Policies Flashcards
what is the threshold amount for intergroup reimbursement based on Policy 02100
50 CAD
what are the 2 specific and non-specific scenarios in Policy 02100 and what should be done
- If the expense is non-unit specific or non-claim specific record as if it were your expense
- If the expense is unit or claim specific record it under Misc Expenses (1681)
what is an exception to policy 02100
billing of DR tickets
what 6 components must be in a T&E for it to be acceptable
- Expense date
- Vendor name
- Adequate description (i.e. Busy day lunch)
- Name of attendees
- Itemized receipt (includes date, amount, items, vendor)
- Indication of branch or department to be billed
what should be done with missing or lost receipts
When a receipt is lost or missing, the expense must be backed by an explanation for loss of receipt and a bank statement of the expense
business travel account and what is included
638004, Airfare, lodging, taxi, rental
business meal account and what is included
638024, Review lunches, busy day lunches, marketing lunches, snacks
social events account and what is included
610000 - Holiday parties, seasonal group events, holiday gifts, anniversary gifts
top management outing account
638020
third party entertainment account and what is the spread
638020, group spread
third party food account and must it be seperated?
638024, yes it must be on a separate receipt from third party entertainment
training travel account and what is included
611000, airfare, lodging, transportation
training food account
611020
where should admin training expenses go
Admin expenses are recorded to the admin branch and then allocated to overhead of operating branches
Policy 14205 of Direct Costing, what 3 components does it mention for direct costs
depreciation, interest, inventory adjustment
on whose books are DR, Company Car, and Shuttle units capitalized?
the financial owner
Direct costs are first recorded on whose books, what occurs after, and which direct costs can this be done for
they are first recorded on the books of the financial owner, then allocated to the operating group for all Direct costs besides depreciation
which group is responsible for deletion and car sales recording
Operating/Controlling group is responsible for deletion and car sales recording
what is the regular depreciation formula
rate x days x vehicle cost
how is the monthly depreciation rate converted to daily
(monthly x 12)/365
explain the 2 entries required for recording depreciation and the use of an offset account
the first entry records depreciation expense on operating branch and an offset expense on financial owner as a credit
the second entry reverses the offset as a debit and records accumulated depreciation
how should depreciation rate changes be treated
prospectively
how should depreciation cost changes be treated and provide the equation
retrospectively
new cost x new rate x days + change in cost x new rate x days
what are the accounts for DR and TR preventative maintenance and what goes into them
500300/1, oil changes, lube, filters, fluid damages, brakes, windshield wipers
pertaining to customer needs, what should be done in the case of a brakedown and give an example of a brakedown
- Breakdowns - customer handled as a VIP and actions taken to get them on the road ASAP as well as no longer inconvenience them
E.g. Tire/flat repairs
pertaining to customer needs, what should be done in the case of an accident
Rec’ Grp documents loss report, files claim and report to Originating Group. Replacement vehicle should be same class
is receiving or finacnial owner group responsible for returning vehicle to rent ready
receiving group
are temporary licenses allowed to be rented in one way trips
Temporary license plates should not be put on the road on ONE WAY TRIPS until the plates have been replaced by Rec’ Grp’
should the receiving or financial owner absorb maintenance costs and when should it be billed back
Rec’ Grp’ should absorb the entire corrective and preventative maintenance and billed back only if above $50
when should receiving group will to 110040 (3 scenarios)
- Damages from rental (AX) - charge back to Org’ Grp
- Damages previously recorded (AX or XX) that are yet to be repaired - charge to Org’ Grp
- New damage noted on return that was not previously documented
what are 2 examples of damaged glass that requires replacement
“stars” and cracks
what are 4 examples of damaged exterior
○ Cracked, missing, headlight, taillight, markers, turn indicators
○ Missing mirrors
○ Body panel or wheel that is totally detached or punctured
- Hail or flood (weather damage)
what are some examples of other damages
Dents, scratches, scrapes, creases, poor previous repairs, scuff marks
what are 4 examples of interior damages
- Holes or burn marks
- Rips, tears
- Abused, detached, missing component
- Stain
does wear and tear require a loss report
no
when are drop fees charged and why might there be a flat fee
drop fees charged based on actual or estimated costs when a unit is returned to a branch it was not rented from.
Branches that are prone to receive units that are not theirs (i.e. Airport), may charge flat drop rate fees to Renting Branch
what are the 2 entries for recording regular drop fees
first one records a receivable and revenue
second one records the cost of the unit movement
what is the entry for recording the flat rate
the renting branch gets expensed and the receiving branch gets revenue
what is the threshold between preventative/corrective and reconditioning
> 400 record to preventative or corrective
<400 record to reconditioning
