Return to Vendor for Upgrade

What are the best practices for?

- Return to Vendor for Upgrade-

1. We buy component P0001-01 for $10

2. We fully received and invoice it

3. We identify the component has issues and we return it to the vendor (RTV)

4. Debit memo is created against invoice

5. Now the vendor send us component P0001-02 for $12 (because P0001-01 was upgraded)

How can I received P0001-02? How can I record the cost difference? We use standard cost

Thanks,

Iliana