Apply to the instructor for the cash investment. Deposit in The Union Bank all the cash on hand except $100. The bank account will be kept in the same manner as in the introductory work. An envelope for filing the checks drawn, and for making the monthly bank statement, will be found in the package of business forms. The left stub of the check book may be used for recording any important memoranda. Pay by check the bill of Thorp, Martin & Thorp, for books, stationery, etc., Form 3. Place the bill in the Paid Bills envelope. Secure from the Manhattan Fire Insurance Co. a policy of insurance for $12,000 on the store, the goods, and the fixtures at 1% premium. Pay the premium by check in favor of Chas. M. Shaw, general agent for your place. Charge Expense. The policy, it is assumed, was received and filed yesterday. NOTE. A policy of insurance is simply an insurance company's contract with the insured. Such a contract covers usually the following: Premium paid by the insured. Term of insurance. Amount of insurance. Description of the property insured. Extent of the company's liability, etc. This agreement is signed usually by the president and the secretary of the company as well as by the local agent of whom you obtained it. Engage Harry K. Sutton at $60 and Harvey L. Grant at $50 per month as salesmen ; Michael Donovan at $30 per month as delivery man ; Daniel L. Coon and Geo. W. Ainsley at $48 and $40 per month, respectively, as upholsterers and finishers. A memorandum of the above may be made by the student and filed with the incoming papers. THINGS TO OBSERVE IN WRITING LETTERS ORDERING GOODS 1. Arrange the items one on a line. 2. Give shipping directions in out-of-town orders. 3. In case of a first order: a. Give satisfactory references. b. State how you intend to pay. 4. When you name prices, state at what point you expect the goods f.o.b. 5. Always be definite with regard to the quality and the quantity of the articles ordered. 6. If it is a special order, state the purpose for which the goods are intended. 7. State, if necessary, when the goods must reach you. Please ship the following goods, subject to your best cash discount : 10 #5926 Secretary Book Cabinets 15 #396 Mahogany Hall Stands 20 #73 Oak Writing Desks 50 #65 Turkish Rockers 25 #68 Oak Bookcases 5 #73 Sofa Beds I am permitted to refer you to the First National Bank, of this city, as to my business standing. Yours truly George M. Lawrence Write letters, ordering the following goods: 1. Of Cobb, Bates & Co., 62 Portland St., City, the goods outlined in Form 4. Give references and ask for their best cash discount. NOTE. In this set no entry will be made at the time of ordering goods. Almost all of the orders are sent to out-of-town firms, and sufficient time is allowed to elapse for the student to receive the invoice and the goods before making any entry. 2. Of William Leavens & Co., 32 Canal St., New York City, the goods outlined in Form 15. Offer to honor their sight draft in 10 da. for the amount of the bill less the regular discount for payments within 10 da. As you are a stranger to this firm, give New York City references. 3. Of C. W. Allen & Co., 46 Merrimac St., Trenton, N.J., the goods outlined in Form 14. You have had dealings with this firm before and expect their regular terms. 4. Of Derby Manufacturing Co., 17 Portland St., City, the goods outlined in Form 5. Ask them to allow you their usual discount, and to draw on you for the amount of the bill at 10 da. from date. 5. Of W. H. Stearns & Co., Chicago, Ill., the goods outlined in Form 9. Tell them that you will honor their 30-da. draft for one half the bill, and will pay the balance in 60 da. Cancel your indebtedness to Paine Manufacturing Co., Bedford, by a sight draft on Samuel W. Bradley of the same place. Write a letter of remittance and send it with the above draft to Paine Manufacturing Co. Also write a letter to Samuel W. Bradley, notifying him of the draft you have drawn on him at sight. Make the journal entry. The following suggests what the letters should contain. I Boston, Mass., May 25, 19— 0. M. Behrns & Co. Syracuse, N. Y. Gentlemen: Inclosed find a sight draft on K. P. Shedd of your city, drawn in your favor, for Three Hundred Fifty (350) Dollars, in full settlement of account to date. Very truly yours E. R. Gaylord & Co. per M. II Boston, Mass., May 25, 19— Mr. K. P. Shedd Syracuse, N. Y. Dear Sir: We have this day drawn upon you at sight, in favor of 0. M. Behrns & Co., of your city, for Three Hundred Fifty (350) Dollars. Very truly yours E. R. Gaylord & Co. per M. JULY 2 David E. Teeter, 360 Main St., City, orders the following goods. The order is filled at the prices given herewith: 10 #5932 E. Toilet Tables at $50 3 #89 M. Chamber Sets at $80 2 #1008 O. Sideboards at $195 1 #396 Mahogany Hall Stand at $65 Terms: 3/5, 1/30, net 60 da. NOTE. The space allowed for recording the terms of sale on a bill is generally limited, and bookkeepers find it necessary to use symbols and abbreviations to indicate them. The following list explains the meanings of the abbreviations for terms used in this work. Net 30 da. means that the bill is to be paid in thirty days without discount. 