Different Transactions

And Services
Objectives

a. Identify different transaction and services

b. Familiarize transaction and services

c. monitor financial transactions to ensure accuracy of records.

 The broad duties of a night auditor
can be summarized as:
 Complete outstanding postings
 Reconcile room status discrepancies
 Verify room rates
 Balance all departmental accounts
 Verify no-show reservations
 Post room rates and taxes
 Prepare required reports
 Prepare cash receipts for deposit
 Clear all back-up systems
 Distribute reports
When do posting
happens?
 Postings happen
automatically overcoming the
tedious process of tallying
sales summaries manually.
 All charged account must be posted
into the guest folios and all cash
payments must tally with cash
received.
 Other devices like in-house
entertainment, internet, fax,
telephone charges are electronically
fed into the front office accounting
system.
 Procedure for Reconciling Outlet
Sales Summaries

 The night auditor will ensure that all cashiers have

1.

submitted their Sales Summaries and Checks.

Most cashiers would have submitted them to the
front office cashier in Cashier’s Remittance of Funds
envelopes at the end of their shift, as per procedure;
if not, it may mean for the auditor to wait for
restaurants and bars to close to start his work.
2. opens the sealed Cashier’s Remittance
of Funds envelope and separates the
checks (vouchers) into their respective
revenue outlets
-e.g. restaurants, bar, laundry, etc. and
arrange them in serial order
 Examples of a void checks

a) wrong posting
(b) services made complementary
because of guest complaints, and
(c) a check has been damaged
during operations.
 Example of Restaurant Checks
RESTAURANT XYZ ISAT HOTEL
Guest Name ………………………………………………
Room No. …………………………………………………
Date ………………………………………………………..
 
QUANTITY PRICE ITEM
   

 
 
 
 
 
 
 
   
  Sales Tax  
Total  

Cashier’s Signature………………………………………..
Waiter No. ………………………..Table No. ……………
3. Theauditor tallies the checks with,
the Sales Summary Sheets for each
revenue outlet
 Two types of checks
– those paid by cash or credit card
and those signed by resident guests
to be charged to their guest folio.
 4.then proceeds to post all charged
checks signed by the resident guests into
their respective guest folio if not already
done by the night cashier.

 5. tallies the cash in each Cashier’s

Remittance of Funds envelope with the
declaration of each outlet’s cashier on the
top of the envelope
6. auditor reconciles the room status and
corrects discrepancies
7. Once the room status is clarified, he
ascertains whether each guest room has a
guest folio at the front office cash desk.
8. proceeds to check all guest folios and
ascertain whether the daily room rate
applicable is mentioned and have been
posted for the day.
 The reason for rate discrepancy could be:
a.The guest has special rate (group rate, corporate
rate, airline rate trade discount, etc) which he
verifies from the guest’s reservation form and
registration form.
b.The guest may have got a discounted rate from
central reservations or other distribution systems.
He verifies the rate applicable.
c.Two guests may be a sharing room and have asked
for a split folio. He will mention “split folio” in the
folios of both guests.
d. If the guest has been complimented
a stay in which case the supporting
authorization must be attached to the
folio.
10. examines the departure dates of
each guest on the folio
 When do a guest consider a
skipper?
1. folio is still active after the departure date.
 Action to be taken
 He will make a note “Skipper” on the folio and send to the
city ledger for further action.
2. the guest has checked out but the cashier has not
completed the check-out formalities.
 Action to be taken
the auditor completes the check-out formality.
 11. checks the arrival list of the day
and verifies no shows

 Auditor first check the cancellation forms of

the day, if the front office has a legitimate
cancellation amendment in which no charges
need be made to the guest account.
 Cancellations are only accepted in writing
before a cancellation amendment is made.
 This is a sensitive matter and needs careful
verification as it could lead to loss of future
business from the guest. All guests are
cautioned of this charge in case of a no show
at the time of reservation especially in the
busy season.
12. checks all paid-outs and allowances and
whether they have appropriate
authorization. He fills totals in the Daily
Sales Recapitulation Sheet.

13. tallies all Foreign Currency Encashment

Certificates with the Record of Foreign
Currency Transactions
14 He audits all Miscellaneous Vouchers for
service like babysitting, shoe shine, butler
service, etc. before entering totals in the
Daily Sales Recapitulation Sheet.

