Oracle Financials Cloud: Accounts Payable 2017 Implementation Essentials — Question 26

Which statement is correct if the payment terms entered in the invoice differ from the payment terms on the purchase order?

Answer options

• A. The user needs to specify which payment term to use.
• B. The payment term of the purchase order overrides the invoice payment term.
• C. The payment term of the invoice overrides the purchase order payment term.
• D. The purchase order payment term cannot be overridden.
• E. The user needs to manually change the payment term on the invoice to match the purchase order payment term.

Correct answer: C

Explanation

The correct answer is C because the payment term stated in the invoice will take precedence if there is a conflict with the purchase order. Options A and E imply that user intervention is needed to resolve the discrepancy, while B incorrectly suggests that the purchase order's terms prevail. Option D is incorrect as it suggests that the purchase order's payment term is immutable.