Week 3

• Vocabulary words encountered in the lesson:

  • End of the day: hotel's agreed operating policy on cut-off time for the night audit
  • Guest folio: guest ledger where all accounts receivable of the registered guest are accounted
  • Night audit: reviewing all front office records of the hotel for accuracy and completeness during late nighttime or early morning hours
  • Point-of-sale: time and place where all hotel transactions are completed; where the guest pays bills for goods and services
  • Receipt: printed evidence of the customer's transaction and charges from the business establishment
• Night audit is mandatory for hotels of all sizes, categories, and services, typically done between late evening and early morning after the business day closes
• Main steps in the night audit process:

  • 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 or back up the system
  • Distribute reports
• Steps to prepare for the End of Day:

  • Sort duplicate copies of restaurant checks according to room number
  • Print payments made and tally with corresponding payments for the day
  • Tick mark invoices generated for the day on the 'Payment report'
  • Reconcile bills to company settlement and attach corresponding documents
• Operating Modes:

  1. Non-automated system:

  • Uses handwritten forms for front office recordkeeping
  • Includes daily and supplementary transcripts, guest and non-guest folios, front office cash sheets, and audit recapitulation sheets

  2. Semi-automated system:

  • Uses both handwritten and machine-produced forms
  • Ensures audit of accounts through mechanical or electronic posting machines
  • Key form: D Card

  3. Fully-automated system:

  • Computer-based system that eliminates handwritten and machine-produced forms
  • Interfaces with point-of-sale terminals, call accounting systems, and other revenue centers for automatic postings