One item on a Return Authorization is damaged and will not be added back into Inventory.
Which Accounting PReference: needs to be enabled to process the Return Authorization?
One item on a Return Authorization is damaged and will not be added back into Inventory.
Which Accounting PReference: needs to be enabled to process the Return Authorization?
When an item on a Return Authorization is damaged and will not be added back into inventory, the appropriate accounting preference to handle this situation is to use the 'Write-Off Account for Returns'. This option ensures that the value of the damaged item is not added back into inventory, and instead, the loss is recorded in the general ledger.
as per help- Write-Off Account for Returns is needed to post the loss for returned items, that are not returned to inventory for resale. enforce minimum qty force customer to ship not less then specified quantity
Answer is A
When you write off a returned item, the item is not returned to inventory for resale and the item amount posts to the general ledger as a loss