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Topic

    Anas Marikkkar
    Purchase Requisition budget check for CAPEX purchases
    Topic posted June 27, 2019 by Anas MarikkkarBronze Crown: 15,000+ Points, tagged Budget/Encumbrance, Create Requisition, How-To, Requisition Import, Requisition Processing, Requisition Web Services, White Paper 
    140 Views, 2 Comments
    Title:
    Purchase Requisition budget check for CAPEX purchases
    Summary:
    Budget needs to be checked for CAPEX Purchase
    Content:

    The client has a budget for every Capital Expenditure (CAPEX) . They track based on certain categories. For example vehicle budget. At the time of the request , amount  needs to be checked against the budget.

    When raising a purchase requisition the user normally enters the asset clearing account for the charge account. This is to ensure the FA clearing account selected in the process of asset addition.

    How to check the budget against the relevant account at the time of purchase requisition.

    Version:
    19B

    Comment

     

    • Ashok

      Anas

      One of my colleagues had the following details for you to peruse. Now, this is generic guidance. You need to familiarize yourself with how budgetary control works through documentation. I imagine you have or plan to do that already. Do let know if any follow up questions.

      ========================================================================================================================

       1) Using TAB rules, you can derive the charge account value representing CAPEX expenditure from the Categories
      2) Enable budgetary control for the primary ledger and business units with that ledger. 
      3) Configure a control budget.  If spending will be controlled at a higher level than transactions are accounted, create budget at parent level, else at detail level
      4) During requisiton submission funds check will be performed based on the account values derived on the charge account and budget date entered.
      Optionally user can do an explicit funds check before submission and determine if funds are available in your budget before you submit the transaction.
      If the requisition passes budgetary control, funds are consumed as a commitment balance.  

      =========================================================================================================================

    • Mara Prieto

      Here are some documentation links for customer to get familiar with functionality:

      1. TOI under Purchasing: https://cloud.oracle.com/en_US/saas/readiness/procurement-archive?offering=procurement&version=r9
      2. Procurement Cloud documentation: https://docs.oracle.com/en/cloud/saas/procurement/19b/oapro/define-budgetary-control-and-encumbrance-accounting.html#OAPRO2248692
      3. Control reports: https://docs.oracle.com/en/cloud/saas/financials/18b/ocuar/oracle-fusion-budgetary-control-reports.html#OCUAR1450159

      Thanks
      Mara