22 BULLETIN 985, U. S. DEPARTMENT OF AGRICULTURE. 
ACCOUNTS RECEIVABLE ConTROI (A4). 
Debit: 
1. With the total charged to individual | 
accounts as shown by the balance | 
sheet at the time of opening the 
books. 
2. With the monthly totals of the charge | 
sales as shown by the debit gin- 
ning ledger column in the cash 
journal. 
| Gredit- 
1. With the monthly totals of collec- 
tions on account, as shown by the 
credit ginning ledger column in 
the cash journal. 
2. With any other credits to customer’s 
accounts, including the writing off 
of uncollectible accounts. (See 
Reserve for bad debts.) 
The debit balance of this account must equal the net total of the balances of cus- 
tomer’s accounts as shown by a summary oi the ginning ledger. 
The postings to this account are the monthly totals of the ginning ledger columns 
in the cash journal. 
INVENTORY (A5). 
Debit: 
1. With cost value of all salable mer- 
chandise and operating supplies on 
hand as shown by the balance 
sheet at the time of opening the 
books. 
2. At the close of each fiscal period with 
the cost value of all salable mer- 
chandise and operating supplies 
on hand as perinventory. (Credit 
the various purchase accounts.) 
| Saat 
. At the beginning of each fiscal period 
with the cost value of all salable 
merchandise and operating sup- 
plieson hand. (Debit the various 
purchase accounts.) 
The balance of this account will represent the value of salable merchandise and 
operating supplies on hand at the end of 
of inventory on page 37.) 
the previous fiscal period. (See discussion 
B. FIXED ASSETS. 
LAND (BI). 
Debit: 
Credit: 
1. With the cost of the land owned as 1. With the cost of any land sold. 
shown by the balance sheet at the | 
time of opening the books. | 
2. With any subsequent purchases oi | 
land. 
3. With the cost of any permanent | 
improvement, such as sewers, 
water, mains, etc. 
If any land is sold at a price in excess of its cost, such excess should be credited to 
surplus. : 
