PROBLEMS OF COOPERATIVE MARKETING ASSOCIATIONS 33 



ment the buyer pays the draft and receives either the bill of lading 

 or the ear-delivery order. The funds are then transferred to the 

 bank of the central organization. - 



In the meantime a manifest of the shipment is made out as a 

 permanent record of the shipment. In many organizations the mani- 

 fest is combined with the car-pooling record. From the pooling rec- 

 ords further entries such as prices, expenses, and allowances are en- 

 tered upon the member's commodity ledger sheet. Each member's 

 participation in each pool is thus shown and the amounts due 

 growers are indicated. Whole or partial payments to growers are 

 made by check, and account sales are rendered the member at the 

 same time. 



GENERAL RECORDS 



The general records kept inefficient systems are usually the journals 

 and the general ledger. In some cases the various journals have 

 been combined into one, but the present tendency is to keep separate 

 journals for each of several items such as purchases, labor records 

 and pay roll, sales records, cash receipts and disbursements, and ac- 

 counts receivable and accounts payable. Postings from each of these 

 journals are made to the general ledger. 



The general ledger is the book of accounts. After the transactions 

 of the business have been recorded in the several journals, the re- 

 sulting debit and credit items arising from such transactions are 

 posted (or transferred) to the proper accounts in the general ledger. 

 In this manner all the facts concerning the particular subject are 

 collected under its name and can be viewed as a whole. Information 

 concerning any particular portion of the business or the business as 

 a whole can thus be obtained for use in the statistical reports. 



STATISTICAL REPORTS 



The greatest importance should be attached to the rendering of 

 statistical reports. Such reports furnish to the manager and the 

 board of directors the information necessary to the proper guidance 

 of the business and furnish to the members the information neces- 

 sary to promote confidence and loyalty. The reports should be as 

 simple as possible so they can be thoroughly understood by the 

 majority of the members. 



Statistical reports include monthly or yearly reports, the reports 

 of auditors and special reports covering particular phases of the 

 business. Monthly reports are prepared primarily for the use of 

 the manager and the board of directors. Annual reports, although 

 of great importance to those responsible for the general policies, are 

 nevertheless primarily important to the members, serving to provide 

 them with information regarding their business. Reports of audi- 

 tors usually made annually, but often more frequently, serve not 

 only to check the records of the association but to instill confidence 

 among members by furnishing a statement made by a disinterested 

 party. 



Special reports are used by managers to bring out the facts con- 

 cerning some particular part of their business. Costs of operating 

 local packing houses, cost of selling, advertising, and collections and 



