Requirement: The payment office makes payment in sequential ACRN order within the contract, exhausting all funds in the greatest ACRN before paying from the lower ACRNs.
When you use the LIFO method, the funds from ACRN AB are exhausted before using funds from ACRN AA. You are responsible for assigning the correct Sequence Number to the ACRN value (for example, you must link ACRN AA to Sequence Number 1 and ACRN AB to Sequence Number 2). The sequencing of ACRNs is the same with the FIFO and LIFO methodologies. When calculating using FIFO, the lowest Sequence Number is used first. When calculating using LIFO, the highest Sequence Number is used first.
The ACRN Modification Value column is used for illustration purposes only.
A contract is awarded with the following Accounting Classification data:
|
Line Item |
Subline Item |
ACRN |
Accounting Appropriation Number |
Funding Amt |
|
0001 |
0001AA |
AA |
5793400309475A110704040004081572806F503000 F03000 |
15,000.00 |
|
0001 |
0001AB |
AA |
5793400309475A110704040004081572806F503000 F03000 |
11,000.00 |
|
0002 |
0002AA |
AB |
8893400309475A110704040004081572806F336000 F07700 |
12,000.00 |
|
0002 |
0002AB |
AB |
8893400309475A110704040004081572806F336000 F07700 |
14,000.00 |
|
0003 |
0003AA |
AA |
5793400309475A110704040004081572806F503000 F03000 |
10,000.00 |
|
0003 |
0003AB |
AB |
8893400309475A110704040004081572806F336000 F07700 |
15,000.00 |
|
0004 |
0004AA |
AC |
7765658810475A110704040004081572806F336000 C15500 |
30,000.00 |
|
0004 |
0004AB |
AC |
7765658810475A110704040004081572806F336000 C15500 |
50,000.00 |
Project Setup Data:
Project Number: USN0418
Billing Level: USN0418
The ACRN data is set up as follows on the Manage ACRN Bills screen. Line and Subline data are not entered based upon the Billing Requirement selection of ACRN Only. Accounts are not mapped.
A Standard Bill (calculated by the Calculate Standard Bills screen) produces the following invoice amounts for Project USN0418 (SUM(MU_INVC_AMT) in BILL_EDIT_INVC_HDR).
|
Sequence Number |
Active |
ACRN |
Original ACRN Funding |
ACRN Modification Value |
Total ACRN Funded Value |
Previous ACRN Allocation Amt |
Remaining ACRN Value |
|
1 |
Y |
AA |
36,000.00 |
0.00 |
36,000.00 |
0.00 |
36,000.00 |
|
2 |
Y |
AB |
41,000.00 |
0.00 |
41,000.00 |
0.00 |
41,000.00 |
|
3 |
Y |
AC |
80,000.00 |
0.00 |
80,000.00 |
0.00 |
80,000.00 |
USN0418 82,500.00
Calculation Logic
Calculate the ACRN allocation amounts by performing the following calculation:
Determine Amount Remaining to be Allocated.
Amount Remaining to be Allocated equals SUM (MU_INVC_AMT) in BILL_EDIT_INVC_HDR minus allocation amounts already calculated for the CURRENT invoice.
SUM (MU_INVC_AMT) in BILL_EDIT_INVC_HDR for Project USN0418: 82,500.00
Minus all allocation amounts already calculated for the current invoice
None exists - 0.00
Project USN0418 Amount Remaining to be Allocated: 82,500.00
Determine the available ACRN AC funding balance.
PROJ_ACRN_DETL.ACRN_FUNDED_AMT - PROJ_ACRN_DETL.ACRN_BILLED_AMT
The Remaining ACRN Funded Value amount is used: 80,000.00
Allocate the smaller of the Remaining ACRN Funded Value or Amount Remaining to be Allocated.
The Project USN0418 Amount Remaining to be Allocated, 82,500.00, is greater than the Remaining ACRN Funded Value of 80,000.00 for ACRN AC; so Costpoint allocates 80,000.00 to ACRN AC for Project USN0418.
