scm515 study notes

Unit 1: Basic InvoiceVerification Procedure

Lesson 1: Introduction to InvoiceVerification

SCM515-Invoice Verification

 

 

Whengoods are received, the system debits the stock account and posts theoffsetting entry to the GR/IR clearing account.

l  In the case ofmaterial with a moving average price, the stock account is posted with thevalue of the net order price multiplied by the quantity of goods received.

l  In the case ofmaterial with a standard price, the stock account is posted with the value ofthe standard price multiplied by the quantity of goods received. The systemposts the difference to an account for Expensesor Revenue from Price Differences.

When the invoiceis posted, the GR/IR clearing account is cleared and the vendor account iscredited.

The two types ofprice control differ in the way they handle price differences that may arisefrom goods receipts or invoice receipts:

l  When a materialis valuated at a moving average price, the price changes in line with thedelivered costs. If the purchase order price or the invoice price varies fromthe price in the material master record, the difference is posted to the stock account if there is stock coverage for theinvoice quantity. As a result, the total value and therefore the valuationprice of the material change.

l  When a materialis valuated at a standard price, differences between the purchase order priceor invoice price and the price in the material master record are posted to aprice difference account. As a result, the price in the material master recordremains constant.

 

Lesson 2:Basic Invoice Verification Procedure

 

Transaction_code

Description

Memos

MIRO

Enter invoice

 

MIR7

Park invoice

 

MR8M

Cancel invoice

 

MIR6

Invoice overview

 

MRRL

Evaluated receipt settlement

 

MRNB

Revaluation

 

MIRS

Invoicing Plan

 

RMBABG00

Invoice verification in the background

 

 

 

Lesson 3:Document Parking

Lesson 4:Taxes, Cash Discounts, and Foreign Currency

Thereare two ways of posting the cash discount amount: gross posting and netposting.

l  Gross: If youpost the gross amount of an invoice, the system ignores the cash discountamount when you enter the invoice; it posts the cash discount amount to a Cash Discount account at the time ofpayment. Therefore, the cash discount amount is not credited to the stock orcost account.

l  Net: If you postthe net amount of an invoice, the system posts the cash discount amount from acash discount clearing account to the stock or cost account. This means thesystem only posts the amount reduced by the cash discount amount to the stockaccount/costs account. The cash discount clearing account is cleared at thetime of payment.

Net Posting: The offsetting posting tothe cash discount clearing account is dependent on the price control of thematerial:

1.       If the material is managed with a standardprice, the cash discount is credited to the price difference account.

2.       If the material is managed with a moving averageprice, the cash discount is credited to the stock account. I f there is nostock coverage, then only a part, for which the stock coverage exists, isposted to the stock account. It posts the remainder to the price differenceaccount.

When the payment is made, the inputtax posted in the invoice is corrected.

Foreign CurrencyHandling

       If you enter an invoice in a foreigncurrency, the following settings must have been made in the system:

1.       You must have defined the currency you areusing to enter the invoice.

2.       You must have configured an exchange rate forthe given currency and the local currency in customizing. You can definedifferent exchange rates for different time periods.

For a purchase order in a foreigncurrency, the buyer can decide whether the rate is fixed or not. The buyer setthe relevant indicator in the purchase order header, on the Delivery/Invoice tab pages.

1.       If this rate is fixed, the system uses theexchange rate from the purchase order to convert the foreign currency to the local currency at goodsreceipt and at invoice receipt.

2.       If this rate is not fixed, the system uses the current exchange rate to convert the foreigncurrency to the local currency at goods receipt. In InvoiceVerification, the system also suggests the current exchange rate as theexchange factor, but you can change it.

If the exchange rate is not fixed,exchange rate differences can occur as a result of using different exchangerates. Exchange rate differences are actually the same of price difference. Theway that the system posts exchange rate difference depends on the setting thathave been made in customizing for MM under Logistics InvoiceVerification->Incoming Invoice->Configure How Exchange Rate DifferencesAre Treated.

 

Lesson 5:Invoices for POs with Account Assignment

Invoices for POswith Account Assignment

Purchase orders with accountassignment:

1.       Your order a material that is not planned forinventory management, and that will therefore go directly for consumption.

