FARM ACCOUNTING 



AUXILIARY BOOKS 



In addition to the above summary books, a number of books for reference not necessary 

 to the accounting scheme may be kept. These are called auxiliary (helping) books, and may 

 be taken up or discontinued as serves the purpose. Among these may be mentioned registers 

 of stock pedigree, records of detailed cost and production in any experimental test, sum- 

 mary of sales for the month showing quantity of each commodity, with prices, etc. Such 

 books, while valuable for the purposes intended, are independent of the accounting scheme. 



DAILY REPORT CARDS 



Success in keeping farm books depends on convenience in making the original records. 

 This is brought about by the use of individual report cards properly ruled and printed to ac- 

 commodate the required data. Each person working about the place receives a card in the 

 morning in which he fills during the day the time spent in departments, the team use, the 

 product passing through his hands, and on the reverse side of the card the business dealings 

 which he carries out. This card he returns at night together with any cash or other matter 

 that should accompany it. Entries are made from these cards at the convenience of the book- 

 keeper who then files them as vouchers. 



PRELIMINARY EXERCISE 

 DETAILED RECORD FOR EXPERIMENTAL PURPOSES 



The Poultry Record for experimental purposes is here given. A similar record can 

 be kept if desired for any specific line of production. A detailed orchard record, a 

 garden record, a real estate record, etc., would be of value in correcting the uncertainties of 

 ''guessing." 



The experimental poultry record here given exhibits in detail five items of cost: (1) 

 labor, (2) feed,. (3) housing, ground and tools, (4) stock, (5) miscellaneous. It gives three 

 items of production : (1) eggs, (2) stock, (3) miscellaneous. The columns are lettered A 

 to H in order to allow a special memorandum to refer to an amount in any column without 

 requiring the use of more than one line per day. Other facts are recorded as shown by the 

 column headings. Notice particularly that the total value of the investment is entered at 

 top and is changed with each day's entries, and at the end of the month, the interest on the 

 investment can be easily computed and charged in. 



OPENING THE RECORD 



The inventories at starting should be placed at the head of the columns (red ink) so 

 that the current entries following (black ink) can be footed separately. The red ink amounts 

 at top plus the footings for the current month will be added and carried to the top of the next 

 open folio representing the following month. These in turn will be carried forward month by 

 month to Dec. 31, the close of the year, when a new register is to be opened for the ensuing 

 year. 



MEMORANDA 



The following entries are 'made on the assumption that the labor is worth 25c per hour, 

 and that money is worth 6 per cent interest annually. Make all daily calculations correct to 

 the nearest cent. 



Dec. 1. Began poultry record today with the following property invested : 120 chick- 

 ens, 360 lb. @ 10c per lb., entered in column D ; Chicken house valued @ $84.50, fencing, 

 crates, etc., $16.80, bone grinder, $7.50, sprayer, $3.00, in column C; 40 lb. chick feed worth 

 80 cts., 12 bu. corn @ 50 cts., 7 bu. wheat @ $1.10, in column B; one Poultry Guide Book, 

 $1.20, unexpired subscription to the Poultry Journal, 40c, in column E. 



Enter number of poultry on hand in column provided for. that purpose. Enter the values here shown in 

 the respective debit columns (red ink). Enter the total in the investment balance column (black ink). In this 

 exercise, entries are to be made directly into the record from memoranda as given. 



