Unix. 54 333 ^ JapUeate Collection f Ili. Library Unit 5 C ( Without Business Papers) American Bookkeeping Series BY LLOYD E. GOODYEAR Copyright 1915 by Goodyear-Marshall Publishing Co. Cedar Rapids, Iowa The following work is planned to afford extensive insight and drill in accounting by both single and double entry for the average retail business. Problem 20 A, a short memorandum set to be written on two column day book, cash book and ledger, will give an idea of the scope of single entry as commonly understood. The Retail Grocery Set, which follows, is divided into three parts. Part One, of eighty transactions, presents a modern single entry method, making use of cash register and a practical form of cash and charge sales record. Part Two, of one hundred transactions, continues the same work on double entry books, making use of the general and customers y balance ledgers and the cash journal. Part Three, of twenty transactions, affords drill in making un- usual entries in the cash journal and in closing partnership accounts. The practice on the daily balance slip in Part One, and on the daily audit sheet in Part Two, should be of interest to all retailers. Unit 5 C PROBLEM 20 A— SINGLE ENTRY. Iii this problem, yon are directed to make entries in day book, and cash book by single entry method, and to post the entries pertaining to personal accounts. At the close of the problem, a financial state- ment is required. The Books. The day book (see Form 17 A) will contain a state- ment showing the resources and liabilities, at opening or when pre- pared, and all entries involving a charge or credit to some personal account, when such entries do not involve receipt or payment of cash. A charge is indicated by “Dr” after the name, and a credit by “Or.” The cash book (see Form 17 B) will contain a record of all re- ceipts and payments of cash. Only those receipts from persons on book account (see Form 17 B, three items on left side), and only the payments to persons on book account (see Form 17 B, two items on right side) are to be posted from this book. In the above forms the post mark, or “Folio,” column is placed to the left of the space for memoranda. This form is frequently used in both single and double entry books. The ledger will contain (1) accounts to be collected showing charges for merchandise sold or other items posted from day book, and credits for cash received on account posted from cash book ; (2) accounts to be paid showing credits for merchandise bought posted from the day book, and charges for cash paid on account, posted from the cash book; (3) accounts may contain both charges and credits from the day book or cash book, as when the same person both buys from and sells to your firm. Such accounts may result in either debit or credit balances. v >- TRANSACTIONS. Use one folded sheet of two-column paper for day book, one for cash book, also one folded sheet of ledger paper to record the follow- ing transactions. Write your own name as proprietor. Feb. 1, 191—. Commenced business with the following : Resources — Cash, $556.02; a stock of groceries inventoried at $300, and a balance of account of $200, due from R. E. Lee. (Day Book. Form 17 A, and Cash Book, Form 17 B.) Liabilities — Balance of account favor James Dawes, $75; and balance of account favor M. E. King, $150. (Day Book.) Paid cash for rent of store room one month, $25. (Cash Book.) Received invoice from Hart & Co., Boston, of merchandise bought of them on account, amounting to $236.95. (Day Book.) Paid cash for freight on above invoice, $3. (Cash Book.) The above transactions comprise the work of the first day. You may now post, opening accounts on ordinary ledger paper, eight lines to the account. Number the accounts as opened, and consider the numbers pages for posting purposes. Post R. E. Lee’s debit balance, M. E. King’s and James Dawes’ credit balances; also Hart & Co.’s credit. Hereafter, post at the close of each day’s entries. 2 Sent cash per bank draft to the Union Woolen Mills, to pay for an invoice of cassimere and flannel amounting to $201.50, on which they have offered a cash discount of 5 per cent if the invoice is paid at once Amount sent, $191.42. (Cash Book.) Paid cash for exchange on above draft, 25 cents. (Cash Book.) Paid cash for freight on above invoice, $1.75. (Cash Book.) The sale tickets for the day show cash sales amounting to $33.29. (Cash Book.) Paid cash for cleaning store room, $2.50. (Cash Book.) 3 Sold my stock of groceries to M. E. King for $325, receiving cash to apply on same, $175 ; balance on account. (Day Book and Cash Book.) Received from Hart & Co., a second invoice of merchandise bought of them on account, amounting to $49.49. (Day Book.) Paid cash for freight on last invoice, $1.50. (Cash Book.) Sent Hart & Co. cash per draft to apply on account, $25 ; also pay- ing cash for exchange on the draft, 10 cents. (Cash Book.) Sold A. E. Blair on account 6 yds. Cassimere @ 95c, 10 yds. Bleached Sheeting @ 10c, 4 yds. Cotton Flannel @ 20c. (Day Book.) Bought of L. A. Kemp on account 200 lbs. of Wool @ 27c. Sold him on account 10 yds. Cashmere @ $1, 25 yds. Cotton Flannel @ 20c, 43 yds. Print @ 6c. (Day Book.) Cash sales today per tickets amount to $54.01. (Cash Book.) Paid T. Jenks cash for 100 lbs. Wool @ 27c. (Cash Book.) 4 Sold to J. Q. Adams 10 yds. Cassimere @ 95c, 20 yds. Brown Sheeting @ 8c, 16 yds. Denim @ 18c, 24 yds. Gingham @ 12%c. Received of him cash to apply on the purchase $10, balance on account. (Day Book and Cash Book.) Bought of M. E. King on account 200 lbs. Wool @ 27c. (Day Book.) Paid cash to sundry persons for 1,200 lbs. Wool @ 27c. (Cash Book.) Bought 300 lbs. Wool of G. A. Hunter, selling him sundry mer- chandise in part payment, and giving him cash, $55.86 to pay the balance. (Cash Book.) Shipped to the Union Woolen Mills, Clinton, on account, 2,000 lbs. Wool @ 30c. (Day Book.) Paid cash for freight on the wool, $10. (Cash Book.) Cash sales today per tickets amount to $38.22. (Cash Book.) Paid Hart & Co. cash to apply on account, $100. (Cash Book.) 4 Received cash of R. E. Lee to apply on account, $25. (Cash Book.) The cash in drawer and safe this evening amounts to $124.16. (The Cash Book should show the same balance.) Rule the Cash Book and carry balance down. 5 Received cash of the Union Wool Mills to apply on account, $100. Sold R. E. Lee on account 20 yds. Cashmere @ $1, 24 yds. Ging- ham @ 12y 2 c, 15 yds. Flannel @ 50c. Received invoice from Hart & Co. of merchandise bought of them on account, amounting to $388. Paid cash for freight on last invoice, $1.75. Paid cash for drayage to date, $2.25. Paid cash for premium on insurance of merchandise, $5. Paid James Dawes cash on account, $25. Bought of H. S. Lowry, 350 lbs. Wool @ 27c. Paid him cash to apply on the purchase, $47.25 ; balance on account. Bought 300 lbs. Butter of G. W. Simmons, selling him sundry merchandise in part payment and giving him cash, $39.52, to pay the balance. Cash sales today per tickets amount to $87.10. Received cash from R. E. Lee to apply on account, $25. Sent Hart & Co. cash per draft to apply on . account, $50. Also paid cash for exchange on the draft, 10 cents. Received cash of J. Q. Adams to apply on account, $5. Paid M. E. King cash to apply on account, $20. Paid cash for suit of clothes for self, $18.75. Received cash of A. E. Blair to apply on account, $6. Sold H. S. Lowry on account 10 yds. Cashmere @ $1, 6 spools Thread @ 5c, 4iy 2 yds. Bleached Sheeting @ 10c, 43 yds. Print @ 6c. Received cash of R. E. Lee to apply on account, $40. Cash sales today per tickets amount to $80.52. Paid James Dawes cash on account, $20. Received cash of the Union Woolen Mills to apply on account, $150. Paid L. A. Kemp cash on account, $25. Paid cash to sundry persons for 400 lbs. Butter @ 20c. Shipped to Lee & Shepard, New York, 700 lbs. Butter, on account, @ 22%c. Paid cash for freight on the butter, $3.50. The cash in safe and drawer this evening amounts to $279.66. Balance cash book and carry balance down. Personal accounts are supposed to be settled at the end of the month in ordinary business where cash discounts are not considered, although it is rarely that all accounts can be collected at any one time. However, statements to customers should be made out on the last day of the month, the statements covering the account of a month’s trans- actions. When statements are made, the accounts are balanced. In this exercise, the student may balance the accounts as would be done at the end of the month. Enter the balances in red ink, rule, and carrying the balances below in black ink. Financial Statement. With Form 2 as a general model, prepare a financial statement. 1. Enter cash balance from cash book. 2. Enter debit balances from ledger accounts. 3. Enter total of inventory consisting of the following items: Merchandise unsold at cost $546.95 350 lbs. Wool at 27c _ 1 % Rent payment on Feb. 2 ? 3/2 Insurance payment on Feb. 5 ? 4. Enter credit balances from ledger accounts. 5. Enter net w T orth in red ink. Rule and total asset and liability columns. 6. Carry net worth below ruling into left column. 7. Carry net worth of Feb. 1, from day book below into right column. 8. Place difference below in lesser column, red ink. If a gain write “Gain to date,” if a loss write “Loss to date.” Rule and total the last named columns. Copy this statement in your day book. Fill out review sheet for Problem 20 A and submit work for inspection. 6 Retail Grocery Set In this set the student will assume proprietorship of a retail grocery business. The accounting plans will be such as are adapted to the ordinary grocery, meat market, feed store, hardware store, drug store, etc., where the proprietor usually makes numerous small sales for cash or on monthly settlements. Five days’ work are recorded by single qptry, followed by double entry records to the completion of a month’s transactions. PART ONE— SINGLE ENTRY. Many, perhaps the majority of shopkeepers, consider their busi- ness affairs of so simple a character that they feel competent to remember the general facts about their business without the aid of permanent accounts of capital, property, expenses, etc. Such business men are satisfied with a scheme of record that will enable them to keep accurate accounts of cash, collections and payments to be made. In addition to this, the amount of sales made from period to period affords an indication of the progress of their business. In Part One of the present set, a single entry system, exhibiting the facts mentioned above, will be used. It is important in a small retail business to have a system of accounting that affords a practical certainty that all transactions are actually recorded. This will appear more important when you con- sider that the shopkeeper is frequently very busy weighing, measuring, selling, making note of goods to be ordered, making change, and taking orders by telephone and at the counter. His bookkeeping system must adapt itself to his other work, with the least possible inconvenience. Plan of Record. In Part One, of this set, use will be made of the cash register, with daily statement slip ;, sales books and daily cash and charge sale records. A bank checking account will require entries in the check book. NOTE. — The author would recommend the system used in Part One of this set only to persons who are unfamiliar with a complete accounting system. The fact that such systems as this are in general use in small stores is considered sufficient reason for giving it attention. The Cash Register. This machine was primarily intended to make an automatic concealed record of cash receipts, and to provide a locked drawer for the protection of cash. In order to open the drawer, the salesman must necessarily make a record — a provision against forgetfulness. The amount of a given record is visible to both customer and salesman concerned in a given transaction. This provision tends to prevent clerks from making false records. The convenience of this machine, and its wide use have caused manufacturers to add many practical devices to the original plan, resulting in various types of cash registers, more or less complicated. In this illustrative set we follow the accounting plan used in numer- ous small stores with good results, in connection with a recent type- of cash register. 7 What the Cash Register Shows. The cash register here described — a machine costing about $150 — is constructed to record and add automatically all cash receipts as taken in. Beginning with the machine clear in the morning, the amount collected at any given time is visible on the “Cash Received” adding counter. (See Form 171.) By the same action, the numbering counters show how many times the cash drawer has been open under “Customers”; how many collections were made to apply on account under “Rec’d on Acc’t”; how many charge sales were made under ‘ ‘ Charge ’ ’ ; how many disbursements were made out of the cash drawer under “Paid Out”; how many times the drawer was opened without a transaction, as in making change for a bill under “No Sale.” The sum of the four last mentioned numbering counters taken from the sum in the customer’s counter, shows the number of cash sales. The record is made by the operator pressing the keys (see key arrangement, Form 17 I) so as to show the kind and amount of each transaction as it occurs. This action causes a record to be printed on a Detail Strip (see Form 17 J) showing, if a cash sale, simply the amount; if a charge sale, the amount preceded by “Ch;” if a receipt of cash on account, the amount preceded by “Rc”; if a payment of cash, the amount preceded by “Pd.” Thus in the model detail strip, the amounts, $2.41, $4.78 are records of cash sales; the following item “Ch. $25.60” is record of a charge sale, the record “00” is a record of no sale, etc. The detail strip prints the amounts in sight of the operator, and permits additional pencil memoranda where explanation is desirable. Daily Balance Slip. At the close of the day, the daily balance slip is made up from the cash on hand, machine records, and reference to the memoranda. After taking out the fund placed in the cash register at starting for making change, the cash is counted and placed on daily balance slip, opposite “cash in drawer” (see Form 17 K.) On the reverse side of daily balance slip (see form) are entered the amounts of the items (1) paid out, (2) received on account, (3) charge sales. Compare the amounts in the form with the detail strip. By using these amounts you will readily see how the remainder of the proofs are completed in the cash and charge records of the daily balance slip which the student will be instucted to follow out under more specific directions at the close of the first day’s transactions following. Cash and Charge Record. The totals of the daily balance slip are written in the daily cash and charge record book. This book con- tains the records of one month, allowing