2 BULLETIN 403, U. S. DEPARTMENT OF AGRICULTURE. 
While agricultural marketing organizations are founded primarily 
for the disposal of products of the farm to the central market, in a 
majority of cases they have found it necessary for the convenience of 
their patrons to handle certain lines of farm supplies. Many live- 
stock shipping associations are at present selling grains and prepared 
feeds to the farmers, and as this is done to some extent on credit accu- 
rate accounts receivable must be kept. 
The system of accounts devised by the Office of Markets and Rural 
Organization and described in this bulletin has been so constructed 
as to meet the requirements of shipping associations under vary- 
ing conditions at a minimum expenditure of time and bookkeeping 
effort, 1 and is the result of investigations made by the office in 
cooperation with several live-stock shipping associations in various 
States where the system is now in successful operation. Special 
care has been taken to make the method of application as direct as 
possible and to cut to a minimum the number of forms necessary to 
do the work properly. It is well understood that not all the forms 
included in the system will be needed under every condition of opera- 
tion, but such forms as are suggested will be found practicable for 
use in every association attempting to keep an accurate account of 
the transaction of its business. 
TYPES OF SHIPPING AGENCIES. 
The efforts of farmers to market their own live stock where suffi- 
cient animals are available to support united efforts usually have 
resulted in the formation of a corporation or association equipped 
with the necessary establishment to do the work. This often includes 
a yard and scale and the employment of a buyer or manager, with 
provision for an office at or near the yard. Where such associa- 
tions have been formed and have not had sufficient business to 
make it profitable to keep a manager, individual farmers have taken 
turns at shipping for the association. This method can not be 
recommended, however, as some one should have a continuous 
knowledge of the affairs of the association to insure proper service. 
Individual buyers having an established business at a certain 
point frequently make it a practice to ship for farmers on commission 
on the same basis used in shipping associations. This arrangement 
is common only in places where but few farmers have the desire to 
sell at terminal market prices. In any case, the accounting records 
necessary would be similar. 
1 For a further discussion of general subjects relating to live-stock shipping associations, see Doty, S. W., 
and Hall, L. D., "Cooperative Live-Stock Shipping Associations," U. S. Department of Agriculture, 
Farmers' Bui. 718, 1916. 
