Customers may return items for a variety of reasons:
The wrong goods were shipped
The goods were damaged in transit.
The goods are faulty.
The customer no longer wants the goods.
When applicable, provide additional information on the
returned merchandise authorization (RMA).
If the items were defective or you are returning them to the vendor for any
other reason, you may need to fill out a
non-conforming material report (NCMR) and return it
to the vendor with the item.
If the items were not defective and you are returning them to inventory,
adjust the inventory amount
for the item.
If the customer is entitled to a credit or refund, create a credit memo or refund check for
Note: The credit memo will increase the quantity of that item in
inventory by the amount being credited.
If you created a credit memo for items that are not being returned to
inventory (for example, if they are defective)
adjust the inventory amount for the
item. The adjustment made should lower the inventory balance for that item.