The Farmer's mode of keeping accounts by debit and credit. NOTE. The Farmer may at all times know the state of his acc't. by balancing each, and carrying the results to a balance sheet. His cash acc't. may be settled weekly, or monthly. In that acc't. he will debit all he receives, and credit all he pays away; the am't. on hand will always bal. the acc't if kept right. 1828. at 10s. By cash, on acc't. as per receipt of this date* * Agreeably to the laws of this state, cash $ 1975 $ 1975 items, in a general running acc't, must be ad- Remsen Ballot, gar at 44s. at 5s. 18." 40 bu. potatoes, at 2s 6d, 1 bbl. cider vine +66 "1 bbl. mess pork June 13. By cash on acc't as per receipt an order on B. Bolts accepted* Aug. 1." bal. of acc't to book C. page 31 * Ballot's order on Bolts accepted, is regard- $ 7350 $ 7350 ed in law, in the light of a note of hand, both parties are holden for the amt; if paid by Bolts, Ballot is released; but if paid by Ballot it is still an evidence of debt against Bolts, for it was drawn for value received; the proof of which is the entry in the acc't and the acceptance. James Johnson, May 6. By labour of his son John 3 mo. at 9 doll. "To 6 bu. seed wheat, at 10s. 1828. 66 Dr. Cr. $27 $750 750 788 1465 1768 14/04 1675 "1 bbl. mess pork June 12. By amt. of bil of lumber deliv'd D. W. Hill as pr. receipt, and carried to my credit pr. cer- July 1. bal of Cr. carried to folio 2d. 135 36 76 36 $162 36 $162 36 James Johnson, By bal. of acc't, from folio 1.* July 9. To a span of colts, two years old, per receipt 66 a second hand wagon Aug. 1. By note at 3 mo. in full of acc'ts 1828. * When the space or page allotted to one acc't, $122 36 $122 86 is filled up, the balance may be struck and July 1. To amt. of lumber delivered by J. Johnson per certificate 6. amt. of butter and cheese, del'd as per rec't Aug. 1. By amt. of bill of iron, del'd T. Smith By error in amt. of note* To note of hand on demand for bal. of acc't 1823. *When an error occurs either in debit or $27572 $275 27 credit, it is better to make the correction by an opposite entry, as in the above example, than to attempt it by altering the figures or by an erasure, either of which, generally leaves the book blotted and unintelligible, and the acc't subject to exceptions. Thos. Smith, To bal. of acc't from book A. folio 35. May 2." 100 cords of hard wood standing, a 31 1-4 July 6."amt. of bill of iron, delivered by D. W. Hill cts. per cord per rec't 15. By cash on acc't per rec't Aug. 1. bal. to book C. folio 37.* 1828. *The amt. of credit here entered, is intro- $35373 $35373 duced merely to bal. the acc't, and not as a payment or a settlement of the acc't. In book C. folio 37, it is there entered in the debit col umn, as a bal. still due. (See Remson Ballot's Rural Tibbitts, May 2. To sundry articles del'd his order [Carried over.] 299 22 Dd Brought over.] Rural Tibbitts, June 16. By his draft on Manhattan Bank, N. Y. 1828. *When neighbours get together and settle $400 78 $400 78 their acc'ts, it is common for them to record the settlement in their respective books, in the following words:-This day reckoned and settled acc'ts with R. Tibbitts, and found due him, fifty dollars 78-100, for which I have given my note. Bills & Notes, A. B. June 13. By Ballot's draft on B. Bolts, unpaid R. T. Dr. Cr. $ 35/50 350 $4794 note for bal. of acc't D. W. Hill 4160 R. Tibbitts 5078 "bal. of bills and notes in hand* 24518 "note for bal. of acc't *This acc't shows the amt. of bills or notes $38550 $385 50 on hand, their dates, &c. and also those which are out, and remain unpaid. When any one of these notes are paid or received, the entry should be made in the cash lacc't. July 1. To 1600 feet oak timber, 14 by 16, at 27 cts. a foot "36 cords of wood, del'd at his landing a 228 79210. By cash on acc't per receipt NOTE. 1. Had this illustration of book keeping been commenced by an inventory of A B's effects, then with the aid of a second inventory and the data furnished by the record of the foregoing transactions, it would not be difficult to find what A B had made during three months, and also what he is actually worth. NOTE. 2. A B might have opened an acc't with his farm, or any particular branch of pursuit, charged it with the first cost, and what ever he expended to carry it on, and given it credit for all the proceeds taken from it. NOTE. 3. The eldest child, whether a son or a daughter, (for ladies in this country should be accountants, to a certain extent, as well as gentleaen,) should, as soon as their age and acquirements qualify them for the task, be requested to make all the entries in the father's account book, and be present at all settlements, which will not only give the father an opportunity of proving his account, if necessary, but initiate the child into an acquaintance with a subject which is intimately connected with all the transactions of life. NOTE. 4. The foregoing examples are deemed sufficient to illustrate this simple mode of registering accounts. Any man capable of writing and casting figures, may adopt this system without the least difficulty; in fact, it is strictly applicable to various and extensive dealing. The Trademan's mode of keeping accounts. The second form of keeping accounts, is that which has been long in use and is still continued by the generality of mechanics and traders, and by some merchants. It requires a Blotter or Day Book, a Leger, and a Cash Book. In the blotter are entered the debits and credits, or particular transactions of each day, in the order in which they occur. These entries are subsequently posted into the leger under the appropriate name or title to which they belong, and in a fair and legible hand. The cash book is nothing more than a registry of the receipts and payments made in money; it may be settled each day, week, month or year, as may best suit the owner. The subjoined examples will fully illustrate the mode in question, and the particular form of each book. The day book opens with an inventory of the owner's ef fects, &c. Inventory of A B's effects, taken Jan'y. 1, 1828. 1 (Amt. of stock in trade as per bills rendered of debts due per balance of leger A. H. Hill's note due May 1, $256 Int. 6 mo. 8 96 C. Crafts note on demand Amt. of bal. due from A B, as per leger A.* Utica, Jan'y 1, 1828. Hiram Horner, To amt. of his account from leger A. Dec. 16, 1827 and on file To 5 yds. Am. print, a 32 cts., 30 yds. cotton cloth, a 15 cts. 610 1 "12 yds. ging'm, a 25 cts. 16 yds. Irish linen, a 87 cts. "3 yds. black broad cloth, at 5.50. trimmings for 1670 coat and vest, 2.37 1887 41.67 |