  A Acceptances, 56 definition of, 11 Accommodation note, definition of, 11 Account books classes of, 42 definition of, 11 Account current, definition of, 11 Account sales, definition of, 11 Accounting charts, 309-323 explanation of chart, 316 of manufacturing business, 313 of small trading business, 310 Accounts classification of, 90 definition of, 11 merchandise, 71 merchandise inventory, 100 nominal, 70 personal, 69 profit and loss, 97 purchase, 71 real, 69 representative, 70 sales, 72 Accrued interest, definition of, 12 Acknowledgment, definition of, 12 Ad valorem, definition of, 12 Administrator, definition of, 12 Adventure, definition of, 12 Advice, definition of, 13 Affidavit, definition of, 13 Agent, definition of, 13 Agreement, definition of, 13 Allowance, definition of, 13 Annual statement, definition of, 13 Annuity, definition of, 13 Antedate, definition of, 13 Appraise, definition of, 14 Appreciation, definition of, 14 Approval sales, definition of, 14 Arbitrate, definition of, 14 Articles, definition of, 14 Assets definition of, 14 fictitious, 78 fixed, 77 floating, 78 passive, 78 Assign, definition of, 14 Assignee, definition of, 14 Assignment, definition of, 14 Assignor, definition of, 14 Association, definition of, 14 Attachment, definition of, 14 Audit, definition of, 14 Auxiliary, definition of, 14 Average, definition of, 14 B Balance, definition of, 14, 39 definition of, 14 Balance of trade, definition of, 15 Bale, definition of, 15 Bank balance, definition of, 15 Bank deposits, 56 check books, 56 depositing cash, 57 indorsement of checks, 57 pass book, 57 signature card, 56 Bank draft, definition of, 15 Bank note, definition of, 15 Bank pass book, definition of, 15 Bankrupt, definition of, 15 Bill, definition of, 15 Bill of exchange, definition of, 16 Bill head, definition of, 16 Bill of lading, definition of, 16 Bill of sale, definition of, 16 Bills payable, definition of, 18 Bills receivable, definition of, 18 Bills receivable and bills payable, 54 Blanks, definition of, 18 Blotter, definition of, 18 Bond liability, 239 Bonded goods, definition of, 18 Bonds, 238 classes of, 239 definition of, 18 expense of issue of, 241 interest on, 241 premium on, 241 Bonus, definition of, 18 Book account, definition of, 18 Bookkeeping for corporation, 205 definition and objects of, 37 methods of, 39 Brand, definition of, 18 Broker, definition of, 18 Brokerage, definition of, 18 Bullion, definition of, 18 C Call loans, definition of, 18 Cancel, definition of, 18 Capital, definition of, 18 Capital of corporation, 199 Capital stock, 199 definition of, 18 Capitalization, 199 capital, 199 capital stock, 199 treasury stock, 200 watered stock, 201 Cartage, definition of, 18 Cash book, 43 posting from, 89 Cash discounts, 94 allowed, 94 earned, 95 entering in cash book, 94 Cash dividend, declaring, 224 Cash sales, definition of, 18 Center-ruled ledger, 143 Certificate of stock, definition of, 18 Certified check, definition of, 20 Charges, definition of, 20 Chart, definition of, 20 Charter, definition of, 20 Charting the accounts, 309 Check, definition of, 20 Check books, 56 Clearing house, definition of, 20 Closing an account, definition of, 20 Collateral, definition of, 20 Commercial abbreviations, 35 Commercial paper, definition of, 20 Commercial signs and characters, 37 Commercial terms, dictionary of, 11 Commission, definition of, 20 Commission merchant, definition of, 20 Common law, definition of, 20 Common stock, definition of, 200 Company, definition of, 20 Compromise, definition of, 20 Consideration, definition of, 22 Consignee, definition of, 22 Consul, definition of, 22 Contingent assets and liabilities, definition of, 22 Contingent fund, definition of, 22 Contra, definition of, 22 Contract, definition of, 22 Conveyance, definition of, 22 Copyright, definition of, 22 Corporation accounts, 195-270 bonds, 238 bookkeeping, 205 changing books from partnership to corporation, 227 closing transfer books, 204 entries on corporation books, 228 entry of stock for promotion, 222 reserves and their treatment, 235 stock donated to employes, 229 when stock subscriptions are never full paid, 232 surplus and dividends, 223 treatment of loss, 225 Corporation bookkeeping, 205 books