10. Special Billing Types (1hr 20min)

Question 1

1. What are the Module Objectives? (1 item)

Answer 1

To discuss the process flow and methods of control for various business transactions within the context of billing (special billing type pro forma invoice included).

Question 2

2. What is the Module Content? (2 items)

Answer 2

1. Billing Types in Complaint Processing;

2. Special Business Transactions: Pro Forma Invoice and Cash Sale

Question 3

3. Every now and then one of your customers complains about the goods they have been sent. Naturally, you want to give the customer a credit memo. In exceptional cases, bills have to be canceled due to incorrect entries. How does Cancellation work? (3 items)

Answer 3

1. When the billing document is cancelled, the system creates another cancellation document and posts the offset entry in accounting;
2. The reference document (order or delivery) can be billed again because the system resets the billing status of these documents;
3. The system allows you to cancel individual items based on the requirement.

Question 4

4. Credit and debits memos can be created in the following ways (3 items):

Answer 4

1. With reference to a previous business transaction;
2. With reference to an order;
3. Or if your company does not require a release procedure in the case of complaints, directly with reference to a billing document.

Question 5

5. You can control in Customizing whether the system is to set a billing block automatically for a credit or debit memo request. The employee responsible can (3 items):

Answer 5

1. Release the credit or debit memo request after review;
2. The employee can decide the amount or quantity to be credited or debited;
3. Reject items in the credit or debit memo request and enter a reason for rejection.

Question 6

6. You can release a credit memo request or return by removing the billing block. If the complaint has not yet been justified you can enter a reason for rejection for each item. The value of these items will not be copied into the billing document. Using the reason for rejection allows you to control whether the item (3 items):

Answer 6

1. Is copied into the credit memo with a zero value;
2. Appears in the credit memo at all;
3. Debit memo requests are processed in exactly the same way.

Question 7

7. Explain the workflow for Credit Memo Requests (4 items):

Answer 7

1. Credit memo requests are usually blocked for billing (that is, credit) upon creation until the employee responsible releases this block;
2. Within your company, you can make the definition of the point at which the check is carried out and the employee responsible dependent upon the value of the credit memo request;
3. If the value of the credit memo request is below a certain minimum limit, then it can be released automatically by the system;
4. The employee responsible can either reject, release, or process the credit memo request.

Question 8

8. Explain the Invoice Correction Process Flow (5 items):

Answer 8

1. The invoice correction request represents a combination of credit and debit memo requests. On the one side, credit is granted fully for the incorrect billing item while it is simultaneously debited (automatically created as a debit memo item). The difference created represents the final full amount to be credited;
2. The invoice correction request must be created with reference to the corresponding billing document (no reference to order or inquiry);
3. When creating an invoice correction request, the items are automatically duplicated (this means that for every item in the billing document, a second item is created). The resulting item categories must have opposite +/- values;
4. The credit memo item cannot be changed. The corresponding debit memo item, however, can be updated according to new characteristics (for example, new pricing, change in quantity);
5. You can delete the credit and debit memos in pairs (unchanged pairs of items can be deleted all at once in this way).

Question 9

9. Explain Quantity Difference (3 items):

Answer 9

1. Quantity difference is used when a customer complaint is being processed due to a certain amount of damaged or sub-standard goods;
2. The system corrects the quantity to be billed via the debit memo item;
3. The item pairs that remain unchanged can be deleted in one step using the function delete unchanged items.

Question 10

10. Explain Price Difference (2 items):

Answer 10

1. Price difference is used when a customer complaint is being processed for incorrect pricing of goods;
2. As with quantity difference, the price difference can also be corrected using the invoice correction request.

Question 11

11. Explain Returns (4 items):

Answer 11

1. You create a return for goods sent back from a dissatisfied customer;
2. Returns are processed in the same way as credit memo requests;
3. The credit memo is billed with reference to the order, which means it refers to the return request document, not to the return delivery (the return credit memo is created using the return order and not the return delivery);
4. The return delivery is used to account for the inventory

Question 12

12. Explain Pro Forma Invoice (6 items):

Answer 12

1. You often require a billing document for the customs authority. A special billing type Pro Forma Invoice is available for this purpose in Sales and Distribution;
2. Billing types for pro forma invoices are available for export transactions;
3. A pro forma invoice is a billing type that can be created with reference to an order or delivery;
4. You can create pro forma invoices with reference to orders or deliveries;
5. You do not need to post the goods issue before creating a delivery-related pro forma invoice;
6. The billing status remains unchanged. That means it will not post any accounting entries based on this billing type.

Question 13

13. Explain Cash Sale (4 items):

Answer 13

1. For cash sales, payment is made when the goods are ordered. The invoice is also printed at this time;
2. The order and the delivery are created in one step, although you receive a document for each;
3. The goods issue is posted at a later time as a separate transaction so the customer does not have to wait;
4. Order type CS is used for cash sales. It has its own output type RD03 which allows you to print an invoice (receipt) from the order.

Question 14

14. Order type CS is used for cash sales and is configured as follows (5 items):

Answer 14

1. Order-related billing;
2. No output determination, as this has already been carried out in the order;
3. No new price determination, as the pricing should not differ from the printed invoice;
4. Posting in Financial Accounting is made to a cash settlement account, not to the customer;
5. Billing type SV is used for cancellations in cash sales

Question 15

15. In the standard system Credit memos can be cancelled with billing document type ________ . (1 item)

Answer 15

S2