2.       You order an external service.

An account assignment can be createdfor a purchase order to various objects. The account assignment category can beused to define the type of account assignment. The account assignment categorycontrols:

1.       If you can post a goods receipt.

2.       If you can post an invoice receipt.

If you cannotpost a goods receipt, the system suggests the difference between the purchaseorder quantity and the invoiced quantity in Invoice Verification.

If a valuatedgoods receipt is defined for a purchase order with account assignment, thesystem debits the consumption account at goods receipt. The offsetting entry ismade to the GR/IR clearing account and cleared by the invoice. The systemdebits or credits price variances to the consumption account.

If no goodsreceipt or only a non-valuated goods receipt is defined for a purchase orderwith account assignment, the posting to the consumption account occurs directlywhen the invoice is posted.

Invoices for Blanket Purchase Orders

Blanket purchaseorders can be used to procure various consumable materials or services from avendor, up to a fixed value limit.

A blanketpurchase order contains a validity period and a value limit.

Invoices can beposted against this blanket purchase order within the validity period.

The totalinvoiced value must not exceed the value limit.

For blanketpurchase orders, use item category B and document type FO.

You cannot entera goods receipt, enter services, or accept services for blanket purchaseorders.

When you enter aninvoice for a blanket purchase order, you can enter as many account assignmentsas you require, along with the relevant amounts.

In Customizing for MM underLogistic invoice verification->invoice block->set tolerance limits.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Unit 2  Variances and Invoice Blocks.

引子：

Q：物资采购的关税、运费在到货后才能确定金额，如何在SAP中处理呢？

A：在做采购订单时在采购订单抬头中加入运费及关税等条件，并且给一个暂估价，再在这些条件上指定上供应商，最后在MIRO的时候调整。

事前对运费进行估价的时候需要有相对准确的判断，超过发票校验容差，配合出口(Exit)“MM08R002”。

Unit Overview：

This unit covers variances between the expected invoicevalues and the values in the vendor invoice. The system can automatically blockinvoices with variances for payment. For this reason you can configuretolerance limits in Customizing.

You can also reduce invoices by a specific difference amount, or acceptsmall variance based on totals. Before a blocked invoice can be paid, you mustrelease it in a separate step.

Lesson 1: Variances and Blocking Reasons

  

Figure 56 Memos: There are several blocking reasons forvariances in invoice items.

1.       Quantity variance: (Invoicedquantity- PO quantity) compare with quantity variances(Absolute upper limit orpercentage limits)

2.       Price variance: Invoiceprice (Invoice amount/invoice quantity – PO net price) compare with pricevariance. In cases where the price in the purchase order is flagged as anestimated price, you can set up special tolerances.

3.       PO price quantityvariance: There is a PO price quantityvariance if the relationship between the PO price quantity and the PO quantityin the invoice is difference than at goods receipt(or, if no goods receipt hasbeen posted, different than agreed in the purchase order). Whatdoes the sentence really meaning, I can’t understand  it very clearly!

4.       Date variance: amount*(planneddelivery date – invoice entry date) compares this product with absolute upperlimit you have defined.

 

Figure 58 Memos: When price variances occur, the account movements differdepending on two types of price control:

1.       Standard price

2.       Moving average price

The invoice is received after goods receipt:

1.       Standard price control:the system posts the price variance to a price different account.

2.       Moving average pricecontrol: the system posts the price variance to the stock account if there is sufficientstock coverage. This changes the moving average price.

The invoice is received before goods receipt:

The system posts the price variance to the GR/IR clearing account. Thesystem only posts the price variance to the price difference account or stockaccount when the goods receipt is posted.

 

 

Figure 61 Memos: In this case, 3 prerequisites should be taken concerns:

1.       The 1st invoice in postedbefore the GR,

2.       The GR quantity isgreater than the 1st invoiced quantity,

3.       The 1^stinvoice unit price is greater than the PO unit price.

DR/CR details:

l  1st invoice:

Debit -GR/IRClearing Account: 2.2*50=110

Credit -VendorAccount: 2.2*50 =110

l  GR:

Debit –StockAccount: 2.2*50 + 2*(80-50) = 170

Credit –GR/IRClearing Account: 170

80-50=30 is notinvoiced quantity

l  2nd invoice:

Debit –GR/IR Clearing Account: (50-30)*2.2 + 30*2 = 44 + 60 =104

Debit –Stock Account: 110-104 = 6

Credit-Vendor Account: 2.2*50 = 110

30 is delivered quantity, so with PO price to clear the GR/IR clearingaccount and the difference price is posted to the stock account or the pricedifference account.

