What & how do we use MR11 as part of month end closing

Question

Pls advice the use & how do we run MR11 .
thks

Answer 1

The MR11 transaction deals with quantity issues.  Itu2019s the quantity of GRu2019s and IRu2019s that drive this transaction.  Both Valuated and Non-Valuated POu2019s are included in the reports.
You need a report that will list all of your POu2019s and show the total number of GRu2019s entered compared to the number of IRu2019s entered.
q     If the goods/services have been received and a GR was entered but no invoice has been processed yet, you will see it in the report generated by MR11.
o     This is particularly important when the GR entered is very old.  We are at the fiscal year closing.  By running this transaction looking specifically for this situation, if there are any, you will see them in your report.
q     If an invoice has been entered against one of your POu2019s before you had time to get the good/service verified and the GR entered, you will see it in the report generated by MR11.
o     This is particularly important when the IR entered is very old.  We are at the fiscal year closing.  By running this transaction looking specifically for this situation, if there are any, you will see them in your report.
q     If a PO has an unusually large discrepancy between the total GRu2019s and IRu2019s, you will see this while reviewing the MR11.
A discrepancy (quantity) occurred between Goods Receipt (GR) and Invoice Receipt (IR). MR11 deals with quantity differences, not dollars.
This needs to be cleared. Examples of situations where this occurs are:
q     If the goods have been received, the vendor hasnu2019t invoiced for the goods and wonu2019t be invoicing (the vendor has gone out of business). Use MR11
o     Remember the GR/IR account is a clearing account allowing you to post an expense when you receive a good/service.  Paying for that good/service offsets the GR.  If the vendor doesnu2019t invoice, that GR will never go away.  Of course, we get the free goods!!
q     An invoice with reference to a Purchase Order was paid through accounts payable FI (as a direct) instead of procurement. Use MR11
q     The goods were received and sent back to the vendor for poor quality. The vendor was accidentally paid and we will not be reimbursed due to bankruptcy of the vendor.  Use MR11
q     Please Note:  These are examples of the kinds of situations that may require the use of MR11 to make a correction to the PO.  This should only be done after other options for correcting PO issues have proven unsuccessful.  Using this transaction should only be done at the request of IES & Comptrollersu2019.
q     Quantity ordered = 100 ea. at a unit price of $1.00, receive quantity of 97 ea. at a unit price of $1.00.  If the remaining balance of 3 ea. will not be shipped, purchaser needs to reduce the open quantity on the purchase order to reflect the actual amount received.  DO NOT Use MR11
o     The point here is that the PO should reflect the activity of what happened as closely as possible. At 97, for all practical purposes, the PO has been completely satisfied.
o     By reducing the line item to 97 total, a GR for the last 3 items can not be accidentally done.
o     Reducing the line item to 97 leave a good audit trail for any audits that may be done at a later date.
Maintenance of the GR/IR Clearing account should be done regularly. Itu2019s recommended to be done weekly for both IR surplus and GR surplus. Run IR surplus with movement up to today. For GR (delivery) surplus, run maintenance with movement one or two months old.