Item Return Costing
When an item is returned by a customer, NetSuite must account for that item in the books by assigning it a return cost. This can be done in one of two ways:
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Calculated Costing – If you use calculated costing, you allow NetSuite to calculate the return cost of the item. If you allow the return cost to be calculated, it might not be the same cost every time.
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Fixed Costing – If you use fixed costing, you assign a fixed return cost for an item. This cost is always used when the item is returned and overrides any calculated cost.
You are able to set a default cost to be used for an item when it is returned. This provides an alternative method to relying on NetSuite calculations to set the return cost, which might be a varying amount.
Use one of the following methods to set a fixed return cost for an item:
Fixed Return Cost on Item Records
Inventory item and assembly item records display the field Default Return Cost. In this field, enter the rate you want to default to show as the cost for this item when it is returned. What you enter defaults to appear in the Override Rate field on item receipts. You can change this value after it appears on the item receipt.
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If you use Multiple Units of Measure, this rate is always based on the stock unit.
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If you use Multi-Location Inventory, this field appears on the Inventory subtab of item records in the location list without being customized.
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If you do not use the Multi-Location Inventory feature, this field is hidden by default. You must customize the item record to display the field.
Customizing Return Receipts
Return receipts forms can be customized to display the fields Override Rate and Override Rate Currency.
To customize return receipts:
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Go to Customization > Forms > Transaction Forms.
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Next to Item Receipt, click Customize.
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In the Screen Fields subtab, click the Columns subtab.
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Check the Override Rate box.
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Click Save.
When you use the custom receipt page, it displays these fields:
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Override Rate – This field defaults to show the value entered on item records. If the item being returned has no value entered in this field, it appears blank. You can enter a values on an as-needed basis.
If you use Multiple Units of Measure, the rate in this field is based on the units on the originating transaction.
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Override Rate Currency – The currency displayed in this field is always based on the base currency.
This field shows only if you use the Multi-Currency feature.
If you use Multi-Location Inventory, when you select a location on the receipt, the rate and currency from the item record appear in these fields. For more information, see Returned-Item Costing Using Multi-Location Inventory.
If the Override Rate field is left blank on the item receipt, NetSuite calculates the cost of the returned item.
Related Topics
- Setting Inventory Costing Preferences
- Costing Methods
- Selecting a Default Cost of Goods Sold (COGS) Account
- Inventory Costing and Assembly Items
- LIFO/FIFO Inventory Costing and Advanced Receiving
- System Cost of Goods Sold Adjustments
- Viewing Inventory Reports
- Inventory Costing Recalculations
- Troubleshoot Inventory Costing
- Cost Accounting Status on Item Records
- Group Average Costing
- Standard Costing
- Item Costing