50-30=20 is not delivered but invoiced quantity, so with invoice price.

 

If the invoice isposted before the goods receipt, the system posts the invoice value to theGR/IR Clearing Account. This is cleared at goods receipt, the system makes theoffsetting entry to the stock account in the case of a material subject tomoving average price control.

If the invoice isposted before the goods receipt and the goods receipt quantity is greater thanthe invoice quantity, the quantity that has been invoiced is valuated at theinvoice price , the quantity that has not been invoiced is valuated at thepurchase order price.

If the quantityin an invoice is greater than the goods receipt quantity, the system clears theGR/IR clearing account for the part of the invoice quantity that has already beendelivered and posts a price difference either to the stock account or to aprice difference account, depending on the price control used. The system poststhe invoice value for the part of the invoice quantity that has not beendelivered to the GR/IR clearing account.

 

Figure 63 Memos:

Tolerance Limits can be set for the 4 variance types in Customizing for MM under LogisticsInvoice Verification->Invoice Block->Set Tolerance Limits.

If one of the lower limits is exceeded, the system issues a warning message.

If one of the upper limits is exceeded, the invoice is blocked forpayment.

For each tolerance limit, you must decide whether the system should checkfor this variance. If you set all limits for a tolerance key to DO NOT CHECK, the system does notperform a check. This means that the system accepts all variances withoutexception.

If you want to make sure that a certain variance is always blocked, setthe value or percentage for the upper limit to zero and select CHECK LIMIT.

Figure 63 Memos: For Quality Inspection, Some definitions have to be setin material master record for a material:

1.       If a goods receipt for amaterial is subject to inspection.

2.       If an invoice should beblocked due to quality inspection.

The system sets blocking reason Qualityfor an item in the following cases:

1.       Goods-Receipt-BasedInvoice Verification.

The invoice isblocked if no usage decision has been made about the inspection lot for thegoods receipt concerned or if the inspection lot has been rejected.

2.       No Goods-Receipt-BasedInvoice Verification.

The invoice isblocked if no usage decision has been made for any inspection lot for thepurchase order item or if the inspection lot has been rejected.

 

Figure 64 Memos: If an item with too large an amount, it often makes senseto block this invoice in order to check it.

The system path for each company code whether the amount should bechecked: In Customizing for MM underLogistics Invoice Verification->Invoice Block->Item Amount Check->Activate Item Amount Check.

The system path for specifying the purchase orders for which the amount inan invoice item is to be check depending on the item category and the goodsreceipt indicator in the purchase order item: MM under Logistics Invoice Verification ->Invoice Block->ItemAmount Check->Configure Item Amount Check.

Figure 65 Memos: Stochastic(随机的)

System Path 1: Customizing- for MM under Logistics InvoiceVerification->Invoice Block ->Stochastic Block->Activate StochasticBlock.

System Path 2: Customizing for MM under logistics invoiceVerification->Invoice Block->Stochastic Block->Set Stochastic Block.

If the invoice value is larger than or equal to the threshold value, theprobability that the invoice is blocked is the same as the given percentage.

In the invoice value is smaller than the threshold value , the probabilitythat the invoice will be blocked is proportional to the given percentage.

Stochastic blocks are valid for the entire invoice and not at item level.

 

 

 

 

 

 

 

 

Figure 66 Memos:

At header level: when entering aninvoice, manually block the invoice at header level in the basic data byentering R in the payment block field on the payment tab page.

At item level: block a single item inan invoice by manually selecting the MA(manuallyblocking reason)field on the item screen.

Lesson 2: Invoice Reduction

How to use this option: If you want tocorrect the invoice quantity or invoice data errors or want to reduction thevendor’s Ap. This option allows you to reduce invoices with quantity and pricevariance by an appropriate different amount.

