MASTER 
 
 NEGATIVE 
 
 NO. 94-82090 
 
COPYRIGHT STATEMENT 
 
 The copyright law of the United States (Title 17, United States Code) 
 governs the making of photocopies or other reproductions of copyrighted 
 materials including foreign works under certain conditions. In addition, 
 the United States extends protection to foreign works by means of 
 various international conventions, bilateral agreements, and 
 proclamations. 
 
 Under certain conditions specified in the law, libraries and archives are 
 authorized to furnish a photocopy or other reproduction. One of these 
 specified conditions is that the photocopy or reproduction Is not to be 
 "used for any purpose other than private study, scholarship, or research." 
 If a user makes a request for, or ater uses, a photocopy or reproduction 
 for purposes in excess of "fair use," that user may be liable for copyright 
 infringement. 
 
 The Columbia University Libraries reserve the right to refuse to accept a 
 copying order if. In its judgement, fulfillment of the order would involve 
 violation of the copyright law. 
 
Author: 
 
 Day, Dwight Huntington 
 
 Title: 
 
 Mission accounting for 
 use in the missions of. 
 
 Place: 
 
 New York 
 
 Date: 
 
 [1915] 
 
MASTER NEGATIVE * 
 
 COLUMBIA UNIVERSITY LIBRARIES 
 PRESERVATION DIVISION 
 
 BIBLIOGRAPHIC MICROFORM TARGET 
 
 RESTRICTIONS ON USE: 
 
 ORIGINAL MATERIAL AS FILMED • EXISTING BIBLIOGRAPHIC RECORD 
 
 . ip .i i.;j wi 
 
 •*i«^»^Bi» 
 
 i30«396 
 D33 
 
 Day, Dwight Uiuitington, 1876- 
 
 Alission aooounting for use in the missions of 
 the Board of foreign misBions of the Presbyter- 
 ian ohuroh in the U«S.A*y by Dwignt H* Day».* 
 New York £19153 
 
 78 p« forms* 20 om. 
 
 ^ 
 
 TECHNICAL MICROFORM DATA 
 
 FILM SIZE: ¥)^v\ 
 
 DATE FILMED 
 
 REDUCTION RATIO: Hil 
 
 IMAGE PLACEMENT: lA 
 
 C^ 
 
 IB IIB 
 
 :Allll± 
 
 INITIALS: _(. 
 
 i)^ 
 
 TRACKING # : MJI4 ^00 1?0 
 
 FILMED BY PRESERVATION RESOURCES. BETHLEHEM. PA. 
 
> 
 
 A^ 
 
 ^. 
 
 A' 
 
 
 Ay 
 
 ^ 
 
 
 00 
 
 (Jl 
 
 3 
 3 
 
 o > 
 
 o 
 ■a 
 n 
 
 CO 
 
 N CO 
 
 N) 
 00 
 
 CJI 
 CDX 
 
 ^•< 
 
 OOM 
 O 
 
 cN 
 
 ""k 
 
 ^k 
 
 •Sf -f 
 
 3 
 3 
 
 > 
 00 
 
 a- CI 
 o m 
 
 LiPs 
 
 ^ o o 
 
 '^ if) 
 
 X 
 < 
 
 N 
 
 X 
 
 (p 
 
 c^ 
 
 to 
 
 
 ^ 
 
 
 A^' 
 
 
 
 
 a^ 
 
 
 
 
 nO-? 
 
 
 .V»* 
 
 
 y^'' 
 
 o 
 
 3 
 3 
 
 > 
 
 m 
 
 o 
 
 3 
 3 
 
 8 
 
 ^ 
 
 V 
 
 
 K= 
 
 ip 
 
 ?d> 
 
 ^f^ 
 
 ¥^ 
 
 en 
 
 O 
 
 
 Ki 
 
 ^ \\\\\ Ki 
 00 
 
 c> 
 
 00 
 
 N3 
 
 b 
 
 k) 
 
 
 1.0 mm 
 
 1.5 mm 
 
 2.0 mm 
 
 ABCDEFGHIJKLMNOPQRSTUVWXYZ 
 abcdefghi|klmnopqrstuvwxy; 1234567890 
 
 ABCDEFGHIJKLMNOPQRSTUVWXYZ 
 abcdefghijklmnopqrstuvwxyz 1234567890 
 
 ABCDEFGHIJKLMNOPQRSTUVWXYZ 
 
 abcdefghijklmnopqrstuvwxyz 
 
 1234567890 
 
 2.5 mm 
 
 ABCDEFGHIJKLMNOPQRSTUVWXYZ 
 
 abcdefghijklmnopqrstuvwxyz 
 
 1234567890 
 
 .<^' 
 
 
 ^o 
 
 ^:Sp 
 
 fp 
 
 ^^ 
 
 m 
 
 o 
 -o m -o 
 
 OLl"o 
 
 > C cd 
 I ^ ^ 
 
 m 
 
 30 
 
 O 
 m 
 
 
 ■3^ 
 
 
 cr 
 o > 
 
 f O 
 3 X 
 
 Si 
 
 N CO 
 
 ^— I 
 ^-< 
 
 OOM 
 
 o 
 
 ip 
 
 ¥p 
 
 1— » 
 
 hO 
 
 CJl 
 
 o 
 
 3 
 
 — 
 
 — 
 
 /^. 
 
 01 
 
 o > 
 
 Is 
 
 3 J— 
 
 O i=: 
 
 SO 
 
 CTiX 
 
 ^-< 
 
 OOM 
 
 o 
 
 >. 
 
 ■^/^. 
 
 ^^^^ 
 
 ^ 
 
 3 
 3 
 

 laSSION ACCOUN^^ING 
 
 BY L,H. DAY 
 
Columbia ©nitiersitp 
 
 mtlieCttpofJlfttilork 
 
 LIBRARY 
 
 School of Business 
 
 gppp^ 
 
•<m>^''' 
 
 
 i 
 
 I 
 
 I 
 
 Mission 
 Accounting 
 
 For use in the Missions of 
 the Board of Foreign Mis- 
 sions of the Presbyterian 
 Church in the U. S. A. 
 
 f 
 
i imjim w i il P i lii i Un ii 
 
 s 
 
 / 
 
 ^ < 
 
 r 
 
 Mission Accounting 
 
 FOR USE IN THE 
 
 MISSIONS 
 
 OF 
 
 THE BOARD OF FOREIGN MISSIONS 
 
 OF THE 
 
 PRESBYTERIAN CHURCH 
 IN THE U. S. A. 
 
 BY 
 
 DWIGHT H. DAY, Treasurer 
 
 f 
 
 \ 
 
 ^ 
 
 156 FIFTH AVENUE 
 NEW YORK CITY 
 
>^;^JJUAAJUI-^ 
 
 
 \ 
 
 V 
 
 \ 
 
 T; 
 
 A-.. 
 
 ^^ ^OAiomcp^ ^ 
 
 il 
 
 *C»V YOH'^ 
 
 INTRODUCTORY 
 
 In this booklet the principles of all sound bookkeeping 
 and accounting have been adapted to the system employed 
 by the Foreign Board of the Presbyterian Church, U. S. A., 
 in the conduct of its work. The term "Appropriation", 
 for instance, has an arbitrary and a technical significance, 
 and the methods which long experience has shown to be 
 the best for this particular work are herein illustrated. 
 
 It has been possible to omit a great deal which would 
 need to be included in any treatise on mercantile account- 
 ing such as a "Goods Account", "Profit and Loss Account", 
 and even a "Balance Sheet". 
 
 The attempt has been made to render assistance to 
 beginners in this department of the work by setting forth 
 its technicalities simply and logically and it will be neces- 
 sary to master each item as it comes if the succeeding steps 
 are to be understood and the study made easy. 
 
 DWIGHT H. DAY, Treasurer 
 
 THE BOARD OF FOREIGN MISSIONS OF THE 
 PRESBYTERIAN CHURCH IN THE U. S. A. 
 
 156 FIFTH AVENUE, NEW YORK CITY 
 
 January 1, 1915. 
 
 
r 
 
 ♦' 
 
 II 
 
 CHAPTER I. 
 
 FUNDAMENTAL PRINCIPLES 
 
 Bookkeeping, or Accounting, is the art of recording 
 financial (or mercantile) transactions in a systematic man- 
 ner so that accurate results may be readily obtained. 
 
 The Mission Treasurer, from his books, must be able 
 to answer the following questions at any time : 
 
 (1) What part of any Appropriation for this field has 
 already been expended, and what amount is still available? 
 
 (2) What amounts do I, as Treasurer, owe, and what 
 amounts, if any, are owed to me? 
 
 (3) What funds have I, as Treasurer, received, from 
 what sources and for what have these funds been used? 
 
 (4) What amounts do I have on hand of the follow- 
 ing: Cash in cash-box and at Bank? Bills of 
 
 Exchange ? 
 
 (5) What Certificates of Credit have I sold? 
 
 (6) What New York Money Orders have I paid? 
 
 ACCOUNTS— DEBTOR AND CREDITOR 
 
 All the Accounts needed for showing the results 
 required are kept in a book called a Ledger. 
 
 An Account in the Ledger is kept in such a way as to 
 show on one side the value of what is received and on the 
 opposite side, the value of what is given. In this way, one 
 
 Note: The answers to the above questions are not nearly so comprehensive as those 
 required in Mercantile Accounting, y^hich are the following: 
 
 (1) What do I owe and what is owed to me? 
 
 (2) What profit or loss have I made for a given period? 
 
 (3) What is my business capital, and of what does it consist? 
 
 8 
 
 1 
 
 f 
 
! i 
 
 side being "set off" or "balanced" against the other, an 
 account readily shows at any time the difference between 
 what has been received and what has been given. 
 
 MEANING OF THE TERMS DEBTOR AND CREDITOR 
 The left-hand side of an account is always the Debtor 
 
 side ; the right-hand side is the Creditor side. 
 
 Items on the Dr. side are preceded by the word "To*', 
 
 the Account having received from some source is 
 
 Debtor To that source. ^^ 
 
 Items on the Cr. side are preceded by the word By , 
 
 the Account having given up, or paid out, is credited 
 
 with the amount by the person or Account to which it was 
 paid. 
 
 Example: A Field Treasurer receives $1,000 in Bills 
 of Exchange on April 25th, 1914, from the General Treas- 
 urer in New York. This amount, $1,000, is entered on 
 the Dr. side of Bills of Exchange Account. The Account 
 is Debtor, not in the sense that it owes, but because of its 
 having received. It may be receiving what is due it (the 
 Board having made an Appropriation and the Bills sent 
 out to furnish the funds), but it is still debited. It is 
 debited "To General Treasurer'', since he (his Account) 
 
 gave out the Bills. 
 
