One example of a cash paid-out made by the front office could be to a concessionaire after a guest charged the concessionaire's services to the hotel room folio.

Question

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This is true because when a guest charges a service from a concessionaire (such as a spa or restaurant service) to their hotel room folio, the hotel collects the payment from the guest and then needs to pay out the concessionaire for those services rendered. This transaction is handled by the front office and represents a cash paid-out scenario.

One Example of a Cash Paid-Out Made by the Front