The sales return order is the central document and entry point of the returns process. Here, you can register the entire compensation agreement with your customer. You can enter and maintain information related to the customer, the method of compensation and the items in question. You can also create other returns-related documents and move lines between them.
There are various ways to compensate a customer, and you can initiate all of the procedures from the sales return order. Note that most of the procedures can be carried out in several ways by using different documents or combinations of them.
The sales return order lines (of the item type) represent items that are being returned, and posting them will affect your item availability and inventory value. A typical example of a sales return transaction is simplified below:
You have mistakenly shipped the wrong item (1960-S) to a customer. You agree to take it back and replace it with the right item (1964-S). The first example shows the lines of a sales return order. The second one shows the same transaction using the sales order instead.
Sales return order/sales credit memo:
Item 1960-S Quantity 1 (return)
Item 1964-S Quantity -1 (replacement)
Sales order/sales invoice:
Item 1960-S Quantity -1 (return)
Item 1964-S Quantity 1 (replacement)