Billing authorization error using Google in-app billing

I made an Android app that uses Google billing in the app. Most of the time this works very well, but some users do not seem to be authorized. In this case, I receive an email with the following text.

Google order # XXX has been cancelled because carrier billing authorization did 
not succeed for your buyer. The buyer was not charged.

I understand what this means and that the problem is not on my side, but I wonder what exactly happens in this case in the application. Is the order executed first and canceled later? What is the message flow in this case between Google and my application?

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