required, 206 entries in stock books, 215 opening entries, 209 Corporations capitalization, 199 classification of, 195 creation of, 197 definition of, 195 dividends, 203 management of, 201 Corporations management of powers of corporations, 203 powers of directors and officers, 202 stockholders' rights, 203 stock certificate, 199 stockholders, 197 stock issued for promotion, 221 stock subscriptions, 201 Counterfeit, definition of, 22 Coupon, definition of, 22 Coupon bond, definition of, 22 Credentials, definition of, 22 Credit, rules for, 38 Creditor, definition of, 22 Cumulative preferred stock, definition of, 200 Currency, definition of, 22 D Day book, 43 Debenture, definition of, 22 Debit definition of, 22 rules for, 38 Deed, definition of, 22 Defalcation, definition of, 22 Deferred bonds, definition of, 23 Delivery receipt definition of, 23 Demand note, definition of, 23 Departmental records, 148 Deposit, definition of, 24 Depositing cash, 57 Depreciation, definition of, 24 Discount, definition of, 24 Discount and exchange, 56 Discounts allowed, 94 Dishonor, definition of, 24 Dividend, 203 definition of, 24 Dividend book, 208 Dormant partners, 165 Double entry, 39 advantages of, 40 books used in, 43 principle of, 40 Doubtful, definition of, 25 Draft definition of, 24 journalizing, 113 Drawer, definition of, 25 Drayage, definition of, 25 Due bill, definition of, 25 Dunning, definition of, 25 Duplicate, definition of, 25 Duty, definition of, 25 E Earnest, definition of, 25 Embezzlement, definition of, 25 Exchange, definition of, 25 Expense account, 80 heat and light, 81 insurance, 81 interest, 81 labor, 82 out freight and express, 81 rent, 81 salaries, 82 taxes, 81 Exports, definition of, 25 Extend, definition of, 25 F Face value, definition of, 25 Facsimile, definition of, 25 Fictitious assets, example of, 78 advertising, 78 Financial statement, definition of, 25 Fiscal, definition of, 25 Fixed assets definition of, 25 examples of, 77 furniture and fixtures, 77 horses and wagons, 77 real estate, 77 Fixed charges, definition of, 26 Fixtures, definition of, 26 Floating assets, examples of, 78 accounts, 78 cash, 78 merchandise, 78 notes or bills receivable, 78 Folio, definition of, 26 Footing, definition of, 26 Foreign exchange, definition of, 26 Forms account sales, 12 acknowledgment, 13 adjustment journal and departmental purchase book, 154 balance sheet, 101 bill, 15 bill of exchange, 17 bill of lading, 16 bill of sale, 19 bills payable, 55 bills receivable, 55 cash book including bank account, 156 cash book with center column for particulars, 177 cash book with column for private ledger accounts, 306 cash disbursement book, 296 center-ruled ledger, 143, 157-161 certificate of stock, 21 chart of profit and loss accounts, 311, 312 check register, 260 classified ledger accounts, 180-188 closing entries, trading and profit and loss account, 140 combined purchase ledger and voucher system, 303 daily report, 247 day book, 43 day book or blotter, 121 delivery receipt, 24 demand note, 24 departmental sales book, 155, 178 departmental sales and purchase books, 179 draft, 25 endorsement, 58 file showing method of indexing vouchers, 293 installment certificate, 208 inventory sheet, 137 invoice register, 258 journal, 74 journal entries recording all transactions, 128-130 journal ruled retail ledger, 132-137 journal showing opening entries for partnership, 176 journal voucher for adjusting entries, 284 lease, 27 ledger accounts, classified, 180-188 ledger with journal ruling, 120 manufacturing account, 99 manufacturing ledger with closing entries, 320-322 merchandise inventory, 100 monthly recapitulation and distribution sheet, 303 opening entry in journal, 122 order, 29 order book, 42 pay-roll, 249 power of attorney, 32 profit and loss account, 99 promissory note, 31 proprietor's account, 99 purchase book, 75 purchase ledger, 267 receipt, 33 retail ledger, journal ruled, 132-137 sales book, 74 scale book, 144 signature card, 57 special account, 12 statement, 34 statement of incorporation on stock plan, 198 trading account, 98 transfer book, 206 unit system of voucher accounting, monthly recapitulation for, 300 voucher, 35 voucher, back of, showing distribution, 277 voucher with