> Scenario 5: Pricing Returns to Suppliers (LIFO/FIFO)

When returning parts purchased on a purchase order from a store to a supplier using the Return goods to supplier form (SMRETN), and when you are using LIFO/FIFO as your pricing method, Datastream 7i attempts to locate a record of the same part on the original purchase order line from which to calculate the return price of the part in the R5FIFO table. If Datastream 7i locates a record of the part on the purchase order line in the R5FIFO table, then Datastream 7i uses the original price of the part on the purchase order line as the return price. Pricing updates created for the part by invoices, credit/debit notes, and/or manual pricing updates entered on the Stock value page of the Stock form (SMSTOC) are not reflected in the return price. If the return quantity cannot be completely covered by the quantity of the part located on the purchase order line in the R5FIFO table, Datastream 7i continues to attempt to locate matching records of the part to return on purchase order line records in the R5FIFO table until the return quantity is completely covered.

If Datastream 7i cannot locate enough matching records to fulfill the return quantity, then the outstanding quantity of the return is fulfilled using other available records of the same part in the R5FIFO table that are not associated with the original purchase order line for which you are returning the parts. However, Datastream 7i still uses the appropriate first or last record depending on whether your price type is LIFO or FIFO. Datastream 7i deletes or reduces the quantity of all the records used to fulfill the return quantity from the R5FIFO table.

Refer to the example below for more information about how Datastream 7i handles LIFO/FIFO pricing for pricing returns to suppliers.

Example