8 - Front Office Accounting Flashcards
Folio
A statement of all transactions affecting the balance of a single account
Posting
process of recording transactions
Vouchers
details a transaction to be posted to a front office account
Point of Sale(POS)
the physical location which goods or services are purchased.
Revenue centre = a point of sale
Example : restaurants, room service, laundry, valet
Advantages of using automated POS
- communicate directly with front office system
- Reduce time to post charges to guest folio
- minimize number of times transactional data must be handled
- virtually eliminate late charges
Ledger
a summary grouping of accounts
Floor limit
a limit assigned to hotel by the payment card company indicating the maximum amount hotel is permitted to accept from a card without special authorization
House limit
a limit assigned to the guest by hotel inidicating how much they can charge to their account without partial settlement.
Payment
Reduce a guests net outstanding balance, cash voucher maybe used.
only payment occur at FD will be recorded into guest folio.
If guest pay at POS, no entries made in folio.
Charge purchase
deferred payment transactions.
happens when guests do not pay at POS,
proof of occupancy must be presented.
In non-automated properties, they use charge voucher
Account correction
posting error on a guest or nonguest folio.
made on same day.
correction voucher is used, signed by FD employee and approved by FOM
Account Allowance
- decrease folio balance as comensation for poor service or rebate for coupons/discounts.
- correct posting errors detected after daily audit
allowance voucher is used, require management approval
Cash Advance
cash flow out of hotel resource.
increase guests outstanding balance.
cash advanced voucher is used.
usually use to pay on guest behalf in advance.
Cash bank
Amount assigned to as cashier to handle various transactions that occur during a work shift
Bank Limit
Amount of cash in the cashier bank when it is issued at the beginning of a work shift.
Net cash receipt
The amount of cash and checks in the cashier’s drawer, minus the amount of the initial cash bank
Overage
An imbalance when the total amount of cash and checks in the cashiers bank is greater than the initial bank + net cash receipts
Shortage
An imbalance when the total of cash and checks in the cashiers bank is lesser than the initial bank + net cash receipts.
Due back
occurs when a cashier pays out more than he/she receives.
Ex : there is not enough cash in the cash drawer to restore the initial cash bank.
happens when FO accepts many checks or encashes large amount of foreign exchange.
Paid out
Cash disbursed by FO staff on behalf of guest
how to establish inhouse credit
present a valid payment card or direct billing authorization during registration
does PIA guest have inhouse credit
no, PIA guest have no charge privileges .
“no post” status.
High balance/high risk account
guest accounts that are approaching or have reached or have exceeded the house limit.
