(c) 18?

(b) 8?

2. What fraction of 24 is (a) 12? (d) 4? (e) 16? (ƒ) 6? (g) 9? (h) 15? (i) 36? (j) 30? 3. What decimal of 32 is (a) 16? (b) 8? (c) 4? (d) 12? (e) 20? (ƒ) 28? (g) 40? (h) 32? (i) 48?

SECTION VII

BUSINESS ACCOUNTS

The Inventory

The first thing to be ascertained upon going into business is the value of one's possessions at that time. This is called making an "inventory," or "taking stock,” and is repeated at least once a year.

Every householder should also make an inventory of all of the articles he owns, specifying the quantities, date of purchase, and cost. Such a list is very useful in case of fire, as the owner is otherwise apt to overlook many items in presenting his claim to the insurance company.

The housekeeper's inventory shows the value of the items in each room, with a recapitulation as follows:

INVENTORY OF PERSONAL PROPERTY

1. Find the total value of the personal property.

2. Make out an inventory showing the cost of the articles in a sitting room. Insert date of purchase and cost, and add other items.

3. Discuss the details of the foregoing inventory. Make one out to suit the values and conditions of your section.

When the individual horses, cows, etc., differ greatly in value, a list is kept stating the value of each. Similar lists are kept of the vehicles, machinery, etc., specifying cost, date of purchase, etc.

The value given in this inventory should be the value of the several items at the time of making the inventory.

Gains and Losses

One's gains or losses during a given period are shown by the difference between, the inventory taken at the beginning of the period and the one taken at the close.

Written Problems

1. John Greene's inventory on Dec. 31, 1914, showed the value of his property to be $12,314.75. on hand and in bank $387.50.

was he worth Dec. 31, 1914?

He had cash

He owed $513.25. What

2. On Dec. 31, 1915, his property inventory was $13,986.50. He had cash on hand and in bank $1249.30. He had outstanding debts of $387.50 and there was due him $693.40. (a) How much was he worth Dec. 31, 1915? (b) How much more was he worth on Dec. 31, 1915, than on Dec. 31, 1914?

3. If farm machinery costing $2000 decreases 12% in value in a year, (a) how much is it worth when it is a year old? (b) If it decreases 15% in value the next year, what is it worth at the end of the second year?

4. If machinery worth $3600 loses 20% of its value per year when it is not properly painted, oiled, sheltered, etc., how much is saved in a year by care that reduces the depreciation to 121% ?

The Day Book

Besides enabling a person to ascertain his resources and his liabilities at a given time, his accounts must show him to whom he owes money and from whom money is due him. These accounts are kept in a book called the ledger. To keep a list of transactions in the order in which they occur, they may be first entered in a day book.

When a transaction is transferred to the ledger, it is said to be "posted." The page on which the account appears in the ledger is written in the first column of the day book at the time the transaction is posted. Thus Mr. Kennedy's account is found on p. 23 of the ledger, and Mr. Ziegler's at p. 47. As the cash account is generally kept in a separate book, a check mark (√) is sufficient to indicate that a cash item has been posted.