPTER 1 INTRODUCTION TO SAP MATERIALS MANAGEMENT
    1. 1. What is SAP? How is it used in industries?
    2. 2. Briefly describe the history of the SAP software.
    3. 3. Why is SAP so popular? What are some of the other ERP applications available in the market?
    4. 4. What is mySAP ERP? What business components can it be classified into?
    5. 5. What are the industry-specific solutions available in mySAP?
    6. 6. What is SAP R/3?
    7. 7. How did different versions of SAP evolve?
    8. 8. Why are industry-specific solutions used in SAP R/3?
    9. 9. What benefits will be realized after implementing SAP in any organization?
    10. 10. What are the different modules in SAP R/3?
    11. 11. What are the core functionalities of the SAP system?
    12. 12. How can we define an MM module? What is its importance in SAP R/3?
    13. 13. How is the MM module integrated with other modules of SAP?
    14. 14. What are the main components of the MM module? How are these components used in SAP?
  6. CHAPTER 2 ORGANIZATIONAL STRUCTURE
    1. 1. What is the organizational structure in the materials management (MM) module?
    2. 2. What are the levels of organizational units in Enterprise Structure in SAP R/3?
    3. 3. Define “client.” What is its importance in SAP?
    4. 4. How do we create a client in the MM module?
    5. 5. Define “company.” How is it different from a client? What are the data in the MM module that are maintained at the company code level?
    6. 6. How do we create a company code in SAP?
    7. 7. How do we assign a company code to a company in SAP?
    8. 8. How many charts of accounts can be assigned to a company?
    9. 9. How many company codes can be assigned to one chart of accounts?
    10. 10. How many company codes can be assigned to a company?
    11. 11. What is a plant in the MM module?
    12. 12. How is a plant defined in the MM module?
    13. 13. What are the prerequisites for creating a plant?
    14. 14. How many company codes can be assigned to a plant?
    15. 15. Can a company code be assigned to many plants?
    16. 16. What is the menu path to assign a company code to a plant?
    17. 17. What is a storage location in SAP?
    18. 18. How is a storage location defined in SAP?
    19. 19. How is a storage location assigned to a plant?
    20. 20. Can storage locations be created automatically?
    21. 21. Can two plants have a common storage location?
    22. 22. What is the menu path to configure the storage location?
    23. 23. What is a purchasing organization in SAP?
    24. 24. What are the different ways of organizing purchasing organizations?
    25. 25. How is a purchasing organization defined in SAP?
    26. 26. What is the reference purchasing organization in SAP?
    27. 27. How is a purchase group defined in SAP?
  7. CHAPTER 3 MASTER DATA
    1. 1. What is master data in the materials management (MM) module?
    2. 2. How is master data important in the MM module?
    3. 3. What are the various types of master data in the MM module?
    4. 4. What is a material master file?
    5. 5. Why are material master records used in SAP?
    6. 6. How is the information in material master records updated?
    7. 7. What are the types of industry sectors defined in the material master data?
    8. 8. What data in the material master is maintained at the client level?
    9. 9. What data in the material master is maintained at the company code level?
    10. 10. What are the plant-specific data in the material master?
    11. 11. What is the lot size attribute of a material?
    12. 12. How is material information structured in material master records?
    13. 13. What is a batch?
    14. 14. Why is a batch record important?
    15. 15. How do we create a batch?
    16. 16. What are the important fields in a batch master record?
    17. 17. How can batch records be changed?
    18. 18. How do we delete a batch?
    19. 19. What is the Batch Information Cockpit?
    20. 20. What are the levels at which a batch number can be configured?
    21. 21. How are batch numbers assigned?
    22. 22. What is a serial number?
    23. 23. What is a class type? How do we configure a class type?
    24. 24. How can we procure a master record for a material that does not have one?
    25. 25. What is the importance of classification data?
    26. 26. What is an ABC indicator?
    27. 27. What are the main master files used in MM?
    28. 28. Give some examples of master data in MM.
    29. 29. How do we create a vendor?
    30. 30. What is vendor master data?
    31. 31. What are the different sections in vendor master data?
    32. 32. What are the different fields in vendor master data?
    33. 33. How do we create a vendor number range?
