Explain what is CBP? What is the difference between CBP and MRP?

CBP is the past consumption values of stock; it is used to forecast future requirements. On the basis of past consumption values, the net requirement of goods is calculated.
 The difference between CBP and MRP is that when you plan materials using MRP, you have to predict the materials requirement based on sales and operations planning (SOP). While in CBP you have to predict the material requirement based on historical demand for materials.

Explain what MRP (Material Requirement Planning) list is and what is the transaction code to access MRP list?

MRP list is the initial working document from which the MRP controller starts working, and it consists of planning results information for the material. For an individual item, you can access the MRP list by using the transaction code MD05. You can also access the MRP list by navigation path SAP Menu > Logistics > Materials Management > MRP > Evaluations > MRP List- Material

Explain what are the accounts created in SAP MM?

Assignment of account is necessary for the purchase order item, it is important in SAP MM as it determines following things
 • Account assignment type
 • Account that will be charged when you post the invoice or goods receipt
 • Account assignment data that you should provide

Explain how you can create a vendor account group in SAP?

To create vendor account group in SAP
 • Select display IMG > Financial Accounting > Accounts Payable/Receivable >Vendor Accounts > Master Records > Preparation of creating vendor master records > Define Accounts groups with Screen Layout

Explain how is the vendor return processed without a purchase order reference?

First you have to observe the return column and then select — Item Detail > MIGO_GR > Goods Receipt for Purchase Order. Use movement type 161 if the intention is to deduct the stock otherwise, 162 is used to undo the changes. In the end, you have to ensure that the document is a return purchase order, and then the document is saved.
 You can also use transaction code M21N for this purpose

Explain how consignment stocks are created?

In the normal purchase order or requisition, consignment stocks are created. While creating consignment stocks things to be considered is that you must enter K category for the consignment item. As a result, the goods issued are posted to consignment stores and invoice receipt is not generated.

What is purchase requisition as related to SAP? Mention the document types that are used in purchase requisition?

Purchase requisition in SAP determines both stock and non-stock items to the purchasing department. It can be done either manually or automatically, the document types used in purchase requisition are
 • RFO ( Request For Quotation )
 • Outline Agreement
• PO ( Purchasing Order )