18 BULLETIN 811, IT. S. DEPARTMENT OF AGRICULTURE. 
Office Furniture and Equipment ( C4) . 
Debit: 
Credit: 
1. With the original cost of office fur- 
1. 
With the cost of any item sold, 
niture and equipment as shown 
discarded, or destroyed. (See 
by the Balance Sheet at the time 
credit under Machinery and 
of opening the books. 
Equipment.) 
2. With the cost of additional equip- 
ment purchased, including trans- 
portation, installation, etc. 
See discussion of extraordinary losses, page 28. 
D. ACCOUNTS PAID IN ADVANCE. 
Prepaid Insurance (Dl). 
Debit: 
Credit: 
1. With the amount of unexpired 
1. At the close of a fiscal period with 
insurance premiums at the time 
the insurance premiums expired 
of opening the books as shown by 
during the period. (Debit In- 
the Balance Sheet. 
surance Expense.) 
2. With insurance premiums paid. 
2. With refunds on canceled policies. 
(Credit Bank account.) 
The debit balance of this account is an asset and should be shown on the Balance 
Sheet, 
Printing and Stationery — Inventory (D2). 
Debit: 
1. With the value of unused printing 
and stationery on hand at the 
time of opening the books as 
shown by the Balance Sheet. 
2. With purchases of printing and 
stationery. 
Credit: 
1. At the end of the period with the 
amount consumed or discarded 
during the period. (Debit Print- 
ing. Stationery, and Office Sup- 
plies Expense.) 
The balance of this account is an asset and should be shown on the Balance Sheet. 
E. OTHER ASSETS. 
Railroad Claims (El). 
Debit: 
Credit: 
1. With the valid claims at the time 
1. With amounts collected on account 
of opening the books as shown by 
of claims entered. (Debit Cash.) 
the Balance Sheet. 
2. With the net loss due to leakage in 
2. With claims entered against trans- 
transit. (Debit Leakage in Tran- 
portation companies for loss due 
sit account.) 
to leakage in transit. (Credit 
the Grain or Merchandise account 
concerned.) 
