Hi - I have a question regarding sale with the right to return in a retail setting. Of course some provision is necessary as there will be some customers who come in and return product after year end. However, some of the returns will be simply an "exchange" (one size/color) for another. In this case I would say there is no need to provision for this type of return. However, it can get more complicated - a customer comes back and returns product A, but purchases product B at the same time. For example, came in to return a pair of shoes and bought a different pair of shoes. Or, came in to return a pair of shoes and bought a shirt. When creating a provision for returns, I'm wondering how others treat these different examples. Thanks for any insight you could provide me. Jason