 The name Bills of Exchange at the head of an Account 
 signifies that all transactions with reference to the receipt 
 and giving out of Bills of Exchange are here recorded. 
 Dr. Bills of Exchange Account ^^- 
 
 1914 
 April 
 
 25 
 
 To General Treasurer 
 (Nos. 1 & 2 @ $500) 
 
 $1000 
 
 Similarly the General Treasurer Account must be 
 credited with the item, and entered ''By Bills of Exchange 
 Account", since the latter account was the one to receive 
 from the General Treasurer. 
 
 (I 
 
 'J 
 
 P 
 
 Dr. 
 
 General Treasurer Account 
 
 Cr. 
 
 1914 
 April 
 
 25 
 
 By Bills of Exchange 
 (Nos. 1 & 2 @ $500) 
 
 $1000 
 
 The entries made above illustrate a cardinal: 
 Rule I: Enter on the Debit side of an account what it 
 
 receives; enter on the Credit side what it gives out. 
 
 To illustrate this again, let us go further with the same 
 item and suppose that one of the $500 Bills of Exchange 
 is sold by the Field Treasurer and that full $500 cash is 
 realized for it. 
 
 Since Bills of Exchange Account gives out, or releases, 
 a $500 Bill, that Account must be credited (according to 
 the rule) with $500 and since Cash Account is benefited, 
 the Bills of Exchange Account is credited "By Cash Ac- 
 count — $500", as follows: 
 
 Dr. 
 
 Bills of Exchange Account 
 
 Cr. 
 
 1914 
 April 
 
 25 
 
 To General Treasurer 
 (Nos. 1 & 2 @ $500) 
 
 $1000 
 
 00 
 
 1914 
 April 
 
 26 
 
 By Cash 
 
 (B/E No. 1 $500) 
 
 $500 
 
 00 
 
 Similarly, since Cash Account receives $500 cash (from 
 the sale of the Bill), Cash Account must be debited "To 
 
 Bills of Exchange Account (B/E No. 1 @ $500) 
 
 $500" as follows : 
 
 Dr. 
 
 Cash Account 
 
 Cr. 
 
 1914 
 April 
 
 26 
 
 To Bills of Ex. A/C 
 (No. 1 @ $500) 
 
 $500 
 
 00 
 
 Suppose, now, the Field Treasurer pays out $200 cash, 
 for labor on Residence No. 4, which is being erected on the 
 
i 
 
 compound. Since Cash Account pays out the $200, that 
 
 Account must be credited "By Residence No. 4 $200", 
 
 as follows : 
 
 Dr. 
 
 Cash Account 
 
 Cr. 
 
 1914 
 April 
 
 26 
 
 To Bills of Ex. A/C 
 (No. 1 @ $600) 
 
 $500 
 
 00 
 
 1914 
 April 
 
 27 
 
 By Res. No. 4 (labor) 
 
 $200 
 
 00 
 
 But Residence No. 4 has received the $200. That is, 
 the building has received the benefit of the labor, for which 
 $200 was paid. Therefore, (according to the rule) Resi- 
 dence No. 4 Account must be debited with the item; and 
 since cash was paid, it is debtor "To Cash Account" as 
 follows : 
 
 Dr. 
 
 Residence No. 4 Account 
 
 Cr. 
 
 1914 
 April 
 
 27 
 
 To Cash A/C (labor) 
 
 $200 
 
 00 
 
 All the entries made prove the following: 
 Rule II: Every debit entry must have a corresponding 
 credit entry or entries, and every credit entry must 
 have a corresponding debit entry or entries. 
 
 DOUBLE ENTRY 
 
 There can be no giver without a receiver. Therefore, 
 every transaction affects two Accounts, one of which is 
 supposed to be the giver, the other the receiver. The giv- 
 ing Account has the item entered as a credit ; the receivmg 
 Account has the item entered as a debit. And each Ac- 
 count must contain the name of the other Account in 
 the entry. Confirm this by examining again the illustra- 
 tions thus far given. 
 
 6 
 
 i 
 
 All Accounts are kept in a Ledger, and every transac- 
 tion affects two Accounts therein. This system of book- 
 keeping is called Double Entry. 
 
 To further emphasize this Rule : If an entry is made 
 on the Cr. side of an Account in the Ledger there must 
 always be found a debit entry or entries totaling the same 
 amount in another Account or Accounts, and vice versa. 
 One class of Accounts is a check upon the other; one Ac- 
 count is the giver (Creditor); another is the receiver 
 (Debtor). Two Accounts (at least) are affected by every 
 transaction, and there is no exception. 
 
 The two sides of the Ledger, therefore, must always 
 agree. That is, the total of all the debits in the Ledger 
 must equal the total of all the credits. 
 
 Example of one credit entry and two debit entries 
 which correspond. Suppose a Field Treasurer pays out 
 $200 in cash, $100 of which pays for lumber for Residence 
 No. 4, and $100 for lumber for Residence No. 5. Three 
 Accounts would be needed as follows : 
 
 Dr. 
 
 Cash Account 
 
 Cr. 
 
 
 
 
 1914 
 April 
 
 28 
 
 By Res. No. 4 and 
 Res. No. 5 
 
 Dr. 
 
 Residence No. U Account 
 
 $200 
 
 Cr. 
 
 00 
 
 1914 
 April 
 
 28 
 
 To Cash (lumber) 
 
 $100 
 
 00 
 
 Dr. 
 
 Residence No. 5 Account 
 
 Cr. 
 
 1914 
 April 
 
 28 
 
 To Cash (lumber) 
 
 $100 
 
 00 
 
 ' micr^ 
 
. ■.4ai,ajiB ' .:j » a w ;i... 
 
 The above transaction required entries to be made in 
 three Accounts, one, a Cr. entry of $200, and two Dr. entries 
 of $100 each, thus equaling in total. 
 
 Likewise there may be one Dr. entry and two corre- 
 sponding Cr. entries. 
 
 Sometimes one Dr. entry will have a whole series of 
 Cr. entries to correspond with it, and vice versa. 
 
 Note again, in the above the use of the words "By" 
 and "To" and the naming in each Account of the corre- 
 sponding Account or Accounts. 
 
 8 
 
 ( 
 
 CHAPTER II. 
 
 SUGGESTIONS AND EXPLANATIONS 
 The Memorandum Book 
 
 The need for making bookkeeping entries arises out of 
 the daily operations of the Treasurer's office. Many items 
 are handled physically, by the Treasurer himself, or by 
 some one acting for him. Others come to the Treasurer's 
 notice through the mails, in official letters, statements, or 
 notifications. In all cases the Treasurer should act in ac- 
 cordance with the following well-advised : 
 
 Rule III: Make an entry as soon as a transaction takes 
 place. 
 
 For those transactions which the Treasurer himself 
 handles, some entry or notation should invariably be made 
 at the time. With regard to the transactions reported 
 through the mails, these should be entered in the books 
 without delay, if for no other reason than that dictated 
 by "enlightened self-interest". The Treasurer will only 
 thus forestall annoyance and possible trouble. 
 
 ''Some entry or notation''— It will not always be pos- 
 sible to enter a transaction in the proper place in the books 
 **at the time" the transaction takes place. Therefore the 
 Treasurer should keep a Waste Book, or Memorandum 
 Book in which to record these transactions initially. It 
 will be an additional safeguard, especially to beginners 
 where all transactions, including those reported in the 
 mails, to be noted down in the Memo. Book first 
 
 9 
 
And note the following: 
 
 Rule IV: Always add enough explanation to each entry, 
 to enable anyone to understand it. Sometimes it may 
 be necessary to write details or explanations on a sepa- 
 rate sheet of paper numbered for reference. 
 
 EXPLANATION OF TERMS 
 
 The term Appropriation signifies that the Board, by 
 formal action, has granted a certain sum of money to a 
 particular Mission or person, to be expended upon a speci- 
 fied work or object. It immediately establishes a credit 
 to the amount of the sum named for the work or object. 
 
 Appropriations are divided into Classes for conveni- 
 ence, as follows: 
 
 Class I includes salaries and children's allowances of 
 missionaries on the field. 
 
 Class II includes expenses paid by the Board, of mis- 
 sionaries and children, going to and from fur- 
 loughs, also salaries of missionaries not on the 
 field and children's allowances paid in the United 
 States. 
 
 Class III includes the appropriation set aside for all 
 expenses, including the proportion of salary paid 
 for the balance of the first year, of new mission- 
 aries sent to the field. 
 
 Class IV covers all evangelistic work, itineration, etc. 
 
 Class V covers all educational work conducted on the 
 field. 
 
 Class VI covers all medical work, hospitals, dispen- 
 saries, etc. 
 
 Class VII covers rents, repairs on property in the mis- 
 sions, etc. 
 
 10 
 
 f 
 
 i 
 
 f 
 
 Class VIII covers all appropriations for new property, 
 buildings, etc. 
 
 Class IX covers Station and Mission expenses (Mis- 
 sion meeting expenses, etc.). 
 
 Class X covers Mission Presses. 
 
 The Board assumes the obligation, on behalf of the 
 whole Church, to furnish the money which it has "appro- 
 priated". It therefore "charges" itself with the amount; 
 it is a debit against the Board. However, the Board, as a 
 whole, delegates its functions to officers and all Accounts 
 of the Board are assumed by the General Treasurer. This 
 officer then is "charged" with the official responsibility of 
 furnishing the money which the Board has "appropriated" 
 to any Mission or person. An "appropriation is a debit in 
 the General Treasurer Account on the Field Treasurer's 
 books. It stands as owed by him to the Mission until he 
 sends funds to discharge the obligation. From time to 
 time, as he sends funds, the General Treasurer's Ac- 
 count is credited with the amounts, and when sufficient 
 funds have been sent to equal the amount of the appropria- 
 tion, the obligation is discharged, the debit has been 
 equalled by credits, and the Account balances. 
 
 Illustration: Suppose that at the first of the fiscal 
 year the Board appropriates $10,000 for Class I (i. e. in 
 salaries for Missionaries) for the year to a certain Mis- 
 sion. A formal notification to this effect is sent to the 
 Field Treasurer. He immediately enters the item as a 
 debit in the General Treasurer Account as follows : 
 
 Dr. 
 
 General Treasurer Account 
 
 Cr. 
 