    34. 34. What is dunning procedure? How can it be configured?
    35. 35. How do we assign material to vendors?
    36. 36. What is the transaction code to access the Materials Management Configuration menu?
    37. 37. What are the various transaction codes to access the MM configuration?
    38. 38. Write the names of some important MM tables.
    39. 39. What are purchasing information records?
    40. 40. What are the categories of purchasing information records?
    41. 41. What are the prerequisites for creating a purchasing info record?
    42. 42. How can we create a purchasing information record?
    43. 43. Can a purchasing info record be created without a material number?
    44. 44. How can we create an information record based on the material master?
    45. 45. What is the document management system (DMS) in SAP?
    46. 46. What is the document information record?
    47. 47. How does one create a document?
    48. 48. What are the key fields that one must specify when creating a document?
    49. 49. How does one link a document to a material master record?
    50. 50. How do you link a document to a vendor master record?
    51. 51. How is the classification system used to describe a document?
    52. 52. How can material numbers be assigned in a material master file?
    53. 53. What data is contained in the information record?
    54. 54. How do we change the standard price in the material master?
    55. 55. What is the source of the “not allowed” error in the case of custom movement type creation?
    56. 56. Give the names of the tables where the header level and item data are stored in a purchase order.
    57. 57. Give the names of the tables where the material master data is stored.
    58. 58. What is the vendor evaluation? How is it maintained?
    59. 59. List the components of the master data and their transaction codes.
    60. 60. What is the name of the SAP program used to update or create material master records?
    61. 61. What is storage location-specific material master data?
    62. 62. When is a production resource/tool (PRT) defined for a material?
    63. 63. What transaction code is used to extend the material view?
    64. 64. Give some examples of information related to a material’s storage and warehousing.
    65. 65. What is a source list? What is the menu path to define a source list?
    66. 66. How do we create a source list?
    67. 67. What is the transaction code for creating a source list?
    68. 68. What transaction codes are used with a source list and what is their purpose?
    69. 69. What are material numbers in SAP?
    70. 70. What does an industry sector control?
    71. 71. Can we change the industry sector of an existing material?
    72. 72. What is the material type of a material?
    73. 73. What is a valuation category?
    74. 74. What does the material type control?
    75. 75. What is the transaction code to create a material type?
    76. 76. What are the general material types used in SAP?
    77. 77. What material types are used while creating a new material?
    78. 78. What is the menu path to define material type attributes?
    79. 79. Can we change the material type of a material?
    80. 80. What is the shelf life expiration date check? Where is it maintained?
    81. 81. How do we set user defaults for views?
    82. 82. List the steps to create a profile.
    83. 83. How do we change the characteristics?
    84. 84. How do we create a class?
    85. 85. Can we include an ROH type in the sales view?
    86. 86. List the key fields of the m.5aterial master table.
    87. 87. What are the major purchasing tables? List the transaction codes for them.
    88. 88. What is nonvaluated material?
    89. 89. What are the views in material master? Which data, in general, do these views contain?
    90. 90. What are the fields in a material master file?
    91. 91. What are the important fields in the Basic Data view?
    92. 92. How can we access the additional data screen?
    93. 93. What are the important fields in the Accounting view?
    94. 94. What are the important fields in sales organization data?
    95. 95. What are the important fields in plant data?
    96. 96. What are the important fields in the Purchasing view?
    97. 97. How can we create a material in SAP?
    98. 98. What does “extending a material” mean? How is this done?
    99. 99. How can we create a material master record?
    100. 100. How can we change a material master record?
    101. 101. List the steps to delete a material master record.
    102. 102. How can we display the material master record on the SAP system?
    103. 103. How do we move a material master record from one SAP system to another?
    104. 104. What is the transaction code to display material in SAP MM?
    105. 105. What is the purchasing value key?
    106. 106. How can we configure the purchasing value key?
    107. 107. Define “material group.”
    108. 108. Define “material status.”
    109. 109. What is the base unit of measure of a material? What are the other units of measure used in SAP for a material?
    110. 110. How do we create a vendor master record?
    111. 111. How can we change a vendor master record?
    112. 112. How can we block a vendor?
    113. 113. What is the vendor subrange?
