The treatment of return orders with a "credit only" disposition code is incorrect. This impacts both the inventory and the general ledger. Our intention in selecting credit only is that we are crediting the customer without involving any return of stock. D365FO, however, creates a transaction for the return of stock and then writes it off; this reflects in both the stock history and the general ledger postings. In the GL the "return" is credited to costs of goods sold invoiced and the write off debited to stock expenditure loss, which have different posting profiles. For the entries to have no impact in our ledger, therefore, a journal is required. EITHER the disposition code "credit only" should be changed to be just that, i.e. credit the customer and debit sales OR user options should be made available to do the same thing and bypass the stock transactions.