one line for each day, together with a line between the daily records for adding totals to date, thus providing dedails of each day’s business, together with accumulating totals day by day. The details of handling this book will also be explained as you proceed. The totals of the month are transferred from the daily cash and charge record to a similar monthly cash and charge record (see Form 17 L.) Sales Book. The proprietor of the store carries a sales book, or if there are several salesmen each carries his individual book. This 8 sales book ordinarily contains fifty sales slips — originals and dupli- cates. On making a sale to a customer, the items are entered in dupli- cate, extended, and the slips are detached from the book, when one slip is handed to the customer, and the other is placed in the drawer for entry in the books. It is customary to deliver the original copy to the customer and keep the duplicate when making a cash sale. When making a charge sale, the duplicate is delivered and the original kept. The slips are assorted at the close of the day and the charge sales are posted from the slips to the ledger accounts. A collection of cash on accounts from a customer is receipted for by entry on a sale slip (see Form 17 G), the original kept for posting and the duplicate handed to the customer. In the present set the student will use debit and credit tickets to represent sales slips for posting purposes. In cash sales no tickets will be required. Invoices and Bills Payable (See Form 17 H.) Purchase invoices are entered in this book and numbered to agree with the record number. When paid, the date of payment and the check number are written to the right. The date of payment is entered as a convenient reminder when to pay invoices that are not settled at time of purchase. Notes are sometimes given to the bank for borrowed money. In order to have a record of all maturities payable in one place, future due notes are recorded in this book with the invoices payable but dis- tinguished from the latter by red ink entry. Check Book. A number of important cash payments will be made by check. The student will keep a record of the bank account on stubs of check book. TRANSACTIONS. Sept. 1, 19 — 1. Begin business with cash $1,000, which deposit in bank check- ing account. (Your cash investment has been placed in cash register envelopes.) In the present theory set, you are required to keep record of the bank account only on the stub of the check book. Consider the deposit properly made by placing the cash in the “community cash” envelope, and making the record on the check book stub. 2. Pay J. H. Harper by check for rent of store room one month $30. Enter in stub of check book and carry balance forward. 3. Buy of Daniel Bennett goods invoiced this date amounting to $600 paying by check No. 2. Enter in invoices payable book (see Form 17 H), record check for the amount, and mark the invoice paid on margin of invoices pay- able book. 4. Buy of Fenton Produce Co. invoice of merchandise dated Sept. 1, terms 2/10, for $33.60. Enter in invoices payable book. Pay by check the amount after discount. Mark date of payment and check number in invoices pay- able book. 9 5. Sell to James Armstrong, 127 Third St., to be delivered by 9 a. m., collecting cash for the bill, 5 lbs. A Sugar @ 6c, 1 lb. Mocha Coffee @ 40c, 2 doz. Eggs @ 18c, 4^4 lbs. Ham @ 14c, y 2 bu. Apples @ $1.50. Compute the amount, count cash from the “Community Cash” envelope and place it in the cash register, making a record on the detail strip (see Form 17 J.) In this set the student is not required to write sales slips for cash sales. Explanatory. In the contrivance here used to represent a cash register the student is expected to make in pencil or ink the record that would ordinarily appear in the detail strip. These records must be made with the utmost care. At the close of each day, the records that should appear in the adding counters may be found printed on the back of the cash register envelope. The student is cautioned to make an accurate detail strip, for the detail strip must prove with the adding counters. 6. Sell C. E. Bonner, 229 Fourth Avenue, to be delivered by 10 a. m., 6 lbs. G Sugar @ 6y 2 c, 2 cans Peaches @ 25c, 6 cakes Ivory Soap @ 5c, 5 y 2 lbs. Butter @ 22c, 1 pk. Turnips @ 18c, 2 gals. Maple Syrup @ 75c, 2 lbs. Coffee @ 35c, collecting cash for the bill. Follow the routine given for transaction 5. Caution. It is very important that cash be carefully counted. An error will cause a great deal of trouble when cash proof is to be taken. You will have a great deal of practice in counting cash as you proceed. Be accurate. 7. The Union Hotel Co., 316 Park Avenue, order on account for delivery at 10 a. m., 100 lbs. G Sugar @ 6% c, 20 lbs. Mocha Coffee @ 40c, 10 doz. Eggs @ 18c, 1 doz. Canned Peaches @ 25c per can, 5 lbs. Japan Tea @ 45c, 15 lbs. Ham @ 11c, 1 box Grapes, 20 lbs. @ 12c. In actual business duplicate sales slips would be made out, the copy handed to the customer and the original placed in the drawer for entry later. In this set use a debit slip only, which record on detail strip (see Form 17 J), and place the slip in the cash register drawer. A person asks you to change a one dollar bill. Take the incoming bill from community cash and deliver to community small change from the drawer. Make no sale record “00” on detail strip. (See Model.) This shows that the cash drawer has been opened without a busi- ness transaction having taken place. 8. Sell John Emery, 492 Third Avenue, 2 pa. Rolled Oats @ 10c, 2 y 2 lbs. Cheese @ 15c, 4 lbs. Prunes @ 3 lbs. Java Coffee @ 35c, collecting cash for the bill. 9. Pay John Turner cash for cleaning store room $2, taking no receipt. The cash should be taken from cash drawer and placed in com- munity cash. In addition to the record “Pd. 2.00,” which is to be recorded on detail strip, write explanatory pencil memoranda (see detail strip, Form 17 J.) 10. Sell to City Restaurant, 169 Second Street, for delivery at 11 a. m., 1 brl. Apples @ $3.75, 75 lbs. A Sugar @ 6c, 10 bu. Potatoes @ 50c, 5 lbs. Rice @ 9% c, collecting cash. 10 Hereafter enter cash sales on detail strip only, and place the cur- rency in the drawer. 11. Sell A. R. Baker, 212 Second Street, on account, 4 lbs. Apricots @ 15c, 6 cakes Ivory Soap @ 5c, 5 lbs. Butter @ 20c, 50 lbs. C Sugar @ 5%c, 3 lbs. Java Coffee @ 35c, 2 gals. N. 0. Molasses @ 40c, 10 lbs. Beans @ 5c. Enter on detail strip and place debit slip in drawer. 12. Sell Mrs. N. Hammond, 217 Sixth Street, % lb. Japan Tea @ 45c, 1 y 2 bu. Potatoes @ 50c, 4 lbs. Rice @ 10c, 10 lbs. C Sugar @ 5 y 2 e, 4 lbs. Rio Coffee @ 25c, 1 sk. Flour @ 75c, 12 lbs. Mess Pork @ 9c, collecting cash. 13. Sell Henry Keister, 459 Sixth Street, 1 bu. Onions @ 95c, 6 cans Corn @ 16 2/3c, 4 heads Cabbage @ 10c, 1% doz. Oranges @ 25c, 10 lbs. Beans @ 5c, 12 lbs. G Sugar @ G^c, collecting cash. 14. Sell Union Hotel Co.,. 316 Park Avenue, on account, to be delivered at once, 10 lbs. Cheese @ 14^0, 50 lbs. Butter @ 18‘%c, 25 lbs. Bacon @ 12c, 1 brl. Flour @ $5.50, 6 gal. Maple Syrup @ 70c, 120 lbsi C Sugar @ 15. Sell Mrs. M. J. Fletcher, 326 Archer Avenue, on account, to be delivered by 3 p. m., 5 lbs. Butter @ 20c, 2 gals. Maple Syrup @ 75c, 5 lbs. Laundry Starch @ 10c, 10 lbs. Rio Coffee @ 25c, 2 doz. Lemons @ 25c, 2 sks. Flour @ 75c, 1 lb. Eng. Breakfast Tea @ 50c. 16. Sell N. M. Martin, 424 Third Street, 6 lbs. Grapes @ 12c, 3 lbs. Java Coffee @ 35c, 8 lbs. G Sugar @ 6 V 2 C, 6 lbs. L Starch @ 10c, 4 doz. Lemons @ 25c, 1 lb. Eng. Breakfast Tea @ 55c, collecting cash. NOTE. — When you cannot find the exact change desired in community cash, make change from cash register. 