Final Examination

Review

Chapter 1 - 14
 Which type of hotels tends to have a more leisurely
and relaxed atmosphere?

Resort Hotels
 A group of business man need to hold an emergency half day
meeting, and will be coming from different cities, what is the best
type of hotel for them?

airport
 The key to deliver quality service is?

consistency
 An independent property would be a family
owned sole proprietorship?

True
 Which of the following is a typical function of
a hotel management company?

daily operations of the hotel and selection

and hiring staff
 When attracting group and convention
business, hotels focus their sales effort on:

Meeting planners
 This type of hotel will appeal least to
business travelers

condominium hotels
 Travel management companies are large
travel agencies with significant room rate
negotiating power
 Overall cleanliness appearance and quality
service are important factors that bring guest
back to the hotel.
 Is a measurable goal for the front office
department

Increase the average daily rate by $1.00

 Dotted lines indicate relationship that involve

I high degree of communication and

cooperation
 Engineering and maintenance is the least
likely to be part of room division.
 An organizational chart is most likely to
change if the general manager restructures
the management team
 The reservations department is responsible
for receiving and processing reservation
request for overnight accommodations .
 For casino hotels, revenues derived from
gaming are usually less than revenues from
hotel operations
 Enhancing the hotel’s public images is a
function of the sales and marketing division
 Job specifications are the qualifications for a
position
 Registration and rooming functions are
included in the arrival stage of the guest
cycle.
 The guestroom normally is the largest single
charge on a guest account
 The flow of business through a hotel is best
described in terms of a guest cycle
 Rooms with a common wall but no
connecting door are adjoining rooms
 Due out status is a status to become vacant
after the following day’s check out time
 Call accounting systems allow guest to make
direct calls without operator intervention
 The reservations module of a computer-
based hotel property management system
processes room requests
 The guest telephone number is usually
included in a non guaranteed reservation
record
 Credit Card is the most common method of
making guaranteed reservation
 Resort hotels are most likely the type will
require payment in full prior a guest arrival
day
 Credit card guaranteed reservations and
advance deposit guaranteed reservations will
be accepted as hotels approaches full
occupancy
 Business that handle reservation services for
airlines, car rentals, and hotels are intersell
agencies
 CRO stands for Central Reservations Office
 Global Distribution Systems are sources of
reservations that usually relies on a
connection between a hotel company’s
reservation systems and an airlines
reservations system.
 Cutt off dates for room availability should be
specified in a contract for group business
 Non group displacement are the number of
rooms a group occupies that could have been
occupied by transient travelers at a higher
rate
 Sales is generally linked with the property’s
automated reservation system?

True
 Historical data and experience of
knowledgeable managers are necessary for a
reservation system to accurately forecast
cancellations and no shows for up coming
dates
 A revenue forecast report would help
managers project future revenue by
multiplying predicted occupancies by current
house rates.

True
 On opaque web sites hotels are marketed by
a price and or rating but not by name or
brand
 On a fully automated property preregistration
activities are most likely to be conducted for
all expected arrivals
 The guest intended method of payment
usually determines the guest’s point of sale
charge status
 Walk in Guest would spend more time
registering during check in
 Rack is the standard rate for a particular
room
 Registration finalizes guest rooms
assignment
 The reservation status in the long term
determines a room’s readiness
 The occupancy report lists rooms occupied
for the night and indicates expected check
outs for the following day
 The Modified American Plan is usually a
package that includes the cost of breakfast
and dinner in the room charge
 Card holders credit card company determine
the maximum amount in credit card charges
a hotel can accept without requesting special
authorization .
 During Preregistration is the best time to
make arrangements for special requests
 Describe the features and benefits of each
available room category first, then mention
the rate is a recommended strategy for
upselling rooms to walk in
 The fronts desk’s log book help document
issues and problems for future meetings.
 Billing instructions is likely to be found in the
front desks group resume book
 For front office accounts, charges are
increase to an account balance and are
entered on the left side of a T aacount.
 If a company is having an event and their
employees need to charge on a bill their
charges most likely it will be on a non guest
folio
 The front office staff process all transactions
that affect the balance of a guest account
while is in house.
 Guest ledger need to be check to ensure
guest don’t exceed their approved limit
 A posting error that was made during the
previous business day is done with an
allowance voucher
 Cash payment of room charges is a
transaction posted to a guest folio
 Due back is when a cashier pays out more
than he or she receives
 Cash payment in full and direct billing are
methods of payment that require during the
check out a guest to sign a voucher
 Check out and settlement is when a rooms
status changes from occupied to on change
 If the credit card statement of a guest shows
an amount higher than what was shown on
the folio could be due to late charges
 Compiling a mailing list is common use of a
guest history file
 Employee retraining might be needed if there
are collection problems
 Skippers result on unpaid guest account
balances
 During the front office audit guest account
transactions are review at the front desk
against revenue center transaction.
 Verify posted entries and balancing front
office accounts are functions of the front
office audit
 Report production and file reorganization is
part of front office accounting system update
 Systems update are perform daily

 Leading is a management function that

involves overseeing, motivating, training and
disciplining
 A competitor room rate is involved in the
market condition approach to pricing rooms
 Calculate the hotel desired profit is the first
step in the Hubbart Formula for pricing
 Reservation manager and front office
managers together work on the ten day
forecast.
 If I have 400 room reservations and 40 no
shows my percentage of no shows are 10%

40/400
 If I have 480 expected check outs and 60
overstay rooms my percentage of overstays
are 12.50%

60/480
 The daily operations report is a summary of
the hotels financial activity during a 24 hour
period
 Occupancy ratios measure the success of the
front office in selling guestrooms
 Disaster planning is an area the hotels
managers often overlook
 Capacity management is a method were
managers balance the risk of overbooking
against potential loss
 If an hotel has 750 rooms, at 70%
occupancy, 375 of the 525 rooms sold are
normally occupied by more than one person
The multiple occupancy percentage would
be:

 71.4%
 An hotel has two types of single rooms type A
has 100 rooms sold with a rate of $90.00 and
type B 125 with a rate of $110.00

 The potential average single rate is:

 (90x100) + ( 125x110) / 210 = $108.33
 With this we can illustrate the input-process-
output logic, file structure, etc

system flowchart
Room Rate Achievement
Factor can be obtained with
the following formula:
Actual Average Rate
Potential Average Rate
To get the RevPAR we can
use the following formulas
Formula #1
Actual Rooms Revenue
Available Rooms Revenue

Formula #2
Occupancy Percentage Average Daily Rate
 Displacement occurs when a hotel accepts
group business at the expense of turning
away transient guests
 Establishing minimum number of nights per
stay is a business transient tactic used during
high demand
 High internal recruitment is practice when
properties select from their own employees to
develop future managers
 Devil’s horns effects occurs when a single
negative trait of job applicant leads an
interviewer to evaluate everything the
applicant says
 During orientation new employees should be
given a tour of the entire hotel
 Job breakdown is a training tool that includes
a step by step explanation of how to perform
a task
 This process can be used to evaluate
whether a property’s system procedures are
accurate and comprehensive

security audit
 Prepare Present Practice and follow up is a
correct sequence of the four step training
method