Add returned orders to inventory

Question

How to add returned products back to inventory?

If a customer orders a product it gets subtracted from the shops inventory. Now I would like to add it back if he returns it.

Answer 1

When you create a creditmemo the stock will be return to the inventory, depending on the used payment method you will have the option to specify if you want to return it to stock.

Answer 2

Isn't this a Magento default option when creating a Credit Invoice? On each product item row there is a checkbox to send the item back to stock.