This chapter contains these topics:
To enter orders that credit a customer's account for returned or defective items
You use credit orders to accept returned items from a customer and to issue credit to the customer for the returned items. Depending on how you set up credit orders, the system can add the quantities of items into your inventory, or you can make manual adjustments to add the returned quantity into your inventory.
The system supports the following types of returns:
Authorized returns
An authorized return requires that a customer attain authorization prior to returning or receiving credit for an item. If your company uses this type of return, you can print the credit order to use as an authorization document for your customer.
Dock returns
A dock returns allows the customer to return or receive credit for an item without prior notice. You create the credit documents after the item is returned.
For both types of returns, you enter credit orders in the same way but at different points in the process.
Entering credit orders consists of:
Entering all of the information for the credit order manually
Creating a system-generated credit order
When you enter information manually, the system applies the current unit price for the credited item. If necessary, you can also enter a different unit price to override the default information.
When the system creates a credit order, it retrieves the credit information automatically from the Sales Order Detail Ledger table (F42199). The credit order amount is based on the unit price that the customer actually paid instead of today's current or average cost.