15. Checks all bills exceeding the house

credit limit and prepare the Statement of
Bills Exceeding Limit
 Statement of Bills Exceeding Limit

Serial Room Guest Arrival Departure Amount Billing Remarks

No. No. Name Date Date Instructions

               
 
 
 
 
 
 
 
 
 
 
 
 
 

Auditor’s signature………………………………….
16. Audit’s the Front Office Cashier’s
Summary and ensure that each column of
the summary has supporting documents.
17. Prepares the following statistics:
 Occupancy report
 Average room rate
 Average Food and Beverage Sales
18. The auditor finally prepares the daily
transcript, which is a recap of all front office
transactions and information. Information
includes:
 Revenue from FIT
 Revenue from Groups and names of the group
 Revenue of crews and names of the crews
 Single Occupancy Statistics
 Double Occupancy Statistics
 Average room rate
 Food and beverage revenue
 Revenues from banquet functions
 Revenues from outside catering
 Revenue from other revenue centers
 Revenue from miscellaneous charges
 Paid-outs and expenditures
 Variance from budgets
 Comparison with last year to-date
 Revenues to date
Key Terms
Allowances - amounts for daily expenses paid by
the front office cashier for daily expenses to airline
crews and some groups
Cashier Remittance of Funds- an envelope in which
all sales and documents are enclosed and
deposited with the front office cashier
Check - bill of a revenue outlet
Daily Sales Recapitulation - a transcript of all sales
of the hotel for the day,
Sheet- prepared by the night auditor
 
Foreign Currency- a document confirming a foreign
currency
Encashment certificate- exchange for local currency
Guest Folio - a master bill for resident guest
Miscellaneous Vouchers - bills for minor services of
the hotel
No show - guest with a reservation but does not
arrive without prior intimation
Outstanding Postings- those charges and credits not
included in the guest folio
 Paid-outs - cash payments made by the front office
cashier to guests and management for external services
 Record of Foreign Currency-Transactions
a summary of foreign currency exchange
Certificates
 Restaurant check - bill of a restaurant
 Sales summary sheet - a record of all cash and credit
sales made in a revenue outlet
 Statement of bills exceeding - document recording all
guest master bills
 Limits - exceeding house credit limit
  
 Post Test
 Fill in the Blanks
1.The final report that the night auditor prepares is called
______________.
2. All revenues received by a sale outlet is recorded in a
document called ____________________.
3.A night auditor reports to __________________.
4.The first task of a night auditor is to __________________.
5.Leasing of shopping space is the responsibility of
___________________.
  
 Post Test
6. Revenue outlets submit all their cash and credit sales in a
______________.
7. Checks cancelled in a revenue outlet are called
________________________.
8. Foreign Currency Encashment Certificates are tallied with
________________.
9. Those bills exceeding house credit limits are recorded in
__________________.
10. A voided check in a restaurant is authorized by
the________________________.

 
 DISCREPANCIES AND FINANCIAL
SYSTEMS
 Objectives:
 A. identify the different discrepancies and financial systems
 B. classify the different financial systems according to their uses
 C. appreciate the importance of having knowledge on financial systems
 Activity 1: FILL ME UP
Fill the blank the letter to complete the words.
 1. ____ A____ H B___ ___ K - This amount comes in various
denominations for the ease of providing change to guests.
 2. O ___ER___G____ - when cash, checks negotiable instruments and
paid-outs and greater than receipts.
 3. D___B___ ____- a record of the money taken from your bank account.
 4. ____ RE___ ___T – a record of the money borrow from a financial
institution.
 5. R ___ O ___ CH___ ____G___ S – the charge imposed for the use or
occupancy of a room.
Activity 1: FILL ME UP
Fill the blank the letter to complete the words.
 6. ___O___D – is any substance consumed by an organism for nutritional
support
 7. B___VE___A___E - any type of drink that something you might offer a
guest in the hotel.
 8. B___A___TY ___AL___ ____ - an establishment in which hairdressing,
makeup and similar cosmetic treatments are carried out professionally.
 9. P___I___ O___ ___ S –are cash payments made on behalf of a guest for any
external services.
 10. A__LO___ ___NC__ ___ - cash paid out to a guest by the hotel.
 Cash Bank
 An amount specified by the Chief Accountant, from the
general cashier for any cash transactions required during
the day.
 This amount comes in various denominations for the ease
of providing change to guests.
 Where in the cashier is required to account for the money
at the end of the shift when he/she returns the balance.
 THREE TYPES OF SITUATIONS AT THE END OF
THE SHIFT
 1. OVERAGE – When cash, checks, negotiable instruments
and paid – outs from the cash bank are greater than receipts
into the cash bank.