    114. 114. What is a one-time vendor?
  8. CHAPTER 4 PROCUREMENT AND PURCHASING
    1. 1. What are the special stocks used in materials management (MM)?
    2. 2. What are the differences between company-owned special stocks and externally-owned special stocks?
    3. 3. Why do organizations need negative stock?
    4. 4. What are special procurement types?
    5. 5. Define “consignment stock.” What are the main features of consignment stock?
    6. 6. How is the pricing of consignment stocks done? What information does the consignment information record contain?
    7. 7. How are consignment stocks created?
    8. 8. Define “consignment cycle.”
    9. 9. How is consignment material procured?
    10. 10. How can we see the consignment stocks in SAP?
    11. 11. How can we take consignment stocks into our own stock?
    12. 12. Can we do the physical inventory check of consignment stocks?
    13. 13. How can we invoice in the case of consignment stocks?
    14. 14. What is subcontracting?
    15. 15. How is subcontracting used in MM?
    16. 16. What information does the subcontracting info record contain?
    17. 17. How do we create a subcontracting purchase order (PO)?
    18. 18. How can we view the stocks provided to a vendor?
    19. 19. How are components (materials) provided to the vendor?
    20. 20. How are components consumed in subcontracting?
    21. 21. Why do we need to create physical inventory documents for an inventory cycle-count procedure of a material or materials?
    22. 22. What is the difference between planned and unplanned consumption?
    23. 23. How can we provide components to the vendor or subcontractor with and without a PO reference?
    24. 24. How can one vendor obtain components from another vendor or third party?
    25. 25. How do we verify invoices for subcontracting POs?
    26. 26. How do we attach a document to the PO?
    27. 27. How do we know if the PO has been issued?
    28. 28. How can we create a subcontract order?
    29. 29. What is STO? What are its advantages?
    30. 30. Is the goods receipt/invoice receipt (GR/IR) account needed in inventory?
    31. 31. How is stock transfer done between the plants? What are one-step and two-step stock transfer?
    32. 32. Define “lot size.”
    33. 33. What is a reservation?
    34. 34. What transaction codes are used with reservations?
    35. 35. How is the list of all reservations in the systems displayed?
    36. 36. What is the difference between stock transfer and transfer posting?
    37. 37. What is the transaction code to create movement types?
    38. 38. How can we create movement types?
    39. 39. Why is the stock transfer order set up in the initial configuration?
    40. 40. How is stock transferred with and without delivery?
    41. 41. How is stock transferred in a cross-company scenario?
    42. 42. How can we post a goods issue in the case of an STO?
    43. 43. How can we monitor stock in transit?
    44. 44. How is a goods receipt entered in the receiving plant in the case of an STO?
    45. 45. How can a stock transfer be monitored in Purchasing?
    46. 46. How is an STO created?
    47. 47. Define “source list.”
    48. 48. How do we generate a source list?
    49. 49. What are the different source determination procedures?
    50. 50. How does source determination work in the case of purchase requisitions?
    51. 51. What are purchase requisitions as related to SAP?
    52. 52. How can a purchase requisition be created?
    53. 53. How can we create a purchase requisition with a material master record?
    54. 54. Can we generate a purchase requisition automatically?
    55. 55. How can we create a purchase requisition without a material master record?
    56. 56. How do we track a purchase requisition?
    57. 57. When can a purchase requisition be closed?
    58. 58. State the configuration steps for a purchase requisition.
    59. 59. What are the important fields in a purchase requisition?
    60. 60. How do we change a purchase requisition once it is issued?
    61. 61. State the differences between the purchase requisition with a master record and without a master record.
    62. 62. State the importance of the vendor evaluation in the purchase department.
    63. 63. What are the main criteria of the vendor evaluation?
    64. 64. How do we maintain the vendor evaluations in the MM module?
    65. 65. What are the document types used in purchase requisitions?
    66. 66. What is the difference between an indirectly created and directly created purchase requisition?
    67. 67. Can a purchase requisition be manually generated through the reference of a PO or a scheduling agreement?
    68. 68. What is a PO? What does a PO contain?
    69. 69. Where do we define payment terms in the PO?
    70. 70. What are the document types used in a PO?
