In the SABRS transaction cycle, which step follows Commitment?

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Multiple Choice

In the SABRS transaction cycle, which step follows Commitment?

Explanation:
In this cycle, after funds are set aside as a commitment, the next step is to record an obligation. A commitment reserves the funds, but it doesn’t create a legal liability. Obligation establishes a binding liability against the government for the specific transaction, which then leads to actual expense when goods or services are received and invoiced, and finally liquidation when payment is made to close the liability.

In this cycle, after funds are set aside as a commitment, the next step is to record an obligation. A commitment reserves the funds, but it doesn’t create a legal liability. Obligation establishes a binding liability against the government for the specific transaction, which then leads to actual expense when goods or services are received and invoiced, and finally liquidation when payment is made to close the liability.

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