 2. SHORTAGE- When the amount paid- outs from the bank

is less the receipts into the cash bank.

 3. PAR- When the amount requisitioned is equal to the

amount deposited.
 GUEST FOLIO

 Is the master bill in which all cash and credit

transactions are recorded for each resident guest.
 Folios are maintained in folio racks at the front
office cash in a manual systems.
 GUEST FOLIO

 In automated systems, the folios remain in the

computer and only printed out at the time of a guest
check out.
 Any amount owed by the guest is posted in the debit
column and
 Any money received from the guest is posted in the
credit column.
 Two types of checks

 1. BY RESERVATION AGENT – Who takes

a booking

 2. BY RECEPTIONIST – Who registers a

guest into the hotel.
 Guests settle their bills in the following manners.

 1. Cash payments- in which case guests receive a cash voucher from

the cashier in acknowledgement of such payments.
 2. Sign their bills to be recovered by city ledger by a pre- arrangement
with their organizations.
 3. Pay by an acceptable credit card
 4. Debit Cards
 5. Sign their bills to be adjusted against advances and deposits
 6. Travelers checks which is an good as cash.
 Room Charges

 The room charges are posted by the night cashier for

every night occupied by the guest according to the
meal plan mentioned on the folio.
 Example of guest folio
Room No. Guest name and Date of Arrival Date of Departure Room Rate
Address

Date Description Debit Credit Running total

Telephone Meter Meal Plan Credit Card No. Cashier’s Signature &
Opening EP/AP/MAP/B& B Stamp
Reading Billing Instructions: Expiry Date: Guest Signature
Closing
Reading
Total Units:
 Food and Beverages
 Restaurant and bar charges are posted when the restaurant or
bar check is signed by the resident in the restaurant.
 These are immediately sent to the front Office Cashier by the
Restaurant Cashier to ensure that it is posted instantly to
recover from the guest should he/she checks out instantly.
 These charges come in the form of a Restaurant/Bar.
 Restaurant/Bar Check

GUEST NAME: ROOM NO. ACCOUNT NO.

DATE SERVER TABLE NO. PERSONS TOTAL
   

GUEST’S SIGNATURE:__________________________
(Please do not sign if you have paid in cash or credit card)

SERVER’S RECEIPT  
DATE: SERVER’S NAME:__________________________  
 Other Charges

 Checks are raised by the cashiers of other

revenue outlets like the:
 Restaurants
 Bars
 Business centers
 Health club
 Delicatessen
 Pastry shop
 Beauty salon
 In addition, there are miscellaneous charges
for such service as:
 Baby-sitting services
 Shoe-shine
 Postage
 Safety deposit charges (if any)
 Left luggage charges (if any)
 Miscellaneous Charge Voucher

GUEST NAME: ROOM NO. DATE

DESCRIPTION CHARGE

   

   

   

TOTAL  

CASHIER’S SIGNATURE_____________ GUEST’S SIGNATURE_________  

 Telephone Charges
 The cost associated with all land lines, fax lines, and cell
phones during a usage period.
 PBX( Private Branch Exchange)used to describe a
business telephone system that offers multiple inbound
and outbound lines, call routing, voicemail, and call
management features.
 Two types of connection
 Prepaid connection – is a cellular connection
where the users have to pay in advance for the
telecom service they use.
 Postpaid connection – is where the users use the
telecom services first and pay for them later as per
the monthly bill cycle
Credits to the Folio
The guest has a credit column also where postings are done in the
following four circumstances:

1.When a guest has made a payment

towards the bill either by cash, traveler’s
check, credit card or debit card.
2.When a guest has made a deposit or
advance.
 3. When a guest is given a discount by the
management.

 4. When the guest is complimented with

free services or facilities recorded as an
allowance in such circumstances, an
allowance voucher is raised duly authorized
by the Lobby Manager.
 5. When the cashier has made an overcharge
and is required to make a correction. In
such circumstances, a correction voucher is
raised duly signed by the Lobby Manager.

