ACCOUNTING FOE FRUIT SHIPPING ORGANIZATIONS. 17 



A segregation of the packing-house and warehouse costs as outlined 

 will be found of great value to the management in the conduct of the 

 business and for comparative purposes. 



THE CASH JOURNAL. 



The cash journal (Form 26) provides a chronological record of the 

 financial transactions of the business and combines the features of 

 the cash book, journal, sales book, and purchase book. All transac- 

 tions must be journalized in detail or in budget in the cash journal; 

 consequently no items can be posted to the ledgers except those 

 appearing in this book. 



DEBIT COLUMNS. 



Cash. — All receipts of cash of whatever nature are entered in the 

 cash column, the corresponding credits being made to the proper 

 accounts affected. 



Bank deposits. — The amounts of the deposits made in the bank 

 are entered in the bank-deposit column. The bank balance, as shown 

 by the cash journal at the end of the previous month, is carried for- 

 ward to the head of the bank-deposits column for the current month, 

 making it possible to ascertain at all times the available amount of 

 money in the bank by deducting the footing of the withdrawals col- 

 umn from the footing of the bank-deposits column. 



General ledger. — This column may be used for all items to be posted 

 to the debit of the accounts in the general ledger, and for which no 

 special columns have been provided. Posting should be made in 

 detail from this column to accounts in the general ledger. 



Mercantile ledger. — All items to be posted to the debit of growers' 

 supply and mercantile accounts should be entered in the mercantile- 

 ledger column, and posted in detail to the mercantile ledger. At the 

 end of the month the column total is posted to the debit side of the 

 mercantile-ledger controlling account in the general ledger. 



Fruit ledger. — In the fruit-ledger column are entered all charges 

 which are deductible from the net returns from the growers' fruit. 

 Postings are made in detail from this column to the accounts in the 

 fruit ledger. At the end of the month the total of the charges is 

 posted to the debit side of the fruit-ledger controlling account in the 

 general ledger. 



Fruit returns. — In this column are extended the amounts charge- 

 able to the fruit-returns account, offsetting the credits to growers' 

 accounts arising from the sale of fruit handled for them and the reve- 

 nue accruing to the organization. 



Merchandise. — All purchases of merchandise, such as grain, 

 hay, feed, flour, salt, and the freight charges thereon, are extended 

 into this column, and posting of the total of the column is made at 

 the end of the month to the debit of the merchandise account. 

 5896°— 18— Bull. 590 3 



