Is PeopleSoft designed to be able to submit thru the AWE process a PO that has been cancelled?

We track very closely a buyer's limit to add dollars or decrease dollars when modifying a PO.  Each buyer has a dollar threshold limit and the PO goes above their approved dollar limit, then the PO is sent thru workflow to be approved by the next person (in most cases, their manager).  The approval process works when we CANCEL a PO Line.  It will NOT work when we cancel the whole PO.   My question - Is PeopleSoft designed to be able to submit thru AWE a PO process that has been cancelled?