You are entering a credit memo in Financial Accounting and are wondering why the entered payment terms are being ignored. What are the reasons? Note: There are 2 correct answers to this question.

Question

Options

• AThe credit memo was entered in Financial Accounting.
• BThe credit memo was created without reference to an invoice.
• CThe field "Reference" of the credit memo is blank.
• DThe due date determined based on the entered payment terms is in the past.

• A
  12% (5)
• B
  81% (35)
• C
  7% (3)

Explanation

In SAP Financial Accounting, payment terms on a credit memo are ignored under two specific system behaviors. When a credit memo is created without reference to an invoice (B), the system cannot link it to an existing open item for offsetting, so it treats the credit memo as immediately due and bypasses the entered payment terms entirely. When the calculated due date falls in the past (D), SAP overrides the payment terms and sets the due date to the document/posting date instead, since a retroactive due date is not valid for open item management.

Why the distractors are wrong:

• (A) Simply entering the credit memo in Financial Accounting does not cause terms to be ignored - FI is the normal entry point and payment terms are still processed there under standard conditions.
• (C) The "Reference" field holds an external document number and has no bearing on how payment terms are calculated or applied; it's the invoice reference (in the payment tab) that matters, not this general reference field.

Memory tip: Think of the "2 P's" - payment terms are skipped when there's no Prior invoice linked, or when the terms produce a Past-due date. Both situations force SAP to make the item due immediately rather than apply the terms you entered.

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