Post a Credit Note

Order Entry assigns the credit note number during posting, using the prefix and starting number you entered on the Documents tab in the O/E Options form.

Items returned to inventory. When you post a credit note for items returned to inventory, the quantities on hand in Inventory Control are immediately increased for the items on the credit note.

Day End Processing. If you keep sales statistics, the quantity sold, sales amount, invoice amount, and item cost of sales are reduced when you run Day End Processing in Inventory Control. The number of returns and the returned amount are updated if you keep sales history.

When you post a credit note for an item that had serial numbers assigned to it when invoiced, the returned numbers are reported on the Serial Numbers List in Inventory Control.

Damaged items. If you post a credit note for damaged items, there is no effect on the quantity on hand or on costs.

Damaged items update sales statistics and history after Day End Processing, just as items returned to inventory do.

Price adjustments. If you post a credit note as a price adjustment, there is no effect on the quantity on hand or on costs.

The item sales and invoice amounts are reduced when you run Day End Processing, but the number of returns and the returned amounts are not.

Sales commissions. If your salespeople earn commissions, credit notes posted against invoices reduce the commission earned accordingly. The recalculation of commissions is done during Day End Processing.