PRINCIPLES OF TOURISM ACCOUNTING AND FINANCE (4 Credits)

Learning Outcomes:

On successful completion of this course, student will be able to: Define the accounting principles, concepts within the hospitality industry; Review briefly and give examples of some of the major types of costs, such as direct and indirect costs, fixed and variable costs, and discretionary costs; Perform the common uses of major elements in both the statement of cash flows and the various statements used to analyze working capital; Evaluate the financial analysis projections of a feasibility study.

Topics:

1. Basic Financial Accounting Review;
2. General Accounting Terms;
3. Generally Accepted Accounting Principles;
4. The Ledger Account;
5. Understanding Financial Statement;
6. Income Statement and Balance Sheet;
7. Analysis and Interpretation of Financial Statements;
8. Ratio Analysis;
9. Internal Control;
10. Method of Theft or Fraud;
11. Problem Unique to The Hospitality Industry;
12. Principles of Internal Control;
13. The Bottom Up Approach to Pricing;
14. Cost Management;
15. Allocating Indirect Cost to Revenue Area;
16. The Cost Volume Profit Approach;
17. Cost Volume Profit Formula (Cont’d);
18. Operation Budgeting;
19. The Budget Cycle;
20. Statement of Cash Flows and Working Capital Analysis;
21. Statement of Cash Flows and Working Capital Analysis (Cont’d);
22. Cash Management;
23. Cash Conservation and Working Capaital Management;
24. Capital Budgeting and The Investment Decision;
25. Feasibility Studies;
26. Financial Goals and Information Systems