What Caused Your Pad to GL Variance?

[FixedManager]

This is a common issue that was compounded by a Parts Manager thinking he was smart enough to cover his tracks. In order to increase his monthly profit (and paycheck) this store began to rely heavily on purchases from a WD over the manufacturer as he was able to negotiate an invoice discount. All items purchased from the WD at a lower cost were billed with the cost adjusted to the purchase price on the invoice or repair order. The purchase invoices were coded entirely to his inventory account and sent to accounting. This created a GL variance adding up to approximately $12,000.00 per month. This Parts Manager found out the hard way that inventory resides in three locations.