HFT 2401 Hospitality Financial Accounting Final Exam Review

HFT 2401 Hospitality Financial Accounting Final Exam Review

Financial Statement Analysis l From a set of financial information, calculate the following. (10 multiple choice) ¡Current Ratio ¡Quick Ratio ¡Accounts Receivable Turnover & Collection Period ¡Cost of Goods Sold – Food and Beverage ¡Food Inventory Turnover (Times) ¡Food Inventory Turnover in Days

Financial Statement Analysis l Beverage Inventory Turnover in Days l Occupancy Percentage l Average Rate l REVPAR l Flow Through l Profit Margin

From Chapters 1 -12 and Handouts l Normal balances of accounts (5 multiple choice) ¡Asset : Debit ¡Liability or Equity : Credit ¡Revenue: Credit ¡Expense: Debit l Types of accounts – asset, liability, equity, revenue, or expense (5 multiple choice) ¡Permanent or Temporary Owners Equity

Chapters 1 Through 12 Principles of Accounting (10 multiple choice) ¡ Cost ¡ Business Entity ¡ Continuity of the Business Unit ¡ Unit of Measurement ¡ Objective Evidence ¡ Full Disclosure ¡ Consistency ¡ Matching ¡ Conservation ¡ Materiality

Other Items l Where balance sheet items fall (see exam 2) ( 5 multiple choice) ¡Current Asset, Current Liability, etc. l Complete a Retained Earnings Statement l Complete a Cost of Goods Sold Statement l Complete a Trial Balance (simplified)

What You Do Not Need to Review l The effects of not recording journal entries ( the overstate/understate chart) l Depreciation Problems l Inventory Valuation Problems l Adjusted trial balance (exam 1)

Problems to Complete l Financial Analysis (Exam 2) Multiple Choice (Required) l Trial Balance (Required) l Cost of goods sold (Required) l Retained earnings (Required) l Projected cash flow (collection) problem

Sample Definitions (15 multiple choice questions) l Forms of business structure l Net working capital l Fundamental accounting equation l Temporary owners equity l Assets, liabilities, equity l Additional paid in capital l Factoring l Distributed/Undistributed expenses

Chapters 1 Through 12, 15, 18 l Review terms and definitions at the end of each chapter and chapter slides l Review questions from previous exams and quizzes (including exam 3) l Bring a calculator, pencils & erasers l Scantron Required – Form 2052 l Monday May 2, 2016 7: 00 pm l Questions? ?