418 



INDEX 



Block, Eddie, illustrative prob- 

 lem, 59 



IJIy, Edward, illustrative prob- 

 lem, 78 

 Board, average cost of, 131, 132 



debit to Labor account, 132 

 Bookkeeping, abbreviations, 15 

 defined, 1 

 doctor's 130 



Books of account, object of, 8 

 purpose, 1 

 rulings, 1 

 Books of Original Entry, express 



debits and credits, 85 

 postings from, 85 

 reasons for, 83 

 Borrowing money (See "notes" 



and "Farm Loan Act") 

 Buildings, depreciation, 152, 155, 



279, 281 



account entries, 121, 123 

 interest on investment, 274 

 expense account, 155, 167, 270, 



279, 281 

 Butter fat, 160. (See also, 



milk) 

 By products, 257, 314, 319 



Capital, accounting definition, 17 

 as a liability, 24 

 as net worth, 4 

 economic definition, 17 

 interest on partner's, 186 

 proprietor's, 18 



Capital account, after closing 



entries, 51, 53 

 defined, 18 

 entries, 27 



increases and decreases in, 29 

 loss and gain account closed 

 into, 51, 284 



Capital account, partnership, 1*~ 

 reason for, 38 

 subdivided, nominal accounts, 



43 



Capital expenditures, 122 

 Capital income, 271 

 Cash account, verifying bal.i 



63 

 Cash balance, agree with bank, 



108 

 Cash Book, cannot be used 



alone, 95 

 as a journal, 97 

 entries in, 93, 94 

 posting procedure, 96 

 reconciliation with bank, 110 

 totals posted, 97 

 transactions affecting, 93 

 Cash Journal, columnar arrange- 

 ment, 99, 102 

 defined, 97 

 equality of debit and credit, 



98 



posting procedure, 101 

 special columns, 98 

 use of sundry columns, 98, 



101 



Cash rent, 194, 258 

 Cattle account, entries 126 



illustrated, 148 



Change of wealth statement, 196 

 Changes in capital, L & G state- 

 ment, 31, 32 

 Checking account, 108 

 Check stubs, errors on, 110, 111 

 Checks outstanding, 110 

 Claim against railroad, 166 

 Clearing land, cost of, 121 

 Closing, before or after state- 

 ments, 76 

 process under cost system, 278 