 14 
 April 
 
 To Class I Approps. 
 (Salaries) 
 
 $10,000 
 
 00 
 
 11 
 
>ii[»i.MSiMiii'*4iiiaiBiiiBiyMiiiiM»iir^^ 
 
 The General Treasurer (name of the Account) is 
 Debtor (see Dr. at the top of the left-hand column) "To 
 Class I Appropriations" (to which account the money must 
 be sent, or in which work i. e. Salaries, the money must 
 be expended). The General Treasurer owes the $10,000 
 "To Salaries", throughout the year. 
 
 But there must be a Credit entry to correspond with 
 this Debit entry, in order to comply with the Rule. 
 
 The Account named in the above illustration is the one 
 to be credited, i. e., Class I Appropriation Account. This 
 Account is credited "By General Treasurer" (who officially 
 sent out the credit in the form of an appropriation). 
 
 Dr. Class I Appropriation Account (Salaries) Cr. 
 
 1914 
 April 
 
 By General Treasurer 
 
 110,000 
 
 00 
 
 For the Dr. entry, there has now been made a corre- 
 sponding Cr. entry. 
 
 Likewise, for all appropriations made by the Board 
 and notified to the Field Treasurer by the General Treas- 
 urer. The General Treasurer Account must be debited 
 with the various appropriations, and each Class must have a 
 separate account and be credited with the amount allotted 
 to it. 
 
 BILLS OF EXCHANGE* 
 
 These are virtually promises or orders, issued by the 
 signing party, and causing money to be paid to another 
 party or his order (i. e., to anyone to whom the second 
 party orders the money to be paid). 
 
 The General Treasurer issues Bills of Exchange to the 
 
 •Not Merchants' Bills of Exchange. 
 
 12 
 
 Field Treasurer, as a means of transferring funds which 
 have been appropriated by the Board for work on the field. 
 The Field Treasurer exchanges (sells) them to local banks 
 or merchants for cash, and on the back of the Bill orders 
 the money to be paid to this local bank or merchant. These 
 parties, in their turn, endorse the Bill to some other bank 
 or merchant, and this process is repeated from one to an- 
 other until the Bill reaches New York and is presented at 
 the General Treasurer's office in order that he may finally 
 pay it (that is, may redeem the promise he originally made 
 in issuing it) . 
 
 CREDIT AND DEBIT OF BILLS OF EXCHANGE 
 
 As stated, the General Treasurer's Account is first 
 debited with an Appropriation. He then sends out Bills 
 of Exchange to cover the Appropriation. Since he gives 
 out the Bills , his Account, i. e., General Treasurer Ac- 
 count is credited with the amount of the Bills received by 
 the Field Treasurer. He is given credit for what he sends. 
 That is the Cr. entry. 
 
 The Dr. entry is made in the Bills of Exchange Account 
 since that Account is assumed to have received the Bills. 
 [See Rule I: Debit what is received.] 
 
 EMERGENCY BILLS OF EXCHANGE OR BUILDING 
 
 DRAFTS 
 
 These are drawn on the General Treasurer by the Field 
 Treasurer principally in order to realize cash for building 
 operations, for which the Board has already made appro- 
 priations. The General Treasurer does not send out Bills 
 of Exchange for this class of work (Class VIII) it being 
 left to the Field Treasurer to sell Drafts or Bills as money 
 is needed. As soon as the Field Treasurer has made out 
 the Draft (Bill of Exchange) he credits the General Treas- 
 
 13 
 
4 
 ! J 
 
 urer Account with the amount which he is drawing, and 
 charges (debits) Bills of Exchange Account (as though this 
 Account had just received the Draft from the General 
 Treasurer) . On selling the Draft in the market, the Field 
 Treasurer credits Bills of Exchange Account (credit what 
 goes out) and debits Cash, since cash is received in ex- 
 change for the Draft (debit what is received.) 
 
 MONTHLY STATEMENTS 
 
 At the end of each month the General Treasurer renders 
 a Statement to the Field Treasurer showing all the debits 
 and credits which have emerged in New York, belonging 
 to the field in question. 
 
 For example: Supposing the General Treasurer has 
 paid out during the month $2.50 for magazines to be sent 
 to A. Blake, one of the missionaries of the Korea Mission. 
 The Statement for that month will show this $2.50 as a 
 charge against A. Blake (since the money has been paid 
 out for him.) Of course, this item of $2.50 is entered by 
 the Field Treasurer as a debit item in the personal account 
 of A. Blake, called A. Blake Account Where is the corre- 
 sponding credit entry? Note the following important 
 
 Direction : Enter on the Creditor side of the General 
 Treasurer Account the total debits or charges contained in 
 the monthly Statement received from the General Treas- 
 urer, making no deductions whatever, even though the 
 Statement contains palpable errors. The corresponding 
 Debtor entries will be made in each Account chargeable 
 with the various items as indicated in the Statement. These, 
 added together, must equal the Credit entry in the General 
 Treasurer Account 
 
 Similarly: Enter on the Debtor side of the General 
 Treasurer Account, the total credits reported in the Monthly 
 Statement received from the General Treasurer, making no 
 
 14 
 
 '' < 
 
 V 
 
 deductions whatever, even though the Statement contains 
 palpable errors. The corresponding Credits must be en- 
 tered in the Accounts indicated in the Statement. All 
 these Credits added together must equal the total Debtor 
 entry in the General Treasurer Account 
 
 ERRORS IN MONTHLY STATEMENTS 
 
 Suppose the General Treasurer has included in his 
 monthly Statement a charge against H. James of $2.50, 
 when the item really belonged to H. Jones of another Mis- 
 sion entirely. 
 
 Enter the item as a Debit in an account called Sus- 
 pense Account On ascertaining that it belonged to a dif- 
 ferent Mission, enter a credit in Suspense Account and a 
 debit in General Treasurer Account 
 
 or 
 
 If, on receiving the Statement, the item was entered 
 against H. James (i. e., entered as a debit in his Account) 
 and he makes it clear that it does not belong to him, then 
 enter it likewise as a credit in his Account and as a debit 
 in General Treasurer Account. 
 
 STATEMENTS FROM FIELD TREASURERS 
 
 The Field Treasurer must render Statements to the 
 General Treasurer in New York quarterly. 
 
 These Statements must contain all the debit and all 
 the credit items with full details that have emerged during 
 the period, with reference to the General Treasurer Account 
 
 FIELD MONEY ORDERS (CALLED CERTIFICATES 
 
 OF CREDIT) 
 
 These are instruments of exchange, whereby funds 
 may be transferred from the foreign field to payees in the 
 
 15 
 
 ' .'ii^M 
 
! f 
 
 If 
 
 United States. They are similar to Postal Orders, and have 
 the advantage of being furnished without charge by Mis- 
 sion Treasurers. The Missionary deposits the amount of 
 money which he desires to send to the United States with 
 his Field Treasurer and receives a Field Money Order, or 
 Certificate of Credit drawn to the payee's order, in exchange. 
 
 Since Field Money Order Account has given out an 
 Order, that Account must be credited with the item (Rule I : 
 Credit an Account with what it gives out). 
 
 Since Cash was received for the Order, Cash Account 
 must be debited with the item (Rule I : Debit an Account 
 with what it receives). 
 
 Note that no entry is made in the personal Account 
 of the missionary who obtains the Order. 
 
 Now it is understood that the general Treasurer in 
 New York will pay out cash to the amount of the Order 
 when it is properly presented for payment to him. A credit 
 for this amount must therefore be established in the Gen- 
 eral Treasurer Account, and this credit duly transferred to 
 the General Treasurer in New York. This is done as fol- 
 lows : When the Statement is made out by the Field Treas- 
 urer at the end of the quarter, he must enter a Credit in 
 the General Treasurer Account, not only of this Certificate 
 of Credit, but of all of them (totaled) which he has sold 
 during the month, and must enter a Debit of the same 
 amount in the Field Money Order Account. 
 
 This latter Account will be found to balance, the Credit 
 column equalling the Debit column. 
 
 The quarterly Statement sent to the General Treasurer 
 will contain a Credit to him, made up of all the Certificates 
 of Credit sold by the Field Treasurer during the period 
 covered by the Statement, and since the statements to the 
 General Treasurer are made from the point of view of the 
 New York Office, Credits on the Field Treasurer's Books 
 appear on the debit side of the statement and vice versa. 
 
 16 
 
 ^ 
 
 NEW YORK MONEY ORDERS 
 
 These are instruments of exchange whereby funds 
 may be transferred from the United States to payees within 
 the Missions on the Field. The amount of money which a 
 party in the U. S. wishes to send to a party in a Mission is 
 deposited with the General Treasurer in New York. In 
 return, a New York Money Order is given him, drawn to 
 the order of the payee on the field and payable at the office 
 of a Field Treasurer. The remitter forwards this Order to 
 his correspondent on the field who surrenders it to the Field 
 Treasurer in his district, receiving cash for it. 
 
 The Field Treasurer must enter the item on the Cr. 
 side of Cash Account (since cash is paid out Rule Credit 
 what is given out) — and he must enter it similarly, on the 
 Dr. side of the Account called New York Money Orders 
 Account, since the Order is received. (Rule Debit what is 
 received.) 
 
 These Orders are all handled in this way through the 
 quarter and the account is balanced at the end of the quar- 
 ter by a journal entry charging the General Treasurer Ac- 
 count and crediting New York Money Orders Account, 
 listing by numbers the Orders paid during the quarter. 
 
 PERSONAL ACCOUNTS 
 
 The Field Treasurer will establish Accounts for each 
 Missionary within his district, heading each Account with 
 the missionary's name. 
 
 A credit entry will be made each month in each of 
 these Accounts of the amount of salary due the missionary 
 for that month. 
 
 There will, therefore, be a series of these credit entries 
 in the Ledger which must be balanced by a debit entry or 
 entries. This is effected by entering each month the total 
 of all these credit entries as a debit, in the Account called 
 Class I (Salaries) Appropriation Account. 
 
 17 
 
J 
 
 I 
 
 If the General Treasurer makes payments in the United 
 States for a missionary on the field, he will report these 
 in his Monthly Statement to the Field Treasurer as debits. 
 These must be entered on the Dr. side of the missionary's 
 Account by the Field Treasurer, on receipt of the Statement. 
 
 Likewise any funds which it is desired should be trans- 
 ferred from New York to a missionary on the field will be 
 listed in the "Monthly Statement" of the General Treasurer, 
 and on receipt of this Statement, the Field Treasurer will 
 enter the item on the Or. side of the missionary's personal 
 
 Account. 
 
