Resolution of Discrepancies Between Purchase Order Total & Invoice Total

Section 5:5 Revised  02/16/2007

Frequently discrepancies exist between the total price shown on the Purchase Order and the total price shown on the vendor's invoice. This difference is caused primarily because of added shipping charges and changes in vendor prices.

If the total variance between the Purchase Order and the vendor's invoice is greater than five percent above or below the total price of the Purchase Order, the following procedure will be used to resolve the discrepancy:

  • The Accounts Payable Section will contact the buyer in the Purchasing Department who placed the order informing him/her of the amount of the variance and the reasons therefore.
  • If after review and discussion with the vendor the buyer is unable to resolve the discrepancy, he/she  will contact the individual who ordered the item and ascertain if he/she desires to keep the merchandise and pay the added charge, or return the merchandise to the vendor.  If the requesting department decides to keep the merchandise, an email should be forwarded to the buyer authorizing the added charge.
  • The buyer will create a change order correcting the descrepancy.
  • The buyer will then notify the Accounts Payable Section to pay the invoice amount recording on the Purchase Order the name of the clerk that he talked with.