Entering Requisition Distributions

Use the Distributions window to enter requisition distributions or to view distributions that Purchasing has automatically created for you. You can charge the cost of this requisition line to multiple Accounting Flexfields or update the default values you provided in the Requisition Preferences window.

Note: If the line source type is Inventory, you cannot approve the requisition if you enter more than one distribution line.

To enter requisition distributions

1. Navigate to the Distributions window by selecting the Distributions button in the Requisitions window. You begin in the
Accounts tabbed region.

2. Enter the Quantity (Amount, if using Oracle Services Procurement) you want to distribute. The quantity must be in decimal format.
Purchasing displays the quantity you have not yet assigned to an Accounting Flexfield. Multiple distribution quantities must total to the requisition line quantity.
Using decimal quantities in this field, you can easily distribute costs across distributions using percentages. For instance, you can have a simple quantity of one (1) on your requisition line. If you want to charge one Accounting Flexfield for 30% of the cost of the item and another Accounting Flexfield for 70% of the cost of the item, simply enter .3 and .7 as the respective quantities for the requisition distribution lines.

3. When you enter a Charge Account, Purchasing uses the Account Generator to automatically create the following accounts for each distribution:
• Accrual: the AP accrual account
• Variance: the invoice price variance account
If you are using encumbrance control, Purchasing also creates the
following account for each distribution:
• Budget: the encumbrance budget account
The Account Generator creates these accounts based on predefined rules.

With one exception, you cannot create or update these accounts manually. If the requisition line destination type is Expense, however, you can change the default charge account supplied by the Account Generator.

4. Change or accept the default Recovery Rate for taxable items.
The recovery rate is the percentage of tax that your business can reclaim for credit. The recovery rate defaults in based on the Tax Code on the line in the Requisitions window and the setup in the Financials Options window.
You can change the recovery rate if the profile option Tax: Allow Override of Recovery Rate is set to Yes, and the shipment has not been received. Depending on the setup in the Financials Options window and the type of tax, only certain recovery rates may be allowed.
If on the requisition you change a tax source, such as Supplier, Site, or Tax Code, then Purchasing does not redefault a new Recovery Rate on the current distribution, but does default it on new distributions you create.
You can choose to use a different recovery rate for different distributions, even if they use the same tax code.

5. Enter the GL Date that you want to use when you reserve funds.
You can enter a GL Date only if you set up your financials options to use encumbrance for requisitions. The Reserved check box indicates whether funds have been reserved. The default is the current date.
If you enter a date that belongs to two separate accounting periods, Purchasing creates a journal entry in the first accounting period that contains this date.

Oracle Applications Fusion Cloud - Inventory

Oracle Cloud/Fusion Procurement training will help you develop the fundamental skills required to set up and use the Procurement module. This training covers all the tasks, setups, forms and reports used in Procurement and related modules