 As the missionary draws his salary, or any part of it, 
 from time to time, the Field Treasurer will enter the 
 amount he draws on the Dr, side of his Account— (Rule I: 
 —the missionary having received the money is debited with 
 
 the amount) . i- 4.1, • 
 
 The balance remaining on the credit side of the mis- 
 sionary's Account, at any time, will represent the amount 
 due him at that time. 
 
 18 
 
 *T* 
 
 
 
 r 
 
 CHAPTER III. 
 
 JOURNAL, LEDGER, CASH BOOK 
 
 The data which must be entered in the Field Treas- 
 urer's Books is supposed to be at hand in the Memorandum 
 Book (previously described), and in official communica- 
 tions received through the mails. 
 
 A very simple set of Books is required for Field Treas- 
 urer's Accounts. The set consists of a Journal, Cash Book 
 and a Ledger. 
 
 The Accounts we have thus far considered have all 
 been in the form of Ledger Accounts, but in practice, no 
 items are entered first in the Ledger. 
 
 Every item must be entered first in either the Journal 
 or the Cash Book, These are books of "original entry." 
 
 If the transaction does not involve the receipt, or pay- 
 ment of cash, then it is entered first in the Journal and 
 afterward transferred ("posted") to the Ledger. 
 
 If the transaction involves the receipt or payment of 
 cash, it is entered first in the Cash Book, and afterward 
 transferred ("posted") to the Ledger. In cases where 
 checks are used they are treated as cash, the amounts 
 being transferred to Cash Book from check stubs. 
 
 The Ledger must contain every Account. 
 
 Note : All transactions, including those involving the 
 receipt and disbursement of cash, may be entered first in 
 the Journal, and some Accountants demand that this be 
 done. 
 
 In reality, the Cash Book is simply a section of the 
 Journal, with a slightly different arrangement, and there- 
 fore separated from it, but it might be called, the *'Cash 
 Transaction's Division'* of the Journal. 
 
 For the present, we shall regard all transactions as 
 passing through the Journal and will proceed as though 
 there were no Cash Book and as though none were needed. 
 This will lend simplicity to our study. Later, we shall take 
 
 19 
 
' ■ 
 
 if !< 
 
 i\ 
 
 up a special form of Cash Book which will save the repeti- 
 tion of certain entries. 
 
 THE JOURNAL 
 
 The Journal is one of the accounting books of a regular 
 set, used solely for preliminary work respecting financial 
 transactions. 
 
 When a transaction is ready to be entered in the reg- 
 ular books, it is entered first in the book kept for that 
 special purpose called the Journal. The entry is afterwards 
 transferred or "posted" (without many details) to its proper 
 place in the Ledger Account. 
 
 The Journal is of service in arranging and classifying 
 the items for the Ledger Accounts, and it shows for each 
 transaction the Account to be credited and the Account to 
 be debited. 
 
 (a) A thorough understanding of the Journal is es- 
 sential. 
 
 (b) Its use makes the meaning of Debtor and Creditor 
 familiar, and from it one can always reason out 
 the relation of one Account to another. 
 
 (c) The Journal offers the first step in Bookkeeping 
 by Double Entry and its correct use is of cardinal 
 importance. 
 
 The following transactions have been gathered to- 
 gether in a "Memo. Book", from official communications 
 and from actual operations conducted by the Field Treas- 
 urer. These will be Journalized, and then will be posted 
 in the Ledger. 
 
 MEMO. BOOK 
 1914 
 
 April 1. Appropriations for Class I (Salaries) 
 
 for 1914-15 (as advised by Board Letter 
 
 20 
 
 ' 
 
 •' 
 
 ' / 
 
 on Annual Appropriations dated March 
 
 1, 1914) $10,000 
 
 April S. "Monthly Statement" from N. Y. (for 
 
 February, 1914) charges 475 
 
 April 4. Error in N. Y. "Monthly Statement" 
 (for Feb. 1914) charge against T. Jones 
 incorrect as item does not belong to him 65 
 
 April 5. Sold Certificate of Credit (No. 987 to 
 
 B. Ward) 5 
 
 April 7. Received Bills of Exchange from N. Y,, 
 
 No. 271, No. 272 and No. 273 @ $500. 1,500 
 
 April 10. Sold B/E (Bill of Exchange) No. 271. . 500 
 
 April 12. Notice No. 864 received to-day states 
 that the Board, at its meeting, March 
 10th, appropriated $3,000 for Residence 
 No. 5 8,000 
 
 April 15. Sold Building Draft No. 56 for funds to 
 
 pay labor on Residence No. 5 500 
 
 Aprill6. Cashed N. Y. Money Order (No. 717 
 
 drawn to R. Brown) 25 
 
 April 17, Paid James Arthur cash, on account of 
 
 salary for month of April, 1914 20 
 
 April 20. Received from local Government Of- 
 ficial, toward building Chapel No. 2. . . . 175 
 The Journal is now used to "sort out" the above trans- 
 actions and arrange them for the two-fold entry in the 
 Ledger. 
 
 The questions to be asked in each case are: 
 
 What Account receives? 
 
 What Account gives? 
 and Rule I must be applied : Debit the Account that Receives, 
 
 Credit the Account that gives. 
 Each and every transaction affects two Accounts, one of 
 
 21 
 
 ii 
 
 
1914 
 
 April 
 
 April 
 
 them on its Dr. side, the other on its Cr. side. 
 
 The Dr. entry is always made first in the Journal, the 
 amount being placed in the left-hand column. 
 
 The Cr. entry always follows, the amount being placed 
 in the right-hand column. 
 
 The totals of the Dr. and Cr. columns must be equal. 
 
 Note: That in every transaction, the Journal shows the 
 relation of one Account to the other, and gives the 
 names of both Accounts affected. One of these 
 Accounts in the Ledger will contain the debit 
 entry, the other the credit entry. 
 
 To proceed now to Journalize the items in the Memo. 
 Book: 
 
 Jourv al 
 
 April 
 
 April 
 
 3 
 
 Gen. Treas. A/C (review p. 11) Dr. 
 
 To Class I (Salaries) Approps., 1914- 
 15 A/C 
 
 LKDOBR 
 POLIO 
 
 H. James A/C Dr. 
 
 (Prem. Home Life Ins. Co.) 
 
 T. Jones A/C Dr. 
 
 (Bill Montgomery Ward & Co.) 
 
 James Arthur A/C Dr. 
 
 (Bill Montgomery Ward & Co.) 
 
 R. Brown A/C Dr. 
 
 (Bill Jno. Wanamaker) 
 
 B. Ward A/C Dr. 
 
 (Prem. Pres. Min. Fund) 
 
 Chapel No. 2 A/C Dr. 
 
 (B. Smith & Co., Lumber) 
 
 To General Treasurer A/C 
 
 (Statement from N. Y. Treasurer for 
 month of February) 
 
 25 
 26 
 30 
 
 30 
 
 30 
 
 30 
 
 30 
 
 31 
 30 
 
 Dr. 
 
 $10,000 
 
 75 
 
 65 
 55 
 
 25 
 
 80 
 
 175 
 
 00 
 
 00 
 00 
 00 
 
 00 
 00 
 00 
 
 Cr. 
 
 $10,000 
 
 April 
 
 April 
 
 April 
 
 475 
 
 00 
 
 April 
 
 April 
 
 00 
 
 April 
 April 
 
 Journal 
 
 10 
 
 12 
 
 General Treasurer A/C Dr. 
 
 (N. Y. Statement, Feb., 1914) 
 
 To T. Jones A/C 
 
 (Previously charged to him in error) 
 
 Cash A/C (receives actual cash).. Dr. 
 
 To Certificates of Credit A/C 
 
 (No. 987, sold to B. Ward) (Review 
 pp. 15-16) 
 
 Bills of Exchange A/C, Nos. 271, 272, 
 
 273, @ $500 each Dr. 
 
 To Gen. Treas. A/C (review p. 13) 
 
 Cash A/C (receives actual cash) . . .Dr. 
 
 To Bills of Exchange A/C 
 
 (Sold No. 271 @ $500) 
 
 General Treasurer A/C .Dr. 
 
 To Residence No. 5 A/C 
 
 (Notice No. 864, Board meeting 
 March 10th, Appropriation) 
 
 15 
 
 16 
 
 17 
 
 20 
 
 Cash A/C Dr. 
 
 (Receives cash from sale of Bldg. 
 Draft No. 56) 
 
 To Bills of Ex. A/C (for Res. No. 5) 
 
 N. Y. Money Order A/C Dr. 
 
 (Cashed No. 717 for R. Brown) (re- 
 view p. 17) 
 
 To Cash A/C (actual cash paid out) 
 
 James Arthur A/C (missionary) . . .Dr. 
 To Cash A/C (Cash Acc^t. Salary) . . 
 
 Cash A/C Dr. 
 
 (Receives cash from Government 
 Official) 
 
 ♦To Chapel No. 2,A/C 
 
 (As a credit available) 
 
 32 
 32 
 
 33 
 33 
 
 34 
 34 
 
 35 
 34 
 
 35 
 35 
 
 37 
 
 37 
 38 
 
 38 
 
 39 
 
 38 
 
 39 
 39 
 
 65 
 
 1500 
 
 500 
 
 00 
 
 00 
 
 00 
 
 00 
 
 3000 
 
 500 
 
 25 
 
 00 
 
 00 
 
 00 
 
 20 
 
 175 
 
 $16,265 
 
 00 
 
 00 
 
 65 
 
 00 
 
 00 
 
 1500 
 
 600 
 
 00 
 
 00 
 
 3000 
 
 600 
 
 00 
 
 00 
 
 25 
 
 20 
 
 175 
 
 00 $16,265 
 
 00 
 
 CO 
 
 00 
 
 00 
 
 *See bottom of next page. 
 
 28 
 
 IMIlHi 
 
It will be seen from this sample Journal that 
 
 (a) The total of the Dr, column equals the total 
 of the Cr. column. 
 
 (b) Every Dr. entry has a corresponding Cr. 
 entry. 
 
 (c) The name of each Account affected is indi- 
 cated. 
 
 Note: The Account that receives the Dr. item is named 
 first. That Account is "Dr. To** — the Account 
 which is named afterward, — which, of course, is 
 the Account which receives the Cr. item. 
 
 The beginner should practice forming a Journal, first 
 by transferring the Memo, items given above into a 
 "Dummy Journal" — without using the book, and then, from 
 Memoranda of other imaginary transactions. 
 
 From the Journal, the next step is to 
 
 THE LEDGER 
 
 The Ledger contains a complete record of all the 
 Accounts, though without many details, by way of 
 explanation. 
 
