S.

N
o.
1
A
B
C
D
2
A
B
C
D

Questions on Credit Management--Tick the correct answer. More than one

Answer could be correct.
In defining Credit Control Area, Update Group determines Update group checks for the values of open sales orders, deliveries, and billing
documents are updated
The default credit limit of the customer in that CCA
Static or dynamic credit check
All of the above
The Default data in Credit Control Area Is the highest value of credit limit a customer can get in that CCA
Is proposed as default data in master data for a credit account in that CCA and cannot
be over written
Is proposed as default data in master data for a credit account in that CCA and can be
over written
Both A & C

3
A
B
C
D

The relationship between Company Code and CCA is One : One

Many : 1
Many : 1 but CCA can be over written programmatically
Many : 1 but CCA can be over written programmatically with only those company
codes permitted for that CCA

4
A
B
C
D

Risk Category is defined for a ___________ and maintained in _____________

CCA and company code
Credit Control Area and Master data of credit account
Company Code and CCA
Master Data of credit account and CCA

5
A
B
C
D
E

Which Of below is maintained in the Credit Master data

Risk Category
Customer Credit Group
Simple or Static or Dynamic credit check type
Credit Limit
All of the above

Dynamic Credit Check:

Total value of open sales orders + open deliveries + open billing documents + open
items for a specified horizon
Open deliveries + open billing documents + open items + open sales orders on the
date of transaction
Open deliveries + open billing documents + open items + open Sales orders on the
date of finance posting

B
C

None of the above.

7
A
B
C
D
E

Credit Check is executed during

Order
Delivery
Invoice
Invoice Posting
Good issue

8
A
B
C
D

The credit price for an item is determined from

Net Value of the item
Gross value of the item
Pricing step with Subtotal = A
Pricing step with Calculation Type = A

9
A
B
C
D

Credit Check Needs to be activated at

Item Category
Schedule line cat
Material
Sales Organization

10
A

The determination of credit control area takes place in order of 1. Company code assigned to sales area; 2. Sales Area; 3. Sales Area Segment from
payer master; 4. User Exit;
1. User Exit; 2. Sales Area Segment from payer master; 3. Sales Area; 4. Company
code assigned to sales area
1. User Exit; 2. Company code assigned to sales area; 3. Sales Area Segment from
payer master; 4. Sales Area;
1. User Exit; 2. Sales Area; 3. Sales Area Segment from payer master; 4. Company
code assigned to sales area

B
C
D

11
A
B
C
D

Total Credit limit in credit account master data means Total Credit available for that credit account in that CCA
Total Credit available for that credit account in all CCA
Total Credit available for that credit account in each CCA
Maximum value of the document

12
A
B
C

Which of following statement is true

Total Credit Limit > Individual Credit Limit > Credit limit
Individual Credit Limit > Credit limit > Total Credit Limit
Total Credit Limit => Individual Credit Limit => Credit limit

Individual Credit Limit > Total Credit Limit > Credit limit

13
A
B
C
D

What is the function of the Credit group

Allows you to combine different sales document types for the credit limit check
Allows you to combine different customers for the credit limit check
Both A&B
None of the above

14
A
B
C
D

Out of VKM3, VKM5, VKM4, VOKR which all are used for releasing the Credit Block?
VKM3, VKM4, VKM5
VOKR, VKM3
VKM4, VKM5
VKM3, VKM4, VKM5, VOKR

15
A
B
C
D

To activate simple credit check for an order Assign Simple Credit check type to sales document type
Assign Simple Credit check type to CCA + Risk cat + Doc group
Assign Simple Credit check type to CCA + Risk cat
Assign Simple Credit check type to CCA + Doc group

16

The client requirement is to exclude all line items relevant for delivery outside credit
check if the delivery due date is beyond 1 month

A
B
C
D

I will use Horizon Date

I will use next review Date
I will use user exit
Requirement is technically not feasible

17
A
B
C
D

Which of below are not included in credit check

Return Order
Quotation
Purchase Requisition in third party sale
Accounting document

18
A
B
C
D

Which of the following step is not mandatory to set up automatic credit control
Define Credit Control Area
Activate Credit Control to the Item Category
Assign Values to Document Value Class
Define Document Credit Group

19
A
B
C
D

Which of the following constitutes a Credit Account

Bill-To Party
Payer
Sold-To Party
Credit Representative

20
A
B
C
D

In automatic credit control, when credit amount is exceeded Order goes on delivery block
Order goes on credit block
Order goes on billing block
Order is rejected

21
A
B
C
D

The Credit data is updated in Company Code Currency

Document Currency
Credit Control Area Currency
Sales org Currency

22
A
B
C
D

The Form of Payment Guarantees determined as Customer Payment Guarantee Procedure + Document Payment Guarantee Procedure
Payer Master Data
Sales Document Type
None Of the above

23
A
B
C
D

Which of the below are not a Form Of Payment Guarantee

Letter Of Credit
Export Insurance
Customer Invoice
Credit Note

24
A
B
C
D

The client requirement is to exclude the values of a particular type of sales orders
from being updated in credit account I will not assign any credit check type to sales order
I will use a requirement routine to exclude sales order values
I will select appropriate Update Group in CCA
The requirement is technically not feasible

25

Static Credit Check includes :

A
B
C
D
E

Total value
itmes.
Total value
Total value
Total value

of open sales orders + open deliveries + open billing documents + open

of Open sales orders + open deliveries
of Open billing documents + open items
of open sales orders + open billing documents

None of the above.