17. Collect from Union Hotel Co. $25 currency on account. Enter the amount on a credit slip, record on detail strip and place credit slip in drawer. 18. Paid cash from drawer for sundry garden produce, $15.20. Pass the currency from the register to the community cash. Make pencil memoranda on detail strip for all payments. No other record is required. 19. In your sale to City Restaurant, transaction ten, you charged $3.75 for a barrel of apples when the price should have been $3.25. This being reported to you, hand the proprietor fifty cents, the amount of the overcharge. Record on detail strip with the annotation, “ Refund City Restaurant.” 20. You may consider this the close of a day’s records. Prove Cash. Count the cash in the drawer and place amount in “Cash in Drawer” line of the daily balance slip. (See form.) On reverse side of the daily balance slip, transfer from the adding counters the number of transactions of each kind, and in the columns beneath, copy the amounts of the tansactions from the detail strip, and find totals. After copying, see that the number of items in each column agrees with numbers you should have taken, comparing with the slip numbers at head of column. Transfer total of “Paid Out” to the next line of the front side of slip, and add, placing total in the next line. Compare total thus found with total cash received shown on adding counter of your cash register. 11 LIBRARY N v^sity of wmm Likewise, transfer total “Rec’d on Acc’t” and substract, showing “ Gross Cash Sales.” Deduct from this any refunds if any are shown on detail slip, leaving “Net Cash Sales.” Transfer Charge Sales to front side of daily balance slip, deduct for sold goods returned for credit, if any, and complete the record by showing total sales for the day. Cash and Charge Record. Transfer the amounts shown on daily balance' book to the columns of the cash and charge record book, Form 17 L, having headings to agree with the explanations on the slip. Cashier’s Fund. Place $5 in the cash register for making change tomorrow, and enter the amount at top of the next following daily balance slip, placing the balance slip in the drawer. Register “no sale” on detail strip. Deposit. The remaining cash you will consider deposited. Place it in the “Communnity Cash” envelope and enter on check stub. Posting. With the four customers’ debit slips and one' credit slip before you, open accounts in the customers’ ledger, beginning with page 15, comparing with Form 17 D, where the balance entry on the first line will be disregarded when opening new accounts. Post in the order of the transaction numbers and carry balance to the third column when you post. September 2. 21. Buy of Dalton & White per invoice dated Sept. 1, terms 2/10, amount $66.39. Enter in invoices payable book; pay by check after deducting the cash discount together with $1 estimated damage to goods on account of defective packing. 22. Sell Mrs. E. M. Sawyer, 419 Third Street, 3 doz. Eggs @ 18c, % bu. Apples @ $1.50, % bu. Turnips @ 75c, 2 bunches Radishes @ 10c, 2 lbs. Cheese @ 15c, collecting cash. 23. Sell W. C. Norton, 213 Third Avenue, 25 lbs. A Sugar @ 6c, 4 lbs. Apricots @ 15c, 2 sks. Flour @ 75c, 1 sk. Corn Meal @ 45c, 5 lbs. Mocha Coffee @ 40c, 6 doz. Eggs @ 18c, collecting cash. 24. Pay cash for sundry garden produce $5.10. 25. Sell to A. R. Baker, on account, to be delivered before 1 p m., 2 doz. Bananas @ 15c, 4 lbs. Prunes @ I 2 V 2 C, 2 gals. Crystal Syrup @ 35c, 3 lbs. Java Coffee @ 35c. 2 doz. Oranges @ 25c, y 2 lb. Cheese @ 15c, 2 lbs. Japan Tea @ 35c, 50 lbs. G Sugar @ 6V 2 c. 26. Sell E. H. Preston, 195 Second Avenue, 1 lb. Y. H. Tea @ 45c, 2 doz. Bananas @ 15c, 2 gals. Cystal Syrup @ 45c, 4 lbs. Java Coffee @ 35c, 7 lbs. Bacon @ 12y 2 c, 12 lbs. G. Sugar @ 614 c, collecting cash. 27. Sell Mrs. M. J. Fletcher, on account, to be delivered at once, 50 lbs. Mess Pork @ 9c, 4 sks. Flour @ 75c, 10 lbs. Butter @ 20c, 5 bu. Potatoes @ 50c, 1 bu. Onions @ 95c, 5 hds. Cabbage @ 10c, 2 bunches Radishes @ 10c. 28. Sell the City Restaurant, 168 Second Street, for cash, to be delivered at once, 10 pkgs. Rolled Oats @ 10c, 10 lbs. Y. H. Tea @ 40c, 10 gals. Crystal Syrup @ 35c, 10 lbs. Cheese @ 15c, 1 br). Apples @ $2.75, 1 brl. Flour @ $5.50, 5 cans Peaches @ 25c, collecting cash. 29. Collect from A. R. Baker, cash $10, on account. 12 30. Sell A. R. Cushman, 116 Ninth Street, 5 lbs. Java Coffee @ 35c, y 2 hu. Onions @ 95c, 3 gals. Maple Syrup @ 75c, 3 hds. Cabbage @ 10c, collecting cash. 31. Sell A. R. Baker, 212 Second Street, on account, to be deliv- ered by 1 p. m., 16 cans Corn @ 16 2/3c, 10 cakes Ivory Soap @ 5c, 4 doz. Eggs @ 15c, 25 lbs. A Sugar @ 6c, 2 sks. Corn Meal @ 45c, 50 lbs. Bacon @ 12%c. 32. Sell the Union Hotel Co., on account, 6 cans Peaches @ 25c, 121/2 lbs. Ham @ 14c, 7 lbs. Apricots @ 15c, 20 cakes Ivory Soap @ 5c, 15 lbs. Beans @ 5c. 33. Sell E. M. Webster, 212 Fourth Street, 2 y 2 bu. Potatoes @ 50c, 10 lbs. Rice @ 10c, 12 lbs. C Sugar @ 5y 2 c, 11 lbs. Bacon @ 12y 2 c, 4 hds. Lettuce @ 5c, 2 sks. Table Salt @ 10c, collecting cash. 34. Sell A. R. Baker, on account, to be delivered before 4 p. m., 25 lbs. C Sugar @ 5y 2 c, 2 doz. Bananas @ 15c, 4 lbs. Cheese @ 15c, 1 bu. Potatoes @ 50c, 5 lbs. Butter @ 20c, 4 lbs. Java Coffee @ 35c, 8% lbs. Ham @ 14c. 35. Considering this the close of the day, prove cash and complete the day’s records as directed in Transaction 20. Before counting cash, however, take $5 from the drawer. This amount is kept as a cashier’s fund for change, and will not be counted. After entry in cash and charge record, add yesterday’s and today’s columns in the third, or “To Date” line, in red ink. (See Form 17 L.) NOTE. — After the entries for the first day in the daily cash and charge record book, the amounts are not intended to agree with the results secured by the student. They are given as form illustrations only. Deposit today’s cash in drawer, excluding the $5 cashier’s fund, which you will return to the cash drawer with balance slip for to- morrow, as before instructed. September 3. 36. Pay Thomas Trenton cash from drawer for delivering mer- chandise to city customers $2. 37. Thomas Trenton sold and delivered to you his horse and wagon, for which pay him by check, $210. Thomas Trenton will enter your employ, receiving a salary of $13 per week. Make memorandum on detail strip. No salary payment is made at this time. 38. Pay cash from drawer for horse feed, $2.10. 39. Pay W. Gammon for rent of stable one month, $6.00 by check. 40. Sell Mrs. M. J. Fletcher, 326 Archer Avenue, on account, 4 pa. Rolled Oats @ 10c, 2 cans Peaches @ 25c, 1 bu. Apples @ $1.25, 5 lbs. Butter @ 25c, 2 sacks Flour @ 75c, 20 lbs. G Sugar @ 6y 2 c, 2 lbs. Cheese @ 15c. 41. Sell Chas. E. Gordon, 617 Fifth Avenue, for cash, to be deliv- ered before 4 p. m., 25 lbs. C Sugar @ 5y 2 c, 2 doz. Bananas @ 15c, 4 lbs. Cheese @ 15c, 1 bu. Potatoes @ 50c, 5 lbs. Butter @ 20c, 4 lbs. Java Coffee @ 35c, 8 y 2 lbs. Ham @ 14c. 42. Sell Charles Daniels, 214 Seventh Street, 3 pa. Rolled Oats @ 10c, 7 lbs. Bacon @ 12%c, 3 gals Crystal Syrup @ 45e, 4 lbs. Rio Coffee @ 25c, 6 doz. Eggs @ 18c, collecting cash. 13 43. Sell Mrs. J. G. Vance, 192 Third Avenue, 7% lbs. Grapes @ 12c, 6 lbs. Beans @ 5c, y 2 lb. Eng. Breakfast Tea @ 55c, 10 lbs. A Sugar @ 6c, 6 cans Corn @ 16 2/3c, 1 gal. Costal Syrup @ 45c, 2 bunches Radishes @ 10c, collecting cash. 44. Collect cash from Union Hotel Co. on account, $30. 