 It is only for convenience, accuracy, and information 
 in detail that transactions are entered first in the Journal 
 (or Cash Book). 
 
 The Ledger could alone be made sufficient for all the 
 data required in the Accounts, without passing the trans- 
 actions through any subsidiary book, but such practice 
 would be inexpedient and unsafe as well as cumbersome. 
 
 Still, it must be remembered, that preliminary books 
 
 Chapel No. 2 Account teems to have received a gift, and it may appear to 
 require to be debited with the $176. Not so, however. The $175 has not yet been 
 put into brick and stone for the Chapel; this amount stands available for it, and is 
 its capital, or credit. When the $175 shall have been spent on the Chapel, then 
 the Chapel may be said to have received it, and then the Chapel No. i Account 
 must receive the item as a debit — "To Cash" (which has been spent upon it). 
 
 Such gifts are like Appropriations. They must be set up as credits in the 
 Accounts to which they belong. 
 
 M 
 
 7 
 
 (such as Journal and Cash Book) are simply assistants to 
 the Ledger. 
 
 HOW TO OPEN THE LEDGER 
 
 Accounts are opened for the various persons and organ- 
 izations, with which business is transacted, and for all other 
 Accounts indicated in the Journal. 
 
 Each item is transferred from the Journal to its proper 
 Account in the Ledger, and to the same side in the Account 
 (i. e., Dr. or Cr.) in which it appeared in the Journal. 
 
 This operation is called "posting" into the Ledger. 
 
 When posting an item in the Ledger, enter, in the 
 narrow column (in the Ledger) provided for the purpose, 
 the number of the page in the Journal from which the item 
 comes ; likewise when an item has been entered in its place 
 in the Ledger Account, enter in the narrow column (in the 
 Journal) headed Ledger Folio, the Folio number of the 
 Ledger, on which the entry appears. This process is a 
 check upon your posting and prevents omissions and repe- 
 titions. 
 
 TRANSACTION OF APRIL 1st, 1914 
 
 Taking the first entry in the Journal, head an Account 
 in the Ledger General Treasurer Account, and enter on the 
 Dr. side — "April 1, To Class I (salaries) Approps. 1914-15 
 
 (see page 11) $10,000. [This simply means that the 
 
 Board has appropriated $10,000 for the year 1914-15, to 
 be expended in salaries to the missionaries of that Mission, 
 and it is charged against the General Treasurer, since he 
 must furnish it.] 
 
 Dr. 
 
 General 
 
 Treasurer Account 
 
 
 Cr. 
 
 
 1914 
 
 
 
 •3.2 
 
 
 
 
 
 
 •55 
 
 C 
 
 
 
 April 
 
 1 
 
 To Class I Approps., 
 1914-15 
 
 23 
 
 $10,000 
 
 09 
 
 
 
 
 
 
 
 25 
 
 ,; 
 
,/ 
 
 ¥ 
 
 The name of the next Account for the Ledger has al- 
 ready been given in the entry, i. e.. Class I Appropriations 
 Account, 
 
 Dr. Class I Appropriations Account Cr. 
 
 
 
 
 1914 
 April 
 
 1 
 
 By Gen. Treasurer 
 
 23 
 
 $10,000 
 
 00 
 
 That is to say, the salary Account, which is called 
 Class I Appropriations has a credit of $10,000 which amount 
 may be expended in salaries throughout the year, in monthly 
 payments, as advised by the Board's official communication 
 dated March 1, '14. 
 
 Note: That in the above examples we have a credit entry 
 which balances, and corresponds to the debit entry, 
 
 SALARIES PLACED IN PERSONAL ACCOUNTS 
 Each missionary with whom the Field Treasurer deals 
 must have a Personal Account, headed by his own name. 
 This personal Account will constantly be receiving debits 
 and credits, as money is paid out to the missionary, or 
 received for the missionary. As money or as credits are 
 received for the missionary, and become available as his 
 capital they are entered as credits in his account. The first 
 credit, and it is a regular monthly credit, is the item of his 
 salary for the current month. As these credit items are 
 entered in each personal Account, each month, the total of 
 all these salary credits must be entered as a debit in one 
 item, in CUiss I Appropriations Account, This process is 
 illustrated as follows, the item being entered as a total Dr. 
 item first. 
 
 Dr. Cla^s I Appropriations Account Cr. 
 
 1914 
 April 
 
 To Salaries, Apr., '14 
 
 27 
 
 $888 
 
 30 
 
 1914 
 April 
 
 By Gen. Treasurer 
 
 28 
 
 $10,000 
 
 00 
 
 26 
 
 Hu. 
 
 Since the Salaries or Class I is now assumed to have 
 received the credits (put into the missionaries' Accounts), 
 Class I must be debited with the total amount for April 
 (debit what is received). 
 
 There are supposed to be ten missionaries, each to be 
 credited, every month, with 1/12 of $1,000 (annual salary) 
 or $83.33 each, per month; 10x$83.33=$833.30, the debit 
 item as entered. 
 
 These credits must now be made available in the form 
 of credits, to each of these missionaries, as follows : 
 
 Dr. 
 
 H, James Account 
 
 Cr. 
 
 1914 
 April 
 
 By Class I Approps. 
 (salary) 
 
 26 
 
 $83 
 
 33 
 
 ' •> 
 
 T. Jones Account 
 
 
 
 
 1914 
 April 
 
 1 
 
 By Class I Approps. 
 (salary) 
 
 26 
 
 $83 
 
 33 
 
 B, Ward Account 
 
 
 
 
 1914 
 April 
 
 1 
 
 By Class I Approps. 
 (salary) 
 
 26 
 
 $83 
 
 83 
 
 James Arthur Account 
 
 
 
 
 1914 
 April 
 
 1 
 
 By Class I Approps. 
 (salary) 
 
 26 
 
 $88 
 
 33 
 
 27 
 
 
 «■ 
 
Dr. 
 
 G. Robinson Account 
 
 Cr. 
 
 
 
 
 1914 
 April 
 
 1 
 
 By Class I Approps. 
 (salary) 
 
 26 
 
 183 
 
 A, Smith Account 
 
 1914 
 April 
 
 By Class I Approps. 
 (salary) 
 
 W, Graham Account 
 
 
 
 
 1914 
 April 
 
 1 
 
 By Class I Approps. 
 (salary) 
 
 26 
 
 iS. Grove Account 
 
 
 
 
 1914 
 April 
 
 1 
 
 By Class I Approps. 
 (salary) 
 
 26 
 
 F. Williams Account 
 
 1914 
 April 
 
 By Class I Approps. 
 (salary) 
 
 26 
 
 R, Brown Account 
 
 1914 
 April 
 
 By Class I Approps. 
 (salary) 
 
 26 
 
 33 
 
 183 
 
 88 
 
 <ii 
 
 $83 
 
 33 
 
 $83 
 
 38 
 
 $83 
 
 88 
 
 $88 
 
 38 
 
 Note : That the sum total of all these credit entries equals 
 the debit entry in Class I Appropriations Account 
 
 28 
 
 (Rule II: For every debit entry there must be a 
 
 corresponding credit entry, or entries; and vice 
 
 versa.) 
 
 Each of the missionaries named above now has $83.33 
 
 to his credit, the amount being payable to him during the 
 
 month of April, or later, as salary appropriated by the 
 
 Board. 
 
 Taking the sample Memo. Book, and Journal, proceed 
 now to post the 
 
 TRANSACTION OF APRIL 3rd 
 
 By reviewing page 11 again, we see that General 
 Treasurer Account must receive a credit of the total amount 
 of debit items (or charges) against the Mission, contained 
 in the Monthly Statement received from New York. This 
 is entered as a single item, and in this case amounts to 
 $475.00 (see General Treasurer Ac&t below). 
 
 The debit of this amount will be made up of a number 
 of Dr. entries placed in the Accounts (mainly of mission- 
 aries) for whom the General Treasurer has paid out money 
 in the U. S. 
 
 We will suppose the Monthly Statement from New 
 York indicated the following: 
 
 Dr. 
 
 (Monthly) Statement for Feb., 19 IJ^ Cr. 
 
 Feb. 
 
 3 
 
 Feb. 
 
 5 
 
 Feb. 
 
 8 
 
 Feb. 
 
 10 
 
 Feb. 
 
 15 
 
 Feb. 
 
 30 
 
 H. Tames 
 
 (Home Life Ins. 
 Co.) 
 
 T. Jones 
 
 (M. Ward & Co.) 
 
 Jas, Arthur 
 
 (M. Ward & Co.) 
 
 R. Brown 
 (Wanamaker) 
 
 B. Ward 
 
 (Pres. Min. Fund) 
 
 Chapel No. 2 
 
 (B. Smith & Co., 
 lumber) 
 
 Total charges 
 
 
 $75 
 
 00 
 
 
 
 
 65 
 
 00 
 
 
 
 
 55 
 
 00 
 
 
 
 
 25 
 
 00 
 
 
 
 
 80 
 
 00 
 
 
 
 
 175 
 
 00 
 00 
 
 
 
 $475 
 
 1 
 
 29 
 
 r-'J 
 
 ^m<iMM| 
 
f I 
 
 1" 
 
 i! 
 
 These, then, are all debit items to be placed on the 
 Dr. side of the Accounts to which they belong. 
 
 The single, total credit, and the six debit items would 
 be posted as follows: 
 
 Dr. 
 
 General Treasurer Account 
 
 Cr. 
 
