PO Delivery to Inventory - Encumbrance Is Not Clearing (Doc ID 2197409.1)

Last updated on OCTOBER 28, 2016

Applies to:

Oracle Purchasing - Version 12.1.3 and later
Oracle Cost Management - Version 12.1.3 and later
Information in this document applies to any platform.

Symptoms

On : 12.1.3 version, Accounting related

ACTUAL BEHAVIOR
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Encumbrance is not clearing for PO Delivery to Inventory

STEPS
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The issue can be reproduced at will with the following steps:
1. Navigate to Purchasing -> Purchase Order -> Create PO for inventory Items, to be received into Inventory
2. Navigate to Inventory and perform Receive/Deliver for the PO
3. Confirm that the material transactions are fully costed; in Material Distributions form, Reverse Encumbrance transaction exists
4. Run Create accounting cost management and transfer to GL Yes
5. Encumbrance journals are not generated in GL, while Accrual GL journals are generated fine
Expect that Encumbrance journals are created to clear encumbrance after PO is delivered to Inventory

SETUP
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1. The Inventory Organization has enabled Reverse Encumbrance in Inventory Organization setup > Costing Information
2. Customization is in place for the Ledger's Subledger Accounting Method SLAM and/or the Cost Management Encumbrance Application Accounting Definition AAD

 

 

Cause

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