HFT 3431 – Managerial Accounting For The Hospitality Business
Chapter 12 Worksheet
1) Given the 4 Accounting Control Objectives of:
1. Safeguard assets
2. Check accuracy and reliability of accounting data
3. Promote Operational Efficiency
4. Encourage adherence to prescribed managerial policies
Indicate which Accounting Control Objective is being implemented.
No
Description
Accounting Control Objective
A
A safe is purchased for securing cash
Safeguard assets
B
Separation of accounting and cash activities
Check accuracy and reliability of accounting data
C
Division of duties in restaurant between wait
staff and bus-person
Promote Operational Efficiency
D
Two signatures required on checks written for
$100 or more
Safeguard assets
E
Standard operating procedures manual for
front desk positions
Promote Operational Efficiency
F
Internal auditors prepare the bank
reconciliation
Check accuracy and reliability of accounting data
Continued on Back …
2) For each transaction listed below, indicate if it is a Preventive or Detective and if it is
an Administrative or Accounting function
Description
Preventive
Detective
Accounting
Administrative
1
The Lions inn uses a cash register
Preventive
Accounting
2
The employee time clock is located outside the
managers office
Preventive
Accounting
3
An external auditor conducts a surprise cash
audit quarterly
Detective
Accounting
4
Only the front office supervisor may approve
room sales allowances
Preventive
Accounting
5
Each room attendant's work in cleaning rooms
is inspected by a housekeeping supervisor
Detective
Administrative
6
Cash receipts are deposited intact and on a
daily basis
Preventive
Accounting
7
The internal auditor prepares the monthly bank
reconciliation
Detective
Accounting
8
Vegetables are stored in coolers at the proper
temperatures
Preventive
Administrative
9
Supplier invoices are reconciled to the
suppliers monthly statement
Detective
Accounting
10
Cash drawers must be closed after each sale
in all revenue centers
Preventive
Accounting
No.