 1914 
 
 
 
 
 
 
 1914 
 
 
 
 
 
 
 April 
 
 1 
 
 To Class I Approps., 
 1014-15 
 
 23 
 
 $10,000 00 
 
 April 
 
 8 
 
 By Sundry Acc'ts 
 (Feb. Statement) 
 
 28 
 
 $475 
 
 00 
 
 1 i 1 1 1 II 1 1 
 
 H, James Account 
 
 
 
 
 1914 
 
 
 
 
 
 
 1914 
 
 
 
 
 
 
 April 
 
 8 
 
 To Gen. Treas. Acc't. 
 (Feb. Statement) 
 
 28 
 
 $75 
 
 
 April 
 
 1 
 
 By Class I Approps. 
 (salary) 
 
 26 
 
 $88 
 
 88 
 
 i 1 
 
 1 1 II II 
 
 T. Jones Account 
 
 1 1 
 
 1914 
 
 
 
 
 
 
 1914 
 
 
 
 
 
 
 AprU 
 
 8 
 
 To Gen. Treas. Acc't. 
 (Feb. Statement) 
 
 28 
 
 $86 
 
 00 
 
 April 
 
 1 
 
 By Class I Approps. 
 (salary) 
 
 26 
 
 $88 
 
 88 
 
 1 1 
 
 Ja 
 
 1 1 II 1 1 1 
 
 ,8. Arthur Account 
 
 
 1914 
 
 
 
 
 
 
 1914 
 
 
 
 
 
 
 April 
 
 8 
 
 To Gen. Treas. Acc't. 
 (Feb. Statement) 
 
 28 
 
 $56 
 
 00 
 
 April 
 
 1 
 
 By Class I Approps. 
 (salary) 
 
 26 
 
 $83 
 
 83 
 
 1 I 1 1 II 1 1 III 
 
 R. Brown Account 
 
 1914 
 
 
 
 
 
 
 1914 
 
 
 
 
 
 
 April 
 
 8 
 
 To Gen. Treas. Acc't. 
 (Feb. Statement) 
 
 28 
 
 $25 
 
 00 
 
 April 
 
 1 
 
 By Class I Approps. 
 (salary) 
 
 26 
 
 $83 
 
 83 
 
 B. Ward Account 
 
 1914 
 
 
 
 
 
 
 1914 
 
 
 
 
 
 
 April 
 
 8 
 
 To Gen. Treas. Acc't. 
 (Feb. Statement) 
 
 28 
 
 $80 
 
 00 
 
 April 
 
 1 
 
 By Class I Approps. 
 (salary) 
 
 26 
 
 $88 
 
 S3 
 
 30 
 
 r V^ 
 
 1 ] ^ 
 
 Dr. 
 
 Chapel No, 2 Account 
 
 Cr. 
 
 1914 
 April 
 
 To CJen. Treas. Acc't. 
 (Feb. Statement) 
 
 28 
 
 $175 
 
 00 
 
 The $175 paid out in the U. S. by the General Treas- 
 urer, indicates that lumber had been ordered from the 
 U. S. for a Chapel, which was known as Chapel No. 2. 
 Consequently when the charge came out to the Field Treas- 
 urer, he entered the amount as a debit in the Chapel No. 2 
 Account. 
 
 Note: All the debit entries in the small Accounts above, 
 added together, equal the one credit entry in Gen- 
 eral Treasurer's Acc't (i. e., $475), thus proving 
 Rule II again. 
 
 Taking up the 
 
 TRANSACTION OF APRIL 4th 
 {See Memo. Book and Journal) 
 
 We are dealing here with a charge, received in the 
 Monthly Statement from N. Y., against T. Jones (mission- 
 ary) — but it is an error, as T. Jones has purchased no 
 goods from Montgomery Ward & Co., and does not owe 
 the General Treasurer the $65 charged against him. As 
 soon as the Field Treasurer becomes satisfied that it is a 
 mistake, he makes a Journal entry (see p. 23) charging, 
 or debiting General Treasurer Account and crediting T. 
 Jones* Account. When the Field Treasurer next sends a 
 Statement from the field to the General Treasurer in N. Y., 
 this "charge" item will be included with explanation and 
 the General Treasurer will "accept the charge" and find 
 its rightful owner. 
 
 First — The debit in the General Treasurer Account. 
 
 81 
 
 M 
 
Dr. 
 
 General Treasurer Account 
 
 Cr. 
 
 1914 
 April 
 
 April 
 
 To Class I Approps., 
 1914-15 
 
 To T. Jones A/C 
 (Feb. Statement) 
 
 •35 
 
 Ho 
 
 
 
 1914 
 
 
 23 
 
 $10,000 
 65 
 
 00 
 00 
 
 April 
 
 8 
 
 By Sundry Acc'ts. 
 (Feb. Statement) 
 
 23 
 
 $476 
 
 00 
 
 Next, the corresponding credit entry in T. Jones' 
 Account. 
 
 Dr. 
 
 1 
 
 T. 
 
 Jones Account 
 
 
 Cr. 
 
 
 1914 
 
 
 
 
 
 
 1914 
 
 
 
 
 
 
 April 
 
 8 
 
 To Gen. Treas. A/C 
 (Feb. Statement) 
 
 28 
 
 $65 
 
 00 
 
 April 
 
 1 
 
 By Class I Approps. 
 (salary) 
 
 27 
 
 $88 
 
 83 
 
 
 
 
 
 
 
 April 
 
 6 
 
 By Gen. Treas. A/C 
 (Feb. Statement) 
 
 28 
 
 66 
 
 00 
 
 It is now apparent that though T. Jones had been 
 charged with this $65, he is now credited with it also, so 
 that it does not affect his Account in any way. 
 
 Notes (a) If a charge comes out in the "Monthly State- 
 ment" from N. Y., which the Field Treasurer 
 knows does not belong to any Personal Account, 
 or to any Appropriation Account in his Mission, 
 he may enter it at once as a debit in an Account 
 called Suspense Account, pending further advices 
 from New York. If the General Treasurer directs 
 that it be "returned" to him, then credit Suspense 
 Acc't with the item and enter it as a debit in Gen- 
 eral Treasurer Acc't. 
 
 Note: (h) Never attempt to correct an error with an- 
 other Field Treasurer direct. Return the credit 
 or debit to N. Y. and give all available informa- 
 tion. The New York Office will correct the mis- 
 take with the other Mission. 
 Looking at the Memo. Book (p. 21) and the Journal 
 
 (p. 23) again we come to the 
 
 32 
 
 " 
 
 ' \ 
 
 w 
 
 
 kV 
 
 TRANSACTION OF APRIL 5th 
 {Review pp, 15 and 16) 
 
 Cash is received, therefore enter debit item in Cash 
 Account, 
 
 Certificate of Credit is given out, therefore credit C. 
 of C. Account, 
 
 Dr. Cash Account Cr. 
 
 1914 
 April 
 
 To Cert, of Credit 
 A/C (No. 987— B. 
 Ward) 
 
 23 
 
 $5 
 
 00 
 
 
 
 Dr. 
 
 Certificates of Credit Account 
 
 Cr. 
 
 
 
 
 1914 
 April 
 
 5 
 
 By Cash (from B. 
 Ward) 
 
 23 
 
 $5 
 
 00 
 
 The transfer of this item and all items like it, to N. Y., 
 is explained on page 16. 
 
 Note: If B. Ward buys a C. of C, and instead of pay- 
 ing cash for it, asks that his Account "6e charged" 
 with the amount, then the Field Treasurer will 
 make the following entry in the Journal : B, Ward 
 Account, Dr., To Cert, of Credit Acc't, Certificate 
 No. 987. Of course, Cash Account would, in 
 this case, receive no entry, as no cash would have 
 passed. 
 Next in the Journal (p. 23) is the 
 
 TRANSACTION OF APRIL 7th 
 
 The Memo. Book and Journal show that the General 
 Treasurer has remitted three Bills of Exchange, of $500 
 each [in partial discharge of the "obligation" against him, 
 represented by Appropriations'] (see page 11). 
 
 33 
 
 ,; 
 
 ( 
 ( 
 
As the General Treasurer gives out B/E's, his Ac- 
 count must be credited with what he sends. 
 
 As B/E Account receives, that Account must be debited 
 with the amount taken in. 
 
 Dr. 
 
 General Treasurer Account 
 
 Cr. 
 
 1914 
 
 
 
 
 1914 
 
 
 
 
 
 
 April : 
 
 I To Class I Approps., 28 $10,000 
 1914-15 
 
 00 
 
 April 
 
 8 
 
 By Sundry Acc'ts. 
 (Feb. Statement) 
 
 23 
 
 $475 
 
 00 
 
 April ! 
 
 J To T. Jones Acc't. 28 65 
 (Feb. Statement) 
 
 00 
 
 April 
 
 7 
 
 By B/E's (No. 271, 
 272, 273 @ $600) 
 
 28 
 
 1500 
 
 00 
 
 Bills of Exchange Account 
 
 1914 
 
 
 
 
 
 
 
 
 
 
 April 
 
 7 To Gen. Treas. A/C 
 (No. 271, 272, 273 
 @ $500) 
 
 23 $1500 
 
 00 
 
 
 
 
 
 
 
 TRANSACTION OF APRIL 10th 
 
 As the Field Treasurer needs cash for making pay- 
 ments, he sells one of the Bills of Exchange. [Note : It is 
 assumed, for the sake of simplicity, that the Field Treas- 
 urer receives $500 (U. S. money) in exchange for his Bill 
 of Exchange for that amount. In reality he will receive 
 the local currency of the district at a current rate— which 
 will be explained later.] 
 
 Since Bills of Exchange Acc't gives out a Bill, that 
 Account will be credited with the amount of it. 
 
 Since cash is received in exchange for the B/E, Cash 
 Account must be debited with the actual amount of cash 
 received. 
 
 Dr. Bills of Exchange Account ^r. 
 
 1914 
 April 
 
 To Gen. Treas. A/C 
 (No. 271, 272, 273 
 @ $500) 
 
 23 
 
 $1500 
 
 00 
 
 1914 
 April 
 
 10 
 
 By Cash A/C 
 (No. 271) 
 
 $500 
 
 00 
 
 
 iV 
 
 Dr. 
 
 
 Cash Account 
 
 
 
 Cr. 
 
 
 1914 
 
 
 
 
 
 
 
 
 
 
 
 
 April 
 
 5 
 
 To Cert, of Cred. A/C 
 (No. 987, B. Ward) 
 
 28 
 
 $5 
 
 00 
 
 
 
 
 
 
 
 April 
 
 10 
 
 To Bills of Ex. A/C 
 (No. 271) 
 
 23 
 
 600 
 
 00 
 
 
 
 
 
 
 
 Note: Cash Acc't is indebted (debited) "To the Bill of 
 Exchange" for the cash received. Therefore the 
 entry 'To Bills of Exchange Account $500." 
 
 TRANSACTION OF APRIL 12th 
 
 The Field Treasurer receives a notice that an appro- 
 priation has been made of $3,000 for Residence No. 5. This 
 transaction should be entered the same as that of April 
 1st, except the credit should be given to "Residence No. 
 5 Account." The General Treasurer Account must be 
 charged with the amount since he must furnish it and 
 Residence No. 5 Account must be credited since that ac- 
 count receives the appropriation. 
 
 The Journal indicates the two accounts affected and 
 they will appear in the Ledger as follows: 
 
 Dr. 
 
 General Treasurer Account 
 
 
 Cr. 
 
