ORIGINAL ORDER BILL OF LADING Uniform Bill of Lading-Standard Form of Order Bill of Lading approved by the Interstate Commerce Commission by Order No. 787 of June 27, 1908 NORTH WESTERN LINE ANWY CHICAGO & NORTH WESTERN RAILWAY COMPANY ORDER BILL OF LADING-ORIGINAL at. from Shipper's No.. Agent's No.. RECEIVED, subject to the classifications and tariffs in effect on the date of issue of this Original Bill of Lading, Milwaukee, Wis. Gross Nowe Co Sept. 30, 191—, the property described below, in apparent good order, except as noted (contents and condition of contents of packages unknown), marked, consigned, 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. The surrender of this Original ORDER Bill of Lading properly endorsed shall be required before the delivery of the property. Inspection of property covered by this bill of lading will not be permitted unless provided by law or unless permission is indorsed on this original bill of lading or given in writing by the shipper. The Rate of Freight from_ to. is in Cents per 100 Lbs. F... Times 1st IF 1st Class IF 26 Class IF Rule 25 IF 3d Class IF Rule 26 IF Rule 28 IF 4th Class IF 6th Class IF 6th Class This method of making shipment is also known as "shipper's order" and as "draft, with bill of lading attached." How Collection is Made. The bank sends the draft with bill of lading attached to a bank in the city where the consignee. resides. It indorses both the order bill of lading and the draft to that bank. When the draft, with bill of lading attached, reaches the correspondent bank, the bank sends a notice to the consignee giving details of the draft and bill of lading, and asking him to pay it. He pays the draft and receives the receipted draft and the order bill of lading indorsed to him. He then takes the order bill of lading to the freight office and receives the goods. The correspondent bank usually credits the home bank and the home. bank then gives the shipper, the drawer of the draft, credit for the amount of the draft, less collection charges. Sometimes a bank draft is issued by the correspondent bank instead of sending the credit. Entries for Freight, C. O. D. One account is kept for all shipments by freight, C. O. D. In the sales book, C. O. D. Account is charged, followed. by the name of the buyer. 5 C. O. D. Account 7875 This is posted to the C. O. D. Account in the ledger as follows: C. O.D. Account When the credit is received from the bank, C. O. D. Account, with the name of the customer, is credited on the cash receipts. It is posted to the credit side of the C. O. D. Account and the customer's name put in the explanatory column. Express C. O. D. Shipments of goods that are not bulky are often made by express. If the shipper wants to be sure of receiving his money before the goods are delivered, he may send them by express, C. O. D. The method of making shipment and of collecting the money differs from freight, C. O. D. principally because express companies will make shipments and also make the collection for the shipper. The steps necessary are as follows: 1. The invoice is made out, receipted, and placed in a C. O. D. envelope. You will find C. O. D. envelopes in your envelope of Business Forms. Take one and study it. 2. The articles shipped must be marked with the letters "C. O. D." and with the amount to be collected. 3. The shipper may fill out the C. O. D. envelope or it may be done by the agent of the express company. On the back of the envelope fill in the following: (1) "Goods Shipped to", with the address, (2) “Amount of Bill" and (3) "Shipper's Instructions", if any. Under the last heading the shipper may instruct the express company to collect the charges for the return of the money, or to take them out of the amount collected. He may also instruct the company to allow the consignee to examine the goods if he wishes. It is understood that the charges for the return of the money are to be paid by the consignee unless the shipper gives different instructions. On the face of the envelope the name and address of the shipper are written. 4. Collection is made as follows: The express envelope is sent by express to the express office in the city where the consignee resides. Notice is given the consignee by mail and he calls at the express office, pays the invoice and charges, and receives the goods, or, the collection and delivery may be made by the regular express messenger at the consignee's place of business. The express company issues an express check on its main office payable to the order of the shipper. This is mailed in the same C. O. D. envelope to the shipper whose address is already on the face of the envelope. The proceeds of C. O. D. shipments must be remitted to the shipper within 24 hours after collection has been made. Sometimes the money is placed in the C. O. D. envelope and returned to the express office from which it was billed. It is then paid to the shipper. Entry for Express C. O. D. The entry is made in the same way as for a freight C. O. D. sale except that the terms are different. If the shipment is given to the American Express Co., the terms would be "American Express Co. Collect." It is posted to the same C. O. D. Account as for freight C. O. D. and the buyer's name written in the explanatory column. Exercise 34. Make the entries on journal paper for the following transactions, using the same trading accounts that you have been using in Set VI. January 1. Paid for freight on purchases, $97.80. 3. 5. 6. 8. 10. 15. Credit this to 18. 22. 25. 26. 31. 31. Paid for packing boxes, $13.85. Chas. Smith returned goods worth $25.80. Darber & Co. allowed our claim for an overcharge on goods bought, $36.80. The railroad company has allowed us a cash rebate for an overcharge on our freight bill, $11.50. Paid a merchandise broker $36.50 commission for buying goods. C. Monton, the proprietor takes goods at cost, valued at $27.50, for personal use. Purchases. N. Norris is allowed a claim of $18.15 for damaged goods. Paid freight bill on purchases, $37.85. B. L. Barrow & Co. allowed our claim for damaged goods, $31.45. Paid shipping clerk's wages, $45. The purchases for the month amounted to $8764.45. Credit Accounts Payable to represent the sum of all the creditors' accounts. 31. The sales for the month amounted to $7954.60. Debit Accounts Receivable to represent the sum of all the customers' accounts. Exercise 35. On ledger paper, open the trading accounts and post the entries of the last exercise. Explanations should be written in the ledger accounts. Use $2386.40 as the inventory of merchandise. Close the trading accounts in the ledger. Transfer all red ink amounts to the proper place. CHAPTER XX JOBBING FURNITURE SET VI TRANSACTIONS FOR AUGUST 17-31 Continue all the books of entry in the same manner as for the first part of the month. Leave no space between the entries for August 15 and August 17. August 17. Receive this invoice of the E. J. Ranney Co. A draft accompanies it. Make the entry for the invoice in the usual way. Record it as paid by 15-day draft. Accept the draft, and make the entry and record for it. Return the draft to the E. J. Ranney Co. by putting it in the Outgoing Papers envelope. Receive this check from D. C. Lanning, on account. J. C. Jenkins, Dayton, Ohio, orders: Since this is a sale to an out-of-town customer, the goods will be shipped by freight. Make out a straight bill of lading in triplicate, detach and take the three copies to the freight office or to your teacher. You should sign in the name of the firm by your name. The original bill of lading and the memorandum will be signed by the teacher for the railroad company or by some student designated by the teacher, and returned to you. The shipping order will be kept by the agent for the railroad company. Send the original bill of lading with the invoice to the customer. File the memorandum in the Miscellaneous file. You will follow the same method for each shipment to an out-of-town customer unless different instructions are given. Receive this invoice of goods from the Price Furniture Co. Notice the terms. Make out the note according to the terms and make the entry and record for it. Do not forget that an entry is a formal statement of the account or |