    71. 71. What is the difference between a blanket PO and a service order?
    72. 72. What is price comparison?
    73. 73. What are the document types used in scheduling agreements?
    74. 74. What are the document types used in a contract?
    75. 75. What is a contract?
    76. 76. What are the different types of contracts?
    77. 77. What is the difference between a scheduling agreement and a contract?
    78. 78. How can we create a contract?
    79. 79. Account assignment categories “U” and “X” can be used in purchase requisitions but not in POs. Why?
    80. 80. What is the difference in release procedure between internal documents and external documents?
    81. 81. Define “procurement cycle.”
    82. 82. What are the main documents used in MM?
    83. 83. What are the various steps of the MM cycle?
    84. 84. What is the definition of procurement?
    85. 85. What is the account assignment category in a PO document?
    86. 86. What is the difference between a PO and a purchase requisition?
    87. 87. What is the creation indicator?
    88. 88. What is the automatic generation of POs from purchase requisitions?
    89. 89. What is a quotation?
    90. 90. How do we enter a quotation from a vendor in the SAP system?
    91. 91. How can we compare price factors in quotations?
    92. 92. What are the qualitative factors that can prove advantageous to the client while bidding?
    93. 93. How can we reject a quotation?
    94. 94. What is an RFQ?
    95. 95. How are RFQs and quotations processed in SAP?
    96. 96. How can an RFQ be created?
    97. 97. What transaction codes are used in RFQs?
    98. 98. How can we create an RFQ in the SAP system?
    99. 99. What is the RFQ type?
    100. 100. List the important key fields for RFQs.
    101. 101. What is the RFQ delivery schedule?
    102. 102. How can we release an RFQ?
    103. 103. What is the purchasing document category for an RFQ?
    104. 104. How can we find the list of vendors to send an RFQ?
    105. 105. What is the role of the confirmation control key?
    106. 106. What is a purchasing document?
    107. 107. What are the various transaction codes used in Materials Management Purchasing (MM-PUR)?
    108. 108. Name some of the data points provided by purchasing for the materials.
    109. 109. What are the external purchasing documents available in the standard SAP system?
    110. 110. How does the SAP system differentiate between purchasing documents?
    111. 111. How are purchasing documents numbered?
    112. 112. What is meant by PO, as related to SAP? What are the different ways a PO can be created in SAP?
    113. 113. How can we create a PO automatically?
    114. 114. How can we create POs with known and unknown vendors?
    115. 115. Can a line item in a PO be blocked after it has been created?
    116. 116. How can we cancel a PO line item?
    117. 117. What are the account assignment categories in a PO?
    118. 118. Can multiple accounts be assigned to a PO line?
    119. 119. What is an outline purchase agreement? What are the types of outline purchase agreements?
    120. 120. What is an item category? What will happen if we use the consignment item category in SAP? What will happen if we use the subcontracting item category in a PO?
    121. 121. What are the different types of item category?
    122. 122. What is an account assignment category? How is it configured?
    123. 123. What is a scheduling agreement? How can it be created?
    124. 124. How can we create a scheduling agreement with a reference?
    125. 125. What are the allowed account assignment categories in a PO?
    126. 126. What is service procurement?
    127. 127. What is the mandatory data that we must enter while creating a PO?
    128. 128. Where can we maintain the conditions in the PO?
    129. 129. What is the difference between procurement for stock and procurement for consumption?
    130. 130. What is the difference between external procurement and internal procurement?
    131. 131. What is a document type?
    132. 132. What are the ways of converting planned orders into purchase requisitions?
    133. 133. What transaction code is used to convert planned orders into requisitions in MRP?
    134. 134. Can we add custom fields to POs and RFQs?
    135. 135. What are the external purchasing documents and internal purchasing documents used in MM?
    136. 136. How is a framework order (FO) different from a standard PO?
    137. 137. What document types can be used in cases of service procurement?
    138. 138. What is the procurement type? What are the procurement types used in SAP?
    139. 139. Why should we use multiple account assignment in a PO?
    140. 140. How is the Stock Transport Order (STO) different from the standard PO?
    141. 141. How can we return a material that we have received with reference to a PO?
    142. 142. How are free items managed in a PO?