 
 1914 
 
 
 
 
 
 
 1914 
 
 
 
 
 
 
 April 
 
 1 
 
 To Class I Approps., 
 1914-15 
 
 28 
 
 110,000 
 
 00 
 
 April 
 
 8 
 
 By Sundry Acc'ts. 
 (Feb. Statement) 
 
 23 
 
 $475 
 
 00 
 
 April 
 
 5 
 
 To T. Jones Acc't. 
 (Feb. Statement) 
 
 23 
 
 65 
 
 00 
 
 April 
 
 7 
 
 By B/E's (271, 272, 
 273 @ $500 
 
 23 
 
 1500 
 
 00 
 
 April 
 
 12 
 
 To Res. No. 5 Acc't. 
 
 28 
 
 8000 
 
 00 
 
 
 
 
 
 
 
 Residence No, 5 Account 
 
 1914 
 April 
 
 12 
 
 By General Treasurer 
 (Board's Approp.) 
 (Notice No. 864) 
 
 23 
 
 $3000 
 
 00 
 
 34 
 
 86 
 
 ,; 
 
TRANSACTION OF APRIL 15TH 
 
 (See Memorandum Book and Journal — Review Building 
 
 Drafts, page 13) 
 
 The Field Treasurer requires cash for payments on 
 Residence No. 5 which is in process of construction. He 
 draws a Building Draft himself, on the General Treasurer. 
 As soon as the Draft is filled out, it must be charged (i e., 
 entered as a debit) to Bills of Exchange Ac&t (for that 
 Acc't must be assumed to have just received it). 
 
 And General Treasurer A/C must be credited with it, 
 since the Bill is the means of getting the money for Resi- 
 dence No. 5 from him, and it is as though he had sent the 
 Draft out Since General Treasurer gives out cash for the 
 Bill, his Account is to be credited (see Rule I.) These two 
 entries are posted below : 
 
 Dr. 
 
 Bills of Exchange Account 
 
 Cr. 
 
 1914 
 April 
 
 April 
 
 To Gen. Treas. A/C 
 (No. 271, 272, 273 
 
 @ $500) 
 
 To Gen. Treas. A/C 
 (Bldg. Dept. No. 56) 
 
 
 
 
 1914 
 
 
 23 
 
 $1500 
 
 00 
 
 April 
 
 10 
 
 23 
 
 500 
 
 OD 
 
 
 
 By Cash Acc't. (No. 
 271) 
 
 28 
 
 $500 
 
 00 
 
 General Treasurer Account 
 
 1914 
 April 
 
 April 
 
 April 
 
 To Class I Approps., 
 1914-15 
 
 To T. Jones A/C 
 (Feb. Statement) 
 
 To Res. No. 5 A/C 
 
 23 
 23 
 23 
 
 $10,000 
 65 
 
 3000 
 
 00 
 00 
 00 
 
 1914 
 April 
 
 April 
 
 April 
 
 8 
 
 7 
 15 
 
 By Sundry Acc'ts. 
 (Feb. Statement) 
 
 By B/E's (271, 272, 
 273 @ $500) 
 
 By Bills of Ex. A/C 
 (Draft No. 66) 
 
 28 
 23 
 23 
 
 $475 
 
 1500 
 
 500 
 
 00 
 00 
 00 
 
 In the above Account the General Treasurer is charged 
 on April 12, with $3,000, the amount of the Appropriation 
 for Residence No. 5, and on April 15th he is credited 
 with $500 of the $3,000, by reason of the B/E, drawn by 
 
 36 
 
 «v 
 
 the Field Treasurer to produce the money for the $500 
 pajmient. 
 
 The Field Treasurer now takes the $500 Draft and 
 sells it at the Bank, and is supposed to have received $500 
 (U. S. money) in return for it. 
 
 Since Bills of Exchange Account gives out the Bldg. 
 Draft, that Account must be credited. 
 
 And since cash is received for it. Cash Acc't must be 
 debited. The Accounts showing these entries follow: 
 
 Dr. Bills of Exchange Account Cr. 
 
 1914 
 
 
 
 
 
 
 1914 
 
 
 
 
 
 
 April 
 
 7 
 
 To Gen. Treas. A/C 
 (Nos. 271, 272, 273 
 @ $500) 
 
 23 
 
 $1500 
 
 00 
 
 April 
 
 10 
 
 By Cash Acc't. (No. 
 271) 
 
 28 
 
 $500 
 
 00 
 
 April 
 
 15 
 
 To Gen. Treas. A/C 
 Bldg. Draft No. 66) 
 
 23 
 
 500 
 
 00 
 
 April 
 
 15 
 
 By Cash Acc't. (Bldg. 
 Draft No. 66) 
 
 23 
 
 $500 
 
 00 
 
 Cash Account 
 
 1914 
 April 
 
 April 
 
 April 
 
 5 
 10 
 15 
 
 ITo Cert, of Cred. A/L 
 (No. 987, B. Ward) 
 
 To B/E Acc't. (No. 
 271) 
 
 To B/E (Bldg. Draft 
 No. 56) 
 
 28 
 
 $5 
 
 00 
 
 
 
 23 
 
 500 
 
 00 
 
 
 
 23 
 
 500 
 
 00 
 
 
 
 The Transaction of April 15th has now been posted, 
 and the Field Treasurer's books show $500 cash on hand 
 to be expended upon Residence No. 5, for which there is 
 an Appropriation from the Board of $3,000. 
 
 TRANSACTION OF APRIL 16th 
 The Journal shows that on April 16th the Field Treas- 
 urer paid out $25 cash and received a New York Money 
 Order in return. The Account of the missionary who pre- 
 sented the Order is not affected. 
 
 New York Money Order Acc't is debtor (having re- 
 ceived the Order). 
 
 Cash Account is creditor (having paid out cash). 
 
 37 
 
 .; 
 
Dr. 
 
 New York Money Order Account 
 
 Cr. 
 
 1914 
 
 
 
 
 
 
 
 
 
 
 
 
 April 
 
 16 
 
 To Cash A/C (No. 
 717, R. Brown) 
 
 23 
 
 126 00 
 
 
 
 
 
 
 
 Cash Account 
 
 1914 
 
 
 
 
 
 
 1914 
 
 
 
 
 
 
 April 
 
 5 
 
 To Cert, of Cred. A/C 
 (No. 987, B. Ward) 
 
 28 
 
 $5 
 
 00 
 
 April 
 
 16 
 
 By N. Y. M. 0. Acc't. 
 (No. 717, R. Brown) 
 
 28 
 
 $25 
 
 00 
 
 April 
 
 10 
 
 To B/E Acc't (No. 
 271) 
 
 28 
 
 500 
 
 00 
 
 
 
 
 
 
 
 April 
 
 15 
 
 To B/E Acc't. (Bldg. 
 Draft No. 66) 
 
 28 
 
 500 
 
 00 
 
 
 
 
 
 
 
 Note : For the above review p. 17 on N. Y. Money Orders. 
 
 TRANSACTION OF APRIL 17TH 
 
 Here we find that James Arthur, a missionary, on 
 April 17th, drew $20 of his salary of $83.33 standing to 
 his credit for the month of April. 
 
 Cash was given out, therefore Cash A/C will be 
 credited, 
 
 James Arthur received $20 ; therefore Jas. Arthur A/C 
 will be debited. 
 
 Dr. 
 
 Cash Account 
 
 Cr. 
 
 1914 
 April 
 
 April 
 
 April 
 
 5 
 10 
 15 
 
 To Cert, of Cred. A/C 
 No. 987, (B. Ward) 
 
 To B/E A/C (No. 271) 
 
 To B/E A/C (Bldg. 
 Draft No. 56) 
 
 28 
 28 
 28 
 
 $6 
 
 600 
 500 
 
 00 
 00 
 00 
 
 1914 
 April 
 
 AprU 
 
 
 16 
 17 
 
 By N. Y. M. O. A/C 
 (No. 717, R.Brown) 
 
 By James Arthur A/C 
 (salary) 
 
 28 
 23 
 
 $25 
 
 20 
 
 00 
 
 00 
 
 I 
 
 iV 
 
 Dr. 
 
 James Arthur Account 
 
 Cr. 
 
 1914 
 April 
 
 April 
 
 8 
 
 17 
 
 To Gen'l Treas. A/C 
 (Feb. Statement) 
 
 To Cash (salary) 
 
 
 
 
 1914 
 
 
 23 
 
 $55 
 
 00 
 
 April 
 
 1 
 
 23 
 
 20 
 
 00 
 
 
 
 By Class I Approps. 
 (salary) 
 
 23 
 
 $83 
 
 33 
 
 Note : This last A/C shows that Jas. Arthur has only $8.33 
 to draw for the remainder of the month. 
 
 TRANSACTION OF APRIL 20th 
 
 A local Government Official has contributed $175 
 toward the erection of a Chapel. 
 
 Chapel No, 2 A/C must be credited with this gift (see 
 bottom p. 24). 
 
 Cash A/C must be debited (money having been 
 received) . 
 
 Dr. 
 
 Chapel No. 2 Account 
 
 Cr. 
 
 1914 
 April 
 
 To Gen, Treas. A/C 
 (Feb. Statement) 
 
 23 
 
 $175 
 
 1914 
 April 
 
 20 
 
 By Cash (Grovemment 
 Official) 
 
 93 
 
 $175 
 
 Cash Account 
 
 1914 
 AprU 
 
 April 
 AprU 
 
 AprU 
 
 10 
 15 
 
 20 
 
 To Cert, of Cred. A/C 
 (No. 987, B. Ward) 
 
 To B/E A/C (No. 271) 
 
 To B/E A/C (Bldg. 
 Draft No. 56) 
 
 To Chapel No. 2 A/C 
 (Gov. Official) 
 
 
 
 
 1914 
 
 
 23 
 
 $5 
 
 00 
 
 April 
 
 16 
 
 28 
 
 500 
 
 00 
 
 April 
 
 17 
 
 23 
 
 500 
 
 00 
 
 April 
 
 80 
 
 28 
 
 175 
 
 00 
 00 
 
 
 
 $1180 
 
 By N. Y. M. O. A/C 
 (No. 717, R. Brown) 
 
 By Jas. Arthur A/C 
 (salary) 
 
 By Balance to next 
 Account 
 
 28 
 28 
 
 23 
 
 $25 
 
 20 
 1135 
 
 $1180 
 
 00 
 00 
 00 
 
 00 
 
 39 
 
BALANCING ACCOUNTS 
 
 Note : In addition to the Dr, entry of April 20th, which has 
 just been made in the above A/C, a credit entry 
 has also been made, under date of April 30th. 
 
