Documente Academic
Documente Profesional
Documente Cultură
AUDIT STEPS
1. Review previous audit files and reports to become familiar with areas of
concern.
2. As the audit progresses, review material exceptions or discuss with
management areas that internal auditing is uncovering during the audit.
3. Conduct an informal pre-exit conference once all audit steps have been
completed to ensure that management knows what to expect in the
upcoming draft audit report.
4. Finalize all files and draft an audit report for review by the chief audit
executive.
AUDIT OBJECTIVES
1. Determine that the hotel department and related functions are following
company policies and procedures.
2. Determine that the company's hotel-related assets are properly
safeguarded and accounted for.
AUDIT PROCEDURES
AUDIT PROGRAM
1. Obtain the daily reservation report and determine that there is evidence of
review by the reservation/front office manager of entries keyed in by the
reservation clerks — in particular the room rates quoted to customers.
2. Test 10 of the quoted room rates in the daily reservation report to the
reservation forms. Ensure the reservation forms or computer entries are
signed by the reservation clerk, or that some other documentation exists.
Also, ensure that proper reservation forms are prepared for all reservations
made.
3. Inquire from the credit department how customers' credit limits/credit
standings are taken into account when accepting reservations for hotel
rooms.
4. Check the reservation file to ensure that written confirmation is received for
travel agent guests — telex, fax, or e-mail form — and attached to the
reservation form, documenting any noncontracted rates extended to the
agents/guests.
5. Compare a sample of 10 suspended credit limit correspondence memos to
the reservation system to ensure that all suspended accounts are updated
into the system.
1. Select 10 entries with a $0 room rate from the daily list of rooms and trace
to the comp form or other comparable document, ensuring it is approved
by the proper member of management. Reasons for authorization should
be documented and acceptable in accordance with hotel policy.
2. Test 10 registration cards to the corresponding occupied room on the room
status/key report and the daily room charges report to ensure that all
occupied rooms are billed.
3. Selecte 10 occupied rooms noted on the room status/key report and tie to
the corresponding registration card. Note: This test is to ensure that
registration exist for rooms that are occupied already to prevent the room
being rented twice.
4. Review the reasonableness of room rates per the daily room charge report
and test 10 rates to the corresponding reservation form or standard price
list/customer contract for unusual or exceptional rates.
1. Using a revenue audit checklist, observe one daily hotel audit performed
by the revenue audit staff. Compare your observations to their approved,
written checklist and document variations in memo form to the working
paper.
2. Choose three days of daily revenue audit packets for the hotel revenue
audit. Obtain vouchers for all revenue adjustment transactions — that
day's voids, nonguest paid outs, guest paid outs, previous day corrections,
and refunds — and trace total voucher amounts to the final revenue detail
report to determine if all adjustments are supported by vouchers. If
vouchers do not balance, document procedures for daily balancing.
3. Review vouchers for propriety, proper completion — including guest name,
room or account number, date, amount, adequate explanation, name of
preparer, and approval. Refund vouchers and guest paid outs should
include the guest signature. Paid outs should be supported with a receipt.
Trace 10 percent of the vouchers for each day tested to the folio to ensure
that the account was affected properly.
4. For the three days tested, trace totals to the general ledger.
5. Review tax documentation to determine that tax rates are appropriate for
the following areas: Room service delivery charges, banquet service
charges, package plans, and mandatory restaurant service charges.
6. For any exceptions prepared by revenue audit for the three days tested,
ensure that management responded properly.
1. Obtain the contract between the hotel and the pay TV provider. Include a
copy of commission terms and discuss procedures used by management
to ensure pay TV revenue is recorded on the financial statements.
Research and document any concerns that arise during this testing.
2. If the property has an "on command" video or other system with a
percentage commission due the hotel, review last two months' invoices to
determine if the commission received complies with the contract, and the
amount remitted was properly calculated prior to payment. Research and
document any concerns that arise during this testing.
3. Review lease/rental agreements, if any, for hotel space. Determine that the
recorded revenues agree to the terms specified. Include copies of
applicable lease documents in working papers.
1. Review the current accounts receivable (A/R) aging report. Select at least
25 accounts and determine whether or not all categories of receivables are
adequately covered. Heavier concentration should be placed on old and
unusual items. The total amount selected for testing should be between 15
percent and 20 percent of the city ledger.
2. If material, or if unusual items are noted, test for proper controls, including
review of the high balance report and Telecheck procedures.
3. Trace the total of the aging report to the general ledger and the A/R recap
report.
4. Review write-offs, and if material, review selected write-offs for adequate
support, proper collection efforts, proper approval, and reason for write-off.
Be alert to consistent causes (e.g. front desk personnel failure to follow
established hotel policies).
1. Obtain the mail check-register log for the last two-week period. Trace
all hotel checks received to the bank-certified deposit slip and to the
respective posting to the general ledger.
2. Review the mail check register log to ensure:
1. Select one month's advance deposit account activity and obtain a copy
of the general ledger transactions.
2. Trace a block of 10 refund payments to accounts payable vouchers
and verify the following:
• Refund is supported by copy of deposit ticket.
• Refund was for correct amount.
• Refund was payable to the correct payee.
• Refund is listed on transaction list used to update master deposit
listing.
• Refund is for a reservation cancelled in advance.
• Endorsement on cancelled check agrees with the name of the
payee.
3. For deposits applied at the front desk, main cage, vault, or mail
receipts, agree a sample of 10 transactions in the most recent month
to the general ledger.
4. Trace the check to a bank deposit slip.
5. Obtain a copy of the guest folio and verify the deposit was applied to
the correct guest's account.
6. Review the general ledger control account for any adjusting journal
entries to the advance deposit account and explain the nature of
adjustments.
7. Obtain a copy of the finance department's reconciliation of the
advance deposit account and determine that all reconciling and
outstanding items are reasonable.
8. Determine if there are stale items in this account that should be written
off.
2. Select the most recent month of complimentary activity for detail testing
and perform the following:
3. Select one day's transaction report and obtain comp charges for the day.
Agree actual comp charges to transaction total. Review each comp folio
and verify the following:
• Verify computation of total comps, tax adjustments, and net comps for
the month.
• Trace total to the comp clearing general ledger account.
H-10e • Trace tax adjustments to related tax accounts.
7. Determine how comp charges are handled for computing room tax and
document procedures in the workpapers: