46 The Farmer's Business Handbook 



up some of the perplexities which are so often 

 encountered by the pupil when accounts are con- 

 sidered, provided, however, that the explanations 

 are studied carefully. If they are not, additional 

 explanations would be useless. 



Some of these explanations apply to the ledger, 

 which has not yet been reached; but it has 

 seemed best to make them here, otherwise some 

 of the entries in the blotter would not be under- 

 stood. As each entry in the blotter is made, 

 the pupil should have clearly in mind the na- 

 ture of the transaction. Consider, for instance, 

 the transaction near bottom of page 48. Live 

 Stock is debtor; Corn Field creditor. The corn 

 and stalks have both been charged to Live Stock, 

 because it is presupposed that the cattle will use 

 these products. Corn Field is credited because it 

 furnished value. Should there be some corn left 

 over when the inventory is made out the next 

 spring, it would be inventoried with other assets 

 of live stock belongings. Should fifty bushels 

 of the corn be wanted for teams before the fiscal 

 year closed, then the following entry would ap- 

 pear in the blotter: 



Teams Dr. to Live Stock, 

 50 bushels of corn $25 00 



Whenever one account receives value from any 

 other account, a similar entry should be made. 



