Pearson New International Edition International pcl tp indd 1

Front-Office Accounting
In addition to maintaining important statistical information about hotel revenues, ADR,
RevPar, and related statistics, FOMs must manage the hotel’s front-office accounting
system. Regardless of a hotel’s size, FOMs usually have these responsibilities:
•
Creating registered guest accounts (folios) and maintaining accounts used by
nonregistered guests
FIGURE 6
Impact of debit and credit entries on revenue and expense accounts.
Sub account
Entry (adjustment)
Result
Revenue
Debit
Decrease
Credit
Increase
Expense
Debit
Increase
Credit
Decrease
506

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GUEST CHARGES, PAYMENT, AND CHECK-OUT
•
Posting debits and credits to the appropriate accounts as needed to maintain
their accuracy
•
Recording payment information
•
Implementing procedures to help ensure the accuracy and completeness of the
accounting system
Hotels sell products and services to guests who have rented sleeping rooms and
to those who have not. FOMs must maintain a guest ledger and, in addition, will
likely have some responsibility for front-office accounting tasks related to city ledger
accounts. Together, the guest ledger and city ledger record all of a hotel’s sales and
payment transactions, and information from them is regularly transferred to the
hotel’s general ledger.