BOOK-KEEPING. 



6*77 



Baok- counts with inner eoluratu, and of the three summary 

 Keeping. acc0 unt8, and brought to the stock account. 



v '' The property in the actual possession of the mer- 

 chant, or under u.t claim, can be nothing more or 

 less than the substitute of stock, increased or de- 

 creased by the profit and loss account. 



CHAP. VIII. 



The Method of Closing the Accounts. 



Method of 80. Some accounts are closed without any addi- 

 elosing the tional entry, when the inner and outer columns are 

 accounts, respectively equal. 



81. Some are closed by balance, when the inner 

 columns are not equal. 



82. Some are closed by balance and profit and 

 loss. 



83. Some real accounts are closed by personal, 

 either totally as factorage real, by employer his ac- 

 count ; or partially, as company accounts, by the 

 partner's account, and profit and Joss. 



84. Profit and loss, and balance by stock. 



85. And stock by balance. 



86. Therefore, all the other accounts are closed in 

 the order of the pages of the Leger. 



87. Then the balances are collected, and all the 

 accounts, which of their own nature produce a gain 

 or loss, are closed by profit and loss. It is closed by 

 stock ; and stock and balance close each other. 



CHAP. IX. 



The Titles closed by Balance. 



88. The following titles are closed by balance : 

 Cash remaining. 

 Wares not sold. 



Voyages, the account of sales not received. 

 Stock in a company not sold. 

 Bottomry, no account of the safe arrival received. 



Bonds, {not received. 

 Ships, or shares, \ 



Houses, lands, moveables, J *> 



Personal accouuts, when the total or part only 

 is due. 



The titles 

 closed by 

 balance. 



Particular 

 methods 

 for each 

 tide. 



CHAP. X. 



Particular Methods for each Title. 



89. Some are closed by balance and profit and loss, 

 which shall be now shewn under each title. 



Cash. 



90. The debit shews the sums received, and the 

 credit shews the sums paid ; credit the account by 

 balance for the excess of the debit above the credit, 

 which is the sum remaining in the chest ; if it should 

 happen that the ready money in the che.t does not 



agree with the sum mentioned, there is an error, 

 which must be sought after, if considerable, and if 

 it cannot be discovered, 



91. And the cash be more than the balance ac- 

 count states, debit the account to profit and loss for 

 the difference. 



92. If the money be less, credit the account by 

 profit and loss for the difference, 



93. And then credit the account by balance for 

 the exact sum in the chest. 



Wares. 



94. The debit shews the cost and charges and com- 

 pensation for defects, and the credit the produce by 

 sale. 



95. There are four cases. 



96. If none be sold, credit the account by balance 

 for the amount of the debtor side. 



97. If all be sold, debit the account to profit and 

 loss for the gain, 



98. Or credit the account by profit and loss for 

 the loss. 



99. If part be sold and part be unsold, credit the 

 account by balance, for what remains unsold at its 

 value, including prime cost and all charges, and then 

 debit the account to profit and loss for the gain, or 

 credit the account by profit and loss for the loss. 



100. If it be difficult to ascertain the value of 

 what remains unsold, the account may be closed by 

 entering on the creditor side, thus, by balance for 

 the total of the debtor side, and debiting the account 

 to balance for the total of the credit side, by which 

 the account will appear in the next Legerin the very 

 state in which it was in the present Leger. 



101. Leakage may happen in casks of liquor. 



102. And a lackage in the weights or measure, 

 (sec also 142. A. B. my account), which, when 

 observed, ought to be entered and carried to the cre- 

 dit side of the respective account in the Leger, ob- 

 serving to begin the entry with a black line, and only 

 to enter the quantity missing in the inner columns. 



Goods bought for Exportation. 



103. The debit shews the cost, and the credit 

 shews when and to whom consigned ; if all remain, 

 close the account by balance. 



104. And if but part remain, it is better to close 

 the account with a double balance. 



Voyage. 



105. The debit shews the cost and charges of the 

 cargo ; the credit shews the neat proceeds as they ap- 

 pear by the amount of the bill of sales received from 

 the factor. 



106. If the account of sales be not received, cre- 

 dit the account by balance for the total of the debtor 

 side. 



107. If the account of sales be received, credit the 

 account by the factor, my account ; and for the dif- 

 ference remaining between the two sides, close the 

 account by profit and loss. 



108. If any return in wares or bills for the neat 

 proceeds be received, credit the account by that par- 

 ticular title, and close the account by profit and lose, 



Book- 

 Keeping* 



