Adjustment Codes

Adjustment codes identify reasons for billing and/or inventory adjustments.  Adjustment codes are defined on Reference File category 432.  Along with the decoded description for code, the Reference File indicates which statistics (inventory, part, and customer) are to be adjusted. 

Inventory/Value Addition and Reduction flags are used to define an adjustment's effect on inventory.  The flags determine whether the inventory balance and cycle count activity fields on the Multiple Location and Warehouse Balance Files will be updated.  If the Addition flag is set to 'Y' the adjustment will increase inventory. If the Reduction flag is set to 'Y' the adjustment will decrease inventory.  If both flags are set to 'N' the adjustment will have no effect on inventory.  The flags cannot both be 'Y.'

The Customer Statistics flag is used in Order Processing and indicates whether sales statistics for the customer should be updated with the adjustment.  Customer statistics include period and year-to-date figures for cost of sales, total sales, gross margin percentage, and number of orders. 

The Part Statistics flag is also used in Order Processing and indicates whether sales statistics for the part should be updated with the adjustment.  Part statistics include period and year-to-date figures for cost of sales, total sales, and number of lines shipped.