    143. 143. Which documents are used as references when we create a PO?
    144. 144. Suppose we want to procure a material using a PO and intend to accept delivery of the material at different times. In addition, if such material has a graduated discount scale, how would we proceed to take advantage of the discount arrangement?
    145. 145. Explain the significance of the PO price unit. In addition, what should we note in case of a goods receipt?
    146. 146. What is the transaction code to set price control for receipts (goods/invoice)?
    147. 147. What is the outline agreement? What is the difference between a contract and a scheduling agreement?
    148. 148. What is the difference between quantity and value contracts?
    149. 149. What is a centrally agreed contract?
    150. 150. What is a service master record?
    151. 151. List the important fields of a service master record.
    152. 152. What is a standard service catalog (SSC)?
    153. 153. How can the services be purchased?
    154. 154. What is a service entry sheet?
    155. 155. What is a blanket PO? How can it be created?
    156. 156. What is a distributed contract?
    157. 157. What are the allowed item categories used with contracts?
    158. 158. How can we create a scheduling agreement in SAP?
    159. 159. What are schedule lines?
    160. 160. How can we create a schedule line for a scheduling agreement?
    161. 161. How is a scheduling agreement release sent to a vendor?
    162. 162. Define FRC and JIT.
    163. 163. Define “firm zone” and “trade-off zone.”
    164. 164. Define “creation profile.”
    165. 165. What does the document type control? How are purchase requisition document types linked with PO and RFQ document types?
    166. 166. What is tax code?
  9. CHAPTER 5 MATERIALS REQUIREMENT PLANNING
    1. 1. What is materials requirement planning (MRP) in SAP?
    2. 2. List the types of MRP.
    3. 3. What MRP procedures are available in consumption-based planning (CBP)?
    4. 4. What is the MRP list?
    5. 5. What are the different transaction codes used for different activities in CBP?
    6. 6. What is CBP and how can we integrate it?
    7. 7. What is the difference between MRP and CBP?
    8. 8. What important values are used to define the reorder point?
    9. 9. What is a procurement proposal? What are the types of procurement proposals?
    10. 10. What is reorder point planning?
    11. 11. How is the automatic purchase order generated using a particular material after creation of a purchase requisition?
    12. 12. What is forecasting in the SAP system?
    13. 13. What are the different models for forecasting?
    14. 14. Can the forecast model be selected automatically?
    15. 15. What are the fields in forecast profile creation?
    16. 16. What is forecast-based planning?
    17. 17. What are the different types of forecast model?
    18. 18. Define “time-phased planning.”
    19. 19. Define “planning process flow.”
    20. 20. Define “planning run type.”
    21. 21. Define “planning calendars.”
    22. 22. How can we create a planning calendar in CBP?
    23. 23. How is planning done at the plant level and storage location level?
    24. 24. How is the net requirement calculated?
    25. 25. How is the lot-size calculation performed in MRP?
    26. 26. What are static lot-sizing procedures?
    27. 27. What is a rounding profile?
    28. 28. How is scheduling carried out in MRP?
    29. 29. What is the difference between backward scheduling and forward scheduling?
    30. 30. What are the basic types of model selection?
    31. 31. How is the procurement type determined?
    32. 32. What is the use of the special procurement type?
    33. 33. How does the system automatically determine the source of supply?
    34. 34. What is meant by the term “confirmation control key”?
    35. 35. What is the MRP area?
    36. 36. What are the control parameters for planning runs?
    37. 37. Define “creation indicators.”
    38. 38. What are the conditions required to create the planned orders?
    39. 39. What is the transaction code to convert planned orders into purchase requisitions?
    40. 40. What is total planning?
    41. 41. How is the procurement proposal created through MRP?
    42. 42. Define “planned order.” How is it created?
    43. 43. How is a planned order converted into a purchase requisition?
    44. 44. Define “planning time fence.”
    45. 45. How can we disable a reservation in MRP?
  10. CHAPTER 6 INVENTORY MANAGEMENT
    1. 1. Give an overview of inventory management in the SAP system.
    2. 2. What tasks are covered under inventory management?
    3. 3. What is physical inventory?
    4. 4. What are the initial configuration steps for purchase acquisition?
