Returning Goods when there is no Delivery
It is possible to deliver goods from stock without a Sales Order or Delivery. This process is described on the
Deliveries from the Sales Ledger page. In this circumstance, because of the lack of a Sales Order, if such goods are returned to you, the Returned Goods register cannot be used to receive them back into stock.
Instead, follow these steps:
- Such an Item would originally have been issued using an Invoice. This Invoice should be credited, using the process described on the Credit Notes page. When the Credit Note is created and the Payment Terms field is changed to "CN", the Update Stock check box on the 'Delivery' card is switched off. This should not be switched on again as doing so will mean that the Nominal Ledger stock valuation will become inaccurate: the wrong FIFO value will be used. Instead, approve the Credit Note (to update the Sales Ledger and the Debtor, VAT and Sales Accounts in the Nominal Ledger).
- Receive the Item back into stock using the Goods Receipt register in the Stock module. This will correctly update stock levels and, if you have so determined in the Sub Systems setting, the Nominal Ledger stock valuation.
Because the system cannot obtain a FIFO valuation, it is recommended that you set the cost prices manually in the Goods Receipt record: you may need to find out the true value of the returned goods from the original Invoice record first (the FIFO field on flip C shows the average unit FIFO value of the Items delivered).