Objectives:

1          Reduce invoices by posting aninvoice and a credit memo at the same time.

2          Identify which accountmovements are made when you reduce invoices.

System path:MM->Logistic invoice verification(MIRO)->document entry->Invoiceenter->invoice reduction(option).

The tax postingcorrection setting: Customizing for MMunder Logistics Invoice Verification-> Incoming Invoice ->Tax Treatmentin Invoice Reduction.

Lesson 3: Variances Without Reference to anItem

Objectives:

1.        Post invoices when there is adifference between the item total that the system expects and the actualinvoice total with acceptable tolerance limits.

2.        Reduce invoices in Logisticsinvoice verification without reference to an item.

Total-based acceptance can be used in thefollowing business conditions:

1.        If the invoice is less thanexpected.

2.        If the increased invoice comesfrom a reliable vendor.

3.        If it is not worth doingresearch of the reasons for the difference.

4.        If the expected costs of researchfor invoice reduction are too high.

System path and customizing settings:

1.        Assign a tolerance group to thevendor in the vendor master record:

Logistics->MM->Purchasing->MasterData->Vendor->Central->Change->InvoiceVerification(area)->Tolerance group.

2.        Vendor-specific tolerancesetting: Customizing for MM underLogistics Invoice Verification->Incoming Invoice ->ConfigureVendor->Specific Tolerances.(Negative differences/Positive differences)

3.        Vendor Invoice enter-> Tcode –miro.

Figure 79 Memos:

1.        With total-based invoicereduction, the system creates two accounting documents when you post theinvoice. The first document contains the invoice postings and an additionalposting to a clearing account. The second document contains a credit memo,which creates the offsetting entry to the clearing account.

2.        Therefore, with invoicereduction, you do not actually reduce an invoice. Instead, you also post acredit memo for the amount of the reduction. The amount payable to the vendoris the value of the invoice reduced by the credit memo amount.

3.        When an invoice reduction isposted, the system creates a message record. You can use this to send a letterof complaint to the vendor.

Lesson 4: Releasing Blocked Invoices

Objectives:

1.        Release invoices manually atitem or header level

2.        Release an invoiceautomatically.

System path(Manually or automaticallyblock):

1.        Logistics->MM->LogisticsInvoice Verification->Further Processing->Release Blocked Invoices

If an invoice is blocked for payment whenyou post it, the payment block indicator is selected in the vendor line item ofthe invoice document. Financial Accounting is then unable to pay the invoiceautomatically.

There are three reasons that an invoice isblocked:

1.        Due to variances in an item

2.        By manually entering a paymentblock

3.        By stochastic blocking.

Figure 89 Memos: If items have been flaggedwith a price block, then the buyers responsible for the purchase order can beautomatically informed using workflow. Use the predefined workflow template,which you can configure in customizing for MMunder Logistics Invoice Verification ->Invoice Block->Activate workflowtemplate.

Unit 3: Subsequent Debit/Credit, DeliveryCosts, and Credit Memos

Objectives:

1.        Enter additional costs as asubsequent debit.

2.        Explain the account movementsmade in the case of a subsequent debit.

3.        Enter planned delivery costsfor an invoice

4.        Enter unplanned delivery costs so that they are apportioned to theitems.

5.        Add items without referenceto a purchase order to an invoice.

6.        Enter an invoice withoutreference to a purchase order.

7.        Enter a credit memo referencinga purchase order.

8.        Reverse an invoicedocument.

9.        Enter a subsequent credit.

Lesson 1: Subsequent Debit/Credit

Systempath: Logistics->MM->Logistics Invoice Verification ->DocumentEntry-> Enter Invoice->select the transaction ‘Subsequent debit’.

If you enter a subsequent debit/credit, thesystem suggests the entire invoiced quantity, but no value. The maximumquantity that you can subsequently debit or credit is the quantity that hasalready been invoiced. You can only enter a subsequent debit/credit for apurchase order item if an invoice has already been posted for this item.

When you post a subsequent debit/credit,the system posts the invoice amount to the vendor account.

If the quantity to be subsequently debitedor credited has already been delivered, the system makes the offsetting entryto the stock account or the price difference account, depending on the type ofprice control used. For purchase order items with account assignment, thesystem makes the offsetting entry to the consumption account.

