Click General ledger> Setup> Budget> Budget model .

To include the budgets that are based on a particular budget model in the cash flow forecast, on the Overviewtab, select the Cash flow forecastscheck box on the line for the budget model.

Click General ledger> Ledger budget , and select a ledger budget that is based on the budget model from step 2 and that you want to include in the cash flow forecast.

On the Setuptab, select the Activeand Cash flow forecastcheck boxes.

With the same ledger budget selected on the Overviewtab, click the Setupbutton, and then select Cash flow forecast.

In the Set up cash flow forecastsform, select or enter values in the fields to specify how each budget transaction should be included in the cash flow forecast:

• The percentage of the budget amount on the account to be included.

• The terms of payment. For ledger budgets, this is the period from the actual transaction date until the future transaction takes place. For inventory forecasts, the terms are copied from the customer or vendor.

• If appropriate, the posting type of the expected transactions; for example, Vendor settlement.

• The ledger account into which the percentage of the budget amount is posted.

Note
To include the entire budgeted amount in the cash flow forecast, set up the cash flow forecast with a 100% allocation value, without payment terms, and with the account number of the selected budget account in the Ledger accountlookup field on the Overviewtab.

Close the Set up cash flow forecastsform, and then close the Ledger budgetform.

To generate general ledger, sales, and purchases cash flow amounts on the basis of the budget, first use the Period allocation keys form to create appropriate period allocation keys that indicate the share of the budget that is used in the cash flow forecasts, and then apply the keys in the relevant parameters setup forms:

• On the Budgettab in the Parameters form in General ledger, select an allocation key for ledger budget cash flow forecasts.

• On the Ledger and sales taxtab in the Parameters form in Accounts receivable, select an allocation key for sales budget cash flow forecasts.

• On the Ledger and sales taxtab in the Parameters form in Accounts payable, select the allocation key for purchase budget cash flow forecasts.

ExampleThe budget for the year is divided into monthly budget periods. The allocation key for cash flow forecasts divides the months into weeks with 25% for each week. If the cash flow forecast is calculated on day 10 of the month, the cash flow forecasts include only 75% percent of the budget for that month.

If appropriate, add inventory forecasts to the cash flow forecasts by setting up cash flow forecasts on the ledger budget:

1. On the Modeltab of the Forecast models form in Inventory management, select the Cash flow forecastscheck box.

2. In the Set up cash flow forecastsform for the appropriate ledger budget, select values for the fields described in step 6.

If appropriate, transfer sales and purchase budgets to the ledger budget:

1. Click Inventory management> Periodic> Forecast> Update.

2. Select Sales budget to ledger and Purchase budget to ledger .