Explanation Incident Report Letter for Cash Shortage

Emily Roberts
Store Manager
ABC Retail Store
456 Market Street
Los Angeles, CA 90001
October 16, 2024

Linda Davis
Finance Manager
ABC Retail Store

Subject: Incident Report for Cash Shortage on October 14, 2024

Dear Ms. Davis,

I am writing to formally report a cash shortage that occurred on October 14, 2024, during the closing shift at ABC Retail Store. The issue was discovered during the routine cash register reconciliation process at approximately 9:30 PM.

At the end of the day, while counting the register balance, $300 was found missing from Register 3. The cashier responsible for this register, Tom Harris, had been on duty from 2:00 PM to 9:00 PM. The shortage was immediately reported to me, and I initiated a review of the day’s transactions, receipts, and surveillance footage.

After reviewing the available documentation and conducting an initial discussion with Tom Harris, no immediate errors or suspicious transactions were found that could explain the missing amount. Tom Harris expressed confusion regarding the shortage and denied any intentional wrongdoing.

The incident was witnessed by Anna Patel, the assistant manager, who also helped verify the register count and confirmed the discrepancy.

To address this issue, the following actions were taken:

• A detailed review of transactions from Register 3 was initiated.
• Surveillance footage from the day of the incident is being reviewed for further investigation.
• Tom Harris was asked to provide a written statement regarding the shortage.

Moving forward, I recommend increased cash handling training for all employees to reduce human error and additional spot checks of registers throughout the day to ensure accuracy.

Sincerely,
Emily Roberts
Store Manager