Financial discrepancies are going to occur, intentional or not, it is important to report and correct the inaccuracy as soon as it is discovered. Checks and balances are in place to prevent discrepancies, but there are times when they can be missed and reported on the financial statements. Employees, investors and creditors trust that a business will be transparent and honest about their financial obligations. If you discover a discrepancy be sure you report it to management so it can be decided how the correction will be made. Most discrepancies are not intentional but to report or not report is a matter of ethics and can mean life or death for a business.