(564- THE HOME, FARM AND BUSINESS CYCLOPAEDIA. 



by an agent, the amount may be charged to this Agent account, and at 

 the end of each month, or at the end of the year, as we may prefer, this 

 "Agent account" may be balanced by writing on the credit side, in ivd 

 ink, " By Travelling Expenses " for the total amount of same, and carry- 

 ing this amount over to the debit side of Travelling Expenses account, 

 writing there, in black ink, the name of the agent by whom this amount 

 was expended. When we keep an " Agent account " in this way, it is 

 simply as a matter of satisfaction to us to know how much is expended 

 by each agent. 



217. Second Method. Some business houses pay their travelling agents 

 a regular salary, and allow them besides a certain amount per day, per 

 month, or per year, for travelling expenses. When this is done, an 

 " Agent account " may be opened in the Ledger for each agent, and these 

 accounts debited whenever any money is drawn for travelling expenses ; 

 then, at the end of each month, an entry may be made on the Journal 

 thus : " Travelling Expenses Dr. to Sundries," and under this heading 

 enter the names of all our travelling agents, adding " Agent account " 

 after each name, crediting to the respective Agent accounts the amounts 

 allowed them for expenses. The difference may then be found between 

 the two sides of the respective " Agent accounts," the Agent account 

 balanced the same as in first method ; excepting, that this difference, 

 instead of being carried to the Travelling Expenses account, is carried to 

 the personal account of the agent, i.e., the account upon which is entered 

 his regular salary, debiting the personal account of the agent, if he has 

 drawn more than allowed by the firm for expenses, or crediting it if he 

 has drawn less. 



218. Third Method. When the travelling agent is allowed a certain 

 amount per day, per month, or per year, for travelling expenses, instead 

 of opening an "Agent account," as in Second Method, we may, when an 

 amount is drawn for expenses, charge the amount directly to the personal 

 account of the agent, thus, at the end of each month, make an entry on 

 the Journal the same as described in Second Method, excepting, instead 

 of adding " Agent account " after each name, and crediting the amounts 

 to the Agent accounts, we credit the amounts allowed for travelling ex- 

 penses directly to the personal accounts of the agents. 



219. Fourth Method. Some houses, in addition to a regular salary 

 and a certain amount for travelling expenses, pay their travelling agents 

 a certain percentage commission on the sales they make sometimes on 

 the sales from the beginning, and sometimes not until their sales have 

 reached a certain amount. This is partly done to insure extra efforts on 



