No. 116. April 21. This express money-order for $20 is for the C.O.D. shipment of the 15th inst. As you instructed the express company to collect the return charges, there are no charges for you to pay. Formerly express companies returned to the shipper the actual money received for a collection, but now the principal companies mail the shipper an express money-order for the proceeds of the collection. These money-orders are as desirable as bank drafts and may be cashed or deposited in the same manner. No. 117. April 22. Sell A. C. Allen & Bro., of 621 State St., 150 yds. Wilton and 375 yds. tapestry Brussels. Make the terms, 30 days net, 21% for cash. No. 118. April 23. Sell John C. Anderson, of 261 Walnut St., 2 mahogany chamber sets, 2 oak chamber sets, 1 mahogany dining-room set, 144 yds. Wilton, 115 yds. body Brussels, 85 yds. Axminster, and 250 yds. lining. Make the terms, 30 days net, 21% for cash. No. 119. April 24. Receive a check from A. C. Allen & Bro. for the goods sold them the 22d inst., less the cash discount. No. 120. April 25. Deposit all the cash you have on hand except $ 100. No. 121. April 25. Draw a draft at 5 days after sight on O. J. Mitchell, in favor of Wm. Morris & Co., for the balance of Mr. Mitchell's account, and send it to Morris & Co. to apply on account. Write a letter to Mr. Mitchell, advising him of the draft and requesting him to meet it. Inclose the draft in a letter to Morris & Co., requesting them not to protest the draft in case it is dishonored. The entry for this transaction should be made in your journal. No. 122. April 26. Receive an order from W. J. Campbell for 1 mahogany chamber set, 2 oak chamber sets, 1 oak dining-room set, 1 mahogany reception set, 250 yds. ingrain, 400 yds. Axminster, and 250 yds. body Brussels. You may allow him a special discount of 21% on the furniture. See illustration for the sales book entry on page 156. Make the terms, Cash less 5%. Do not forget to prepare the necessary shipping receipt and to file all papers in the proper places. Write Mr. Campbell that you have only one oak chamber set in stock, but that you have telegraphed an order to have two shipped direct to him at once. No. 123. April 26. Telegraph the Western Furniture Co., of Grand Rapids, Mich., to ship 2 oak chamber sets, No. 872, to W. J. Campbell at once. Pay 35¢ for sending the telegram. 191. Telegrams are used very extensively in business. There is a minimum charge, varying with the distance, for a message of ten words or less, with an additional charge for each word in excess of ten. No charge is made for the date, the address of the party to whom the message is sent, or the signature of the sender. As the cost of sending a telegram depends upon the number of words sent, the message should be made as concise as possible by omitting all unnecessary words. Numbers should be expressed with words and not with figures. While it is important that the telegram be as brief as possible, serious mistakes may result if the meaning of the message is not absolutely clear. In order to guard against errors in transmission the sender may have the telegram repeated back to the sending office at a small additional cost. When this is done, the message is compared with the original, and if the the message has not been correctly transmitted, the errors are corrected. Model Telegram. Form No. 2. THE WESTERN UNION TELEGRAPH COMPANY. INCORPORATED 23,000 OFFICES IN AMERICA. CABLE SERVICE TO ALL THE WORLD. ROBERT C. CLOWRY, President and General Manager. You will find some telegraph blanks in your package of business forms, and you may use one of these in writing the telegram to the Western Furniture Co. No. 124. April 28. Mr. Bidwell's note of the 8th inst. is due to-day, and in order to provide sufficient funds for its payment he has arranged with the bank to discount a new note at 30 days for $1000. Read again the instructions for transaction No. 103. Write the new note, and, as it will have to be indorsed, present it to the clerk at the Commercial Exchange and ask him to indorse it for R. K. Baker, the indorser of the old note. Prepare a discount memorandum for the new note, write a check for the old note, and present the check and the note at the Merchants' Bank and pay the old note. There will be entries in your cash book, check book, and bill book. No. 125. April 28. This invoice from the Western Furniture Co., dated April 26, for $88, is for the goods ordered by telegram the 26th inst. The terms are, 60 days net, 2 % 20 days. No. 126. April 29. Give J. H. Vance a check for $ 88.50 to pay his bill for freight and cartage for the month. No. 127. April 29. Write a check for the rent for the month. No. 128. April 30. Give Wm. C. Brown $40 in currency to pay his salary for the month. No. 129. April 30. Write a check for your own salary for the month. No. 130. April 30. Wm. Morris & Co. have returned the draft on O. J. Mitchell which you sent them the 25th inst. Ask your teacher to have the draft returned to you. As O. J. Mitchell has refused to pay the draft, you must make a counter entry in your journal to balance the entry which you made when you drew the draft. The following illustration shows the form for this entry in your journal. O. J. Mitchell Wm. Morris & Co. Morris & Co. have re- 234 59 234 59 192. A Counter Entry is one which will put your accounts in the same condition as if the first entry had never been made. A counter entry may be used for such transactions as the last, and it may be used to correct an error instead of canceling the entry by ruling it out as explained in § 102. Ninth Report. April 30. Examine each voucher and each page of your work carefully, to be certain that there is nothing to which your teacher can object when he examines your work. Hand your teacher your report, your voucher and cash envelopes, and your blank books. 193. Directions. After this report has been approved, you may close your work for the month, taking the several steps in the order indicated in § 185. You have the following property on hand : Counters and Shelves at cost, less 10 % for depreciation. 1. What is a draft? Questions. 2. What is the purpose of a draft? 3. What right has one man to draw a draft on another? 4. What is an acceptance? 5. Are sight drafts ever accepted? 6. Explain the difference between a draft payable a certain time after sight and one payable a certain time after date. 7. Why is it better to make no entry for a sight draft until it has been paid? 8. Describe the use of a bank draft. 9. What is the advantage of having a bank draft made out in your own favor when you intend to remit it to another? 10. Will a draft or a note payable three months after July 1 mature at the same time as a similar paper payable 90 days after July 1? 11. Explain the difference between a C.O.D. shipment by express and a C.O.D. shipment by freight. 12. What is collateral security? 13. What are the advantages of a purchase book? 14. How do you prove your bill book? 15. Why should the account with merchandise discount be closed into merchandise account? 16. Why should the proprietor's account be the last one to be closed when you close your ledger? 17. If immediately after the preparation of a statement, showing a present worth of $5175, you should pay a bill payable for $2000 and collect a bill receivable for $1000, how much would your present worth be changed? FURNITURE PRICE-LISTS. In Exercises XIII and XIV a chamber set includes a bed, bureau, chiffonier, and dressing table; a dining-room set includes a dining table, sideboard, and china closet; and a reception set includes a couch, an arm chair, and a rocker. These are called sets because they are manufactured of the same kind of wood and have the same general style and finish. They are not listed as sets on your invoices, but the pieces belonging to a set all have the same catalogue number, and these numbers are shown in the invoices. |