Unit 3 Part 2 - Reading The Flash Report And Night Audit Report Flashcards
The general manager tracks these figures because they are the major
source of income for the hotel. Because ____ provide the most profit, this is an important figure to watch daily. Marketing and sales also wants to know this
figure, as does the front office manager.
Room sales
These figures are a primary concern for the general manager as he or she evaluates the effectiveness of the food and beverage manager and his or her staff. It is important to do this daily rather than weekly or monthly.
Selected Departmental Totals for Food and Beverage
These figures provide the general manager, front office manager,and marketing and sales personnel with feedback on the effectiveness of advertising in influencing patronage to the hotel. They provide bottom-line financial details of
what works and what doesn’t with regard to online and print-based ads, cold calls, and so on.
Occupancy totals
Check the budgeted and actual figures to determine if the sales efforts for
the previous day was productive. If not, hold a brief meeting with the marketing and sales department to determine which strategies worked and which did not. Include the revenue manager in the discussion to provide feedback on rates and channels.
Room sales
Review the individual meal periods and determine if they met their
goals. If the numbers are not up to the goal, ask the supervisor what factors (weather, quality of food, quality of service, competition, etc.) could have caused these results.
Restaurants Sales
This figure is usually low because not many people are authorized
to receive money from the front desk clerk for emergency cash. Large amounts
listed here on the night audit would indicate a problem!
Total paid-outs
Some hotels have a 100 percent satisfaction pledge, and if this is the policy, discounts would be evident here. If the restaurant had to credit a guest’s
check for food, that too would be shown. Mistakes do occur, and they must be
justified to provide feedback.
Total Discounts
This section of the night audit is reserved for writing off accounts
(rooms and food) not being paid for by guests. These are usually guests of the
hotel.
Total write-offs
This is a total of total paid-outs, total discounts, and total write-offs; general managers must control this item so it doesn’t get out of line.
Total Paid-outs and Non-collect sales
This figure represents non-credit sales. Usually it is low because the hotel operates mainly in credit sales. A high cash figure may be a red flag about guests who are paying cash and have not established creditworthiness and raise concerns about potential security problems for the hotel.
Total Cash Sales
This is the amount charged by guests on their folio from all departments.
Today’s Outstanding Account Receivable(A/R)
This figure is the total of all cash sales and charge sales for the day.
Total Revenue
This number is large because of the delay in receiving actual funds from credit card companies. For example, when a guest charges a room-night on a credit card, there may be a five-day delay before
the actual check or electronic payment clears the hotel’s bank account. Until the
time of the clearing, the controller maintains the balance of that guest’s folio as outstanding. As a note of precaution, it must be monitored by the controller’s staff to be sure the accounts are aged, especially those house accounts tended by in-house staff.
Yesterday’s Outstanding Account Receivable (A/R)
This is the sum of Today’s and Yesterday’s
Outstanding Accounting Receivable. Again, this is a large number.
Total Outstanding Account Receivable
This figure tells the general manager how
much money was applied to credit card balances and received in checks from credit card companies.
Credit Card Received Account Receivable