check attached, duplicate, 283 voucher check in loose-leaf form, duplicate, 280 voucher check that requires no folding, 280 voucher check, triplicate form of, 282 voucher and check combined, 278 voucher distribution sheet, 281 voucher register showing entries, 294 voucher registers, typical forms of, 286 voucher to be receipted and returned, 276 vouchers paid, card index of, 292 Freight, definition of, 26 G Gain, definition of, 26 Gauging, definition of, 26 Going business, definition of, 26 Goodwill, definition of, 26 Gross, definition of, 26 Gross profit, transfer of, 99 Guarantee or guaranty, definition of, 26 Guaranteed stock, 200 H Honor, definition of, 26 Hypothecate, definition of, 26 I Import, definition of, 26 Income, definition of, 26 Income bonds, definition of, 26 Indemnity, definition of, 26 Indorse, definition of, 26 Indorsee, definition of, 26 Indorsement of checks, 57 Indorser, definition of, 28 Infringe, definition of, 28 Installment, definition of, 28 Installment book, 207 Insolvent, definition of, 28 Instant, definition of, 28 Insurance policy, definition of, 28 Interest, definition of, 28 Inventory, 137 definition of, 28 Investment, definition of, 28 Invoice, definition of, 28 Invoice or bill, 46 J Job lot, definition of, 28 Jobber, definition of, 28 Joint stock, definition of, 28 Joint stock companies, 196 Journal, 45 posting from, 88 Journal vouchers, 283 Journalizing drafts, 113 when we accept draft, 114 when discounting time draft, 114 when we pay an acceptance, 114 when we pay a sight draft, 114 when our sight draft is paid, 113 Journalizing notes, 107 when collected by bank, 107 when discounted, 107 when discounted note is not paid, 109 when note drawing interest is discounted, 108 when note drawing interest is paid, 108 when note is past due, 109 when note is renewed, 110 when our note has been discounted, 111 when paid, 107 when received, 107 when renewed note has been discounted, 110 when we discount our note, 112 when we give or pay note, 111 when we pay for goods with our note, 112 when we pay our note with interest, 112 when we renew a note, 112 when we renew our discounted note, 113 Journalizing, rules for, 82 L Leakage, definition of, 28 Lease, definition of, 28 Ledger, 46 arrangement of accounts in, 91 Ledger accounts, sample, 92, 93 Ledger index, 47 Legal tender, definition of, 28 Lessee, definition of, 28 Letter of advice, definition of, 28 Letter of credit, definition of, 28 Liabilities, definition of, 29 License, definition of, 29 Liquidation, definition of, 29 Loss and gain, definition of, 29 M Maker, definition of, 29 Manifest, definition of, 29 Manufacturing account, 98 Manufacturing and cost accounts, 242 accounts used factory assets, 243 factory expenses, 244 summary accounts, 245 balance ledger, 250 expense inventory, 250 expense liability, 250 manufacturing data, 256 pay-roll records, 248 routine followed, 245 sample transactions, 251 Maturity, definition of, 29 Mercantile agency, definition of, 29 Merchandise, definition of, 29 Merchandise account, 71 Merchandise inventory account, 100 Minute book, 207 Money order, definition of, 29 Monopoly, definition of, 29 Mortgage, definition of, 29 Mortgagor, definition of, 30 N Negotiable, definition of, 30 Net, definition of, 30 Net profit, transfer of, 99 Nominal, definition of, 30 Nominal account, 70 Nominal partners, 164 Non-cumulative preferred stock, 200 Notes, journalizing, 107 O Obligation, definition of, 30 Open account, definition of, 30 Opening entries, definition of, 30 Option, definition of, 30 Order book, 43 Orders, definition of, 30 Original entry, definition of, 30 Ostensible partners, 164 Overdraw, definition of, 30 P Par, definition of, 30 Partnership, definition of, 30 Partnership accounts, 164-193 capital and personal accounts, 165 closing the books, 166 division of profits, 191 illustration of closing entries, 166 interest on investment, 165 kinds of partners, 164 opening the books, 166 participation in profits, 165 partnership, defined, 164 partnership agreements, 164 sale of partnership, 189 sample transaction, 167-175 Pass book, 57 Passive assets, examples of, 73 goodwill, 78 patents, 78 speculative, 78 Pay-roll records, 248 Payee, definition of, 30 Per annum, definition