Costpoint checks for the existence of an ACRN Sequence Number < 3. Sequence Numbers 1 and 2 exist. Use the highest Sequence Number remaining for the next step in the calculation.
ACRN AB is the highest remaining ACRN Sequence Number. SEQ_NO = 2.
Verify the PROJ_ACRN_DETL.ACTIVE_FL value for the Sequence Number. If the PROJ_ACRN_DETL.ACTIVE_FL = Y, continue calculation. If PROJ_ACRN_DETL.ACTIVE_FL = N, end calculation.
The PROJ_ACRN_DETL.ACTIVE_FL = Y for SEQ_NO = 2. Continue calculation.
Calculate the ACRN AB allocation amount by performing the following calculation:
Determine Amount Remaining to be Allocated.
Amount Remaining to be Allocated equals SUM (MU_INVC_AMT) in BILL_EDIT_INVC_HDR minus Allocation amounts already calculated for the CURRENT invoice.
SUM (MU_INVC_AMT) in BILL_EDIT_INVC_HDR for Project USN0418: 82,500.00
Subtract any allocation amounts with an ACRN Sequence Number > 2:
ACRN Sequence #3, ACRN AC: - 80,000.00
Project USN0418 Amount Remaining to be Allocated: 2,500.00
Determine the available ACRN AB funding balance.
PROJ_ACRN_DETL.ACRN_FUNDED_AMT - PROJ_ACRN_DETL.ACRN_BILLED_AMT
The Remaining ACRN Funded Value amount is used: 41,000.00
Allocate the smaller of the Remaining ACRN Funded Value or Amount Remaining to be Allocated.
The Project USN0418 Amount Remaining to be Allocated, 2,500.00, is less than the Remaining ACRN Funded Value of 41,000.00 for ACRN AB; so Costpoint allocates 2,500.00 to ACRN AB for the project.
Check for the existence of an ACRN Sequence Number < 2. Sequence Number 1 exists.
ACRN AA is the 1st ACRN Sequence Number. (SEQ_NO = 1)
Verify the PROJ_ACRN_DETL.ACTIVE_FL value for the Sequence Number. If the PROJ_ACRN_DETL.ACTIVE_FL = Y, continue calculation. If PROJ_ACRN_DETL.ACTIVE_FL = N, end calculation.
The PROJ_ACRN_DETL.ACTIVE_FL = Y for SEQ_NO = 1. Continue calculation.
Calculate the ACRN AA allocation amount by performing the following calculation:
Determine Amount Remaining to be Allocated.
Amount Remaining to be Allocated equals SUM (MU_INVC_AMT) in BILL_EDIT_INVC_HDR minus allocation amounts already calculated for the CURRENT invoice.
SUM (MU_INVC_AMT) in BILL_EDIT_INVC_HDR for Project USN0418: 82,500.00
Subtract any allocation amounts with an ACRN Sequence Number > 1
ACRN Sequence #3, ACRN AC: 80,000.00
ACRN Sequence #2, ACRN AB: - 2,500.00
Project USN0418 Amount Remaining to be Allocated: 0.00
Determine the available ACRN AA funding balance.
PROJ_ACRN_DETL.ACRN_FUNDED_AMT - PROJ_ACRN_DETL.ACRN_BILLED_AMT
The Remaining ACRN Funded Value amount is used: 36,000.00
Allocate the smaller of the Remaining ACRN Funded Value or Amount Remaining to be Allocated.
The Project USN0418 Amount Remaining to be Allocated, 0.00, is less than the Remaining ACRN Funded Value of 36,000.00 for ACRN AA; so Costpoint allocates 0.00 to ACRN AA.
Check for the existence of an ACRN Sequence Number < 1. None exists, calculation ends.
Summary of ACRN Allocation Amounts:
|
ACRN |
Allocation Amount |
|
AA |
0.00 |
|
AB |
2,500.00 |
|
AC |
80,000.00 |
|
Total Allocation |
82,500.00 |