MM CERTIFICATIONS

1 What purpose does invoice verification serve in materials management?

a It allows invoice that do not originate in materials procurement to be processed.
b Completes the materials procurement process
c Handles the payment
d Allows credit memos to be processed
e Handles the analyses of invoices.

2 What are the tasks of invoice verification?

a Entering invoices and credit memos received.
b Checking the accuracy of invoices
c Executing the account posting resulting from invoice
d Updating open items and material prices
e Checking invoices that were blocked.

3 What is the process of invoice verification?

a Purchase order, service or GR referenced for incoming invoice.
b Invoice items suggested by the system against referenced document
c Corresponding automatic account postings carried out.
d Payment proposal list for vendor generated.

4 What are the ways in which invoice postings are possible?

a Manual posting
b Automatically through electronic transfer
c Evaluated receipt settlement
d Invoicing plan
e Consignment settlement

5 What happens when an invoice is posted?

a Material master always updated.
b Purchase order history updated
c Individual line items posted to appropriate accounts
d MM invoice document created if necessary.
e FI document always created.

6 What happens to accounting entries when an invoice is posted?

a GR/IR account debited, vendor account credited
b GR/IR account credited, vendor account debited.

7 There is a stock of 60 pc of a material having a standard price of Rs.9. A purchase order has
been raised on the vendor for 40 pieces at Rs. 11 per pc. The material was received and
invoice verified. What would the accounting entries show for this movement after IV?
a Stock account Rs. 360+, vendor account Rs. 360-
b Stock account Rs. 440+, vendor account Rs. 440-
c Stock account Rs. 440+, vendor account Rs. 360-
d Stock account Rs. 360+, vendor account Rs. 440-
e Stock account Rs.0, vendor account Rs. 80-

8 From where does the system pick the default quantity of an item when you post invoice
receipt?
a Invoice
b Purchase order
c Purchase order history
d System settings
e Vendor master

9 During invoice verification the system picks the rate at which tax is calculated from the
vendor master record.
TRUE
FALSE

10 Which of the following does the system copy from the purchase order during invoice
verification entry?
a Purchase order number
b Tax amount
c currency
d Vendor
e Bank information

11 From where can the terms of payment be an input for invoice verification?
a User entry
b Purchase order
c Purchase order history
d Vendor master
e Material master

12 An invoice can refer to various objects.

TRUE
FALSE

13 Where do you enter the delivery note number during invoice verification entry?
a Transaction area
b Header area
c Allocation area
d Vendor Data area
e The balance area

14 What can you enter in the Header area during invoice verification entry?
a Document date
b Purchase order number
c Invoice amount
d Bill of lading number
e Tax information

15 What do you enter in the allocation area?

Whether you want to enter an invoice
Whether you want to enter a credit memo.

16 Can all deliveries or services provided by a vendor be settled in a single invoice?

Yes
No

17 What operations can you do on an Item list in the invoice verification procedure?
a Change layout in customizing
b Sort
c Search
d Delete items not selected

18 What are the features of Purchase-order-Based Invoice Verification?

a All items in Purchase order are presented.
b Invoice is matched using delivery note number.
c The invoice quantity should not be greater than the actual delivered quantity.
d Suggested quantity is the difference between total delivered quantity and total invoice quantity.

19 If there are several goods receipts and invoices in a purchase order item, the purchase
order history tells you which invoice came from which vendor in Purchase-Order-Based
Invoice Verification.
TRUE
FALSE

20 In which type of invoice verification is it not possible to post an invoice before the first
goods receipt?
GR-Based IV
PO-Based IV