> ## Documentation Index
> Fetch the complete documentation index at: https://docs.vortexiq.ai/llms.txt
> Use this file to discover all available pages before exploring further.

# Credit Memo Value, Oracle ERP Cloud

**Metrics type:** [Card](/nerve-centre/overview#metrics-types-explained)

> Total Credit Memo value issued. Includes returns refunds and goodwill credits.

## At a glance

> Total Credit Memo value issued in the period. Includes returns refunds, goodwill credits, pricing-adjustment Credit Memos. The structural reduction-of-revenue figure.

|                         |                                                                                                                                                                           |
| ----------------------- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |
| **What it counts**      | `SUM(transaction_amount)` for transactions of type Credit Memo posted in the window. Includes RMA-driven CMs, billing-correction CMs, and goodwill / sales-allowance CMs. |
| **Tax treatment**       | Net of tax (matches revenue figure).                                                                                                                                      |
| **Currency**            | Reporting ledger.                                                                                                                                                         |
| **Business Unit scope** | Respects dashboard filter.                                                                                                                                                |
| **Time window**         | `30D vsP`                                                                                                                                                                 |
| **Alert trigger**       | None default; trend monitored.                                                                                                                                            |
| **Roles**               | owner, finance                                                                                                                                                            |

## Calculation

Calculated automatically from your Oracle ERP Cloud data. See the At a glance summary above for what the metric tracks and the worked example below for a typical reading.

## Worked example

A US Fortune 500 retailer on Oracle ERP Cloud. 30-day window 14 Mar 26 to 12 Apr 26.

| CM Reason                  | Value           | Count   |
| -------------------------- | --------------- | ------- |
| RMA / customer return      | \$4,840,000     | 384     |
| Billing correction         | \$620,000       | 28      |
| Goodwill / sales allowance | \$280,000       | 14      |
| Pricing adjustment         | \$182,000       | 22      |
| **Total Credit Memos**     | **\$5,922,000** | **448** |

Five things to notice:

1. **$5.92M = 4.5% of $130M revenue.** Within the 4-7% healthy range for retail.
2. **RMA dominates** (82%) as expected. Pair with [Returns Count](/nerve-centre/kpi-cards/oracle-erp/returns-count).
3. **Goodwill (\$280K)** is customer-service driven; if rising, investigate quality / fulfilment issues.
4. **vsP comparison:** 30D ago was \$5.62M = stable. If rising 15%+ vsP, structural issue.
5. **Hits [Revenue Booked into GL](/nerve-centre/kpi-cards/oracle-erp/revenue-booked-into-gl) directly:** \$5.92M reduction of revenue baseline.

## Sibling cards merchants should reference together

| Card                                                                                  | Why pair                                   |
| ------------------------------------------------------------------------------------- | ------------------------------------------ |
| [Returns Count](/nerve-centre/kpi-cards/oracle-erp/returns-count)                     | RMA volume.                                |
| [Revenue Booked into GL](/nerve-centre/kpi-cards/oracle-erp/revenue-booked-into-gl)   | This card subtracts from that.             |
| [Revenue Gap vs Commerce](/nerve-centre/kpi-cards/oracle-erp/revenue-gap-vs-commerce) | Credit Memo Refund bucket on the gap card. |

## Reconciling against the vendor's own dashboard

**Where to look in Oracle ERP Cloud:**

> **Receivables → Manage Transactions** filter Credit Memo
> **OTBI → Receivables Real Time** filter transaction type

**Why our number may legitimately differ:**

| Reason                 | Direction | Why                                                           |
| ---------------------- | --------- | ------------------------------------------------------------- |
| **CM date convention** | Either    | Card uses transaction date; some reports use accounting date. |

**Cross-connector reconciliation:**

| Card                           | Notes                           |
| ------------------------------ | ------------------------------- |
| Commerce-platform refund cards | Numerator on the commerce side. |

## Known limitations / merchant FAQs

**Healthy CM rate by industry?**
Apparel retail 8-12%, electronics 4-7%, B2B distribution 2-5%, grocery 1-3%.

**Includes Debit Memos?**
No, DMs increase receivable; CMs decrease.

**Multi-Ledger?**
Yes via filter.

***

### Tracked live in Vortex IQ Nerve Centre

*Credit Memo Value* is one of hundreds of KPI pulses Vortex IQ tracks across Oracle ERP Cloud and 70+ other ecommerce connectors. Nerve Centre runs the detection layer; Vortex Mind investigates the cause when something moves; Ask Viq lets you interrogate any number in plain English.

[Start for free](https://app.vortexiq.ai/login) or [book a demo](https://www.vortexiq.ai/contact-us) to see this metric running on your own data.