73 Accounting
description
Transcript of 73 Accounting
![Page 1: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/1.jpg)
under Academic Supervision of
Rooms Division Rooms Division ProcessesProcesses
Session 73Session 73Front Office Accounting Front Office Accounting
Foundation Certificate in International Foundation Certificate in International Hospitality ManagementHospitality Management
![Page 2: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/2.jpg)
under Academic supervision of
Front Office Accounting
![Page 3: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/3.jpg)
under Academic supervision of
Session ObjectivesSession Objectives
By the end of this session you will be able toUnderstand the importance of Accounting List types of accountsList types of ledgersList types of Folio’s
![Page 4: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/4.jpg)
under Academic supervision of
Accounting Fundamentals and the Accounting Fundamentals and the Guest CycleGuest Cycle
Pre-Arrival: It captures data related to the type of reservation guarantee and tracks prepayment and advance deposit.Arrival: Documents the application of room rate and tax at registration. Occupancy: A guest accounting system tracks authorized guest purchases.Check-out: Payment for outstanding goods and services
![Page 5: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/5.jpg)
under Academic supervision of
![Page 6: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/6.jpg)
under Academic supervision of
General Concepts in F O AccountingGeneral Concepts in F O Accounting
What is an account?What is a Folio?What is a Ledger?
please refer to the handouts provided
![Page 7: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/7.jpg)
under Academic supervision of
AccountsAccounts
An account is a form on which financial data are accumulated and summarizedIt stores the results of various business transactionsThe increases and decreases in an account are calculated and the resulting monetary amount is the account balance
![Page 8: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/8.jpg)
under Academic supervision of
T or a T-account:T or a T-account:
The left side of the account is called the debit side and the right side in the credit side.The sum of the debit entries created by a transaction must equal the sum of the credit entries. This fact forms the basis for an accounting process called night audit.
Debit Credit
Particular Amt Particular Amt
![Page 9: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/9.jpg)
under Academic supervision of
FolioFolio
FO transactions are typically charted on account statements called folios. It is a statement of all transactions affecting the balanceThe process of recording transactions on a folio is called a postingSome maybe handwritten in the form of a journal or computer generated in the form of electronic folios and can be printed, reviewed etc at any time
![Page 10: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/10.jpg)
under Academic supervision of
Types of FolioTypes of FolioThere are four types of folios:
Guest foliosAccounts assigned to individual persons
Master foliosAccounts assigned to groups
Non-guest foliosAssigned to non-guest businesses
Employee FoliosAssigned to employees with charge purchase privileges.
![Page 11: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/11.jpg)
under Academic supervision of
Why does every folio has a Why does every folio has a unique serial no.unique serial no.
They serve as identification nos. that help ensure all folios are accounted for during an auditFolio nos. may be used to index information in automated systems and hence show as a chain of documentation
.
![Page 12: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/12.jpg)
under Academic supervision of
LedgersLedgers
Is a summary grouping of accounts. The FO ledger is a collection of FO account foliosThe folios represented in the FO are a part of the FO accounts receivable ledgerAn account receivable represents money owed to the hotel
![Page 13: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/13.jpg)
under Academic supervision of
Types of LedgersTypes of Ledgers
Guest Ledger (Transient ledger/FO ledger) for Guest receivableIt refers to the set of guest accounts that correspond to registered guests or to those who have sent advance deposits. Eg Guest paying in advance may transfer their bills to the ledger or during their stay they settle any outstanding balance
![Page 14: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/14.jpg)
under Academic supervision of
Types of LedgersTypes of Ledgers
City Ledger for non Guest receivable(Non-guest ledger): Is a collection of non-guest accountsIf not settled in full be cash payment at check out the folio is transferred to the accounting division for collection
![Page 15: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/15.jpg)
under Academic supervision of
Front Office Accounting Formulae Previous Balance + Debits-Credits=Net Outstanding Balance
Account MaintenanceAccount Maintenance
A folio used to record transactions, which affect a front office account balance. Folios must be accurate, complete and properly filed since guests may request for their bills with no advance notice
![Page 16: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/16.jpg)
under Academic supervision of
Thank Thank YouYou
![Page 17: 73 Accounting](https://reader036.fdocuments.us/reader036/viewer/2022062819/577cc0771a28aba7119033f5/html5/thumbnails/17.jpg)
under Academic supervision of
Recap ObjectivesRecap Objectives
Now you are able to: Understand the importance of Accounting List types of accountsList types of ledgersList types of Folio