HMGT 618 exam 1 Questions And Answers With Verified Study Solutions

Within the lodging and food services industries are a variety of related fields that include: - Answerlodging, F&B (and tourism) -global, diverse -Hotels, restaurants, clubs, resorts, casinos, cruise ships, theme parks -The recreation and leisure market -The convention center market -The schools and colleges market -The business dining market -The health care market -The corrections market The number of opportunities offered by the hospitality industry is _________, as are the opportunities for those managers who understand and can utilize their hospitality accounting skills. - Answersignificant Accounting is the process of - Answer-recording financial transactions, summarizing them, and then accurately reporting them. *ethically and accurately An accountant is a person skilled in - Answer-the recording and reporting of financial transactions. Accounting in the hospitality industry is utilized - Answer-every time a guest purchases food, beverages, or a hotel guest room. Banks want to know about the proposed business's estimated financial performance before they decide to - Answer-lend it money. Owners of a hospitality facility want to monitor their business's - Answer-financial condition.Investors want to put their money in businesses that will conserve or - Answer-increase their wealth. Managers use _______ techniques as well as their education, experience, values, and goals to make management decisions. - Answer-accounting *make better decisions because more accurate information Accounting is ________ as management; accounting is a tool used by good managers. - Answer-not the same Financial accounting includes - Answer-recording, summarizing, and reporting financial transactions. Financial transactions include: - Answer--Revenue, the term used to indicate the money you take in -Expense, the cost of the items required to operate the business -Profit, the dollars that remain after all expenses have been paid Financial accounting also includes accounting for - Answer--Assets, which are those items owned by the business -Liabilities, which are the amounts the business owes to others -Owners' equity, which is the residual claims owners have on their assets, or the amount left over in a business after subtracting its liabilities from its assets. Assets = - Answer-Liabilities + Owners' equity Cost accounting is concerned with the - Answer-classification, recording, and reporting of business expenses. For cost accountants, a cost, or expense, is most often defined as the - Answer-"time or resources expended by the business."Cost accountants determine costs by - Answer-departments, by business function or area of responsibility, and by the products and services sold by the business. A tax is simply a charge levied by a governmental unit on - Answer-income, consumption, wealth, or other basis. Tax accounting concerns itself with the - Answer-proper and timely filing of tax payments, forms, or other required documents with the governmental units that assess taxes. Professional tax accounting techniques and practices ensure that - Answer-businesses properly fulfill their legitimate tax obligations. *higher profit --> more taxes Some of the taxes hospitality managers may be responsible for include - Answer-occupancy taxes, sales taxes and payroll taxes. The auditing branch of accounting is chiefly concerned with the - Answer-accuracy and truthfulness of financial reports. An audit is an - Answer-independent verification of financial records. An auditor is the - Answer-individual or group of individuals that completes the verification. The total collapse of the Enron Corporation in late 2001, as well as other highly publicized business failures, demonstrates the importance of - Answer-auditing. In 2002, the United States Congress passed the - Answer-Sarbanes-Oxley Act (SOX). Sarbanes-Oxley Act (SOX) provides - Answer-criminal penalties for those found to have committed accounting fraud, and also covers the regulation of auditors assigned the task of verifying a company's financial nal auditors - Answer-Individuals who are directly employed by a company to examine that company's own accounting procedures external auditors - Answer-individuals or firms who are hired specifically to give an independent (external) assessment of a company's compliance with standardized accounting practices.