45. Collect cash from Mrs. M. J. Fletcher on account, $5. 46. Pay cash for produce, $12.16. 47. Sell City Restaurant, 168 Second Street, for cash, to be deliv- ered at once, 5 lbs. Japan Tea @ 42c, 12 gals Maple Syrup @ 62%c, 12 lbs. Mocha Coffee @ 37%c, 25 lbs. Butter @ 18c, 24 lbs. Beans @ 4%c, 6 doz. Lemons @ 23c, 6 doz. Bananas @ 13e. 48. Buy of Western Milling Co. merchandise per their invoice, dated Sept. 2, terms 3/10, amount $19.80, paying by check. 49. Pay cash for repairing window, $1.50. 50. Sell Union Hotel Co., 316 Park Avenue, on account, 60 cakes Ivory Soap @ 4y 2 c, 24 lbs. Java Coffee @ 33 l/3c, 50 lbs. Ham @ 12y 2 c, 6 doz. Lemons @ 20c, 100 lbs. A Sugar @ 5%c, 10 hds. Cabbage @ 8c, 5 lbs. English Br. Tea @ 45c. 51. Prove cash and make daily cash and charge record. Do not include the cashier ’s fund in the amount counted. As soon as record is made, total all columns, of the cash and charge record, that is, add the previous total to present amounts, bringing the totals to date. Deposit all cash except cashier’s fund, which leave in cash drawer. September 4. 51. Sell T. R. Rich, 482 Fourth Avenue, 6 lbs. Prunes @ 121/^c, 2V 2 lbs. Cheese @ 15c, 6 cans Corn @ 16 2/3c, §y 2 lbs. Ham @ 14c, 5 lbs. Rio Coffee @ 25c, 1 lb. Japan Tea @ 45c, collecting cash. 52. Sell C. E. Bonner, 219 Fourth Avenue, 12 lbs. Beans @ 5c, y 2 bu. Turnips @ 75c, 1 doz. Lemons @ 25c, 3 hds. Cabbage @ 10c, 12 lbs. Bacon @ 12%c, 1 lb. Cheese @ 16c, 1 lb. Butter @ 18c, collecting cash. 53. Pay cash from drawer for produce, $11.49. 54. Sell J. C. Jackson, 457 Eighth Street, 2 doz, Bananas @ 15c, 9 lbs. Bacon @ 12%c, 2 sks. Flour @ 75c, 2 lbs. Eng. Breakfast Tea @ 55c, 16 lbs. G Sugar @ 6%c, 3 lbs. Mocha Coffee @.40c, 2 doz. Oranges @ 25c, collecting cash. 55. Sell Cyrus Gordon, 422 Fourth Street, 2 lbs. Y. H. Tea @ 45c, 25 lbs. A Sugar @ 6c, 3 cans Peaches @ 25c, 6y 2 lbs. Ham @ 14c, y 2 bu. Turnips @ 75c, 5 lbs. Mess Pork @ 9c, collecting cash. 56. Sell to cash customer 2 lbs. Mocha Coffee @ 40c, 2 lbs. Java Coffee @ 35c, 20 lbs. G Sugar @ 6y 2 c, 12y 2 lbs. Ham @ 14c, iy 2 bu. Potatoes @ 50c, 3 cans Corn @ 16 2/3c, collecting cash. 57. Sell Charles E. Gordon, 617 Fifth Avenue, for cash, 25 lbs. A Sugar @ 6c, 3 doz. Eggs @ 18c, % bu. Apples @ $1.50, 1 bu. Potatoes @ 50c, 1 sk. Flour @ 75c, 2 hds. Lettuce @ 5c. 58. Sell Mrs. M. J. Fletcher, 326 Archer Avenue, 3 gals. Maple Syrup @ 75c, 5 lbs. L. Starch @ 10c, 2 doz. Lemons @ 25c, V 2 lb. English Breakfast Tea @ 55c, 2 bunches Radishes @ 10c, 2 sks. Corn Meal @ 45c, on account. 14 59. Refund B. R. Rich 25 cts. overcharged in sale to him. 60. Sell S. L. Johnson, 119 Second Street, for cash, 18 lbs. Bacon @ 12y 2 c, 6 lbs. dried Apricots @ 15c, 5 lbs. Butter @ 22c, 2 lbs. English Breakfast Tea @ 50c, 3 doz. Lemons @ 25c, 3 lbs. Cheese @ 15c, 20 lbs. C Sugar @ 5c, 30 lbs. Rice @ 10c. 61. C. E. Bonner returns one pound of cheese which he reports unfit for use. Refund cash for the amount charged on sale of this date. 62. Buy of Harmer Packing Co., invoice dated Aug. 30, terms 5/10, amount $50.50. Enter in invoices payable but do not pay at present. 63. Buy of Fenton Produce Co., invoice dated Aug. 30, terms 2/10, amount $20.60. Enter but do not pay. 64. Sell John Thomas, 419 Grand Avenue, for cash, 1 bu. Apples @ $1.50, 5 lbs. Butter @ 24c, 12 lbs. G Sugar @ 6%c, 1 bu. Potatoes @ 50c, 2 gals. Crystal Syrup @ 35c, 4 doz. Eggs @ 18c, 2 lbs. Japan Tea @ 45c. 65. Prove cash and make daily record. Deposit all cash on hand except cashier’s fund. NOTE. — When you enter deposit on check stub, you will find that a pre- vious deposit has been made since a check was issued. The form of your check stub does not provide space for two consecutive deposits on the same stub. You will be expected to add this deposit to the previous balance, entering the figures in the neatest manner that occurs to you. One way to do so is to cancel the check record at the top of stub, remove and destroy the check blank, carry forward to the next stub, then enter the deposit. September 5. 66. Sell to cash customer 2 lbs. Mocha Coffee @ 40c, 25 lbs. A Sugar @ 6c, 4 doz. Eggs @ 18c, 1 bu. Apples @ $1.50, 10 cakes Ivory Soap @ 5c, y 2 bu. Onions @ 95c, collecting cash. 67. Sell to A. R. Baker, on account, 3 doz. Bananas @ 15c, 2 sks. Table Salt @ 10c, 2 hds. Lettuce @ 5c, 11% lbs. Mess Pork @ 9c, 1 sk. Corn Meal @ 45c, 2 pa. Rolled Oats @ 10c. Collect from him cash on account, $10. 68. Sell Charles E. Gordon, 617 Fifth Avenue, for cash, to be delivered at 1 p. m., 25 lbs. A Sugar @ 6c, 5 lbs. Java Coffee @ 31c, 7 lbs. Rice @ 10c, 1 brl. Apples @ $3.25. 69. Sell C. D. Fletcher, 219 First Street, 3 doz. Bananas @ 15c, 2 gals. Crystal Syrup @ 45c, 4% lbs. Cheese @ 15c, 20 lbs. Mess Pork @ 9c, 4 hds. Cabbage @ 10c, 2 bu. Onions @ 95c, 4 hds. Lettuce @ 5c, collecting cash. 70. Buy of Dalton & White, invoice dated Sept. 5, terms 2/10, amount $66.25. Enter but do not pay at present. 71. Pay Thomas Trenton cash for wages to date, 5/6 of weekly wages agreed upon. 72. Sell A. R. Cushman, 116 Ninth Street, 5 lbs. Grapes @ 12c, 16 lbs. Rice @ 10c, 8 lbs. Rio Coffee @ 25c, 4 sks. Flour @ 75c, 16 lbs. Bacon @ 12%c, 20 lbs. G Sugar @ 6y 2 c, collecting cash. 73 . Sell Union Hotel Co., and charge, 1 bu. Apples @ $1.50, 5 15 lbs. Butter @ 24c, 12 lbs. G Sugar @ 6%c, 1 bu. Potatoes @ 50c, 2 gals. Crystal Syrup @ 35c, 4 doz. Eggs @ 18c, 2 lbs. Japan Tea @ 45c. 74 . Receive from Union Hotel Co., cash $20 to apply on account. 75 . Sell Mrs. M. J. Fletcher, 326 Archer Avenue, on account, 40 lbs. A Sugar @ 5%c, 2 lbs. Japan Tea @ 45c, 8 lbs. Butter @ 22%c,' 3 hds. Cabbage @ 10c, 14 lbs. Bacon @ 12 1 /2C, 2 gals. Crystal Syrup @ 45c. 76 . Buy of Western Milling Co., invoice dated Sept. 5, terms 3/10, amount $22.60. Enter but do not pay. 77 . Sell E. A. Inman, 412 Fourth Avenue, 20 lbs. C Sugar @ 5 Y 2 C, 6 lbs. Rio Coffee @ 25c, 2 gals. N. O. Molasses @ 50c, 12 lbs. Bacon @ 12y 2 c, 2 lbs. Y. H. Tea @ 45c, collecting cash. 78 . Refund cash 30 cents to a cash customer for overcharge. 79 . Credit Mrs. M. J. Fletcher for the butter sold her in Trans. 75c, which she has returned. Record on credit slip and detail strip. Amount should not appear in printed column of figures for the reason that this machine has no mechanism to record returned goods. Simply register “no sale.” 80 . Issue check for $150, payable to John Boland, Agt. Cash Register Co., in payment for the cash register which you are using. Prove cash, enter record, and deposit all cash, including cashier’s fund. Prepare review sheet for Part One, and submit outfit, so far as used, for examination. ^ PART TWO-DOUBLE ENTRY. Explanatory. At this point you will change your bookkeeping system to double entry. Your present single entry system, while it is very practical and easily operated, so far as it goes, is open to some criticisms. For example, it does not provide for accounts of property, of merchandise bought, or of expenses. These things may be carried in mind by the business man, but if his business is to grow, they would better be carried in accounts. The province of bookkeeping is to relieve the memory of every essential matter that can be recorded in books. The Books Used. A general ledger will be used for all of the general accounts of the business. This is in the form known