--- title: "FEC Allocation" canonical: "https://kb.myframeworks.com.au/space/PROSTIXV48DOC/31101477/FEC%20Allocation" format: markdown --- Goal: Once an FEC contract has been created , it can be allocated to purchase orders or supplier invoices. This function is feature controlled via 'FeatureFEC'. You can set up the contracts without the feature but you will not be able to allocate them to purchase orders or invoices. Allocated FEC contracts must have the same currency as the purchase order, be open and have a positive balance. The amount allocated is reserved only and can be changed at any time until the purchase order is receipted. Purchase Order Allocation Steps: 1. From the 'Main Menu' select options - ' Purchasing & Receipting ' - ' Purchase Order Processing ' - ' New Order' . Select a supplier that is flagged for importing and then key the rest of the details of the order. 2. Press/Click to exit to the purchase order header. 3. Select Menu option 'Importing' from the options on the RHS of the screen. 4. From the sub-menu, select the option - 'FEC Allocation'. 5. Press/Click to add a new FEC allocation and complete the following fields: FEC Number : key the number or to search. lists all open FEC contracts in the same currency as the purchase order that have a positive balance. Description : this is automatically populated from the FEC contract and cannot be changed. Curr : this field displays the currency of the contract and cannot be changed. Rate : this field displays the rate of the contract and cannot be changed. FEC Balance : this field displays the unused portion of the contract and cannot be changed, other than by allocating amounts to it. Allocate : this field defaults to the amount of the purchase order or the remaining unused amount on the contract, whichever is lesser. 6. If you want to allocate several contracts to this purchase order, then key amounts from each contract that total the amount of the purchase order. The allocated amounts must total to the value of the purchase order before you can use the facility to Commit the changes, and exit. 7. As the amounts are allocated, the To be Allocated field is updated and the new (remaining) balance of the contract is also updated on the screen. 8. When the purchase order has been fully allocated and you have used to commit, the field FEC Allocated in the purchase order header is set to 'yes'. If the purchase order is maintained by adding/deleting/changing product detail lines such that the total no longer matches the FEC allocation, then this field will be set to 'no' and you must change either the FEC Allocations or the product lines so that they match before the system will allow you to exit from the purchase order. 9. The average exchange rate is taken across all the FEC contracts and overwrites the purchase order exchange rate. Supplier Invoice Allocation Please see the topic ' Supplier Invoices ' for more information as to how to access the FEC allocation option. The rest of the processing is the same as for purchase orders above. Review: You can now: Allocate Forward Exchange Currency Contracts to purchase orders and supplier invoices.