If the quantity for subsequent debit/credithas not yet been delivered, the system makes the offsetting entry to the GR/IRclearing account. Later, when the goods receipt is posted the system posts thedebit/credit to the stock account or the price difference account, depending onthe price control, or for PO items with account assignment, it posts to theconsumption account.

 

Lesson 2: Delivery Costs

System Path：

1.        Invoice Enter:

a)        Planned:Logistics->MM->Logistics Invoice Verification ->Document Entry->EnterInvoice ->Goods/services items-> Planned delivery costs.

b)        Unplanned: Logistics->MM->LogisticsInvoice Verification -> Document Entry->Enter Invoice->Goods/Services->(Field) Unpl.del.cstc.

2.        Customizing for Logistics Invoice Verification under Incoming Invoice->ConfigureHow unplanned Delivery Costs Are posted.Definition for each company code whether the unplanned delivery costs aredistributed to the invoice items to whether the unplanned delivery costs aredistributed to the invoice items or whether they are posted in a separateposting line.

 

Planned delivery costs are entered when youenter the purchase order.

Unplanned delivery costs are not known atthe time of the purchase order, and are first entered upon invoice receipt.

Lesson 3: Invoices without reference to purchase orders

Objectives:

1.        Add items without reference toa purchase order to an invoice.

2.        Enter an invoice withoutreference to a purchase order.

Business Example:

Some invoices containitems that cannot be allocated to a purchase order. sometimes, material isprocured for consumption without creating a purchase order, or materials incurmaintenance costs without a purchase order being created for the maintenanceservice.

System Path:

Logistics->MM->Logistics Invoice Verification-> DocumentEntry-> Enter Invoice->Invoice->’goods/services’ items.

 

Lesson 4: Credit Memos and Reversals

Objectives:

1.        Enter a credit memo referencinga purchase order.

2.        Reverse an invoice document.

3.        Enter a subsequent credit.

System Path:

         Quantitydifference: Logistics->MM->Invoice Verification->Logistics InvoiceVerification->Document Entry->Enter Invoice->’Credit memo’

The difference between the transactions Credit Memo and Subsequent credit:

1.        You post a credit memo if too large an amount has been invoiced.When you post the credit memo, the total invoiced quantity in the PO history isreduced by the credit memo quantity. The maximum quantity you can make a creditfor is the quantity that has already been invoiced.

In the same way as the corresponding goods receipt is expected orposted for the invoice, in the case of a credit memo, the system assumes thatthe credit memo belongs to a return delivery or reversal of the goods receipt.This means that the credit memo is settled using the GR/IR clearingaccount.

2.        You post a subsequent credit if the price in theinvoice is too high. The total quantity invoiced for the purchase orderitem remains the same, but the total value invoiced is reduced.

1.        If you cancel an invoice,the system automatically generates a credit memo.

2.        If you cancel a creditmemo, the system automatically generates an invoice.

3.        When you reverse aninvoice, the system automatically creates a credit memo based on the data inthe invoice document. The system automatically determines the credit memoamount and quantity from the invoice. This avoids any variances between theinvoice and the credit memo.

4.        When you reverse aninvoice, the account movements made when the invoice was posted cannot alwayssimply be reversed. For example, if there was sufficient stock coverage whenyou posted an invoice with a price variance for a material with moving averageprice, but when you reverse the invoice there is insufficient stock coverage,the system posts the price difference in the credit memo to a price differenceaccount, although the price variance was debited to the stock amount when youposted the invoice.

5.        When you reverse aninvoice, all items in the document are reversed. You can reverse ‘part of aninvoice’ only by manually entering a credit memo.

6.        You cannot reverse areversal document.

7.        When canceling invoices inLogistics Invoice Verification, the document lines in Financial Accounting arenot automatically cleared. SAP recommends running this periodically(forexample, daily in the background).

Unit 4: Automated Processes in Invoice Verification

Objectives:

1.        Enter invoices in thebackground.

2.        Use the invoice overviewfunctions.

Lesson 1: Invoice Verification in the Background

Lesson 2: Automatic Settlements

Unit 5: GR/IR Account Maintenance and Customizing

Lesson 1: GR/IR Account Maintenance

Lesson 2: Customizing for Invoice Verification