ENxx - APPLYPAY
Dis-encumbrance Hierarchy
The main purpose of this common code is to define the hierarchy by which encumbered amounts are reduced. If the common code exists with no entries in the Associated Codes (1-5) fields, the account number entered in Accounts Payable will be used. This common code is also used for reducing encumbered amounts entered through the Purchasing system; however, normally amounts are disencumbered through the Accounts Payable module.
An entry must be made for each ledger for which a Dis-encumbrance Hierarchy is to be applied. The hierarchy is defined using common code entries. For every transaction that involves a JL side, there must be a GL side. This could impact the number of EN transactions created when encumbrances are relieved. Because the system only relieves encumbered transactions, it will relieve as much as it can at every level of the hierarchy. If, for instance, this results in two GL transactions due to the GL hierarchy and 15 JL transactions due to the JL hierarchy, the system will create 15 transactions for the GL / JL combinations.
Code Category: ENxx where xx corresponds to the ledger for which this hierarchy is being defined.
Code Value: APPLYPAY
Short Description: Used to describe the common code. If the short description is "USEHIER," and the entered Org. Key-Object Code combination is found, but the amount encumbered is less than the amount to be relieved, then the extra amount to be relieved will be relieved using the hierarchy. If the short description is not "USEHIER" and the above case is true, the entire amount to be relieved will be relieved for the entered Org. Key-Object Code combination.
Medium Description: Used to describe the common code.
Long Description: Used to describe the common code.
Associated Numeric Values
1-5: Reserved for future use.
Associated Codes
1-5: The four-character Org. Key Group Codes to be used when disencumbering.
Associated Descriptions
1-5: The four-character Object Group Codes to be used when disencumbering. Note- The common code ENAP xxAPPLY, where xx corresponds to the ledger for which this hierarchy is being defined, is checked for before ENxx APPLYPAY. If ENAP xxAPPLY exists, its values will override those of ENxx APPLYPAY. ENAP xxAPPLY can be set up in the same way as described for ENxx APPLYPAY
Example:
For this example, the following Organization Keys and Object Codes will be used.
Org. Keys Key Title Fund Fnct Div Ofcr 101200 Dept 120010GoalNDVPGO 201100 Dept 110020GoalSDVPGO 201300 Dept 130020 AdmnNDVPFA 301000 Rest Fund30 AdmnNAVPFA Object Codes BalCloseAcct Budg Object Desc TypeCodeType Type 5000Office Equip DRXP504000 5100Office Supplies DRXP504000 5200Computer EquipDRXP504100 5300Computer SuppliesDRXP504100
PO #123456 is encumbered as follows- Account ReferenceTypeAmount 101200-5000 PO123456EN$1200 Encumbrance Balance for Account 101200-5000 $1200 201300-5100 PO123456EN$250 Encumbrance Balance for Account 201300-5100 $250 301000-5200 PO123456EN$550 Encumbrance Balance for Account 301000-5200 $550
Invoice #9901 references PO #123456 and is to be paid as follows-
$300to account 101200-5000
$100to account 201300-5100
$550to account 301000-5200
$950
Disencumbering PO #123456 using Invoice #9901 as coded above will be no problem because the invoice is to be paid from the accounts encumbered for the Purchase Order.
If an invoice is coded as follows-
Invoice #1234 references PO #123456 and is to be paid as follows-
$300to account 101200-5100
$100to account 201100-5300
$400to account 201300-5200
$800
The Accounts Payable system would not allow the invoice to be entered with these accounts unless the following hierarchy was defined.
Org. Key Groups Object Group Codes
FUND BUDG
OFCR ACCT
This hierarchy will direct processing in the following manner.
1.Entered Org. Key-Object Code combination.
2.Entered Org. Key-Object Group Code (BUDG).
3.Entered Org. Key-Object Group Code (ACCT).
4.Entered Org. Key-Any Object Code.
5.Org. Key Group Code (FUND)-Entered Object Code.
6.Org. Key Group Code (FUND)-Object Group Code (BUDG).
7.Org. Key Group Code (FUND)-Object Group Code (ACCT).
8.Org. Key Group Code (FUND)-Any Object Code.
9.Org. Key Group Code (OFCR)-Entered Object Code.
10.Org. Key Group Code (OFCR)-Object Group Code (BUDG).
11.Org. Key Group Code (OFCR)-Object Group Code (ACCT).
12.Org. Key Group Code (OFCR)-Any Object Code.
13.Any encumbrance with type EN for the given Purchase Order reference.
The following outlines the steps the system will go through when attempting to apply the payments:
$300 $100 $400
1.101200-5100 1.201100-5300 1.201300-5200
2.101200-BUDG (4000)2.201100-BUDG (4100)2.201300-BUDG (4100)
3.201100-ACCT (50)3.201300-ACCT (50)
4.201100-Any Object 4.201300-Any Object (5100)
5.FUND (20)-53005.FUND (20)-5200
6.FUND (20)-BUDG (4100)6.FUND (20)-BUDG (4100)
7.FUND (20)-ACCT (50)7.FUND (20)-ACCT (50)
8.FUND (20)-Any Object
9.OFCR (VPFA)-5200
Entering Invoice #1234 will result in four transactions being created within the Encumbrance database. The steps that create these transactions are shown above as bolded (2, 7, 3, and 9). The transactions are listed below-
$300to account 101200-5000from step 2.101200-BUDG (4000)
$100to account 201300-5100from step 7.FUND (20)-ACCT (50)
$150to account 201300-5100from step 3.201300-ACCT (50)
$250to account 301000-5200from step 9.OFCR (VPFA)-5200
Listed below are the transactions that exist in the Encumbrance database after processing PO #123456 and Invoice #1234.
AccountReferenceTypeAmount 101200-5000PO123456EN$1200 101200-5000INV1234PP$300 Encumbrance Balance for Account 101200-5000 $900 201300-5100PO123456EN$250 201300-5100INV1234PP$100 201300-5100INV1234PP$150 Encumbrance Balance for Account 201300-5100 $0 301000-5200PO123456EN$550 301000-5200INV1234PP$250 Encumbrance Balance for Account 301000-5200 $300