Practical Bookkeeping

The transactions in this series are a continuation of the last series, and you may use the same accounts and open such additional accounts as may be required.

Feb. 1. Sell John W. Wood on account, 200 bbl. apples.

2. Sell F. L. Mather for cash, 200 bbl. potatoes.

Buy of F. G. McCall on account, 300 bbl. flour.

7. Sell John W. Cunliffe for cash, 100 bbl. apples.

9. Buy of Edwin F. Gould for cash, 500 bbl. apples.

12. Receive cash of John W. Wood for the sale of the 1st inst.

14. Sell F. L. Mather on account, 100 bbl. flour.

16. Sell John W. Wood on account, 50 bbl. flour.

19. Buy of Fred L. Waite for cash, 200 bbl. potatoes.

21. Henry Brown makes an additional investment of $1000 in cash.

23. Pay F. G. McCall for the purchase of the 5th inst.

24. Sell F. L. Mather on account, 100 bbl. potatoes.

25. The proprietor has taken for private use, 10 bbl. potatoes and 10 bbl. apples.

27. Receive cash of John W. Wood for the sale of the 16th inst.

28. Sell F. H. Williams for cash, 100 bbl. flour.

This series of transactions is not connected with the previous ones, and you will need to open new accounts.

March 1. Arthur C. Lewis invests $2500 in cash.

2. Buy of Perkins & Co. on account, 500 bbl. apples and 300 bbl. flour.

4. Sell James L. Johnson on account, 200 bbl. flour.

6. Buy of Fred L. Waite on account, 300 bbl. potatoes.

7. Sell John W. Wood on his note at 20 days, 100 bbl. potatoes.

9. Sell F. L. Mather on account at 10 days, 200 bbl. apples.

11. Receive from James L. Johnson his note at 30 days for the sale of the 4th inst.

12. Give Fred L. Waite a note at 15 days for the purchase of the 6th inst.

13. Mr. Lewis has taken $25 in cash for private use.

14. Sell B. D. Robinson on his note at 90 days, 100 bbl. flour.

16. Buy of F. G. McCall on a note at 60 days, 200 bbl. flour.

17. Loan Edward Howard $500 on his note at 30 days with interest. 19. Receive cash of F. L. Mather for the sale of the 9th inst.

21. Sell F. G. Moore on account, 100 bbl. apples.

22. Sell Charles Brown for cash, 100 bbl. flour and 100 bbl. apples.

Mar. 24. Sell F. H. Williams on his note at 30 days, 100 bbl. potatoes. 26. Buy of Fred L. Waite on a note at 30 days with interest, 200

bbl. potatoes.

27. Receive cash of John W. Wood for his note of the 7th inst.

Pay the note of the 12th inst. in favor of Fred L. Waite. 30. Sell F. L. Mather on account at 10 days, 100 bbl. apples.

The transactions in this series are a continuation of the last series, should use the same accounts.

and you

April 1. Mr. Lewis has made an additional investment of $1000 in cash. 2. Buy of Edwin F. Gould on a note at 60 days, 500 bbl. apples. 3. Pay Perkins & Co. for the purchase of March 2.

5. Pay bill of The National Telephone Co., $6.55.

6. James L. Johnson desires to prepay his note of March 11, and you may allow him to do so, less the discount for the unexpired time.

7. Sell John W. Wood on his note at 90 days, 100 bbl. flour.

8. B. D. Robinson desires to prepay his note of March 14, and you may allow him to do so, less the discount for the unexpired time.

9. Receive F. L. Mather's note at 30 days with interest for the sale of March 30.

11. Discount at The Second National Bank F. H. Williams's note of March 24, and receive cash for the proceeds.

13. Sell George D. Jones on account, 300 bbl. potatoes.

15. Receive F. G. Moore's note at 30 days with interest for the sale of

March 21.

16. Receive payment for Edward Howard's note of March 17.

18. Buy of Fred L. Waite for cash, 200 bbl. potatoes.

19. Prepay the note of March 16, less the discount to maturity.

21. Receive $1.05 from The National Telephone Co., to correct an overcharge in their bill which you paid the 5th inst.

22. George D. Jones has returned 10 bbl. of the potatoes sold him.
on the 13th inst., because they are unsatisfactory.

24. Prepay the note of the 2d inst., less the discount to maturity.
25. Pay the note of March 26.

27. Sell George D. Jones on account at 30 days, 200 bbl. potatoes

and 200 bbl. apples.

29. Receive cash from George D. Jones for the balance of the sale of the 13th inst.

EXERCISE VII.

THE JOURNAL.

93. The Journal is the principal book of original entry, and, when no other book of original entry is used, it should contain a record of all the transactions of a business, in the order of their occurrence.

94. A Journal Entry. When only a journal and ledger are used, transactions are recorded in the journal, and afterward these entries are summarized in the ledger. The record of a transaction in the journal is called a journal entry. Each original entry should be explained fully and clearly. It is not sufficient that you understand the records you make; they must be stated so clearly that any person who may have to examine the books may not misinterpret any entry. The following illustration shows the usual form for a journal entry.

This entry shows a sale of merchandise to A. B. Gordon on account. At the left are indicated the names of the two accounts affected by the transaction, A. B. Gordon and Merchandise. The name of the account to be debited is always written first, and on the same line and in the first amount-column at the right is written the sum to be debited. The name of the account to be credited is written below the name of the debit account and a little to the right of it, and on the same line and in the second amount-column is written the sum to be credited. In the second wide space are written the essential details of the transaction.

The work of arranging transactions in the journal is called journalizing.

January 1, 1908.

Began business 1000

H.D.Brown investing cash

Cash

Mdse.