754 THE HOME, FARM AND BUSINESS l YCLOr^EDIA. 



of a business college professor) knows full well that if he buys something 

 and does not pay for it that he owes the person from whom the article 

 was bought, and thereupon he conceives the idea of credit ; and when he 

 pays for this article, he knows full well that the debt exists no longer, 

 and thereupon he conceives the idea of a debit to balance that credit ; 

 when he sells an article and does not receive payment therefor, he knows 

 that the person to whom he sold the article is indebted to him for same, 

 and thereupon the idea of debit is conceived ; and when this person can- 

 cels the obligation by paying for the marbles or taffy, the boy knows full 

 well that his comrade to whom he sold the same owes him no longer, and 

 thereupon, an idea is conceived for a credit to balance that debit this is 

 all that Single Entry book-keeping consists of simply debiting persons 

 when we sell them goods on account in the manner and form illustrated 

 in paragraph 370, and crediting them when the} 7 pay for same ; and credit- 

 ing persons when we buy goods from them on account in the manner 

 illustrated in paragraphs 401 to 407, and debiting them when we pay for 

 same. 



It will be seen that in strictly Single Entry book-keeping there are no 

 accounts in the Ledger but accounts with persons ; therefore Single Entry, 

 unlike Double Entry, does not exhibit a statement of the business done, 

 but is simply a record of the amounts owing to us and by us on account. 

 (See 3.) In posting an item in Single Entry, if the person is debited, we 

 simply post the amount to the debit of his account in the Ledger, and 

 make no credit whatever; if the person is credited, we simply post the 

 amount to the credit of his account in the Ledger, and make no debit 

 whatsoever for same. Whenever there are any other than personal ac- 

 counts in the Single Entry Ledger, there has been just so much borrowed 

 from Double Entry book-keeping. (See 313 and 314.) There are a great 

 many firms \Njho keep a Merchandize account and an Expense account in 

 the Ledger simply as memorandum accounts, to the Merchandise account 

 they post at the end of each month, the same as in Double Entry, the 

 total sales for the month ; and to the Expense account they post all items 

 of expense, of whatsoever kind. These accounts are kept just as a matter of 

 gratification that they may see what their total sales for the year are and 

 what their total expenses. They also keep a Cash Book which they treat 

 in the same manner as the book illustrated in this work. There are some 

 houses who keep a Bank account crediting the bank on the debit side of 

 the Cash Book when checks are drawn, and debiting the accounts for 

 which such checks are given on the credit side of the Cash Book ; and 

 debiting the bank on the credit side of the Cash Book whenever deposits 

 are made; but the system recommended in 8G| is the one most in use. 



