COP Billing, Invoicing & Compliance Standards 2

Question 1

A customer claims they never received an invoice for a shipment delivered 45 days ago. What is the order processor's first step?

Accepted Answer

Verify the invoice was sent and confirm the customer's billing address on file

Answer

The processor should first verify the invoice was sent and confirm contact details before resending or escalating.

Question 2

Which document serves as the legal request for payment and includes itemized charges, quantities, and agreed prices?

Accepted Answer

Commercial invoice

Answer

A commercial invoice is the formal billing document detailing goods, quantities, prices, and payment terms.

Question 3

A customer's purchase order specifies Net 30 payment terms, but your company's standard terms are Net 15. Which terms govern the transaction?

Accepted Answer

The terms agreed upon in the executed contract or accepted order confirmation

Answer

Payment terms are governed by the mutually agreed contract or accepted order confirmation, not a default preference.

Question 4

What is a 'disputed invoice' hold, and why is it used?

Accepted Answer

A temporary suspension of collection activity while a billing disagreement is under review

Answer

A disputed invoice hold pauses collection efforts while the discrepancy is investigated so the customer is not penalized unfairly.

Question 5

An invoice shows a quantity of 100 units shipped but the customer's receiving log shows only 92 units received. What should the order processor issue?

Accepted Answer

A revised invoice for 92 units and a credit memo for 8 units

Answer

A credit memo for the 8-unit shortage corrects the billing to match what was actually received.

(COP) Certified Order Processor Practice Test

(COP) Certified Order Processor Practice Test

COP Billing, Invoicing & Compliance Standards 2