BOOKKEEPING FOR GRAIN ELEVATORS. 
15 
Items of exchange and interest should be entered at the time the bank statement is 
received. Such charges and credits will be indicated by charge and credit memoranda 
submitted by the bank with the paid checks and should be entered in the bank 
columns, debiting Miscellaneous Expense with exchange charges and debiting or 
crediting Interest account with interest items. 
Notes Receivable (A4). 
Debit: 
1. With the face value of the notes 
of others on hand as shown by the 
Balance Sheet at the time of open- 
ing the books, 
2. With the face value of new notes 
taken in payment of any debt owed 
to the company. 
Credit: 
1. With the amounts received in pay- 
ment of notes held. 
2. With the face value of notes receiv- 
able discounted when such notes 
are reported paid or are past due 
and no notice of default has been 
received from the bank. (Debit 
Notes Receivable Discounted.) 
3. With the face value of notes other- 
wise disposed of. 
See Notes Receivable Discounted. 
Accounts Receivable Control (A5). 
Debit: 
Credit: 
1. With the total of accounts out- 
1. With the monthlv totals of collec- 
standing at the time of opening the 
tions on account, as shown by the 
books as shown by the Balance 
credit Accoimts receivable column 
Sheet. 
in the Cash Journal. 
2. With the monthly totals of the charge 
2. With any other credits to customer's 
sales as shown by the debit Ac- 
accounts, including the writing off 
counts receivable column in the 
of uncollectible accounts. (See 
Cash Journal. 
Reserve for Bad Debts.) 
The debit balance of this account must equal the total of the outstanding accounts 
as shown by the Accounts Receivable Ledger. 
Accounts Receivable {Grain Commission Accounts) (A6). 
Debit: 
Credit: 
1. With the net proceeds as shown by 
1. With the drafts drawn against ship- 
the account sales rendered for each 
ments. 
car sold. 
2. W T ith the checks received in full or 
2. With the interest due the elevator 
partial settlement of account. 
on balances, where grain firms 
3. With the interest charged on 
allow such a charge. (Credit Int- 
balances due commission firms. 
erest account.) 
Separate accounts should be opened with commission firms with which current busi- 
ness is transacted. Firms with which an irregular business is done may be assembled 
on one ledger page headed Miscellaneous Grain Firms. 
