Bill Book. This book is used for recording all notes or acceptances which are received by the business, or which are issued by the business. It is generally divided into two parts, one for bills receivable and the other for bills payable. When notes or acceptances are received or issued, a full description of the paper should be recorded in the bill book. This book should exhibit the same balances as the Bills Receivable and the Bills Payable accounts in the ledger.

The Model Bill Book given below is self-explanatory. Care should be taken to record in the proper columns the information called for. Complete records for the first three bills receivable and bills payable for the month of July are properly entered in this model.

NOTE. The amounts in the model bill book are for price list No. 1.

Invoice Book. This book illustrates another form for recording the amounts of all merchandise bought by the business, and takes the place of the purchase book with which the student is already familiar. It is generally made up of original bills. In regular work these bills are received and audited and then pasted into the invoice book. The net amount of each bill is carried to the money columns, which are ruled on the right of each page. In entering items in the invoice book observe the following:

1. Do not allow the edges of the bills to extend into the money column. Invoices coming from different houses will not be of uniform size, and when necessary the edges of some of these bills should be trimmed.

2. Use but little mucilage. Paste the upper and the lower corner of the first bill on each page, but paste only the lower corners of all the other bills, and let them lap over each other as shown in the model invoice book.

3. Place the amount of each bill in the money column directly opposite the name of the firm of whom the goods have been purchased.

How to post the Invoice Book. This book is posted in practically the same way as the purchase book. In posting observe the following: 1. Be sure to forward the total of the money column from page to page.

2. At the end of the month, or at such other periods as may seem advisable, post the aggregate of the money column to the debit side of the Merchandise account.

3. Post the amount of each bill directly from the invoice book to the credit of the firm of whom the merchandise was purchased.

Cashbook. The cashbook used in this set differs slightly from that used in the preceding sets. A special column is provided on each side for merchandise discounts. A careful study of the following illustration will enable the student to use this book intelligently.

NOTE. The Mdse. Disc. column is given a place in the cashbook as a matter of convenience. It shows the deduction on the invoice, and the posting to the credit of the customer's account requires that the net cash received should be added to the Mdse. Disc., to ascertain the amount of the bill settled.

The Incoming Business Forms. The list of incoming business forms for July is given on pages 35 to 38. If the set is written without using the tablet of printed incoming forms, it will be necessary for the student to prepare them before he begins to write the set.

After these forms are written, they should be placed in the envelope marked Incoming Business Forms, and withdrawn as they are needed when writing the set.

Whatever plan the instructor may adopt, either using business practice or writing the set as a study of the theory of bookkeeping only, this material is immediately at hand for reference, for class drills and discussion, for reviews during the progress of the set or when the set is finished.

This plan of the text does away with the necessity of using a pad of vouchers which are wholly independent of the text.