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Dynamics 365 Community / Forums / Finance | Project Operations, Human Resources, ... / Project Committed cost
Finance | Project Operations, Human Resources, ...
Suggested Answer

Project Committed cost

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Posted on by imran ul haq 4,057

Hi Friends,

I have a query in Project Module for committed cost, actually in the project management module setup for generating the committed cost, when i select the Purchase order, vendor invoice get automatically selected. So here the question is:

1. Why system automatically select the vendor invoice and generated the committed cost, what is the business logic

2. Why i need to generate the committed cost on vendor invoice what is the business need.

3. why it is always showing in the committed cost form, even all the PO's and invoices are posted for the project, and how to clear it from the committed cost form.

please provide some insight, thanks in advance.

Regards,

Imran Ul Haq

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  • Suggested answer
    Ludwig Reinhard Profile Picture
    Ludwig Reinhard Microsoft Employee on at

    Hello Imran,

    For No 1: If I understand your question correctly then I would say that the PO that is created will result in a future project cost that comes into your project at the time the invoice is posted.

    For No 2: Sometimes you have POs where there is a long time in between the delivery and the invoice. That's the case especially in the construction industry. If this is the case then it can be helpful having an information what invoices are still expected in the next couple of months.  

    For No 3: The committed cost form should 'clear' itself once invoices / transactions are posted. Then the status changes and they are thus 'completed'

    Hope this helps.

    Best regards,

    Ludwig

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