as a four column balance ledger, an account from which is illustrated in Form 17 C. A customers’ three column balance ledger illustrated in Form 17 D. A cash journal illustrated in Form 17 M. The invoices and bills payable book will be continued as here- tofore. Thu di tail uUip-uill be u i4( U il ~rr?, lumlufuiP. Forms Replaced. The daily balance slip used with the single entry set will, owing to change to double entry, be replaced by a Daily Audit Sheet (see Form 17 N). This sheet serves the double pur- pose of calling attention to records to be made of all transactions 16 involved in a normal day’s business, and of arranging their aggregates in balance-proof form suitable for a single line entry per day in the cash journal. This sheet should be studied with care in view of the labor saving involved in its use, as well as of the assurance it affords that the entire day’s business is properly recorded. CHANGING TO DOUBLE ENTRY. September 7. To change any single entry system to double entry, (1) prepare a financial statement, (2) journalize the statement, (3) open ledger accounts and post the journal entry, (4) prove posting by trial balance. NOTE. — When a ledger in use by single entry is to be continued by double entry the accounts already standing in the ledger need not be posted again, but should be compared with the opening entry. You may now prepare a financial statement, dated Sept. 7. The items entering into this statement are indicated below : ASSETS. Cash (as shown on stub of check book) Accounts Receivable (total of balances on customers’ ledger) Inventory of merchandise 5/6 rent paid on store and stable / >/ vy ‘M.17 $577.16 30 Furniture and Fixtures — cash register at cost Shelving & counters, chairs, etc. Delivery Equipment — (horse & wagon at cost) J 7 TAA, * • u WJ U •2-/0, CrC) ? / w, vz » L WT7. / L ■ 30,a~O __ >s ? ? LIABILITIES. Accounts Payable (four unpaid invoices) Student, Capital, ? as fife' Journalize the statement (see Form 17 M) and rule across the entire page as shown. NOTE. — You will observe that the opening entry is in the same form as the ordinary two column journal. Thus this many-column journal may be used like an ordinary tw T o column journal for opening, closing, and unusual entries. Cash in office and cash in bank accounts are carried in the journal, where in future at the close of any day’s business the balances may be found. Columns 1 and 2 show currency receipts and disbursements ; columns 3 and 4, bank deposits and checks. You may now write “ Balance” in the first line below the ruling of the opening entry, and debit Col. 3, crediting Col. 6 for the bank balance carried down, under date of Sept. 7, as shown in the model. Open general ledger accounts, one page each, in the following order : Accounts Receivable, page 1 ; Bills Receivable, lower third of page 1 ; Inventory, 2 ; Furniture and Fixtures, 3 ; Delivery Equipment, 4 ; Accounts Payable, 5 ; Bills Payable, lower third of page 5 ; Student, 1021 / ? . l 3 ■yT-. (r 0 Capital, 6; Student, Drawing, lower third of page 6; Cash Sales, 8; Charge Sales, 9; Purchases, 10; Trading, 11; Expense, 12; Profit and Loss, 14. NOTE. — This general ledger will, after business is started, be used for posting only once a month so that twenty lines per year for each account would be a fair allowance. If you intend this ledger to last twenty years, space the accounts so that each may extend to a sufficient number of pages to contain 400 lines, giving ample space for the time mentioned. Post all accounts (except hank balance) to the general ledger. NOTE. — The four column balance ledger has, besides the two first money columns for entries, two additional columns for balances. Thus in Form 17 C, the first debit entry is posted to the debit column and at once carried to the debit balance column. The second entries of both debits and credits are posted to the respective columns, then the debit amount is added to the last balance, and the credit subtracted, leaving a new debit balance. In like manner when an account has a credit balance, the balance is carried to the fourth column. Bookkeepers who post to balance ledgers soon acquire proficiency in mentally carrying out the balances. It is an easy matter to take a trial balance from a balance ledger, because the amounts are always in readiness to be copied on the trial balance sheet. Prepare a trial balance of the opening entry by copying debit balances (including bank balance in journal) and credit balances. This completes the opening of the general books. Accounts With Creditors and Customers. You will continue to enter invoices bought in the invoices and bills payable book. The total of these invoices unpaid should equal the balance of Accounts Payable, the controlling account in the general ledger. Your customers’ ledger will also be continued as opened. The total of unpaid balances should equal the balance of Accounts Receiv- able, the controlling account in the general ledger. TRANSACTIONS. September 8. NOTE. — The transactions under this date are especially diversified owing to the purpose to illustrate daily audit sheet covering all points at the close of the day. 81. Sell to Union Hotel Co., 316 Park Avenue, on account, to be delivered at once, 50 lbs. Rice @ 9%c, 20 lbs. Beans @ 41/2C, 40 lbs. C Sugar @ 5^0, 12 cans Peaches @ 22y 2 c, 12 lbs. Ham @ 14c, 12 lbs. Java Coffee @ 33 l/3c, 5 gals. Maple Syrup @ 75c. / 9 , L illi i mi i lnl nil h iyi m rl p lnor Orbit r i li p i n ~drmr r r m 1 1 T ; rml 82. Sell Mrs. John Leonard, 616 Fifth Avenue, 10% lbs. Butter @ 22c, 20 lbs. G Sugar @ 6!/2C> 4 lbs. Java Coffee @ 35c, 12 lbs. Mess Pork @ 9c, 3 bu. Potatoes @ 50c, 2 lbs. Cheese @ 15c, collecting cash. 7 JEm-t-py 0 V| flptail-eiTip. nnrl pi of>p r-nTrgh irTrlrawpy " 83. Sell Henry Kohler, 459 Sixth Street, on account, 2 lbs. Japan Tea @ 45c, 15 lbs. Ham @ 14c, 8 lbs. Grapes @ 12c, 2 sks. Flour @ 75c, 2 sks. Corn Meal @ 45c, 6 hds. Cabbage @ 10c. (# ?( (o 18 84. Sell A. R. Baker, 212 Second Avenue, on account, to be delivered at 2 p. m., 3 doz. Oranges @ 25c, 4 lbs. Cheese @ 16c, 2 lbs. / y ^ Eng. Breakfast Tea @ 55c, 6 cans Peaches @ 25c, 12 lbs. Butter @ 23c. " 85. Pay cash for horse feed, $6.35. 86. Refund Mrs. John Leonard 50 cts. for one bushel potatoes short in goods delivered on her cash order today. The Union Hotel Co. returned 12 cans peaches, delivered and charged to them this morning, for which we give credit at the price charged. O Elaee-e redi L " stip in di a w c r . A. R. Baker returns 3 doz. oranges delivered and charged today, for wlpch give him credit. m 7 ^ L^oJ. Sell N. H. Martin, 424 Third Street, 6 cans Peaches @ 25c, 4 sks. Flour @ 75c, 25 lbs. A Sugar @ 6c, 10 lbs Butter @ 22c, collect- ing^e^sh. V* 88. Sell E. H. Preston, 195 Second Avenue, 5 doz. Eggs @ 18c, % bu. Apples @ $1.50, 2 bu. Potatoes @ 50c, 5 cakes Ivory Soap @ 5c, 5 y 2 lb^Butter @ 22c, 12 lbs. G Sugar @ 6y 2 c, collecting cash. Y Y7 L^8T9. Pay The Startzer Printing and Stationery Co., by check $10.50, for office books, charging expense. 90. Enter two invoices bought: Reed-Miller Co., dated Sept. 8, terms 2/10 n/30, amount $15.60. Oriental Tea Co., dated Sept. 8, terms 1/10 n/30, amount $49.55. Pay by cllteck bill for office bW)ks presentefts^by The Startzer & Stationery Co., charging exp&mje. dake two pXrchases on account i^'Reed & Mill invoice 7 for mer> mvoice pay r 7 Landise $15.60; Orient^ Tea Co., \per ft. 7, merchandise $49.55. you have completed the invoice forms\enter in invoices egister, showing liate on which payment must beViade to secure discount, number theta and place invoices in clip of\mpaid invoices. 