1/30 means that 1% discount will be allowed if the bill is paid within thirty days. 3/10, net 30 da., means that 3% discount will be allowed if the bill is paid within ten days, or the amount of the bill will be due in thirty days without discount. Benj. P. Freeman & Co., 924 East St., City, order the following goods: 12 # 170 Eng. Clothes Poles 5 #245 Cedar Chests 12 #495 W. Iron Bedsteads 25 # 821 Parlor Lamps Fill the order. Terms: sight draft in 10 da., less 3%. Make out the bill, have it approved by the instructor, and then copy it into the sales book. Deduct the discount on the bill and in the sales book also. Draw a sight draft in favor of yourself, dating it 10 da. ahead. Write To be given to the bank July 12 on a slip of paper, pin the slip to the draft, and place both in the Business Cash envelope. Make no entry for the draft until July 12. NOTE. Some business men prefer to wait until the 10 da. have expired before drawing the draft. It is considered better, however, to draw the draft at the time of billing the goods, since the matter may be overlooked if it is deferred 10 da. Walker, Brown & Co., Albany, order: 5 #20 D Parlor Cabinets 24 #176 c Piano Chairs 10 #835 Music Cabinets 15 #821 Parlor Lamps Fill the order. Terms: draft at 30 da. from date. The goods called for in the above order will be sent by freight, and it will be necessary for you to prepare a bill of lading and the duplicates, the shipping order, and the memorandum. Study carefully the following illustration and the explanation. This is a new feature of your work; be sure you understand it thoroughly. In the box of business forms there is a pad of bill of lading blanks, and full instructions for using this form. Use the pad marked Straight Bill of Lading. BILLS OF LADING As a means of serving the convenience of both the shippers and the railway companies, the Interstate Commerce Commission approved a uniform bill of lading, for general use, June 27, 1908. This approval applies to two forms of the bill of lading as follows: the straight bill of lading and the order bill of lading. Model Bill of Lading Uniform Bill of Lading - Standard form of Straight Bill of Lading approved by the Interstate Commerce Commission by Order No. 787 of June 27, 1908 STRAIGHT BILL OF LADING-ORIGINAL-NOT NEGOTIABLE Shipper's No.- at from RECEIVED, subject to the classifications and tariffs in effect on the date of issue of this Original Bill of Lading, July 5, Springfield, Mass. 19 the property described below, in apparent good order, except as noted (contents and condition of contents of packages unknown), marked, consigned and destined as indicated below, which said Company agrees to carry to its usual place of delivery at said destination, if on its road, otherwise to deliver to another carrier on the route to said destination. It is mutually agreed, as to each carrier of all or any of said property over all or any portion of said route to destination, and as to each party at any time interested in all or any of said property, that every service to be performed hereunder shall be subject to all the conditions, whether printed or written, herein contained (including conditions on back hereof) and which are agreed to by the shipper and accepted for himself and his assigns. For use in connection with the Standard form of Straight Bill of Lading approved by the Interstate Commerce Commission by Order No. 787 of June 27, 1908 is an acknowledgment that a Bill of Lading has been issued and is not the Original Bill of THIS MEMORANDUM Lading, nor a copy or duplicate, covering the property named herein, and is intended solely for filing or record. Shipper's No.- RECEIVED, subject to the classifications and tariffs in effect on the date of the receipt by the carrier of the property described in the Original Bill of Lading, at from Springfield. Mass. Williams July 5, 19-. the property described below, in apparent good order, except as noted (contents and condition of contents of packages unknown), marked, consigned and destined as indicated below, which said Company agrees to carry to its usual place of delivery at said destination, if on its road, otherwise to deliver to another carrier on the route to said destination. It is mutually agreed, as to each carrier of all or any of said property over all or any portion of said route to destination, and as to each party at any time interested in all or any of said property, that every service to be performed hereunder shall be subject to all the conditions, whether printed or written, herein contained (including conditions on back hereof) and which are agreed to by the shipper and accepted for himself and his assigns. |