RECORDS AND ACCOUNTS 411 



come in the winter at a time when other work is usually slack and 

 when the weather is more favorable for working indoors than out. 

 A definite order should be adhered to in closing the accounts. This 

 order may be as follows : 



1. The first step is to take a final inventory in the same manner as at 

 the beginning of the year. This inventory should include all bills that 

 other persons owe the farmer and all bills which the farmer owes to other 

 persons. 



2. The list of bills payable should be inspected and any items that have 

 not yet been charged should be charged to the proper accounts. For 

 instance, if $15 for labor is still due the hired man at the date of closing, this 

 item should be entered as a charge against labor. 



3. The list of bills receivable should be inspected, and any items that 

 have not yet been credited should be credited to the proper accounts. 



4. The record of all feed transferred to the live stock should be com- 

 pleted, charging the various animals and crediting the various crops. Pro- 

 duce raised and fed is charged against the animals at what it is worth on 

 the farm. 



5. The various classes of live stock should be credited with the portion 

 of unused feeds which were charged to them at the time of purchase or 

 harvest. 



6. The use of pasture should be credited directly to the real estate or 

 to a pasture account and charged against the animals using it. 



7. The value of produce used in the house, if not noted before, should 

 be entered. The proper crops or animals should be credited and charges 

 made against the personal account. . 



8. The entry of value of board, produce, or other allowances furnished 

 to the laborers should be completed. These charges should be made 

 against labor and the proper accounts credited. 



9. The value of unpaid labor, such as work by the farmer himself, by 

 boys in the family to whom regular wages are not paid, and milking or 

 other farm work by women of the family should be entered. Make these 

 charges against labor and credit the personal account. 



10. The animals should be credited with the value of the manure pro- 

 duced and this amount charged against the crops to which it was applied. 



11. The proper amounts for the use of the buildings by crops, animals, 

 the farmer, or laborers, should be entered. As a general rule, 8-10 per cent 

 of the current value of the buildings may be charged as rent. % The propor- 

 tion of the whole sum which each class of animals or each crop should pay 

 will have to be determined by the farmer in proportion to the amount 

 and value of the space occupied by each. 



12. Taxes and insurance paid on personal property should be dis- 

 tributed to the proper accounts. 



