By default, the default price of a returned product is the price of the product when it was last sold to the customer. If there is nothing on record, the product’s current price is used; however, this price may not be accurate for every customer at every location.

You can change the unit cost for inventory that has been returned by customers. This applies to returns done on loadout tickets and AR invoices. After returning the product on a loadout ticket or an invoice, use the Inventory Return Costs window to change the cost of returned products, if needed.

I want to read the Cost History white paper (with screenshots) for a more detailed explanation and an example of how to use Cost Reallocation.

I have a cost on a customer return that is incorrect and needs to be changed.

To change the cost of a returned product

Navigate to Inventory > Manage >Costing > Inventory Return Cost.
The Inventory Return Costs window opens.

(Config U) In the Location box, enter the location that owns the returned products.
You can search all locations by selecting <All Locations>.

Select Any Date to search for the last month’s returned inventory or Specific Dates to enter a date range for when the inventory was returned.

Select Any Product to search for any product that was returned or This Product to enter a particular product.
Start typing the product code, or click Find to search for a product.

Click Retrieve Returns.
The rest of the window is available for use.

In the Change? column, select the Change? check boxes for products that should have different unit costs.

In the New Cost column, enter the costs of the returned products that you want to use.

Click Save.
The postings for all outgoing inventory activity linked to the returned inventory are reversed and reposted.