1. Using Procurement
  2. How You Create Purchase Order Lines with Negative Amounts

How You Create Purchase Order Lines with Negative Amounts

To create purchase order lines with negative amounts to record credits to the ordered amount that you have negotiated with your supplier, you can use the Create Purchase Order Lines with Negative Amounts feature.

For example, you can use a negative amount line to represent credit for an equipment trade in. When you receive an invoice with a negative amount line, you can match the invoice line to the negative amount order line.

Here are some of the considerations for creating purchase order lines with negative amounts:

  • Credit line types are only available for purchase order lines. You can't create requisitions, negotiations, or purchase agreements with credit line types.
  • Credit line types are set to have a Purchase Basis of Amount, Product Type of Services, Match Approval Level of 2 Way, Invoice Match Option of Order, and Receipt Close Tolerance Percent of 100.
  • Document styles with credit line types enabled can't support consignment terms, configuration ordering, outside processing, or complex work.
  • Purchase order lines with a credit line type (credit lines) can have a zero or negative amount.
  • For the standard document style, you can enable the Credit Line Types Enabled setting on the Manage Document Styles page. After you enable the setting, it can't be disabled.
  • As credit line types are amount-based, you can't enter an inventory item or quantity for credit lines.
  • You can create and update credit lines through the application, FBDI, or REST resources.
  • You can't associate an agreement with a purchase order credit line.
  • You can't associate an agreement with a purchase order credit line.
  • As the receipt close tolerance percent is set to 100, credit lines go into Closed for Receiving status after implementation.
  • You can't create a receipt for a credit line. Receiving-related fields such as Over-Receipt Action are disabled. Accrue on Receipt is set to No and disabled.
  • You can create rules in the Transaction Account Builder for credit line types by using the new Line Type source.
  • You can't create a credit line if the requisitioning business unit has fiscal document processing enabled.
  • You can't create a credit line if financial orchestration determines an agreement for the line.