91. Pay, by check, to John Hess, a gardener, for sundry produce $17.25. Y 7 92. Referring to invoices and bills payable book, find two in-- voices with discount periods expiring tomorrow. Enter checks for theC 6 ^ net amounts and enter date of payment on the invoices payable register. 93. Sell T. R. Rich, 482 Fourth Avenue, 6 lbs. Java Coffee @ 35c, 2 doz. Oranges @ 25c, 15 lbs. Mess Pork @ 9c, 2 sks. Flour @ 75c, 4 lbs. Prunes @ 12%c, 6 cans Corn @ 16 2/3c, collecting cash. *5 94. Give you check to the Michigan Furniture Co. for $18 to pay for an office desk. Charge Furniture and Fixtures. 95. Receive cash from A. R. Baker to apply on his account, $5. 96. Pay cash from drawer for sundry produce, $4. 97. Sell to Henry Custer, 399 Center Street, on account, to be delivered before 3 p. m., 4 bu. Potatoes @ 55c, 4 hds. Cabbage @ 4y>c, 10% lbs. Ham @ 14c, 2 doz. Lemons @ 25c, 2 sks. Flour @ 75c, 24 lbs. C Sugar @ 5%c, % lb. English Br. Tea @ 50c, 4 doz. Eggs @ 17c. & 98. Receive from him a check for $7 on account. You jm ilL-fi- nrl -^ he ohcok i i T- commnnitv cash envelope, separate slip and place in drawer. Make out 19 99. Sell^C. E. Peters, 498 First Avenue, 16 lbs. Ham (d> 14c, 5 lbs. Apricots (§)■ 15c, 3 doz. Lemons @ 25c, 2 sks._Corn Meal @ 45c, 4 pa. Rolled Oats @ 9 receiving his check. £7 , - J 100. Deposit cash, including two checks received, $20. Record on detail strip “Pd. $20 Deposit,” and place the deposit in community cush. AT CLOSE OF DAY. Prove and enter the day’s work, as follows: Pate a daily audit sheet (see Form 17 N\ and enter amount of cash in drawer as usual. Assort the slips in drawer, customers’ credit slips, customers’ charge slips. Enter the paid out items in the division of the daily audit sheet headed “disbursements.”' Write all amounts in the first column, and also extend them to the columns headed to khow the purpose of the payments. \ Separate customers’ credit slips into cash and returned goods division and enter in the customers’ credit division as shown in the model form. \ From the totals there foufid you can complete the cash proof. After cash is found to balance, enter all checks issued in the division of disbursements reservW for checks and extend the amounts into the special columns. YouVwill find one check issued for an unusual purpose. Carry this to the last column and write the ex- planation in the space reserved for that purpose. Enter all charge sale slips in the space reserved for that purpose. From the invoices payable book transfer the amounts of invoices entered today into the designated column. Foot all columns, carrying the total of disbursements for pur- chases below the total of invoices entered as shown in the form. Proof. Beginning at the top, carry all totals preceded by guide figures to the spaces in the “proof totals” section of the sheet, as shown in the form. This reduces the entire day’s work to a compound journal entry. Foot both proof columns to show in balance. Journalize. Transfer the proof totals to the journal in the columns indicated by the guide figures. See Form 17 M. You will note that one item carried to the general column requires title for posting to general ledger. Customers’ Ledger. With customers’ charge and credit slips in hand, post to the accounts in the customers’ ledger. September 9. Place the caslhscarrie&over in the cash drawer and with it a ticket “Carried from yesterday* $14.14, ” with “No sale” record. 101. Pay cash for sundry produce, $5. 102. Sell Mrs. E. M. Sawyer, 419 Third Street, 15 lbs. C Sugar @ 5!/2C, 6 lbs. Bacon @ 5c, 5 lbs. Rio Coffee @ 25c, 2 gals. Crystal Syrup @ 45c, 2 doz. Bananas @ 15c, 1 lb. Y. H. Tea @ 50c, collecting cash. ¥,o\ 103. Sell C. E. Gordon, 199 Third Street, 4 bu. Potatoes @ 50c, 2 bu. Turnips @ 75c, 5 lbs. L. Starch @ 10c, 16 lbs. Bacon @ 12 1 / £c, 20 12 cans Corn @ 16 2/3c, 5 doz. Eggs @ 19c, 5 lbs. Coffee @ 26c, receiv- ing his check. J (j "is 104 . Sell John Thomas, 419 Grand Avenue, or. account, to be delivered at once, 16 lbs. Bacon @ 13c, 3 lbs. Apricots @ 17c, y 2 bu. Apples @ $1.50, 4 y 2 lbs. Butter @ 20c, 2 lbs. Mocha Coffee @ 40c, 25 lbs. A Sugar @ 6c, 2 gals. Maple Syrup @ 75c, y 2 bu. Turnips @ 85c. 105 . Deposit all cash in drawer except $3.47. 106 . Buy of Murdock & Co., per invoice dated Sept. 4, amount $50.65, of which $16.15 is billed on terms 1/10 n/30, and $34.65 on terms 2/10 n/60. & 0 107 . Receive from Mrs. M. J. Fletcher, cash on account, $10. 108 . Sell the Union Hotel Co., 316 Park Avenue, on account to be delivered at once, 25 lbs. Butter @ 19c, 6 doz. Eggs @ 18c, 5 bu. Potatoes @ 55c, 100 lbs. C Sugar @ 5 y 2 c, 6 lbs. Mocha Coffee. @ 37c, 10 lbs. Raisins @ lO^c, 8 lbs. Cheese @ 15c. ' ^ f 109 . Buy of Garver Grocery Co., per invoice dated Sept. 9, amount $61.58, of which $47.78 is on terms 1/10 n/30 and $13.80 on terms 2/10 n/60. — 110 . Pay cash from drawer for sundry produce, $6.38. 111 . Sell A. R. Baker, 212 Second Street, on account, to be delivered before 3 p. m., 8 y 2 lbs. Ham @ 14c, 4 pa. Rolled Oats @ 10c, 4 cans Peaches @ 25c, 2 doz. Eggs @ 18c, 24 j^s. A Saigar @ 614 c, 2 sks. Flour @ 75c. 112 . Pay cash for sundry produce, $1.25. 113 . Sell Mrs. M. J. Fletcher, 326 Archer Avenue, on account, to be delivered before 2 p. m., 2 doz. Bananas @ 15c, 3 lbs. Laundry Starch @ 8 l/3c, 6 lbs. Java Coffee @ 33 l/3c, 2 gals. N. O. Molasses @ 40c, 10 lbs. Beans @ 4%c, 6 lbs. Bacon @ 12%^ 3 doz. Eggs @ 18c, 2 lbs. Raisins @ 12c. y 33 114 . Pay cash for cleaning floors of store room, $1.50. 115 . Sell Mrs. J. G. Vance, 192 Third Avenue, 6 lbs. Java Coffee @ 35c, 8 lbs. Rice @ 10c, 4 gals. N. O. Molasses @ 50c, 12 lbs. Mess Pork @ 11c, collecting cash. /^ ^ 7^ 116 . Sell A. R. Baker, 212 Second Street, on account, to be delivered by 1 p. m., 16 cans Corn @ 16 2/3c, 10 cakes Ivory Soap @ 5c, 4 doz. Eggs @ 15c, 25 lbs. A Sugar @ 6c, 2 sks. Corn Meal @ 45c, 50 lbs. Bacon @ 12y 2 o,. j Lj, ^ 117 . Sell John Thomas, 419 Grand Avenue, on account, to be delivered at once, 4 hds. Lettuce @ 5c, 2 bunches Radishes @ 10c, 1 bu. Apples @ $1.25, 7%-lbs. Ham @ 15c, 3 doz. Eggsjg) 18c, 5 lbs. Butter @ 22c, 14 lbs. G Sugar @ §y 2 a. \5 , 3 7 118. Sell T. R. Rich, 482 Fourth Avenue, 6 lbs. Java Coffee @ 35c, 2 doz. Oranges @ 25c, 15 lbs. Mess Pork @ 9c, 2 sks. Flour @,75e, 4 lbs. Prunes @12%c, 6 cans Corn @16 2/3c, collecting cash. £ y 119 . Sell James Armstrong, 127 Third Street, 20 lbs. A Sugar @ 6c, 6 cans Peaches @ 25c, 2 lbs. Japan Tea @ 45c, 4 y 2 lbs. Butter 22c, 3 lbs. Prunes @ 12y 2 c, 2 hds. Cabbage @ 10c, collecting cashes j 120. Prepare daily audit sheet and complete day ’s records as in VErans. 100. 21 September 10. ~ Place cash from yesterday indr awer~writh -tiekeL Register “No - sale.” 121. Buy of Central Grocery Co., per invoice dated Sept. 8, amount $72.41, of which $54.] 1 is on terms 1/5 n/30, and $18.30 on terms 2/5 n/60. - 122. Collect cash from Mrs. M. J. Fletcher in full of account. If 123. Sell to Chas. E. Gordon, 617 Fifth Avenue, on account, to be delivered before 2 p. m. 4 gals. N. 0. Molasses @ 44c, 2 bu. Potatoes @ 55c, 4 lbs. Prunes @ 12%c, % doz. Lemons @ 25c, 12 lbs. G Sugar @ 6y 2 c, 3 doz. Eggs @ 18c, 5 lbs. Rice @ 15c. ^ 124. Collect cash from A. R. Baker, $20, on account. 