|
|
|
|
|
|
There are several ways to liquidate a purchase order. The most common is to create and pay an accounts payable invoice referencing the purchase order. When the payment is updated, the purchase order is liquidated and closed.
Sometimes you will want to close or delete a purchase order because items were not received, the purchase order was never submitted to the vendor, or a purchase order was not updated.
A purchase order may need to be closed because the amount of the invoice is less than the amount of the original purchase order. This might be because you did not receive all of the order, or there was a price difference.
An open purchase order creates encumbrances that must be removed before the purchase orders can be deleted, so you must first close an open purchase order to remove the encumbrances.
A closed purchase order is moved to history, which means it is not active but you can view it. You do not have to delete the record if you wish to keep it on your system for reference.
The following are the available status’ and their meanings:
Liquidation Pending &endash; the purchase order is in batch status but referenced on an AP invoice or has been updated but nothing has been paid against it yet.
Partially Received &endash; a portion of the purchase order has been paid but you will be receiving the balance at a later date.
Fully Received &endash; you have paid an AP invoice in the full for the amount originally entered on the purchase order.
Closed PO/Not Receiving Anymore &endash; the AP invoice amount was less than the purchase order amount, and no more entries will be made against this purchase order.
When closing a purchase order the system processes through and closes out any encumbered amounts on closed or fully received purchase orders.
Menu Path: Financial Mngmnt / PUrchasing / Purchase Orders
On the Purchase Order Entry screen, from the Purchase Order Master list, highlight the purchase order you want to close.
Click the Edit button.
Using the drop down to the right hand side of the Origin field, select the liquidation status Fully Received, or Closed PO/Not Receiving Anymore.
The PO Detail Liquidation Status screen opens indicating that at least one PO Detail Item has a status of Liquidation Pending or Partially Received. It also asks whether you want to automatically update all remaining items to the new liquidation status.
Click the Yes button.
Click the OK button to save your changes.
NOTE: If you change anything else on the purchase order other than the Liquidation Status, the Reversal Has Been Created screen opens indicating that the purchase order has been adjusted and that you must update both the newly generated purchase order and also the reversal. Any remaining encumbrance will be liquidated.
Click the OK button.
NOTE: If the Status of the purchase order is changed during this process, the Ranges too Constricting message screen may appear. If it does, select Reversal from the Status drop down list to display the purchase order reversal record.
Repeat Steps 1 through 6 for each purchase order, as needed.
Run the Batch Upd to update the new Reversal and Batch status purchase orders and then the Open PO Update.
See WESPaC Financial Management Purchase Order Updates User’s Guide for more information.
Valid Account posting dates must be in the CURRENT or NEXT fiscal year. Make sure the Posting Date is within these years.
Deleting a Single Open Status PO
If you want to remove an Open status purchase order record rather than liquidate it for history, it may be deleted. Only purchase orders without invoice records may be deleted.
Open status purchase orders must be closed before they are deleted to remove encumbrances.
Menu Path: Financial Mngmnt / PUrchasing / Purchase Orders
On the Purchase Order Entry screen, from the Purchase Order Master list, highlight the purchase order you wish to delete.
Click the Delete button. The Purchase Order Delete Confirmation screen opens.
Click the Yes button to delete.
If Invoice records exist for the selected purchase order the Invoice Records Exist message screen opens indicating that the purchase order cannot be deleted.
Open PO Liquidation Close Utility
|
|
The Open PO Liquidation Close utility allows you to mass update purchase order liquidation statuses from Open to Closed.
Caution is advised when using this utility as the process is not reversible.
It is a two step utility:
Step 1 &endash; filters Open status purchase orders whose Liquidation Status is not Closed or Fully Received, and produces a Verification report.
Step 2 &endash; changes the purchase order’s Liquidation Status to Closed and updated the accounting entries to the account master, liquidating the encumbrance.
Menu Path: Financial Mngmnt / Purchasing / Utilities
On the Purchase Order Utilities screen, highlight Open PO Liquidation Close.
Click the Run button. The Open PO Liquidation Close Range Screen opens.
As needed, enter low and high PO Number range. Purchase Orders within this range are included provided they meet the other selection criteria.
WARNING: If the Ranges are left open, ALL purchase orders regardless of fiscal year that have not been closed or fully received will be liquidated and closed.
As needed, enter low and high Batch Number range. Purchase Orders within this range are included provided they meet the other selection criteria.
As needed, enter low and high Vendor Name Key range. Purchase Orders within this range are included provided they meet the other selection criteria.
As needed, enter low and high Date Entered range. Purchase Orders within this range are included provided they meet the other selection criteria.
As needed, enter low and high Due Date range. Purchase Orders within this range are included provided they meet the other selection criteria.
Click the Run button. The Output Destination screen opens.
The system will prompt you to select a print option. You can choose to print the reports to screen, to a printer, or to save the report for later viewing.
Click the OK button.
The Open PO Liquidation Close Verification Report generates.
After the processing is finished and the report has been printed, the Purchase Order Update Step screen opens asking if you want to continue and update the Purchase Order Liquidation Status to Closed.
Warning: MAKE SURE YOU REVIEW THE REPORT FOR ACCURACY BEFORE PROCEEDING WITH THE UPDATE. This process in not reversible!
Click No if you discover any purchase orders that are not to be liquidated, and exit the liquidation process. You can repeat the liquidation process as often as necessary before doing the final update to history.
Click the Yes button if changes are not needed.
The system updates the liquidation status of the purchase orders and the Successful Completion message screen opens when the process is complete.
Click the OK button.
Click the Close button.
Version C05.00.0505-010225 PL 10/29/03
