Budgets to be compared to cash - R12

[abhyankarnarayan]

Hi,

We have a requirement wherein we need to compare the budget figures with the actual cash spent. We are using accrual system of accounting. We have enabled the budgetary control.
We tried to use a secondary ledger with the accounting method as encumbrance cash.
Now when a PO is raised, it will encumber funds. This will be converted to AP invoice. Ultimately the actual and the encumbrance figures will be transferred to GL. It will hit the primary ledger. It should not hit the secondary ledger for cash.
When that invoice will be paid, it should hit the secondary ledger.

Is it possible? Is what I am doing correct?

Appreciate guidance in this area.

Thanks,
Narayan