of, 30 Per cent, definition of, 30 Per diem, 30 Personal accounts, 69 definition of, 30 Personal property, definition of, 30 Petty cash definition of, 30 treatment of, 58 Post, definition of, 30 Postdate, definition of, 30 Posting, 46 from cash book, 89 from journal, 88 routine, 88 Power of attorney, definition of, 30 Preferred stock, definition of, 30, 200 Premium, definition of, 31 Present worth, definition of, 31 Private ledger, 304 advantages of, 304 how operated, 305 manufacturing accounts in, 306 Proceeds, definition of, 31 Profit and loss, definition of, 31 Profit and loss account, 97 manufacturing, 98 trading, 97 transfer of gross profit, 99 transfer of net profit, 99 turnover, 98 Promissory notes, 54 acceptance, 56 bill book, 54 bills payable, 54 bills receivable, 54 definition of, 31 discount and exchange, 56 Promotion, stock issued for, 221 Pro rata, definition of, 31 Protest, definition of, 31 Purchase account, 71 Purchase book, 45 Purchase ledger and invoice file combined, 301 Q Quotation, definition of, 31 R Ratify, definition of, 31 Raw material, definition of, 31 Real account, 69 Real estate, definition of, 31 Rebate, definition of, 31 Receipt, definition of, 31, 273 Receiver, definition of, 31 Recording transactions, 46 Remittance, definition of, 31 Renewal note, definition of, 33 Rent, definition of, 33 Representative account, 70 Reserves for bad debts, 236 Reserves for buildings in hazardous undertakings, 236 Reserves for depreciation, 236 Reserve funds, 237 Reserves for patents, franchise, goodwill, 236 Reserves for permanent improvements on leased property, 236 Resources, definition of, 33 Retail business, 119 balance sheet, 139 books used, 119 closing the books, 138 exercise, 141 inventory, 137 opening the books, 119 proprietor's account, 120 sample transactions, 123-127 statements, 120 Retail coal books, 142 sample transaction, 144 uncollectible accounts, 143 Revenue, definition of, 33 Revenue accounts, 80 Revenue receipts, 80 Revoke, definition of, 33 Royalty, definition of, 33 S Sale of stock below par, 205 Sales, 72 Sales books, 45 Sales tickets, 147 Sample ledger accounts, 91 Sample transactions, 72, 83, 101, 149 Schedule, definition of, 33 Secret partners, 164 Sight draft, definition of, 33 Signature card, 56 Silent partners, 164 Single entry, 39 Single proprietorship accounts, 119-163 Sinking funds, 237 Solvent, definition of, 33 Statement, definition of, 33 Stock certificate book, 206 Stock dividends, 204 declaring, 224 Stock ledger, 207 Stock register, 208 Stock subscriptions, 201 Stock transfer book, 206 Stockholders, 197 definition of, 33 meetings of, 205 rights of, 203 Storage, definition of, 33 Surety, definition of, 33 Syndicate, definition of, 33 Surplus subdivided, 223 T Tare, definition, 33 Tariff, definition of, 33 Terms, definition of, 33 Theory of accounts, 11-116 Three-column journal, 82 Tickler, definition of, 34 Time draft, definition of, 34 Trade discount, definition of, 34 Trade mark, definition of, 34 Trading account, 97 Transactions, 46 ledger index, 47 posting, 46 sample, 47, 59, 72, 83, 101, 149 Treasury stock, 200 Trial balance, 90 Turnover, 98 U Ultimo, definition of, 34 Unit system of voucher account, 298 V Valid, definition of, 34 Value received, definition of, 34 Void, definition of, 35 Voucher checks, 279 Voucher file, 293 Voucher register, 284 Voucher system of accounting, 273-303 auditing of invoices, 290 combined purchase ledger and invoice file, 301 demonstration of, 293 executing and registering vouchers, 290 filing audited vouchers, 290 filing paid vouchers, 291 indexing vouchers, 292 operation of, 289 paying vouchers, 291 unit system of, 298 voucher file, 293 Vouchers filing, 290 forms of, 277 indexing, 292 paying, 291 use of, 274 W Warehouse, definition of, 35 Warehouse receipt, definition of, 35 Warranty, definition of, 35 Watered stock, 201 Way bill, definition of, 35 Wholesale, definition of, 35 Working capital, definition of, 35 TRANSCRIBER'S NOTES —Obvious print and punctuation errors were corrected. —The transcriber of this project created the book cover image using the title page of the original book. The image is placed in the public domain. |
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