Interview Questions Set 15

1 What is Residual and Part Payment? Ans: The payment that clears original invoice with incoming amount and creates new line item for remaining outstanding amount is a Residual Payment, the payment that leaves the original invoice amount and creates new line item for incoming amount is known as Part Payment.

2 What is the importance of baseline date in Automatic Payment Program Run? Ans: In Automatic Payment Program Run the base line date helps to pick the relevant invoices for payments, during the Automatic Payment Program run when the invoices are pulled into the run, the system checks the Next Payment Date before picking the invoices to be paid. Since the Base line date is used to calculate the due date by taking into account the payment terms.

3 How does the Procurement Cycle run? Ans: When a Sales Order is placed for a requirement made by a customer, then it is passed to create a purchase order this would depend upon the requirement. Then the value flow gets passed to Finance at the time of goods movement. In case of Sales Dept. the impact on Finance happens only at the time of billing. The complete process explains about Procurement Cycle Run.

4 What is the difference between APC, Accumulated Depreciation and Depreciation? Ans: APC would refer to Asset Transactions other than depreciation; Accumulated Depreciation is the total amount of depreciation calculated on a particular asset and Depreciation is a decrease in the value of an asset due to wear and tear.

5 What are the Journal entries passed in GR/IR? Ans: The Journal entries are passed in GR/IR account to maintain the temporary record of flow, since during the time between the invoice being created and delivery of goods, there can be a timing difference, in order to accommodate this timing difference.

6 What are the accounting entries take place in MM and SD? Ans: Value from MM to FI is defined in OBYC…. on the material master the flow of values are assigned on the Costing, accounting, etc tabs where the system helps to post the necessary stock values into the appropriate GL accounts. Helps to determine, the GL accounts updated when there is a movement of goods.