125. Sell Henry Custer, 399 Center Street, on account, 3 hds. Cabbage @ 11c, 1 bu. Potatoes @ 50c, 2 hds. Lettuce @ 5c, 25 lbs. A Sugar @ 6c, 3 doz. Eggs @ 18c, 1 sk. Corn Meal (a) 45c, 10 lbs. Pork @ 12e, 2 doz. Bananas @ 15c. 126. Deposit all cash except $5. 127. Sell Cyrus Upton, 498 First Avenue, 50 lbs. C Sugar (a) 5^0, 10 lbs. Rio Coffee @ 24c, 1 lb. Y. H. Tea @ 45c, 12% lbs. Ham @ 14c, y 2 bu. Apples @ $1.50, collecting cash. 128. Pay cash for sundry produce, $9.25. 129. Sell the Union Hotel Co., 316 Park Avenue, on account v 12 doz. Eggs @ 18c, 40 lbs. Butter @ 20c, ]0 bu. Potatoes @ 50c. / v57 / 4 130. Sell N. H. Martin, 424 Third Street, 2 doz. Eggs @ 18c, 4 gals. Maple Syrup @ 75c, 12 lbs. Bacon @ 12y 2 c, 4 lbs. Java Coffee @ 35c, 24 lbs. A Sugar @ 6c, collecting cash. 7,76 131. Receive from Union Hotel Co., check for $53 to apply on account. 132. Sell T. R. Rich, 482 Fourth Avenue, % bu. Turnips @ 75c, 4 lbs. Cheese @ 15c, 2 sks. Corn Meal @ 45c, 4 lbs. Prunes @ 12%c, 5 lbs. Butter @ 22c, 20 lbs. G Sugar @ 6%c, collecting cash, 133. Pay cash for sundry produce, $5. 134. Collect cash of John Thomas in full of account^ giving a receipted sale slip as usual. / o 0 135. Deposit all cash in register, except $10 kept for change. 136. Make the following small cash sales: 10 cts., 25 cts., 50 cts., 25 cts., 11 cts. 137. Sell E. M. Webster, 212 Fourth Street, 15 lbs. G Sugar @ 6y 2 c, 2 sks. Flour @ 75c, 12 lbs. Ham @ 14c, 4 lbs. Cheese @ 15c, collecting cash. V.7 L 138. Sell Charles E. Gordon, 617 Fifth Avenue, on account, to be delivered at 1 p. m., 25 lbs. A Sugar @ 6c, 5 lbs. Java Coffee @ 31c, 10 lbs. Rice @ 10c, 1 brl. Apples @ $3.25. 1,36 139. Collect cash from A. R. Baker, $10, on account. 140. Paid cash for sundry p roduce, $5.53. Prepare daily audit sheet and compiete~tFe~day r s 'records as in Tr ans— 22 September 11. ^re av^aslrffrom 11 yesterday in cash drawe e make ticket as usual. 141. Sell to Mrs. M. J. Fletcher, 326 Archer Avenue, on account,/* 7 U 6 lbs. Prunes @ 12%c, 2 % lbs. Cheese @ 15c, 6 cans Corn @ 16 2/3c, * 6% lbs. Ham @ 14c, 5 lbs. Rio Coffee @ 25c, 1 lb. Japan Tea @ 45c. ^ 142. Sell to John Thomas, 419 Grand Avenue, on account, 4 bu. Potatoes @ 50c, 2 bu. Turnips @ 75c, 5 lbs. L. Starch @ 10c, 16 lbs. Bacon @ 12%c, 12 cans Corn @ 16 2/3c, 5 doz. Eggs @ 19c, 5 lbs. Coffee @ 26c. /0* T'S' 143. Sell to cash customer, with sales slip, 2 lbs. Mocha Coffee @ 40c, 2 lbs. Java Coffee @ 35c, 20 lbs. G Sugar 6% c, 12% lbs. Ham , @ 14c, 1% bu. Potatoes @ 50c, 3 cans Corn @ 16 2/3c, collecting cash.'*-*, 0 144. Buy of Ladd Packing Co., per invoice dated Sept. 11, terms 1/10 n/30, amount $27.46. 145. Pay cash for sundry produce, $3.50. 146. Give John Thomas credit for 75 ct§., the price of 1 bu. Turnips short in his order, Trans. 142. 147. Mrs. M. J. Fletcher returns 6 cans Corn delivered in Trans_ 141, for which give credit. / 149. Hand a cash customer 50 cts. in settlement of his claim that you sold him three cans of spoiled corn. 150. Pay by check to E. C. Hobel for a set of scales for store use, $18.25. Prepare daily 'audit sheet and complete Jhe day’s records as in Trans. 100. Saturday, September 12. Place cash Trom yesterday in drawer"a"s ustral. 151. Sell Henry Kohler, on account, 10% lbs. Butter @ 22c, 20 lbs. G Sugar @ 6%c, 4 lbs. Java Coffee @ 35c, 12 lbs. Mess Pork @ 9c, 3 bu. Potatoes @ 50c, 2 lbs. Cheese @ 15c. 7 .93 152. Sell Charles E. Gordon, on account, 2 lbs. Japan Tea @ 45c, 15 lbs. Ham @ 14c, 8 lbs. Grapes @ 12c, 2 sks. Flour @ 75c, 2 sks. Corn Meal @ 45c, 6 hds. Cabbage @ 10c. 6. V 153. Collect cash from Union Hotel Co., in full of account. n.tou 154. Make sundry cash sales — 59c., $1.48, $5, $2.50, 5 cts, $1.05 -/ q 155. Pay for sundry produce $3.10. ^ 156. Look over invoices payable, register and find one invoice which should be paid by Sept. 13, to secure discount. Draw check for net amount and pay it. Observe that you are entitled to 1% on part of this invoice, and 2% on the remainder. 157. Pay cash for small expense items, 40 cts. 158. Give Union Hotel Co. credit for returned goods, 10 lbs. Butter @ 20 cts. 1X^ 6 ^ 159. Give Henry Custer credit on account, for 5 days’ clerk hire at $1.50. 7.^6 In order record of this transaction, which is out of the ordinaryTm^ advisabl e that - you treat i t as a cash pay- f L / b \*JL / 4 mem, 3 to £> 9 o O SO. (oS VS' me* account. t6 Henry Custer for^jvages, This will require tworecol slip in the drawer. 160. Make the following cash sales, 20 cts., 25 cts., $2.07, 21 cts., $2. Complete the day’s records. receipt from him on Le detail strip , and a credit without sales slips : 5 cts., NOTE. — You will find credits to two customers’ accounts that overpay, leaving balances in their favor. In the account of Henry Custer, the credit bal- ance of $1.48 should be placed in the balances column in red ink. Likewise any accounts overpaid should show the balance in red instead of black ink. POSTING. It is the usual rule to post special column totals to the ledger at the close of the month’s business. In the present set, you are given the same practice by posting at the close of the week’s business. In order to have journal room for closing, forward all column totals of the journal k rem-follo - ^ to folio 1, - rising red ink or pc Trcrt~~ Write the special column headings in the title space, beginning with Cash, Bank, Accts. Rec., etc. (See form.) Place the cash and bank balances in the general debit column opposite the titles, and place the totals of all other special columns opposite their titles in the general columns. Foot the general columns and rule the journal. Transfer cash and bank balances out of the general into the special columns below the ruling as you transferred the bank balance at the opening entry. Place total of cash and bank in general credit column below the ruling. Post all amounts found in the general columns to their respective accounts in the general ledger, debits and credits on the same line, and balances Carried to balance columns. Prepare a trial balance, using cash and bank balances found in journal, and other balances found in general ledger. Caution. Your general ledger ends on page 14. Customer’s accounts following are not included in the trial balance, since their aggregate is already included in the Accounts Receivable on page 1. September 14. ^ ca w rh 1 carried ov e r in diJT rer with ticket. ^161. The discount period expires today on one invoice. Pay it by check™*" 1 ’ - — . — ' 162. Make cash sales, without billing, as follows:, 5 cts., 20- cts., $3.10, $1.50, $4, 29 cts, $3.40, $10, $4.50. 1-** y 0 V 163. Pay cash for stationery, 75 cts. •%xP r 164. Sell Union Hotel Co. on account, 25 -fbsUASugar @ 6c, 10 lbs. Butter @ 22c, 6 cans Peaches @ 25c, 4 sks. Flour @ 75c. Y.'HO 165. Deposit all cash except $10 carried over. CwnplCtl 1 Un din ? ,s j eTOTllS ' NOTE. — The Union Hotel Co.’s account, after posting, will show a debit balance ( black ink ) . Sr i>'. 24 -W I^.Cp 0 7 ,3 S O September 15. 166. Pay. cash to Thomas Trenton, who has worked three days since last payment, for one-half week’s wages at the rate agreed upon September 3. (o , b 167. Having discounted at the bank your note for $100, drawing interest at 6 per cent from maturity, make record in invoices and bills payable book (red ink), also enter in journal showing deposit for proceeds after deduction of bank discount for 60 ds. at 6 per cent. DebRJExpense for discounts r / 168. Glance over invoice payable register, and pay by check all invoices having discount expirations today .. ^(2 7 / Q ' O / / 30