FRONT OFFICE SERVICES 2 2ND SEM WEEK 1

Lesson: Conducting Night Audit

Processing Internal Financial Transactions

1. Double check transactions to ensure that they have posted in the property‟s
computerized system. Transactions may include:

 Food and beverage.

 Mini-bar
 Laundry and other services.
 Inter-department vouchers.

Double check and validate transactions and charges. - The night auditor will validate
transactions by checking the code of numbering system of an item on a guest account. To
validate the record, the night auditor may take a representative sample of guest accounts
and individually check them for accuracy of charges. To ensure only legitimate charges
are posted, a transaction code identification and a docket or reference number or code
will be provided to all charges made through the hotel’s system.

2. Identify and reconcile financial and system discrepancies. Discrepancies may

include:

 Incorrect posting

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 Errors in guest folios

 Computer errors
 System glitches.
 Interface errors between systems.
 Errors in source

documentation Common

discrepancies are:

1. Guest name does not match to the room given. How to resolve?
 If the guest is not a registered guest - they will be asked to pay for all services, they
received.
 Check any room changes at the front office or reception desk.

2. Incorrect prices have been posted. How to resolve?

 To process correction, remove the total charges from the account.

 If the quantity is incorrect and the amount has been entered correctly change the total
charge for an item.

Note: Only staff with supervisory status can complete these processes.

Financial systems are:

 Petty cash
 Floats
 Debtor control
 Cashiering
 Banking procedures

3. Verify and reconcile room rates and room status. There is discrepancy when a
room is shown as occupied on the status report, but there is no data in the guest file.
Reasons for this discrepancy may include:

 Incorrect room number has been written.

 Guest information has been misfiled.
 Guest has been transferred to another room.

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4. Suggests internal financial system and control for improvements in the

property’s operation.
5. Completing Routine Records and Reports

1. Accurately complete routine records and reports. Examples of records and reports are:

 Room rates
 Occupancy
 Arrivals and departures
 Sales performance
 Breakdown of department
 Commission earnings
 Supplier activity
 Sales return
 Commercial account activity
 Foreign currency activities

2. Forward reports promptly to the appropriate person/department. Distributing

reports in a timely manner is important because it helps the management to set plans for
operational activities, set new targets and plan promotional activities.

Providing Cashiering Services

Preparing Guest Folio

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All guest charges and payments are recorded to the guest accounts by using the guest
folio. In a non-automated operation, guest folios are stored in a front office folio tray
arranged by number.

1. Unposted or late charges are checked with other departments. All unposted
or late charges are posted in the property’s computerized system.
2. Print guest folio. Printing the guest folio is also available in a CRS. To
complete this action, you need to configure „Folio Printing Task‟. To
configure look for a
„Configuration Tab‟. Under the configuration tab click „Cashiering‟ and select
„Folio Print Task‟.
3. Present guest folio to guest for review and approval.

Collecting Cash, Cash Equivalents or Non-cash Transactions

Always ask the guest about his/her preferred method of payment. For example: “Mr.
Rothe do you still want to pay with your VISA card?” Then, proceed to the steps below in
handling cash at the front desk:

1. Accept and count cash in front of the customer. Guests may intentionally
try to confuse you during financial transactions. To avoid confusion on how
much cash was received, place bills lengthwise across the register until the end
of the transaction.
2. Process credit cards or debit cards. Ask the guest for a copy of the credit
card to process the payment. Do not honor cut or damaged cards.

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3. Process payment through accepted foreign currency. If your hotel does not
offer this kind of service, make sure to direct guest to the nearest bank or foreign
exchange bureau. Below, are the common procedures and guidelines:

 Know which currencies your property will exchange.

 Confirm exchange rate (cash, travelers check)
 Inform your guest what the hotel exchange rate is.
 Collect foreign currency from guest.
 Give correct amount of cash.

