A/R Credit memo for the broken items!!!

Dear Expert,
When we received the return products from customers, sometimes they are broken and cannot return to inventory. Due to issue the A/R Credit memo will bring these broken items returning to the inventory which it is not truth. How could we solve this problem in SAP B1?    Thanks in advance.

Hi,
Handling of Return of goods which are damaged needs to be decided based on the business process being followed.
Example :  If the damaged goods are of some value and they could be sold off in market for some amount(gain), then you can being back into stock and then book the sale again (for the damaged) and then book the rest as a loss.
Another example can be : If the damaged goods are not to be sold , then you can book the loss directly and can leave the stock to be entered back into the warehouse.
Check which process you follow and based on that you can decide and ask the exact need which can be helped by experts in the forum.
Kind Regards,
Jitin
SAP Business One Forum Team

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