This option is unchecked (not active) by default. Previously, commitment variances were only tracked and sent to Accounting on reissued items if the estimate was finalized on the job.
Select this option to track the effects of cost increases incurred after purchase orders are issued, or to record the reason for a variance incurred as a result of canceling and reissuing a purchase order. Enabling this option affects all existing reissued items that have not yet been issued.
If this option is enabled, the difference between the original committed amount of the reissued items and the new committed amount of the reissued items can be tracked and sent to accounting with a JC category type of 'Non Billable Variance' or 'Change Order' (see Setup Job Cost Category Types).
If this option is enabled and the variance amount is not zero, a valid JC variance category is required in the Variance JC Category field of the reissued items properties. A blank or Original Cost JC category in the Variance JC Category field of the reissued item's properties will generate an "Invalid Variance JC Category" error and prevent issuing of purchase orders.
When the option is enabled or when budgets are finalized, the Refresh Costs Option dialog shows an additional drop down list which allows for the selection of a variance category. The selected variance category will be assigned to all reissued items within the scope of the refresh. There is also an option to overwrite exiting variance categories with the selected variance category. This method for entering the variance category for multiple items is faster than selecting a variance category for each item individually. The Refresh Option Costs dialog is displayed when refreshing costs, resetting suppliers, or changing the supplier or taxable on a purchasing activity.
Access the Integration menu > Accounting > Accounting Integration Settings.
Or, select the Accounting Integration Settings 
icon from the toolbar.
Verify the accounting company currently selected in the Accounting Companies grid is the correct accounting company for which this setting will be defined. If necessary, click on a different accounting company.
Click the Accounting Configuration tab.
To enable the tracking of variance categories on reissued items, select the Track Variance Categories on Reissued Items checkbox.
Click the Save 
button at the top of the screen to save any changes.
Track Variance Categories on difference between Budget and Commitment