Hotel accounting and financial management processes play key roles in achieving desired financial returns. Hotel best practices of effective financial management include a balanced approach toward guest services, designed to maximize customer satisfaction; while building revenues and delivering profitable results. To do so, the accuracy and timeliness of financial reporting systems are core requirements necessary for any hotel management company. We explore effective accounting methods and practices including monthly Income Statements, Balance Sheets, accounts receivable and payable activities, and cash flow reporting and analysis.