Which invoicing type would be recommended for milestone-based payments for services such as consulting?

FromSAP Learning Hub – Course: SAP Ariba Procurement: Invoicing → Service Orders and Milestone Billing, SAP explains:

“For milestone-based or time-and-material service engagements such as consulting, the recommended invoicing type isService Purchase Order (PO).

The supplier submitsService Entry Sheets (SES)for each milestone or deliverable, which are approved before invoicing.”

Verified Reference Source (Internal SAP Learning Content)

SAP Ariba Procurement: Invoicing → Service Order-Based Invoicing

Learning Journey:Procure to Pay with SAP Ariba Buying and Invoicing

Extract:

“Service Purchase Orders support milestone-based invoicing through Service Entry Sheets.”

Answer:A

Use aService Purchase Orderfor milestone-based payments, allowing invoice creation after SES approval per milestone.