    5. 5. What is the difference between managing stock by quantity and managing stock by value?
    6. 6. What are “special stocks” in SAP?
    7. 7. With which modules in SAP is inventory management integrated?
    8. 8. How is inventory management integrated with the MM module?
    9. 9. What are the initial configuration steps for inventory management?
    10. 10. What is “goods movement”? What types of documents are created after goods movement?
    11. 11. What are the goods movements that take place in the MM module?
    12. 12. What are “goods receipt” and “goods issue”?
    13. 13. Why is goods receipt important to a company?
    14. 14. How is a goods receipt performed?
    15. 15. How do you post the goods if the purchase order number is not known?
    16. 16. How is the vendor return processed without a purchase order reference?
    17. 17. What happens when a goods receipt is posted?
    18. 18. What are the types of goods receipts that cannot be received through normal procedures? How do we receive these goods?
    19. 19. How can a goods receipt be posted when the purchase order number is unknown?
    20. 20. What are the results of goods movements?
    21. 21. How do we receive goods from production?
    22. 22. What documents are created with goods movement?
    23. 23. How is a material document cancelled?
    24. 24. How can we find the logical value of stock items?
    25. 25. What are the ways of receiving goods?
    26. 26. What is the movement type?
    27. 27. What does a movement type control?
    28. 28. What is a planned goods receipt?
    29. 29. What is goods receipt blocked stock? How is a material received in goods also received in blocked stock?
    30. 30. List the movement types for unplanned goods received.
    31. 31. What are the ways through which we can receive goods without a reference?
    32. 32. How is a return delivery posted in the sales documents?
    33. 33. How can an item be returned to a vendor?
    34. 34. What is goods issue reversal?
    35. 35. What are the documents that are created when a goods issue is posted?
    36. 36. What are the results of the goods issue?
    37. 37. Where is the goods issue performed?
    38. 38. How can we perform the goods issue in SAP?
    39. 39. What are goods issues to a production order, to scrap, and for sampling?
    40. 40. How is a goods issue done in SAP?
    41. 41. How is a material scrapped?
    42. 42. What is availability check?
    43. 43. How do we create a return delivery to the vendor?
    44. 44. What is a stock transfer?
    45. 45. What are the different ways of making a stock transfer?
    46. 46. What is a transfer posting?
    47. 47. How is stock transferred from one storage location to another?
    48. 48. How is stock transferred from one plant to another plant?
    49. 49. How is stock transferred from company code to company code?
    50. 50. What is material-to-material transfer?
    51. 51. How is stock transferred and posted using the stock determination functions?
    52. 52. How are the material documents for stock transfer created?
    53. 53. State the difference between the one-step and two-step procedures in stock transfer.
    54. 54. What is meant by the term “reservation”?
    55. 55. What is the purpose of a reservation?
    56. 56. What is physical inventory?
    57. 57. What is stock posting?
    58. 58. How is the value of cross-company-code stock displayed?
    59. 59. Describe the process of physical inventory count.
    60. 60. How can we prepare the inventory count difference list in SAP?
    61. 61. How can we post a count document?
    62. 62. How can we post a count in the SAP system without a physical count document?
    63. 63. How are inventory differences accounted for?
    64. 64. Define the process of creating the physical inventory.
    65. 65. What are the special stocks in inventory management?
    66. 66. What are externally-owned special stocks?
    67. 67. Define “procurement types.”
    68. 68. Name the documents posted during goods movements in inventory management and list the codes.
    69. 69. How is vendor consignment useful?
    70. 70. What is returnable transport packaging (RTP)?
    71. 71. What is sales order stock?
    72. 72. What is project stock?
  11. CHAPTER 7 LOGISTICS INVOICE VERIFICATION
    1. 1. What does the term LIV mean?
    2. 2. What are the main features of LIV?
    3. 3. What is invoice verification?
    4. 4. What are the different types of invoice verification?
    5. 5. What is the transaction code for invoice verification?
    6. 6. How can we perform invoice verification?
    7. 7. How can we process an invoice verification?
    8. 8. What are the main steps in the invoice verification process?
    9. 9. Define ERS.
    10. 10. Invoice verification is done with reference to which documents?
