Budget check in procurement

After defining a budget policy for the new budget, you can control the budgets balances using budget accounts. The budget balances are classified in the procurement cycle as below:

  • Total estimated budget amount
  • Budget allotted or released
  • Commitments
  • Encumbrance
  • Receipt expense
  • Other expense
Total Available budget = Allotment - Commitment-Encumbrance - Total Expense.
 (Total Expense = Receipt Expense + Expense)
Note: The budget check process can also be executed for the transactions like purchase return order, purchase order with cost item and cost invoice with multi currency.
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