 6. When an amount is transferred to another

account.
 Cash Vouchers
 All credits are supported by vouchers.
 A voucher is a receipt of a transaction.
There are several types of vouchers:
 Cash vouchers
 Charge vouchers
 Allowance vouchers
 Paid-out vouchers
Departure Procedures

The guest will call the Bell Desk when he/she wants to check-out. The Bell Captain raises a Departure Errand Card which is color coded for easy identification and hands it over to the
office cashier before proceeding to the room to collect the guest baggage.
 The guest has the following billing options:
 Cash payment
 Credit card payment
 Payment by traveler’s check
 Payment by Travel Agent’s Voucher indicating that
room charges are paid to him
 Signing the bill to confirm the charges and passing it
onto city ledger (accounts receivable) for collection from
the company as per prior arrangement.
 NOTE:
 Personal checks are not accepted
unless endorsed with the specific
approval of the Lobby Manager.
 At the time of payment, the cashier
will ask the guest if he/she has any
late charges or has used the mini-
bar in the room.
 Travel Agency Vouchers

 indicates that the guest has pre-paid an amount to the travel agent in
advance.
 Such amounts usually are for rooms and meals in the case of room plans.
 The procedure to accept these vouchers is
as follows:

1. Receive the travel agency voucher and see if such billing

instructions are mentioned in the folio.
2. Read the voucher carefully and determine whether it has been
issued from a bonafide travel agency recognized by the hotel,
by referring to the list of bonafied agencies as issued by the
accounts department. Foreign travel agency vouchers must be
counter-authorized by the Lobby Manager.
3. See whether all the charges are covered by the
voucher. Valid charges are credited to the folio
and the balance charged will be paid by the guest.
4. If all charges are covered then credit the entire
amount to the folio and ask the guest to sign it.
The original folio is retained by the cashier to
present to the travel agent for reimbursement. The
voucher is attached to the folio when forwarding
the folio to the travel agent.
5. In case of group vouchers, the tour
leader is required to sign the folio and the
procedure is followed as mentioned earlier.
 Telephone Charge Voucher
GUEST NAME ROOM NO.: DATE:

  EXPLANATION CHARGES

     

     

  TOTAL  

CASHIER’S SIGNATURE:_____________    
 Cash Receipt Voucher
CASH BOOK SERIAL NO. DATE

RECEIVED FROM:

ADDRESS:

THE SUM OF (IN WORDS)

ON ACCOUNT OF:

A/C CODE (FOR CITY LEDGER BILLING)

CASHIER’S SIGNATURE:

(with revenue stamp)

 Four other types of folios

 Objectives
 Identify the types of folios
 Discuss the difference of each folios
 Give importance on learning each folios
 Non-guest accounts
 - are those in-house credit accounts given to corporate houses,
established travel agencies and tour operators etc. as a
privilege, as they have a continuous business with the hotel.
 Expenses on their behalf may be charged to their account and redeemed later
on a mutually agreeable basis.
 Ex.
 1. a hotel may extend charge privileges to local businesses/agencies, and 2. a
hotel may offer in-house charge privileges to groups sponsoring meetings at
the hotel.
Employee’s folios

 are those credit accounts given to some privileged senior

executives for the execution of their duties.
 Examples of executives. sales and marketing director,
front office manager, public relations manager, etc.
 may charge the hotel for travel and entertainment to
promote the business.
 Master folio
 is a joint account of two or more people. A couple, family or group may
in legitimate expenditures and personal expenditures dependently charge
this account

 Two Types of Expenditures

 Legitimate expenditures of a group -are charges included in a group plan
including meals, transportation or conference charges (in the case of
delegates for a conference).
 personal charges would include laundry, alcoholic beverages, meal
outside the group plan, entertainment and personal city travel
 Split folios

 are those when two guests wish to have

separate accounts though they share the same
room.
 charges will reflect on one folio for convenience,
other charges would be reflected individually in
split folios.
 Hotel Credit
is one of the very critical aspects of hotel operations

1. Maintain a specified credit limit on guest bills beyond which the

guest will be asked to settle the bill before raising more credit.
2. Only those credit cards are accepted that the management has
officially recognized. Credit cards must be current and not black
listed by the credit card company.
3. Personal checks are not accepted. The Lobby Manager can
approve checks only if the guest is known to the establishment
and takes the responsibility of such a decision.
4. For guests who wish to charge to charge their
bill to the company account must have the
management’s approval prior to such a facility.
5. Checks presented by companies on the
approved city ledger account have to be from
local or domestic bank accounts. Foreign bank
checks are not accepted.
6. Post dated checks are not accepted.
7.All vouchers presented by revenue outlets that
are signed by resident guests are transmitted to
the front office cashier immediately.
8. No payments are received from minors (under
18 years old).
 Credit Cards
  small plastic card
issued by a bank,
business, etc.,
allowing the
holder to purchase
goods or services
on credit: