Why is it required to carry forward year-end encumbrance balances?
Hi,
I was exploring the options for Carrying Forward Year-End Encumbrance and Budget Balances in Oracle General Ledger - EBS.
We can choose from the following Carry Forward rules:
Rule#1. Encumbrances Only
Rule#2. Encumbrances and Encumbered Budget
Rule#3. Funds Available
Carry Forward rules 2 and 3 can be combined if it is required to carry forward budget amounts equal to encumbrances
plus funds available.
The Rule#3( i.e. Carrying forward year-end funds available to the following year) makes sense to me as any unutilized
fund from the current year can be forwarded to the following year so that it increases the funds available for the