Re: How to handle vendor return?

[GeoMSagen@xxxxxxx]

Roel,

I don't know of an easy solution to this and hope some of the geniuses on this 
list can cook something up. Here however, is what I can tell you. Using COM to 
return the vendor material would effectively remove the items from stock and 
offset the AP GL account, but:

a. Wouldn't adjust the PO qty received
b. Wouldn't adjust the qty costed
c. Wouldn't interface to the AP subsystem to show a credit memo from the 
vendor. The AP subsystem wouldn't balance to the GL.

The best I can come up with is using a custom transaction that is set to affect 
On Hand Balance and Costing. Use a negative quantity when you book the 
transaction. In theory (I have no way to test this right now) it would reduce 
the on hand and reverse out the AP costing transaction. This assumes that AP 
has already vouched the invoice for the full amount originally received closing 
the PO.

In CEA configure the inventory event to credit Inventory and debit Goods 
Returned. Configure AP credit memos to debit AP and credit Goods Returned. 
You'll have to manually check for PPV. The AP clerk can monitor the balance in 
the account. A credit balance represents goods returned for which the vendor 
credit memo hasn't been processed. Reconciling the account could get ugly. Wish 
I had a system to experiment on as others have asked me this same question 
lately.

Best Wishes,

George Sagen, CPIM