SYSTEM OF ACCOUNTING FOR COOPERATIVE ASSOCIATIONS. 13 



accounts which may Jiave a number of charges during the month, 

 such as Expense. The only difference in the two sets of checks lies 

 in numbering the growers' checks beginning with "~1 " and the general 

 checks with, say, "20001," but few of which will be required. 1 The 

 checks (Form 10) are all bound in the usual commercial form of stub 

 check book with three checks to the sheet. 



FORM 10. 



No. 4007 



June 25, 1914. 

 T. C. Lunford, 

 Car 49 PRR 105539 



Charge ace' t of Fruit. 

 $58.00 



58.00 



Do not detach. THE 



For payment as memo, below. 



EUREKA PRODUCE 

 EXCHANGE, INC. 



Statement, June 25 . 



Less. 



• % 



$58.00 



Proper indorsement is receipt 

 for the above amount. 



No. 4007. 



Aurora, Delaware, June 25, 1914. 



PaytotheorderofT.CLunford. $58.00 



Fifty-eight and no/ 100 dollars 



The Eureka Produce Exchange, Inc. 



To the Farmers National Bank, 

 Aurora, Del. 



A. K. Melton. Treasurer. 



As explained under "Account Sales" (p. 14), the checks are written 

 up from the accounts sales and the entry is made on the cash book in 

 total instead of in detail, thus: 



Date. 



Names. 



Explanation. 



Check 



Nos. 



Fruit. 





Growers Statements. 



CarFGE 129 

 22240 



2066 

 to 2078 



405 00 



All checks drawn in the second check book are entered in detail 

 on the cash disbursement sheet. 



The balance brought forward from the preceding month is entered 

 in the Deposit column. 



The balance in bank at any time is the difference between the 

 Deposit column on the cash receipts side and the total of the Fruit and 

 the Sundries columns on the cash disbursements side. 2 



Reconciliation of the bank account should be made at the end of 

 each month, the list of outstanding checks being written on the cash 

 disbursement sheet, or an adding-machine list pasted thereon so that 

 it will not be lost. 



1 It is often desired by the Directorate and in many instances specified by the by-laws that certain distinc- 

 tions be made between checks covering payments to growers and those covering expenses and other items. 

 Two sets of checks were used by the Exchange in which this system was tried out, so that there would be 

 no interruption of the work should it be desired while drawing a large number of checks in favor of growers 

 to draw a check for some other purpose. 



3 If it is desired to carry on the ledger an account with cash, showing the monthly receipts and disburse- 

 ments, this can be easily done. The total of the Sundries, Fruit, and Merchandise columns on the cash 

 receipt's side will represent the total receipts, and the total of the Fruit and Sundries columns on the cash 

 disbursement's side, the total disbursements. 



