What happens if I select a reason type and reason context for an inventory transaction reason?

The transaction reason will only be available when you perform an inventory transaction in the reason type and reason context that you select.

For example, if you create an inventory transaction reason with a reason type of Receiving and a reason context of Change Subinventory/Locator, the user will only be able to select that transaction reason when the user is in Receiving and moving material to a different subinventory and locator combination.