Financial Performance and Principles in Hospitality Industry

Hospitality Business Toolkit

Table of Contents
INTRODUCTION...........................................................................................................................2
MAIN BODY .................................................................................................................................3
TASK 1............................................................................................................................................3
P1)...........................................................................................................................................3
P2)...........................................................................................................................................4
P3)...........................................................................................................................................8
TASK 2............................................................................................................................................8
P4) ..........................................................................................................................................8
P5) ........................................................................................................................................10
TASK 3..........................................................................................................................................12
P6).........................................................................................................................................12
P7) ........................................................................................................................................13
TASK 4..........................................................................................................................................14
P8).........................................................................................................................................14
P9) ........................................................................................................................................15
CONCLUSION ............................................................................................................................15
REFERENCES .............................................................................................................................17

INTRODUCTION
Hospitality industry is wider and broader concept because they serves the various facility
for its customers such as food & beverages, transportation, lodging and many others. It is serves
the best product and services in order to attracting large numbers of customers (Carpentier,
2016). The report is about Marriott Hotel in London, UK in order to providing ample numbers of
events like weddings, get together, events, birthday party. The paper consist is financial
performance of organisation as well as principle in order to recording the financial transaction
such as double entry system, book keeping. It includes HRM different stages, legislation, law
and many others.
MAIN BODY
TASK 1
P1)
Financial concept of organisation is important in order to focusing financial performance
of company as well as generating higher revenues. It includes various principles which are
helpful for monitoring and controlling financial performance management. It is process which
refers to effectively and efficiently managing financial resources in order to maintain proper
record. It is various tool and techniques which are utilised in this process due to minimized the
expanses and maintaining proper record. Further, it includes organisation properly recording the
purchase and sale of raw material (Dolnicar, 2020). There are ample numbers of financial
documentation are prepared in order to properly recorded the business transaction such cash
flows and financial statements. Cash flow and financial statement are prepared in order to record
all the expanses and cost with the help of that easily calculated the profit and loss. There are
ample numbers of principles of financial performance management which are discussed below.
Maintain proper records of stock-: This principle which refers to properly maintaining
record of raw material in order to purchase and sale transaction within the organisation. In
context of Marriott Hotel, it is essential to maintaining proper record of inventory due to
minimization of expanses on raw material.
Making key financial statement reports-: It is another principle in order to recorded the
proper transaction of existing financial performance due to effectively recording all the cost and
expanses. This is statements is necessary for organisation in order to developing which result as

profit & loss as well as preparing balance sheet. In relevance of organisation, it includes
organisation preparing all the financial report on the basis of this principles in order to
effectively measure the financial record of previous and current year.
Evaluating the overhead cost-: This is principle which refers to organisation effectively
maintain in order to properly record expenditure and cost (Elshaer, 2019). In relevance of
Marriott Hotel, it is process which refers calculate cost of all the expanses and accordingly using
various resources in order to reducing to the next year all the expanses. It is essential tool for and
organisation in order to measure the cost and accordingly reducing cost as well as increasing
profit margins.
P2)
It is system and process which refers to recording account entry in order to matching and
opposite account entry. It is process which known as double entry system due to transaction are
equally recorded on debit and credit side. There are three principles which are applied in this
entry system. In context of organisation, it includes followed the principles of accounting
equation which refers to Assets – Liabilities = Capital.
..Particulars...... Debit Credit
cash ...Account... Debit 28000
To capital 28000
Rent ...Account... Debit 2000
To Cash ...Account... 2000
Purchase ...Account... Debit 22000
To Cash ...Account... 12000
To Vendor ...Account... 10000
Prepaid Insurance Policy ...Account... Debit 1500
To Cash ...Account... 1500
Purchase ...Account... Debit 17000
To WH Adams Ltd ...Account... 17000
LaunDebity Fees ...Account... Debit 500
To Cash ...Account... 500
Telephone and Internet Expenses ...Account...
Debit 2500
To Cash ...Account... 2500
Water Charges ...Account... Debit 1000
To Cash ...Account... 1000
Wages and Salary ...Account... Debit 2550
To Cash ...Account... 2550