Use

Invoice Verification generally happens at the end of the material procurement process: The vendor presents an invoice for a delivery made on the basis of a purchase order.

Features

In the SAP System, the goods receipt and invoice receipt are managed using a GR/IR clearing account. Either the goods receipt or the invoice receipt for a purchase order can be entered first. When a goods receipt is entered before an invoice, the posting of the invoice clears the GR/IR clearing account. When an invoice is entered before a goods receipt, the posting of the goods receipt clears the GR/IR clearing account. If there are price differences between the purchase order and the invoice, the account movements vary depending on the sequence of goods receipt and invoice receipt.

If the invoice receipt is posted before the goods receipt, the invoice price becomes the basis for the posting. The goods receipt that follows is posted with the value posted at invoice receipt.

Goods are generally received before the invoice. In this case, the goods receipt is posted at the net order price. If the invoice price differs from the net order price, the value posted at goods receipt must be corrected when the invoice is posted.

In either case, the invoice receipt is posted at the value of the invoice (invoiced quantity x invoice price). The account movements depend on the price control defined for the material:

For a material valuated at a standard price, the price difference is posted to an income or expense account.

For a material valuated at a moving average price, the price difference is posted to the stock account, provided there is sufficient stock coverage for the quantity invoiced. If sufficient stock coverage is not available, only the amount for the available quantity is posted to the stock account; the remaining amount is posted to a revenue or expense account.