SPECIAL ACCOUNTS AND ENTRIES 



General Expense 



149 



1915 



Mar. 1 Capital Invest, 

 per Inventory 

 Record (ce- 

 ment and 

 nails) $11.50 



1916 



Feb. 29 Sundries from 



Cash journal 



column.. 160.00 



1916 



Feb. 29 Invty. brought 

 down (nails) . 



$171.50 



$2.40 



1916 



Feb. 29 Inventory per 

 Invty. Rec- 

 ord (nails)... $2.40 



Feb. 29 Bal. to Loss & 



Gaina/c.... 169.10 



$171.50 



appear as an item carried down below the double lines from 

 the preceding year. 

 Miscellaneous Supplies Inventory in Accounts. In 



showing the relation between miscellaneous supplies in the 

 inventory record and in the accounts, the General Expense 

 account is used in Illustration 28. The two classes of sup- 

 plies specifically designated in the inventory record Illus- 

 tration 27 are cement and nails. At the time these com- 

 modities are purchased they are charged to General Ex- 

 pense. When purchased in large quantities, they are not 

 all used in the year in which they were purchased. In 

 order properly to show in the General Expense account 

 what supplies are used in a given year, an inventory is 

 taken of the supplies on hand at the close of the year. 

 These supplies are then credited to the General Expense 

 account before closing, and debited below the double lines 



