Example of Processing a Partner Contribution to Account for Debit and Credit Cost Distributions
The following example illustrates how a partner contribution is processed when:
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A stakeholder's cost distributions include both debit and credit amounts
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The Assign and Draw Partner Contributions process is set up to include cost distributions with a credit amount and allow the open amount to exceed the contribution amount
The open amount in a stakeholder’s partner contribution = 1000 USD.
The stakeholder has 4 cost distributions, 2 credits and 2 debits as illustrated in the following table:
| Distribution | Distributed Debit | Distributed Credit |
|---|---|---|
| D1 | 1,000 USD | None |
| D2 | None | 800 USD |
| D3 | 700 USD | None |
| D4 | None | 500 USD |
The process adds the credits to the open amount and draws from the open amount for the debits in this order:
Totals the distributed credits = 800+500=1,300 USD
Adds the total distributed credit to the open amount=1,300+1,000=2,300 USD (new open amount)
Draws from the open amount to cover the distributed debits=2,300–(1,000+700)=600 USD (remaining open amount)