Re: Inventory Return Question

Hello Mathew,

Suppose consider in Inventory Finished Goods Accounts (IFG)= 2000 ( before perform the below transaction) & Inventory Return Accounts (IR)=0

Now Delivery Order JE are below:

Delivery      DR       CR

----------------------------------------------

IFG                      100

COGS       100

Now Inventory Finished Goods Accounts (IFG)= 1900

Now Return JE are below:

Return       DR         CR

---------------------------------------------

IR             100

COGS                     100

Now Inventory Finished Goods Accounts (IFG)= 1900 & Inventory Return Accounts (IR)=100 but this 100 should be added into IFG Account then its should be 2000.

Now again Delivery Order JE are below:

Delivery       DR       CR

----------------------------------------

IFG                          100

COGS        100

Now Inventory Finished Goods Accounts (IFG)= 1800

Now we have Inventory Return Accounts (IR)=100 & Inventory Finished Goods Accounts (IFG)= 1800, So we have to preform 1 JE

JE                DR           CR

----------------------------------------

IFG              100

IR                               100

Finally results

Inventory Return Accounts (IR)=0 & Inventory Finished Goods Accounts (IFG)= 1900.

Kindly check with your real data.

Rgds,

Kamlesh Naware