Hospitality
Management Ch. 7
with verified solutions
accounting department - answer The hotel
department responsible for keeping track of the
many business transactions that occur in the hotel
and managing the hotel's finances.
assets - answer resources available for use by the
business ie anything owned by the business that
has monetary value
Average daily rate (ADR) - answer a key rooms
department operating ratio. Rooms revenue/# of
rooms sold AKA average room rate
balance sheet - answer a financial statement that
provides information about the financial position of
a hotel by showing its assets, liabilities, and equity
on a given date
capture rate - answer percentage of hotel guests
who eat meals at the hotel
, catering department - answer A department within
the food and beverage division of a hotel that is
responsible for arranging and planning food and
beverage functions for (1) conventions and smaller
hotel groups, and (2) local banquets booked by the
sales department.
commissions - answer retailers located off the
hotel site (such as gift shops, car rental agencies,
and photographers) that pay a commission to the
hotel based on a percentage of their gross sales to
guests
concessions - answer Facilities that might well be
operated by the hotel directly, such as beauty
salon or fitness club, but are turned over to
independent operators. The hotel in turn receives
a flat fee, a minimum fee plus a percentage of the
gross receipts over a specific amount, or a
percentage of total gross sales.
cost centers - answer Departments or areas within
a hotel that do not directly generate revenue; they
provide support for the hotel's revenue centers.
Also known as support centers. AKA HR,
Accounting, IT
departmental expenses - answer Expenses that are
charged to specific hotel departments; such
Management Ch. 7
with verified solutions
accounting department - answer The hotel
department responsible for keeping track of the
many business transactions that occur in the hotel
and managing the hotel's finances.
assets - answer resources available for use by the
business ie anything owned by the business that
has monetary value
Average daily rate (ADR) - answer a key rooms
department operating ratio. Rooms revenue/# of
rooms sold AKA average room rate
balance sheet - answer a financial statement that
provides information about the financial position of
a hotel by showing its assets, liabilities, and equity
on a given date
capture rate - answer percentage of hotel guests
who eat meals at the hotel
, catering department - answer A department within
the food and beverage division of a hotel that is
responsible for arranging and planning food and
beverage functions for (1) conventions and smaller
hotel groups, and (2) local banquets booked by the
sales department.
commissions - answer retailers located off the
hotel site (such as gift shops, car rental agencies,
and photographers) that pay a commission to the
hotel based on a percentage of their gross sales to
guests
concessions - answer Facilities that might well be
operated by the hotel directly, such as beauty
salon or fitness club, but are turned over to
independent operators. The hotel in turn receives
a flat fee, a minimum fee plus a percentage of the
gross receipts over a specific amount, or a
percentage of total gross sales.
cost centers - answer Departments or areas within
a hotel that do not directly generate revenue; they
provide support for the hotel's revenue centers.
Also known as support centers. AKA HR,
Accounting, IT
departmental expenses - answer Expenses that are
charged to specific hotel departments; such
