BOOKKEEPING FOR GRAIN ELEVATORS. 
29 
the book inventories and the actual physical inventories of the various kinds of grain 
and merchandise at the end of the year. Inasmuch as shrinkage and scale loss is 
an expense to the elevator, it is desirable that the extent of such expense be definitely 
known. 
By following this procedure each grain and merchandise account will show the 
actual gross gain or loss arising from a full accounting of the total quantity of grain 
and merchandise received, and the Loss and Gain account will show all items entering 
into the cost of operating the enterprise. Inasmuch as both leakage in transit and 
shrinkage and scale loss are factors at least partially under managerial control, changes 
in policy may result When the actual facts relative to these factors are ascertained. 
Express, Freight, and Drayage {Ml). 
Debit: 
Credit: 
1. With payments of bills rendered. 
1. With the debit balance at the close 
of the fiscal period. (Debit Loss 
and Gain.) 
N. ADMINISTRATION EXPENSE. 
Telephone, Telegraph, and Postage (Nl). 
(See account No. M2.) 
Printing, Stationery, and Office Supplies (N2). 
Debit: 
Credit: 
1. With purchases of minor supplies. 
1. With the debit balance at the close 
2. At the close of the period with the 
of the fiscal period. (Debit Loss 
consumption during the period 
and Gain.) 
of printing and stationery. (Credit 
Printing and Stationery Inven- 
tory.) 
Interest (N3). 
(To be used only by larger companies.) 
Debit: 
Credit: 
1. With the interest accrued during 
1. 
With the interest accrued during 
the period on notes payable. 
the period on notes receivable. 
(Credit Interest Accrued on Notes 
(Debit Accrued Interest on Notes 
Payable.) 
Receivable. ) 
2. With discount on notes receivable 
discounted . 
This account is closed at the end of the fiscal period by a debit or credit, as the case 
may be, to Loss and Gain. 
