Accounting for Casinos and Gaming

Transcription

1 Accounting for Casinos and Gaming Steven M. Bragg

2 Chapter 1 Gaming Operations... 1 Learning Objectives... 1 Introduction... 1 Types of Games... 1 Casino Organizational Structure... 2 Organization Charts... 2 Job Titles... 4 Physical Organization Casino... 5 Physical Organization Card Room... 6 Table Game Operations... 7 Table Inventory... 7 Fill Transactions... 7 Credit Slip Transactions... 8 Ending Reconciliation... 8 Foreign Chips... 9 Player Rating System... 9 Table Drop Boxes... 9 Slot Machine Operations Tokens Slot Clubs Slot Drop Hard Drop Currency Acceptor Drop Slot Gaming Revenue Calculation Keno Operations Race and Sports Book Operations Bingo Operations Casino Credit Markers Rim Play Marketing Activities Cashier Reconciliations Chapter Summary Review Questions Review Answers Chapter 2 The System of Accounting Learning Objectives Introduction Financial Accounting Basics Accounting Frameworks Accounting Principles The Accounting Cycle Accounting Transactions Types of Transaction Cycles Source Documents Double Entry Accounting The Accounting Equation Journal Entries The Accruals Concept The Chart of Accounts Major Journal Entries The Ledger Concept i

3 Posting to the General Ledger General Ledger Overview The Trial Balance The Trial Balance Format The Extended Trial Balance Accrual Basis of Accounting Chapter Summary Review Questions Review Answers Chapter 3 Gaming-Specific Accounting Learning Objectives Introduction Revenue Recognition Deferred Revenue Breakage Track Fees Discounts on Losses Accounting for Jackpots Jackpot Insurance Accounting for Unpaid Winners Loyalty and Incentive Programs Discretionary Incentives Nondiscretionary Incentives Cash Redemption Allowed Nondiscretionary Incentives Free Play Only Nondiscretionary Incentives Multiple Redemption Options Reporting Considerations Promotional Allowances Advertising Gaming Chips and Tokens Licensing and Preopening Costs Gaming License Costs Preopening Costs Tax Impact of Customer Credit Deferred Income Taxes Cocktail Service Transfer Pricing Coin Booth Drop Accounting Chapter Summary Review Questions Review Answers Chapter 4 Payroll Accounting Learning Objectives Introduction Employee Time Tracking Gross Pay Calculations Hourly Rate Plan Overtime Tips Types of Payroll Taxes Social Security Tax Medicare Tax Unemployment Taxes Income Tax Withholdings Benefits and Other Deductions ii

4 Net Pay Remitting Payroll Taxes Types of Tax Deposit Schedules Monthly Deposit Schedule Semiweekly Deposit Schedule Federal Unemployment Deposit Schedule Remittance Method The Form 941 Quarterly Federal Tax Return State Tax Remittances Payments to Employees The Payroll Register Form W Payroll Journal Entries Types of Payroll Journal Entries Primary Payroll Journal Entry Accrued Wages Manual Paycheck Entry Employee Advances Accrued Vacation Pay Tax Deposits Chapter Summary Review Questions Review Answers Chapter 5 Receivables and Payables Accounting Learning Objectives Introduction Accounting for Accounts Receivable Collections Accounting for Bad Debts Direct Write-Off Method Allowance for Doubtful Accounts Accounting for Accounts Payable The 1099 Vendor Chapter Summary Review Questions Review Answers Chapter 6 Fixed Asset Accounting Learning Objectives Introduction What are Fixed Assets? Fixed Asset Classifications Accounting for Fixed Assets The Capitalization Limit The Base Unit The Initial Measurement of a Fixed Asset The Purpose of Depreciation Depreciation Concepts Accelerated Depreciation Sum-of-the-Years Digits Method Double-Declining Balance Method Straight-Line Method Units of Activity Method The Depreciation of Land The Depreciation of Land Improvements Depreciation Accounting Entries iii

5 Accumulated Depreciation Asset Impairment Measurement of Asset Impairment The Asset to be Tested Timing of the Impairment Test Accounting for the Impairment of an Asset Group Asset Derecognition Abandoned and Idle Assets Asset Disposal Accounting Slot Participation Agreements Chapter Summary Review Questions Review Answers Chapter 7 Interest Capitalization Learning Objectives Introduction Overview of Capitalized Interest When to Capitalize Interest The Interest Capitalization Period The Capitalization Rate Calculating Interest Capitalization Chapter Summary Review Questions Review Answers Chapter 8 Debt Accounting Learning Objectives Introduction Basic Debt Accounting The Amortization Schedule Reconciling the Debt Account Chapter Summary Review Questions Review Answers Chapter 9 Controls and Policies Learning Objectives Introduction Types of Gaming Theft Accounting Controls Controls Comp Controls Credit Controls Front Money Bingo Controls Keno Controls Race and Sports Book Controls Slot Machine Controls Dealer Controls Chip and Token Controls Table Game Controls Ticket Controls Collection Controls Key Access Controls Count Team Controls Physical Access Controls Vault Controls iv

6 Supervisor Controls Surveillance Controls Form Controls Information Technology Controls Money Laundering Controls Internal Audit Indicators of Control Weaknesses Policies Credit Policy Credit Write-Off Policy Fixed Asset Disposal Policy Jackpot Approval Policy Winnings Claim Period Policy Ticket Payout Redemption Period Chapter Summary Review Questions Review Answers Chapter 10 Financial Reports Learning Objectives Introduction Calculation of Income Statement The Income Statement The Balance Sheet The Statement of Cash Flows Statement Requirements Reporting Classifications The Direct Method The Indirect Method Financial Statement Disclosures Profit Center Reporting Other Accounting Reports Chapter Summary Review Questions Review Answers Chapter 11 Reporting Requirements Learning Objectives Introduction Treatment as a Financial Institution Currency Transaction Report Suspicious Activity Report Customer Reporting Avoidance Strategies Transaction Tracking Multiple Transaction Log Check Register Credit Management System Player Rating System Wire Transfer Log Winnings Reporting Forms Chapter Summary Review Questions Review Answers Glossary Index v