Commercial Agency Operations in Accounting of Tour Companies

Operations of resale, commission, brokerage and agency make the core of business in the sphere of trade and services where mediation mechanism is used. Efficient build-up of agency related financial and business relations between tour operator and travel agent is a pledge of successful business for tour companies of Ukraine. Legal base underlying such relations is a properly drawn up agency contract. It is the agency contract that has causal nature with regard to accounting consequences of business phenomena and processes of the companies in the sphere of tourism. In this connection, for the purpose the study selects investigation of patterns of links between provisions of agency contracts and accounting consequences of mediatory operations of travel agents and operators as official parties of such agreements. The main results of the investigation are identification of basic standards for tour agency contract bringing about the accounting consequences: subject of contract, obligations and rights of parties, claims and complaints, tour reservation and payment procedure, force majeure. Each of these provisions is a prime cause without which further operations connected with mediation are impossible because they are regulated and standardized by agency contract. Source documents and accounting entry schemes as well as basic aspects of tour company accounting policy should be formed in view of the contract standard requirements.