Understanding Item Removal

As you process items through a receipt route, you might need to return, rework, scrap, reject, or adjust items. When you create a receipt route, you must indicate whether to pay for items that you remove (disposition) from the route based on the reason that you remove them. For example, you might want to pay for items that you rework, but not pay for items that you return.

You must specify the removal categories (returns, reworks, scrap, rejects, or adjustments) for which items are payable. For example, if you specify that the scrap category is payable, the system determines that you must pay for items that you classify as scrap.

If items that you remove from a receipt route are payable, the system creates journal entries to reflect a liability for the items. The system credits a received not vouchered account and debits a disposition account based on the general ledger category that you specify for the removal category.