    11. 11. What is a parked invoice document?
    12. 12. How do we park an invoice?
    13. 13. What is the benefit of document parking?
    14. 14. How do we display the parked document?
    15. 15. What is posting an invoice? How is it different from parking an invoice?
    16. 16. What is a credit memo?
    17. 17. What are subsequent debit and subsequent credit?
    18. 18. Define “invoice status.”
    19. 19. What is stochastic blocking?
    20. 20. How can we manually block an invoice?
    21. 21. What is total-based invoice reduction?
    22. 22. What are the different accounts used in invoicing?
    23. 23. How do we enter the planned delivery cost in an invoice?
    24. 24. How are quantity and price variances entered?
    25. 25. How do we post an invoice?
    26. 26. What are the different types of variances in invoices? Describe them.
    27. 27. Why do invoices get blocked?
    28. 28. What happens when an invoice is blocked? What are the different ways to block an invoice?
    29. 29. How do we release an invoice?
    30. 30. How can we post an invoice directly without any references?
    31. 31. How does the SAP system validate the data of an incoming invoice?
    32. 32. What do the W, V, and F fields show in the status of a document in FBV3?
    33. 33. What is the menu path to create a document or e-mail notification for your supplier?
    34. 34. What are invoice tolerances? How can we post small differences?
    35. 35. What is the difference between GR-based IV and PO-based IV?
    36. 36. What are the planned delivery costs involved in purchasing?
    37. 37. How are taxes posted at the time of invoice verification?
  12. CHAPTER 8 VALUATION AND ACCOUNT ASSIGNMENT
    1. 1. How can we create the vendor account group in SAP?
    2. 2. What is the purpose of material valuation?
    3. 3. How do we determine the stock value?
    4. 4. How is material valuation associated with financial accounting?
    5. 5. What factors control material valuation?
    6. 6. What is the valuation area?
    7. 7. What is the difference between the valuation area at the company code level and at the plant level?
    8. 8. Define “valuation class.”
    9. 9. How is a valuation class configured?
    10. 10. Explain material valuation with the moving average price.
    11. 11. Explain material valuation with the standard price.
    12. 12. What is the valuation level in the SAP system?
    13. 13. What is the significance of an account assignment category?
    14. 14. What are the account assignment categories?
    15. 15. How can we create a purchase requisition with single and multiple account assignments?
    16. 16. How can we create a purchase order with reference to a purchase requisition with an account assignment?
    17. 17. How can we maintain account assignment categories in the SAP system?
    18. 18. What is the balance sheet valuation?
    19. 19. What is a LIFO valuation?
    20. 20. How can we configure a LIFO valuation?
    21. 21. What is a FIFO valuation?
    22. 22. Briefly describe the types by which a material value is determined.
    23. 23. What is the importance of the material ledger?
    24. 24. What are the ways in which the material price can be determined?
  13. CHAPTER 9 RELEASE PROCEDURES
    1. 1. What is the release procedure?
    2. 2. What is the release strategy? How many release points can be involved in a release process?
    3. 3. Can you release the PO item by item when you have a multi-line-item PO?
    4. 4. How are the release procedures for PRs and POs defined?
    5. 5. How are the release procedures configured?
    6. 6. How do we release blocked purchase documents?
    7. 7. How do we reject approvals in the SAP R/3 system? Will it affect the SAP business workflow?
    8. 8. How many procedures are available to release PRs?
    9. 9. How do we release POs? Which transaction code is used to display as well as reset the release of POs?
    10. 10. How many types of release procedures are available for POs?
    11. 11. How do we release external purchase documents and PRs?
    12. 12. What is a “release criterion”?
    13. 13. What is the release code?
    14. 14. What is the release group?
  14. GLOSSARY
  15. QUESTION INDEX
    1. Chapter 1: Introduction to SAP Materials Management
    2. Chapter 2: Organizational Structure
    3. Chapter 3: Master Data
    4. Chapter 4: Procurement and Purchasing
    5. Chapter 5: Materials Requirement Planning
    6. Chapter 6: Inventory Management
    7. Chapter 7: Logistics Invoice Verification
    8. Chapter 8: Valuation and Account Assignment
    9. Chapter 9: Release Procedures