CLASSIFICATION OF LEDGER ACCOUNTS FOR CBREAMEREES. 3 
M. G@PERATING EXPENSE. 
Lapor (M 1). 
DEBIT: _ CREDIT: 
1. With the amount actually earned 1. With the debit balance at the close 
| pt for the period by all factory em- of the fiscal year. (Debit Loss 
ployees as shown by the time and Gain.) 
sheet. (Credit. Payroll account.) 
It will be noticed that this account is not. charged with advances to employees nor 
with the amount paid to employees, but with the amount actuaily earned during the 
period. All paymenis, of whatever nature, are charged to Payroll account. (See 
p. 16.) 
PowER AND REFRIGERATION (M 2). 
| 
| Desir: CREDIT: : 
r I. With the cost of all material of any I. With the debit balance at the end of 
fe nature used as fuel in producing the fiscal period. (Debit Loss and 
power. Gain. ) 
2. With the cost of electricity used for 
light and power. 
(aN) 
. With the cost of water. 
4. With cost of all materials used in 
reirigerating machines or ice boxes 
(such as ammonia, calcium, ice, 
etc.). 
In those organizations which desire detailed information relative to the cost of power 
and refrigeration, this account should be replaced by others which will give the de- 
sired detail. 
ManuractuRinG Supprres (M 3). 
# 
DEBIT: . CREDIT: 
1. With the cos? of all materials used 1. With debit balance at the end cf the 
in the process of manufacturing, fiscal period. (Debit Loss and 
such as packages and mers, salt, Gain.) 
butter color, starter, ete. 
REPAIRS ON PLAN? (M 4). 
DEBIT: CREDIT: 
i. With the total amount expended for I. With the debit balance at the close 
: repairs to buildings, machinery, of the fiscal year. (Debit Loss and 
3 and equipment, as shown by in- Gain.) 
voice or other vouchers. 
~ Considerable care must be exercised in determining what should be charged to this 
account. These charges should include repairs of all sorts but should not include 
charges for replacement of entire units. The various invoices covering such ex- 
penditures should be carefully analyzed and treated individually. 
