BCSE ERP Materials Management (MM)

Question 1

What is the 'procurement cycle' in SAP MM?

Accepted Answer

The end-to-end process from purchase requisition to vendor payment

Answer

The process of recycling materials

Answer

The material shelf-life management process

Answer

The annual supplier audit process

Question 2

What is a 'purchase requisition' (PR) in SAP MM?

Accepted Answer

An internal document requesting the procurement department to purchase goods or services

Answer

A legal contract with a vendor

Answer

A vendor's price quote

Answer

A goods receipt confirmation

Question 3

Which SAP MM transaction is used to create a purchase order?

Accepted Answer

ME21N

Answer

MM01

Answer

MIGO

Answer

MB1A

Question 4

What is 'three-way matching' in SAP MM?

Accepted Answer

Verifying that the purchase order, goods receipt, and vendor invoice all agree before payment

Answer

Matching three vendors for comparison

Answer

Matching three material types

Answer

Reconciling three fiscal periods

Question 5

In SAP MM, what is a 'valuation class' used for?

Accepted Answer

To link material types to specific G/L accounts for automatic account determination

Answer

To classify vendors by size

Answer

To define material quality standards

Answer

To set reorder point levels

Question 6

What does the SAP transaction MIGO perform?

Accepted Answer

Posts goods movements such as goods receipts, goods issues, and transfers

Answer

Creates a new material master

Answer

Runs inventory valuation

Answer

Creates a vendor invoice