HTM 275

1
Chapter 11

• HTM 275
• Cash Transactions

2
Cash Transactions

• Inflows
• Credits
• Cash settlement
• Cash on Account
• Cash at Check in
• Advance deposit reservations
• City ledger payments

• Outflows
• Debits
• Paid out tips
• Paid out concessions
• Paid out to guests
• Refunds at check out
• Petty Cash disbursements

3
Cash Cash Equivalents

• Currency
• Checks
• Travelers Checks

• Portable
• Liquid
• Easily transferable
• Attractive targets for theft and fraud

4
Cash Banks

• Cashier banks
• Fixed amount
• Shift reconciliation
• Rotating
• Petty cash banks
• Fixed amount
• Periodic refreshing

5
Cash Reconciliation
6
Currency Exchange

• Fixed vs Floating
• Brokers
• Bid rate (buy)
• Ask rate (sell)
• Agio (additional handling fee)
• Can be source of hotel revenue
• Relatively high risk

7
Theft

• External theft robbery
• drop large cash amounts frequently
• Reduce attractiveness / opportunity
• Internal theft embezzlement / pilferage
• Assignment of banks / registers
• Accountability
• Pre-employment screening

8
Fraud

• Counterfeiting
• Check fraud
• Credit card fraud
• Short change artist

9
Cash Handling Trends

• ATM Credit card advance
• Reduction in guest paid outs
• Reduction in check cashing
• Decrease in travelers checks
• Dedicated B to B relationships
• Decrease in concessionaire paid outs
• Decrease in guest paid outs
• Offloading of risk