BUSINESS PRACTICE AND ACCOUNTS FOR COOPERATIVE STORES. 39 
total is entered on the debit side, at the end of the year, as explained 
on page 30. 
42. Advertising. — This is treated the same as 41. 
43. Delivery. — Same as 41. 
44. Miscellaneous buying and selling expense. — This account con- 
tains such items as order and requisition blanks, sales books, twine, 
wrapping paper, containers, and the like. 
45. Management and office salaries. — These salaries are a part of the 
total of column 8 in the Cash Payments. The manager's salary in 
proportion to the time spent in management; the salaries of the 
bookkeeper, auditors and secretary, and directors' fees are included. 
46. Office expense. — This item includes office books and stationery, 
stamps, ink, pencils, and other office supplies, but not permanent 
fixtures, such as office desks, typewriters, and adding machines; in 
short, anything which is consumable and which is used in the office. 
Sales books, however, should be charged to the selling expense, 
order and requisition blanks to purchasing expense, etc. 
48. Rent, insurance, and taxes.— The contents of this account are 
self-explanatory. In the statement it should be subdivided under 
the three headings. 
49. Light, Jieat, water, and power. — These titles are all self- 
explanatory. The charges are collected in one column in the Cash- 
book and later subdivided. 
50. Depreciation on furniture and fixtures. — Rates of depreciation 
should be established, and a Reserve for Depreciation of Furniture 
and Fixtures set up and accumulated every year, to make up for 
the loss to this property in the same manner as No. (4). 
51. Repairs. — This account contains charges for expenditures for 
the general upkeep of the property, such as painting, repairs to fix- 
tures, and glazing. It is accumulated in column 18 of Cash Pay- 
ments during the year, and from there entered in the General Ledger 
at the end of the year. 
52. Telephone and telegraph. — The contents of this account are self- 
explanatory. 
The trading account. — This is a summary of accounts and items 24 
to 36, inserted in the Ledger as a permanent record of the Trading 
Statement. It corresponds exactly to the statement, except that it 
is in the form of a ledger account. 
Stock turns. — This is the approximate number of times the stock is 
sold, and is found by dividing the turnover (35) by the average 
inventory (27 and 33). Thus, if the turnover is $30,000 and the 
inventories are $8,000 and $4,000 at the beginning and end of the 
year, respectively, the number of stock turns is 5. 
