STANDARD COMPETENCIES:

 

 I.      Explain the fundamental function and purpose of accounting, and differentiate between bookkeeping and accounting.

 II.     Explain the purpose of generally accepted accounting standards, and describe the generally accepted accounting principles (GAAP) covered in the text.

 III.    Describe the proprietorship, partnership, limited liability company, and corporate forms of business organization and their advantages and disadvantages.

 IV.     Describe the purpose of the basic financial statements prepared by hospitality businesses, and explain when they are prepared.

 V.      Identify the criteria that determine whether a certified public accountant (CPA) is independent, and describe the independent CPA=s role in the preparation of financial statements for external users.

 VI.     Describe the purpose of a chart of accounts and its function in an accounting system.

 VII.    Identify and explain the technical and long forms of the accounting equation.

 VIII.   Identify the five major account classifications, and describe the categories and common accounts within each classification.

 IX.     Explain the perpetual and periodic inventory systems and the bookkeeping accounts and accounting methods used in the systems.

 X       Define and describe business transactions, and analyze a variety of typical transactions.

 XI.     Describe double-entry accounting and the role of journals, bookkeeping accounts, and the general ledger in recording business transactions.

 XII.    Define the terms debit and credit, and list the basic rules governing the proper application of debits and credits in relation to the major account classifications and to contra accounts.

 XIII.   Identify the basic steps used in recording business transactions in a two-column general journal.

 XIV.    Describe an accounting system and its objectives, and explain the purpose of accounting records.

 XV.     Explain how a general journal and special journals are used.

 XVI.    Define journalizing, posting, footing, and crossfooting, and describe the journalizing and posting processes.

 XVII.   List and explain the basic steps involved in the month-end accounting process, including the completion of the worksheet and the preparation of financial statements.

 XVIII.  Identify the steps in the closing process, and describe how the steps are performed.

 XIX.    Explain the basic characteristics and functions of computer hardware components and software, and discuss specific computer applications in the hospitality industry.

 XX      Identify and describe basic features of integrated accounting software packages.

 XXI.    Describe unique features of restaurant accounting.

 XXII.   Describe unique features of hotel accounting.

 XXIII.  Identify the critical elements of internal cash control.

 XXIV.   Read and analyze financial statements.

 TOPICAL OUTLINE:

 

 I.      Introduction to Accounting:

         A.      What is business accounting?

         B.      Influence of governmental and Professional Organizations

         C.      Generally Accepted Accounting Principles

         D.      Business Transactions

         E.      Accounting Income vs. Taxable Income

         F.      The Accounting Equation

 II.     Business Formation, Taxation, and Insurance:

         A.      Initial Planning Strategy

         B.      Business Formation

         C.      Taxation of Business Income

         D.      Insuring the Business

 III.    Financial Statements:

         A.      Basic Financial Statements

         B.      Statements of Income

         C.      Equity Statements

         D.      Balance Sheets

         E.      Statements of Cash Flow

 IV.     Analysis of Balance Sheet Accounts:

         A.      Asset Classification

         B.      Current Asset Accounts

         C.      Liability Classification

         D.      Current Liability Classification

         E.      Long-term Liability Accounts

         F.      Bonds

         G.      Equity Classification

         H.      Proprietorship Equity Accounts

         I.      Partnership Accounts

         J.      Corporation Equity Accounts

         K.      LLC Equity Accounts

 V.      Analysis of Income Statement Accounts:

         A.      Revenue Classification

         B.      Sales Accounting

         C.      Expense Classification

         D.      Cost of Sales Expense

         E.      Inventory Systems

         F.      Business Expenses

         G.      Depreciation

 VI.     The Bookkeeping Process:

         A.      Bookkeeping Accounts

         B.      Analyzing Business Transactions

         C.      Analyzing 21 Universal Transactions

         D.      The Nature of Debits and Credits

         E.      Recording 21 Universal Transactions

         F.      Contra Accounts

         G.      Normal Account Balance

 VII.    General Ledger Software:

         A.      Computerized Systems

         B.      Input Forms

         C.      Output Forms

         D.      On-Line Accounting Packages

         E.      Standard General Ledger Modules

 VIII.   Computerized Accounting Cycle:

         A.      Accounting Cycle

         B.      Conversion from Manual to Computer System

         C.      Journalizing Monthly Business Transactions

         D.      Computerizing of the Special Journals

         E.      End-of-Month Accounting

         F.      Computation of Net Income or Loss

         G.      Computerized Financial Statements

         H.      Computerized General Ledgers

         I.      Reversing Entries

         J.      Computerized Year-end Processing

         K.      Restaurant Accounting:

         L.      Restaurant Income Statements

         M.      Food Sales Accounting

         N.      Beverage Sales Accounting

         O.      Cost of Sales

         P.      Operating Statements

         Q.      Restaurant Balance Sheets

         R.      Chart of Accounts for Restaurants

         S.      F&B Ratio Analysis

         T.      F&B Sales Statistic Analysis

 IX.     Hotel Accounting:

         A.      Hotel Income Statements

         B.      Departmental Statements

         C.      Revenue Accounting

         D.      Expense Accounting

         E.      Hotels with Casino Departments

         F.      Hotel Balance Sheets

         G.      Charting of Accounts for Hotels

         H.      Operating Ratios

 X       Internal Control of Cash:

         A.      Objectives of Internal Control

         B.      Control of Cash Receipts

         C.      Control of Cash Disbursements

         D.      Bank Reconciliation

 XI.     How to Read and Analyze Financial Statements

         A.      Overview of Analytical Methods

         B.      Income Statements

         C.      Balance Sheets

         D.      Statements of Cash Flow