UNITED STATES DEPARTMENT OF os oe 
Contribution from the Bureau of Markets 
GEORGE LIVINGSTON, Chief 
Washington, D.C. V August 16, 1920 
A CLASSIFICATION OF LEDGER ACCOUNTS FOR 
CREAMERIKES. 
By Grorce O. Knapp and Burton B. Mason, Assistants in Market Business Practice, 
and A. V. SwarrHout, Investigator in Market Business Practice. 
CONTENTS. 
Page Page 
libEod ChOME asa ee eater ee ae ee I || Ranh ea bynes oe Soo E A GRHSBnSHBAnBEnaeeacaur 31 
Chart of Ledger accounts. ..............2...- Api aClosine ther BOOkSsapanc soos eee eee 31 
PSEC Sins etka eR ial is ee Seas ig Ae heal po Ber We alam CONSMeObe ees seen aaan ea certs rare nee 33 
Liabilities, Reserves, and Net worth........ 12 | Income and Expense Statement............- 35 
TACO ONS CCOUDES a ie oe Bo Soe ane ihn oo 23 | Installation of Additional Equipment....... 36 
EXCH SCLACCOUMES ane wcreterinlactie cn cece sects 24 | The Nature of Bookkeeping................. 38 
INTRODUCTION. 
In presenting this ‘Classification of Ledger Accounts for Cream- 
eries’’ it is the aim of the Bureau of Markets to emphasize the impor- 
tance of the use of a definite and logical classification of accounts for 
keeping the financial records of any business and to describe in detail 
a classification which can be used advantageously by creameries. 
The use of such a classification is not only a great aid to the book- 
keeper in the performance of routine duties, but its consistent use 
also insures a uniform method of presenting the financial information 
from year to year regardless of changes in the personnel. The use 
of these uniform methods by an industry as a whole makes possible 
the exchange of data regarding business operations, which is of 
untold value as a guide to efficient operation. 
It is felt that the consistent use of the classification described herein 
will be of great benefit to the entire creamery industry. The explan- 
atory paragraphs will be found helpful in deciding questions arising 
from a new or unusual transaction, the necessary entries for which may 
be unknown to the bookkeeper. 
In order to open the Ledger accounts for a set of double-entry 
books, it is necessary to take a physical inventory of all assets and to 
take into consideration all lhabilities of the concern. These items 
180208°—20—Bull. 865——1 
