My Oracle Support Banner

Encumbrance Question (Doc ID 2505684.1)

Last updated on DECEMBER 16, 2019

Applies to:

Oracle Fusion General Ledger - Version 11.12.1.0.0 and later
Information in this document applies to any platform.

Goal

User has enabled encumbrance accounting. Has a control budget with the advisory level set at control. For November 2015, the budget for a given combination is approved requisition of $900 USD and user has an approved
purchase order of $2,500 USD. An adjustment encumbrance journal is created in the General Ledger for the obligation type for $1,600 USD. User then cancelled the approved line of $400 USD. For November 201b, user created a new invoice by matching to the
PO for $2,100 USD.
Which two statements are true?
• A. Purchase order encumbrance will be released for $2100 USD.
• B. As there are cancellations for $400 USD, the system will partially reserve the funds in November 2015 and fully reserve it in December 2015.
• C. As user is matching to a purchase order, the system will allow the user to create an invoice with the reservation status of Reserved.
• D. Encumbrance entries are created only for nonmatched Invoices, so the system will not create any encumbrance accounting entries.
• E. The system always consumes budget of future periods if the limit for the current period is expired, so December 2015 budget will be considered for reservation.
 

Solution

To view full details, sign in with your My Oracle Support account.

Don't have a My Oracle Support account? Click to get started!


In this Document
Goal
Solution
References


My Oracle Support provides customers with access to over a million knowledge articles and a vibrant support community of peers and Oracle experts.