Reports & decisions / GUIDE + WORKSHEET
Why two business reports disagree
Reconcile different totals by comparing definitions, dates, record states, and a simple bridge between two fictional reports.
THE STARTING POINT
Compare definitions before choosing which report is right. Two correct reports can measure different events, periods, or record states. Align the record detail and cutoff, explain known differences, and investigate what remains. Do not force totals to match by silently changing one report.
Check whether the reports ask the same question
Booked work, issued invoices, and received payments describe different events. Even identically named metrics can differ in cancellation rules, time zone, currency treatment, and the date used for inclusion. Write each report's definition in plain language. If the intended questions differ, the goal is an explained bridge rather than equal totals.
Compare records at a common level
Export or inspect the underlying records with stable identifiers. Separate records missing from one side from records present with different values. Confirm that line items are not being compared with whole orders or duplicated by a join. Keep the original reports unchanged while you build a reconciliation table that another person can follow.
Account for known differences and own the rest
Group differences by cause: timing, status, exclusions, adjustments, duplication, or missing data. Calculate the effect of each group and assign unresolved cases. If a definition needs changing, document the new rule and whether prior periods should be restated. A reconciliation should end with an explanation and owner, not an unexplained balancing adjustment.
WORKED EXAMPLE / ILLUSTRATIVE
A fictional operational reconciliation
A booked-work report totals 1,200 units. The invoice report totals 800 units because 400 units of accepted work have not yet been invoiced. The difference is fully explained in this simplified example; it is not an accounting policy or revenue-recognition recommendation.
| Record | Booked work | Issued invoice |
|---|---|---|
| A | 500 | 500 |
| B | 300 | 300 |
| C: not yet invoiced | 400 | 0 |
| Total | 1,200 | 800 |
| Bridge: 1,200 minus 400 | 800 | Matches invoice total |
MAKE IT USEFUL
Report reconciliation bridge
Preserve both original totals and explain each difference.
Your notes stay in this page and are not sent to Smithers. Download or copy them before leaving; refreshing clears them.
Before you put it to work
- Compare the same record grain.
- Keep source totals intact.
- Explain each bridge adjustment.
- Assign unresolved differences.
When the discrepancy concerns accounting treatment, involve the person responsible for your accounts. This workflow diagnoses data and definitions; it does not decide financial reporting policy.
IF THIS LOOKS FAMILIAR
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