Question

MPrinciple of hospitality Finance

Chapter: Hospitality industry Accounting

ultiple Choice

Choose the letter of the best answer to the questions listed below.

1. Which of the following is an effective way to classify segments of the hospitality industry?
   1. Profit vs. non-profit
   2. Lodging vs. food & beverage
   3. Corporate vs. privately owned
   4. All of the above

2. The process of recording, summarizing and accurately reporting financial transactions is called                                        .
   1. Financial management
   2. Hospitality management
   3. Accounting
   4. Financial performance

3. Assets = Liabilities + Owner’s Equity is:
   1. The balance sheet equation
   2. The auditor’s formula
   3. The general ledger formula
   4. Double-entry accounting

4. Which of the following is the primary concern of financial accounting?
   1. Tax payments
   2. Recording financial transactions
   3. Accuracy of financial reports
   4. Departmental costs

5. Which of the following is the primary concern of cost accounting?
   1. Tax payments
   2. Recording financial transactions
   3. Accuracy of financial reports
   4. Departmental costs

6. Which of the following is the primary concern of auditors?
   1. Tax payments
   2. Recording financial transactions
   3. Accuracy of financial reports
   4. Departmental costs

7. Identify the law passed in 2002 providing criminal penalties for committing accounting fraud.
   1. Certified Public Accounting Act
   2. Sarbanes-Oxley Act
   3. Accounting Fraud Act
   4. Internal Audit Regulation Act

8. What is the title of the person responsible for managing a hotel’s accounting processes?
   1. Controller
   2. General manager
   3. Manager on duty
   4. Front desk supervisor

9. A person who meets a state’s requirements for practicing accounting is called a                                                                 .
   1. Certified Public Manager (CPM)
   2. Chief Financial Officer (CFO)
   3. Certified Financial Accountant (CFA)
   4. Certified Public Accountant (CPA)

10. Hospitality professionals who work extensively in the areas of accounting and technology often become members of the                                                                               .
    1. Hospitality Financial and Technology Professionals
    2. Certified Financial and Technology Professionals
    3. Professional Managerial Accountants
    4. Professional Hospitality Accountants

11. USAR is an acronym for                                                                                            .
    1. Unified system of accounting for restaurants
    2. Uniform system of accounts for restaurants
    3. United systems for assets and revenues
    4. Uniform system for accounting resources

12. Which of the following is not a guideline for evaluating ethical behavior?
    1. Am I being honest?
    2. Would I publicize my action?
    3. Will I get caught?
    4. Is it legal?

Answer 1

1. All the above (d)

2.Accounting (c)

3. Balance sheet Equation (a)

4. Recording Financial Transactions (b)

5. Deparmental Costs (d)

6.Accuracy of Financial Reports

7. Sarbanes - Oxely Act (b)

8. Controller (a)

9. Certified Public Accountant(CPA) (d)

10. Hospitality financial and technology professionals (a)

11. Uniform system of  Accounts for Restaurants (b)

12. Will i get caught ? (c)