Hotel Operations Management
Ch. 5 with verified solutions
Controller - answer The individual (or department)
responsible for maintaining the back office
accounting system
Accounting Office Tasks - answer summarize &
report spending, revenue, etc.
Accounting - answer The process of summarizing
and reporting financial transactions
Front office accounting vs. back office accounting -
answer front office-- occurring at the front desk
back office-- entire hotel (& standing)
CPA - answer Certified Public Accountant-- passed
national qualifying exam, granted by state boards
of accountancy
GAAP - answer Generally Accepted Accounting
Principles-- standards and procedures adopted by
those responsible for preparing business financial
statements for the purpose of ensuring uniformity
, USALI - answer Uniform System of Accounts for the
Lodging Industry-- standard set of accounting
procedures used to record a hotel's financial
transactions and condition
Sarbanes-Oxley - answer Act, known as the Public
Company Accounting Reform and Investor
Protection Act, criminal penalties for accounting
fraud. Covers regulation of auditors
Centralized vs. decentralized accounting - answer
centralized- financial management system that
collects accounting data from individual hotels and
then combines and analyzes at central site
decentralized- collects from individual hotel,
combines and analyzes at that site.
Audit - answer independent verification of financial
records
Revenue forecasting - answer predicting sales and
revenue of the hotel in different departments
(sales, maintenance, f&b, etc.)
Budgeting - answer deciding how much money is
needed & for what purposes. can be long range,
annual, or monthly.
Ch. 5 with verified solutions
Controller - answer The individual (or department)
responsible for maintaining the back office
accounting system
Accounting Office Tasks - answer summarize &
report spending, revenue, etc.
Accounting - answer The process of summarizing
and reporting financial transactions
Front office accounting vs. back office accounting -
answer front office-- occurring at the front desk
back office-- entire hotel (& standing)
CPA - answer Certified Public Accountant-- passed
national qualifying exam, granted by state boards
of accountancy
GAAP - answer Generally Accepted Accounting
Principles-- standards and procedures adopted by
those responsible for preparing business financial
statements for the purpose of ensuring uniformity
, USALI - answer Uniform System of Accounts for the
Lodging Industry-- standard set of accounting
procedures used to record a hotel's financial
transactions and condition
Sarbanes-Oxley - answer Act, known as the Public
Company Accounting Reform and Investor
Protection Act, criminal penalties for accounting
fraud. Covers regulation of auditors
Centralized vs. decentralized accounting - answer
centralized- financial management system that
collects accounting data from individual hotels and
then combines and analyzes at central site
decentralized- collects from individual hotel,
combines and analyzes at that site.
Audit - answer independent verification of financial
records
Revenue forecasting - answer predicting sales and
revenue of the hotel in different departments
(sales, maintenance, f&b, etc.)
Budgeting - answer deciding how much money is
needed & for what purposes. can be long range,
annual, or monthly.
