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Dynamics 365 Community / Forums / Supply chain | Supply Chain Management, Commerce / Purchase agreements
Supply chain | Supply Chain Management, Commerce
Suggested Answer

Purchase agreements

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Posted on by MM-24101950-0 18
Do purchase agreements create a financial commitment in D365? We are using DAX2012 today and it does not create a commitment.
 
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  • Suggested answer
    Vahid Ghafarpour Profile Picture
    Vahid Ghafarpour 12,262 on at
    Yes, in Dynamics 365 Finance and Operations, purchase agreements do create a financial commitment.
    Each line in a purchase agreement represents a commitment to buy a specific quantity or value of a product. This commitment can be fulfilled using multiple purchase orders (POs).
     
  • Jonas "Jones" Melgaard Profile Picture
    Jonas "Jones&q... 5,016 Most Valuable Professional on at
    It works almost the same as in AX2012.
    I.e. nothing gets posted to the ledger or budget. I have tested it in both versions.
     
    You can see it if you compare the AX2012 and the D365 documentation.
     
  • Suggested answer
    André Arnaud de Calavon Profile Picture
    André Arnaud de Cal... 305,163 Super User 2026 Season 1 on at
    Hi,
     
    As there are two replies which seems to be contradictory, here my two cents.
     
    As Jonas mentioned, no accounting entries will be created. The purchase agreement is in fact a trade agreement with organizational commitments.  
     

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