How else do you lose inventory?  OK, in addition to shoplifting, there's employee theft.  Since this is described as a "Documented" loss, maybe someone signed a confession.  Or there's video of the goods walking out of the store.  

I don't have any retail, bricks-and-mortar clients.  All I know is that the lower the ending inventory, the higher the cost of goods and the lower the gross income.  Is this a trick question?  Tell me what I'm missing.