29. How is the trading account of a shipper made up?
30. Prepare trading and profit and loss accounts called for in Art. 48.
31. Name and describe the uses of the books used by a commission merchant.
32. Prepare trading and profit and loss accounts, and balance sheet called for in Art. 57.
33. What is a storage business, and for what purpose is it conducted?
34. What is a warehouse receipt, and what does it represent?
35. Explain what is meant by _simple storage_, and _average storage_.
REVIEW QUESTIONS ON THE SUBJECT OF SINGLE ENTRY—COMPARATIVE STATEMENTS
1. What is the distinctive feature of single entry bookkeeping? In what respect does single entry fail to fulfil the functions of bookkeeping?
2. What books are usually used in single entry? How does the single entry cash book differ from that used in double entry?
3. In posting, what features distinguish single entry from double entry?
4. How can the accuracy of single entry books be proved?
5. To determine the profits of a business whose books are kept by single entry, what steps are necessary? What are the steps in closing single entry books?
6. On a certain date the assets and liabilities of Henry Lamson are as follows:
Cash $452.00 Due from sundry debtors 77.20 Merchandise per inventory 764.50
Sales to sundry persons on account $46.71 Bought from sundry persons on account 339.54 Sales for cash 96.90 Received cash on account 64.00 Paid cash on account 133.50 Paid cash for rent 37.50 Paid cash for clerk hire 8.00
Record these transactions in single entry books; prepare proof of ledger and statements of assets and liabilities, the merchandise inventory at end of period being $983.75. Do the books show a profit or a loss, and how does it affect the account of the proprietor?
7. Explain, briefly, the necessary routine followed in changing single entry books to double entry.
8. H. P. Hayes established a small factory upon a borrowed capital of $10,000. The undertaking was a success, and at the close of the first year his financial condition was disclosed by the following particulars:
Bills payable $4,000.00 Accounts payable 6,574.50 Cash 1,752.50 Accounts receivable 12,694.18 Inventory 4,765.90 Salaries 3,500.00 Sundry expenses 435.50 Manufacturing expenses 11,759.50