No entitlement plan not working with accrual plan

Summary:

I have an accrual plan (Vacation) and a No-Entitlement plan (LWOP). My requirement is once the Vacation plan balances exhaust, and absences exist it should automatically get into LWOP.

Configuration: In absence type, I have setup Vacation plan as priority - 5 and LWOP plan as priority - 10. the Insufficient balance display feature option is set to "Not Enabled" and the admin profile "ORA_ANC_ABS_CASCADE_PLANS_ENABLED" is set to "Y".

But when i apply an absence, initially the balance is getting deducted from the Vacation (accrual plan) plan and only the remaining hours should be going to the LWOP (no entitlement) plan. But to my surprise all the hours are going into the LWOP plan.