Return of Damaged Goods

AdamAdam Member Posts: 16
edited July 2018 in Accounts Hosted
I'm a food wholesaler and frequently have products damaged in transit by the courier companies. I need to issue my customers a credit note for these products. At the moment I have a 'breakage' account which is a debit account against income/sales. However, the value of the breakages is based on my wholesale price not on my cost, so my breakages value looks higher  than it actually is. How do I correct this?

Comments

  • Jacqui AllenJacqui Allen Member Posts: 242
    edited April 2017
    Raise the credit to the customer, then process an inventory adjustment which uses the actual cost.  You are using inventory?
  • Stacey LettStacey Lett Member Posts: 19
    edited July 2018
    yes, thanks so much i just had a mind blank and that makes total sense !! 
Sign In or Register to comment.