Doughley, who writes across it the word "acceptance" and signs his name or initials, if he acknowledges the correctness of his indebtedness to the Horning Manufacturing Co. Otherwise he rejects it. If the draft is "accepted," it then serves as a contract for the Horning Manufacturing Co., and they further can leave it with their bank as security in borrowing money. CUSTOMER'S DRAFT Traders National Bank Sixty days after sight order of ourselves 83-75 1919 Payto the $43500 Dollars Co Four hundred thirty-five no roo To EXERCISES 1. William Wasman owes $235.25 to John Crews Co., for which he has made no remittance. Write a sight draft for the bill to be turned over to the bank of John Crews Co. 2. Jacob, Stuckart & Co. have sold a bill of goods to Z. U. Mists for $ 2560, which will be due in two months. Write a time draft which Jacob, Stuckart & Co. may get accepted and afterward use as collateral in obtaining a loan from their bank. 3. Suggest and write another sight draft. 4. Suggest and write another time draft. 5. The Scroggin Manufacturing Co. holds accepted drafts to the value of $ 17,500, which they leave with their bank as security for a 60-da. loan of $ 15,000. What will be the net proceeds if the discount rate is 8 %? XX BILLS AND INVOICES 298. Bills and Invoices.-Statements of goods bought for future sales are called either bills or invoices. Such are statements of lumber bought by a lumber dealer or vegetables bought by a grocer. Suggest three other invoices. Statements of goods or services which are to be or have been used are called bills. We thus have a bill of lumber for a house or the janitor's bill for services. Suggest three other bills. The mark # before a number means "No." and after a number means pounds. Bills and invoices should contain date of purchase; names of the one by whom and the one from whom purchase was made; articles and amount; price of each unit, as pound or dozen; price of amount of each kind; total amount of purchase; terms. All bills and debts should be paid promptly when due. This is necessary in order to keep one's "credit good." File for reference all receipted bills paid with cash. Why? It is also a good practice to file large receipted bills and those which are payment in full to some date, whether paid by cash or check. EXERCISES 1. Tell from the bill on the opposite page: who bought the goods; from whom the goods were bought; residence of the one selling the goods; residence of the purchaser; articles bought; total amount; when due. Make out bills for the following, similar to the bill on the opposite page, as if the purchaser lived in your city: 2. Harry James bought of the Cross Dry Goods Co., New York City, Nov. 12, 1918: 12 yd. long cloth at 15 ¢ per yard; 5 yd. bleached muslin at 83 ¢ per yard; 53 yd. brown muslin at 4 per yard; 41 yd. outing flannel at 6¢ per yard; 4 comforts at $2.50 each; 5 pairs woollen blankets #3K at $4.25 each; 3 pairs woollen blankets #6K at $6.65 each. Terms cash in 30 days. 3. Henry Jordan bought from the Twin City Mill and Lumber Co., of Minneapolis, Minn., Mar. 27, 1918: 500 1" x 12" x 14' yellow pine No. 1 at $37 per M; 300-1" x 4" x 16' yellow pine No. 1 at $ 37; 600-2" x 6" x 16' yellow pine No. 1 at $38.50; 2000 ft. cypress flooring at $52.50. Terms, net 30 days. 4. G. J. Gillmer bought of Stout Stationery Co., Chicago, Ill., May 22, 1918: 6 doz. #9 tablets at 48 ¢ per dozen; 50 reams typewriting paper at 75¢ per ream; 2 gross #17 pencils at $4.80 per gross; 3 doz. boxes fancy stationery #37A at $6.70 per dozen; 2 doz. boxes fancy stationery #15B at $8.85 per dozen. Terms, cash. 1. Schedule of Gas Rates Gross, $1.40 per M for first 2,000 cu. ft. EXERCISES Make out an electric bill for a meter reading Oct. 30, 654 KW, and Nov. 30, 672 KW, at 11 ¢ per KW. 2. Read the electric meter at your school or your home now and a week later. Make out a bill for the current used. 3. Check the above gas bill. 4. Make out a bill for the water used one month if the reading at the beginning of the month was 195,600 gal. and at the end 207,300 gal., at 30 é per M. 5. Repeat Ex. 2 for a gas or water meter. 6. Rockcastle and Ranyon bought from Large Rapids Furniture Co., Grand Rapids, Mich.: 4 doz. dining-chairs at $ 56 per doz.; 6 dining-tables at $ 32 each; 6 rockers #7 at $14.50 each; 6 rockers # 14B at $9.75 each. Terms, 60 days. 7. Harry McClow bought from Reader Modock Grocery Co., Chicago, Ill.: 50 # coffee Sparkling Brand at 18 ¢; 200 # beans at $3.75 per C; 6 doz. Rise Brand baking powder at $2.80 per dozen; 4 gross Blush Brand canned peaches at $3.90 per dozen. Terms, 30 days. 8. Make up a grocery bill having at least six items, with yourself as purchaser and some city firm as seller. Use prices that are now common. 299. Monthly Statements.-It is the custom of most establishments which have credit customers to issue to them monthly statements of their accounts. These statements vary greatly as to details. Check the above statement. EXERCISES 1. Make out a statement to Henry Works from the Jerremy Grocery Co.: Balance due, $5.34; July 2, $6.75; July 7, $ 11.45; July 11, $7.35; July 14, $6.72; July 19, $10.68; July 23, $ 3.56; July 28, $ 14.85. 2. Make a statement to Geo. R. Beeman from the Jenks Lumber Co.: Balance, $ 145.35; Mar. 5, $ 45.60; Mar. 12, $104.45; Mar. 23, $73.25. 3. Make a statement to Henry Wilson from the St. Louis News for papers furnished him during May: week of May 3, 150; May 10, 150; May 17, 150; May 24, 150. Cost of each copy was 9¢ per week. Give the weekly and total amount for the month. 4. Make up a statement, using your name and that of some firm in your city. Give at least four items. |