4. Process travelers check. Get the guest signature on the check and record the amount
and the check order number on the guest folio.
5. Process other billing settlement. Other billing settlement may include:

 Mini bar payments

Processing Receipts and Payments

Always remember that a receipt is issued after a payment has been made. Print a guest
folio/account when a guest checks out and give to the guest. Guest folios are usually in
duplicate, so the cashier has a copy. Here are the three important steps in processing
receipts and payments:
1. Process accurately cash, cash equivalents or non-cash transactions received from

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guest.
2. Issue and present correctly receipts to guest.
3. Record transactions to guest account in the computerized system.

Reconciling Financial Transactions at the End of the Shift

1. Perform balancing of cash float. As a staff member you need to assure that the total
amount in the float is accurate with the actual amount in the cash drawer. It is a common
practice to count the float before signing for it.

Reconciling Financial Transactions at the End of the Shift

1. Perform balancing of cash float. As a staff member you need to assure that the total
amount in the float is accurate with the actual amount in the cash drawer. It is a common
practice to count the float before signing for it.

ACTIVITY: Choose the correct answer only write it on a clean paper.

1. What is the next step after completing a report or

record? Select one:
a. Forward the report to the appropriate person or department.
b. Check the report and file it.
c. Neither A and B.
d. Both A and B.

2. What are the examples of Financial Systems?

Select one:
a. Debtor Control
b. Petty Cash
c. All of the Above.
d. Floats

3. How will you handle cash at the front desk?

1. Process travelers‟ check
2. Process other billing settlement.
3. Process credit cards or debit cards.
4. Accept and count cash in front of the customer.
5. Process payment through accepted foreign currency.
Select one:
a. 4, 3, 5, 1 & 2

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b. 4, 1, 3, 5 & 2
c. 4, 5, 3, 1 & 2
d. 4, 3, 1, 5 & 2

4. How will you process internal financial transactions?

1. Double check transactions.
2. Verify and reconcile room rates and room status.
3. Identify and reconcile financial and system discrepancies.
4. Suggests internal financial system and control for improvements in the
property‟ operation.
Select one:
a. 1, 3, 4 & 2
b. 1, 3, 2 & 4
c. 1, 2, 4 & 3
d. 1, 2, 3 & 4

5. How will you prepare a guest folio?

1. Check unposted or late charges with other departments.
2. Present guest folio to the guest.
3. Print guest folio.
Select one:
a. 3, 1 & 2
b. 3, 2 & 1
c. 1, 2 and 3
d. 1, 3 and 2

6. What do you call to the process of identifying and rectifying discrepancies which may
relate to incorrect posting, errors in guest folios, computer errors and errors in source
documentation? Select one:
a. Night auditing
b. Evaluation of financial activities
c. None of the above.
d. Reservation

7. What do you call to that document issued after a payment has been
made? Select one:
a. Vouchers

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b. Reports
c. Guest Folio
d. Receipt

8. What is the last step in reconciling financial transaction at the end of the
shift? Select one:
a. Balance cash float.
b. Project and process transactions.
c. File and store properly source documents.
d. Segregate cash, cash equivalents and non-cash documents.

9. What is the role of a night auditor? Select one:

a. Identify and rectify discrepancies, errors in guest folios.
b. Ensures accuracy of guest and non-guest accounts.
c. Neither A and B
d. Both A and B

10. please, refer to the following situation:

Situation: Guest name does not match to the room
given. How will you resolve the situation, as a night
auditor?
Select one:
a. Report the said issue to the housekeeping department.
b. Call your immediate supervisor and ask for assistance.
c. Check any room changes at the front office or reception desk.
d. Transfer the guest to the correct room.

11. What CRS function allows you to disseminate reservation

details? Select one:
a. Saving internal arrangements
b. Sending internal protocols
c. None of the above.
d. Creating internal communication
12. How will you process internal financial transactions?
1. Double check transactions.
2. Verify and reconcile room rates and room status.

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3. Identify and reconcile financial and system discrepancies.

