Next to the baking business itself, the most important item is that of an accounting system.

Checking Drivers

The first step in this direction is the making up of a list of the various kinds of bread wanted by each driver, showing in total the number of loaves of each brand ordered in the total column. In another column under heading “Total Made” have the foreman enter the number of loaves of each kind made. If a shipping business is conducted the amount of bread needed can also be shown on this sheet under heading “Shipping.” If a retail store is conducted in connection with the bakery the amount needed for store may also be shown on this sheet under heading “Store.” This completes the Bread Order. (See Fig. “A.”)

FIGURE “A.”

Now prepare a loading sheet for each of the drivers which will show at the end of the day’s business the total amount of each kind of bread taken out and charged to each driver. (See Fig. “B.”) These sheets can be extended and used for checking in the drivers, as shown.

FIGURE “B.”

A form called “Driver’s Returns” (See Fig. “C.”) should also be used, showing the number of loaves of each kind of bread returned by the drivers, and which should be kept, and all entries made thereon, by the bread counter. It is very essential to have some one person, other than the drivers themselves, to check out the drivers and keep the drivers’ loading sheets.

FIGURE “C.”

Another form called “Proving Sheet” (See Fig. “D.”) should be kept in connection with the above forms, and upon which the daily driver’s, store, and shipping sales may be entered and compared with the daily output or total made.

FIGURE “D.”

Bread Department.

A Bread Department account should be kept in the ledger, and credit to this account should be made for drivers, shipping and store sales, and if bread is sold on the basis of four cents per loaf the total credit to this account divided by four will give the total number of loaves approximately sold for a month or any given period, which figures may be used in arriving at the cost of production per 1,000 loaves for any item of expense, such as bakers’ salaries, fuel, merchandise, etc., etc.

At the end of the month charge to the bread department all items of expense for that month, such as advertising, salaries, sundry expenses, light and fuel, merchandise, stable expense, and the monthly proportion of insurance and taxes—the balance will show the profit or loss in this department for such period.

Shipping Department.

If a shipping business is conducted, a shipping department account should also be kept, and to this account can be charged all bread shipped at the rate of, say three cents per loaf—crediting same to bread department. Charge should be made to this account for all express charges and for its proportion of salaries. The credit to this account will be the gross charges to the parties to whom bread is shipped. The difference will show the profit or loss.

My experience has been that if the proper charges are made for all expenses in connection with shipping, including losses owing to bad account, the wear and tear and loss of baskets—the shipping department will invariably show an actual loss, even on the basis of charging only three cents per loaf for all bread used in shipping, unless bread returned by the drivers is used in shipping, and which is used for this purpose by some bakers, and which otherwise would have to be disposed of for considerably less.

Cake Department.

Where cakes, pies, cookies, etc., are made in connection with bread they should be separated from the bread department and all could be included in one department called Cake Department, or any other name suitable. The materials used for the making of these goods should be charged direct to this account when purchased, and all materials used from the bread department merchandise should be charged to Cake Department merchandise and credited to Bread Department merchandise. Also charge to Cake Department its proportion of bakers’ salaries, light and fuel, and other expenses belonging to this account. The credit to this account will be the drivers’ returns from the sale of pies, cakes, etc., and for those sold to the store or shipping customers.

Store Department.

If a retail store in conducted in connection with a bakery, all goods taken from the shop should be charged to Store Account at the regular wholesale prices, and credited to the bread or cake department. Charge should also be made to Store Account for clerk salary attending store, and should also be charged for its proportion of light and fuel, office salary, and other expenses, and also for all merchandise purchased from the outside to be sold in the store. The credit to this account will be the daily sales as shown by the cash register.

Stable Feed.

A stable feed account should be kept to which is charged all items of hay, grain, etc., used for horse feed. At the end of the month the balance of this account can be charged into Stable Expense Account. The object in keeping this account separate is for the purpose of arriving at the cost for feeding a horse for a given period, which can be done by dividing the number of horses into the total charges to this account.

Stable Expense.

Charge to this account items of medicines, veterinary bills, shoeing bills and stable man’s wages, and all other items of expense belonging to this account. At the end of the month charge the balance in Stable Feed Account to this account, which will then show the entire cost of operating the stable.

General Accounts

Ledger accounts should also be kept of Buildings, Harness, Horses, Machinery, Fixtures, Ovens and Wagons, and a certain amount should be credited at the end of each month to each of these accounts to cover shrinkage, the total amount of these shrinkages being charged to Expense Account. Ledger accounts should also be kept of Insurance and Taxes, charging all bills for these items to these accounts, and crediting these accounts at the end of each month with their monthly pro ratio for these items, charging at the same time this pro ratio to Expense.

Inventory.

To install an accounting system as described above, which is on a monthly basis, it will, of course, be necessary to take monthly inventories of Fuel and Merchandise for each department, Stable Feed and Store Stock.

A system such as I have outlined is adequate for handling the accounting end of a baking business having an output up to eight or ten thousand loaves daily, but for a larger baking business a more intricate system would of necessity have to be installed and which would carry with it a great many more accounts than I have named.

A great many minor record accounts could be kept in connection with the above system, but it would be quite difficult to explain all these.

Breaking an Egg with One Hand.

The trick of breaking an egg with one hand is something that you should learn how to do. It not only gives you speed, but shows that you are a workman thoroughly familiar with your business. The trick can be acquired with a little practice. To do it nicely the hand should be a little moist. Hold the egg in the right hand between the forefinger and the second finger with the thumb on top. Strike the egg once sharply on the rim of the glass to crack the shell, then holding it over the glass press down slightly with the thumb and the egg drops out, leaving the shell in the hand. While learning to do this the glass should be allowed to stand on the counter, so that if you fail, the left hand can come to the assistance of the right; but just as soon as you know that you can break the egg with one hand, then you can hold the glass in the other. This saves time, especially when you have two or three to prepare at once. When you have become proficient with the right hand try the left until you, can use either or both.