What should you use to inform a customer about a price adjustment on an invoice?

Using a credit note to inform a customer about a price adjustment on an invoice is the most appropriate approach because a credit note serves as an official document that indicates a reduction in the amount owed by the customer. When you issue a credit note, you are formally acknowledging the adjustment, providing clarity on the changes made to the invoice, and maintaining accurate records on both the seller’s and buyer’s accounts.

A credit note not only communicates the adjustment effectively but also links directly to the original invoice. This ensures that the customer has a complete understanding of their account balance and the reason for the adjustment. It enhances transparency and helps in preventing potential misunderstandings regarding pricing or payment due.

The other options, while useful in different contexts, do not serve the same formalized purpose as a credit note. An email notification may provide a quick way to inform the customer, but it lacks the official documentation that a credit note provides. Issuing a new invoice could confuse customers, as it would not clearly indicate the adjustment was related to a previously issued invoice. A refund is applicable when a transaction needs to be reversed, but it does not serve to adjust the prices indicated on an invoice. Thus, the credit note is the preferred method for handling price adjustments.