4. Suggests internal financial system and control for improvements in the property‟
operation.
Select one:
a. 1, 3, 2 & 4
b. 1, 2, 3 & 4
c. 1, 2, 4 & 3
d. 1, 3, 4 & 2

13. How will you amend an existing reservation by using a CRS?

1. Click or highlight the reservation you want to update, and the reservation screen will
appear for editing.
2. Complete the required fields in the reservation search screen.
3. Go to reservation and look for “update reservation” option.
4. Click the room reservation tab and select „OK‟.

Select one:
a. 2, 3, & 4
b. 3, 2, & 1
c. 1, 2, 3, & 4
d. 3, 4, & 1

14. Please, refer to the following situation:

Situation: Guest name does not match to the room
given. How will you resolve the situation, as a night
auditor?
Select one:
a. Check any room changes at the front office or reception desk.
b. Transfer the guest to the correct room.
c. Call your immediate supervisor and ask for assistance.
d. Report the said issue to the housekeeping department.

15. What is the main responsibility of maintenance and engineering

department? Select one:
a. Scheduling of staff.
b. Communicating with the front desk.
c. Maintain property’s appearance

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d. Cleaning and fixing rooms.

16. What is the last step in performing check-out

functions? Select one:
a. Group check-outs & Variations of check-outs.
b. Express check-outs & Early arrivals.
c. Late check-outs & Group check-outs.
d. Express check-outs & Late check-outs.

17. What will you do if there are disagreements about entry to the
club? Select one:
a. Clarify or explain the club rules to the disagreeing party.
b. Solve the issue alone and make a report after.
c. Block or do not allow the guest to enter the club.
d. Refer the issues to the security, director or another pertinent individual.

18. What statement is true about club membership

rules? Select one:
a. All the above.
b. Club membership rules may include signing-in before entry to the club.
c. Club membership rules may include checking of club badges and cards upon
entry to the club.
d. Club membership rules may include checking of dress code and age regulations.

19. What is the role of a night auditor? Select one:

a. Identify and rectify discrepancies, errors in guest folios.
b. Neither A and B
c. Ensures accuracy of guest and non-guest accounts.
d. Both A and B

20. What is the correct sequence of steps in welcoming and registering the guest?
1. Confirm reservation details with guest.
2. Follow correct accounting procedures.
3. Issue room key/cards to guests.
4. Register guests with or without reservations.
5. Welcome guests warmly and courteously.

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Select one:
a. 5, 2, 4, 1, & 3
b. 5, 2, 1, 4, & 3
c. 5, 4, 2, 1, & 3
d. 5, 1, 4, 2, & 3

21. What is the last step in reconciling financial transaction at the end of the shift?
Select one:
a. File and store properly source documents.
b. Project and process transactions.
c. Balance cash float.
d. Segregate cash, cash equivalents and non-cash documents.

22. What do you call to the system used by hotels to store, retrieve information and conduct
transactions?
Select one:
a. Traveling reservation system
b. Traveler’s reservation system
c. Computerized reservation system
d. Company reservation system

23. Answer the following question based on the situation below:

SITUATION:
Mr. Go asked the reservation staff: “What exactly is the cancellation policy if it says 6:00
p.m.? Does that mean I only have until 6:00 pm to check in?”
What will be your response to Mr. Go‟s query about the 6:00 p.m.
policy Select one:
a. “Yes, that is correct. You only have until 6:00 p.m. to check in unless
otherwise pre- advised of late arrival.”.
b. “Exactly, sir. You only have 6:00 p.m. day of arrival to cancel your reservation”.
c. “No, you only have until that time to cancel your reservation”.
d. “Definitely, no. You can cancel your reservation anytime you want, sir”.

24. What are the examples of Hotel Club Services and Facilities? Select one:
a. Restaurants and Cafes.
b. Computer Rooms and Internet Facilities.

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c. Gymnasiums and Health Facilities.

d. All the above

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