 This entry represents the process called "balancing 
 the Account". The difference between the Dr. and Cr. side 
 is called the Balance of the Account. 
 
 If the Dr. side is the greater, the balance is a Dr. 
 Balance, 
 
 If the Cr. side is the greater, the balance is a Cr, 
 balance. 
 
 In the above example, Cash Account is charged with 
 (i.e., it is "responsible" to some one for) $1,135, the balance 
 being a debtor balance. 
 
 In order to show the totals of the columns equal, the 
 difference between the two sides must, of course, be entered 
 on the smaller side (in this case on the Cr. side). 
 
 When the balance is brought down, however, to a new 
 Cash Account, the balance as above must be entered on the 
 Dr. side, as this difference is really the part of the 
 debit, which is not covered or offset by any credit or credits. 
 
 40 
 
 I 
 
 sV 
 
 I 
 
 THE CASH BOOK 
 
 (Review page 19 again) 
 
 The Cash Book is virtually a section of the Journal, 
 kept apart by itself, and contains a record only of trans- 
 actions involving the receipt or disbursement of cash. Its 
 form is slightly different from that of the Journal, though 
 it is like the Journal in many ways. Items entered in the 
 Cash Book are not entered in the Journal. They are posted 
 directly in the Ledger from the Cash Book. 
 
 Cash (or cheques) received are entered on the left-hand 
 or debtor side of the Cash Book. 
 
 Payments made in cash (or by cheque) are entered 
 on the right-hand or credit side of the Cash Book. 
 
 No entries should be made in the Cash Book excepting 
 those that have to do with receipt or disbursement of actual 
 Cash. 
 
 Following are the cash items of our Accounts, entered 
 in a Cash Book (see Memo. Book, page 21). 
 
 41 
 

 
 
 
 
 8 8 
 
 
 8 
 
 • 
 
 CO 
 
 H 
 
 z 
 
 M 
 
 ■< 
 n 
 
 
 
 
 
 
 
 
 
 JS 1 
 
 
 1 
 
 
 s 
 
 
 
 
 «» 
 
 
 •* 
 
 
 >< 
 
 < 
 
 w 
 
 
 
 
 
 
 
 
 M 
 
 8 
 
 8 
 
 8 
 
 
 8 
 
 
 o 
 
 « 
 
 •» 
 
 8 
 
 1 
 
 
 i 
 
 
 -? 
 
 o 
 
 8S 
 
 g 
 
 
 
 
 
 ^ 
 
 o 
 
 
 
 
 
 
 
 
 tLi 
 
 
 
 
 
 
 
 
 
 ./-^ 
 
 u 
 
 /-^ -O 
 
 
 
 
 
 
 *^ c 
 
 ^.w 
 
 (d it 
 
 
 
 
 
 
 
 < 
 
 c h 
 
 
 
 
 
 
 .PQ 
 
 
 8 3 
 
 
 
 
 
 
 o^ 
 
 M 
 
 Wi 
 
 
 
 
 
 
 
 4-» 
 
 
 
 
 
 
 
 
 2)3 
 
 2 rt C 
 
 
 
 
 
 
 
 ^2 
 
 u «i 
 
 
 
 
 
 
 >.^ 
 
 ►.^ 
 
 >. >>"« 
 
 
 
 
 
 
 n 
 
 tt 
 
 n n 
 
 
 
 
 
 
 «D 
 
 I- 
 
 ^ S 
 
 
 
 ^ 
 
 
 
 ^^ 
 
 ^^ 
 
 ^^ ^^ 
 
 
 
 o 
 
 
 
 •c 
 
 •c 
 
 •c -c 
 
 
 
 o 
 
 
 a> 
 
 a 
 
 a 
 
 p. p. 
 
 
 
 Cq 
 
 
 ^^ 
 
 <! 
 
 < 
 
 -«1 < 
 
 
 
 00 
 
 
 u 
 
 s 
 
 8 
 
 a 
 
 1/i 
 u 
 
 M 
 
 2 
 
 < 
 
 
 1 
 
 
 
 1 
 
 
 H 
 
 8 
 
 
 8 8 
 
 8 
 
 8 
 
 
 
 
 
 
 
 
 •< 
 
 Ut 
 
 lO 
 
 
 Q >0 
 
 to 
 
 iO 
 
 
 u 
 
 O 
 
 <»> 
 
 
 
 ■rH 
 
 i 
 
 
 •6 
 
 o 
 
 1 
 
 s 
 
 S 
 
 ^ S 
 
 
 
 
 
 
 ^13 
 
 @ 
 
 
 
 
 
 
 
 ^\- 
 
 iH 
 
 
 4>> 
 C 
 
 
 
 
 
 
 I- 
 
 
 o 
 u 
 
 
 
 
 
 UM 
 
 • 
 
 J? • ►SO 
 
 kl 
 
 
 
 
 
 o Cert, of 
 No. 987, ( 
 
 o B/E N 
 $500 
 
 Bldg. D 
 Acc'L) N 
 No. 6) 
 
 o Chapel ] 
 (gift Gov. 
 
 o 
 
 
 
 
 
 H 
 
 H 
 
 H H 
 
 H 
 
 
 
 
 
 >o 
 
 ■ o 
 
 S S 
 
 ^ 
 
 
 Q 
 
 
 
 =2 
 
 =2 
 
 ^ t 
 
 ^ 
 
 
 
 
 a> 
 
 p. 
 
 o, 
 
 a A 
 
 Oi 
 
 
 
 
 TH 
 
 -< 
 
 < 
 
 <«J -< 
 
 -< 
 
 
 ft 
 
 ' 
 
 Note: The item of April 25th has been inserted, showing 
 that on that date the sum of $15 was drawn from 
 the Bank and placed in the Office Cash till. For 
 this an entry on both sides of the Cash Book is 
 needed. 
 
 Cash (Office) receives; therefore it is debited with 
 the amount. 
 
 Bank gives out; therefore it is credited with the 
 amount. 
 
 [The debit and credit would just be reversed, if 
 cash passed from the Office Cash to the Bank.] 
 
 BALANCING THE CASH BOOK 
 
 Office Cash must, of course, be balanced with Office 
 Cash; Bank Cash must be balanced with Bank Cash. 
 
 There must always be a Dr. Balance in these two Ac- 
 counts, and in order to make the totals of the Cr. and Dr. 
 Columns eqiuil each other, the debit balance must be entered 
 on the Cr. side "By balance carried down", etc. 
 
 These balances (appearing as balances entered on the 
 credit side,) are afterwards brought down to the debit side 
 of the Cash Book as the first entries, commencing the new 
 month. 
 
 HOW TO POST THE CASH BOOK 
 
 (a) Each item on the debit side of the Cash Book is posted 
 on the credit side of the Account named, as Certificate 
 of Credit Account which will contain a credit entry 
 
 "By Cash, (No. 987, B. Ward) $5.00." 
 
 Exception: Transfers from Bank to Cash, or vice 
 versa are not posted at all as individual items, and 
 therefore a check ( V ) is placed opposite each entry 
 to show it must be omitted when posting the separate 
 items to their Accounts. (See Note below.) 
 
 43 
 
 'mmmmumtmm 
 
(b) The monthly total of the Office (Cash Receipts) Col- 
 umn, is posted to the Dr, side of Cash Account (Cash 
 Account having received this amount of cash during 
 the month must be debited with it, and it is entered 
 in one sum total only in the Ledger Cash Account). 
 
 (c) The monthly total of the Bank (Cash Receipts) Col- 
 umn, is posted to the Dr. side of Bank Account (Bank 
 Account having received this amount of cash during 
 the month, must be debited with it, and it is entered 
 in one sum total only) . 
 
 (d) Looking at the Credit side of the Cash Book: 
 
 Each item on the Cr, side must be posted on the Dr. 
 side of each Account named in the item, as N. Y. 
 Money Order Account which will contain a debit entry 
 
 "To Cash Account (No. 717, R. Brown) $5.00." 
 
 Exception : The transfer of April 25th from the Bank 
 to Cash must not be posted separately in the Ledger 
 Cash Account (see Exception above) and it is there- 
 fore checked ( ^l), showing it is to be omitted when 
 posting the items to their separate Accounts. 
 
 (e) The monthly total of the Office (Cash Payments) Col- 
 umn, is posted to the Cr. side of Cash Account in the 
 Ledger (Cash having been paid out to the amount of 
 this total during the month, Cash Account is credited 
 with it, and it is entered in the Ledger Cash Account 
 in one sum total only) . 
 
 (f) The monthly total of Bank (Cash Payments) Column, 
 is posted to the Cr. side of Bank Account in the Ledger 
 (Bank Account having given out this amount of cash 
 during the month, must be credited with it, and it is 
 entered in the Ledger in one sum total only) . 
 Caution: Deduct Balances before posting totals. Do 
 not include balances in the Accounts on hand at the 
 beginning or at the end of the month in posting Cash 
 and Bank totals to their Ledger Accounts. 
 
 44 
 
 Note: When cash is paid out for an Appropriation Ac- 
 count (as for itinerating expenses under Class 
 IV), that Account must be debited with the 
 amount when posting to the Ledger, just as every 
 other item is put on the debit side of its Account 
 in the Ledger, if it appears on the Cr. side of the 
 Cash Book. 
 
 Note: It may seem best to keep also a Petty Cash Book 
 for small and frequent expenditures. However, 
 it is likely that small items of expenditure can 
 be charged at once into Class IX Account (Mis- 
 sion and Station Expenses). The appropriation 
 allotted to this Class IX by the Mission will rep- 
 resent the credit in Class IX Account; the expendi- 
 tures made for Class IX items will be the debits. 
 
 WHAT THE BALANCES IN LEDGER ACCOUNTS 
 
 REVEAL 
 
 1. Cash Account: 
 
 The debit balance (the credit side of this Account can 
 never be the greater) shows the amount of cash on hand 
 at the office, and the actual cash must balance with it. 
 
 2. Bank Account : 
 
 The debit balance (the Dr. side of this Account must 
 always be the greater) shows the amount on hand at the 
 Bank to the Field Treasurer's credit. If the Bank Account 
 should show a credit balance, it would mean that the Bank 
 Account had been overdravm and that the Field Treasurer 
 owed the Bank money. The Bank would charge interest 
 on the amount of the overdraft. No Field Treasurer is 
 authorized to create such a situation. 
 
 45 
 
 .; 
 
S. Appropriation Accounts: 
 
 The Cr. balance in all Appropriation Accounts repre- 
 sents the amount still available to be spent for that Cla^s 
 or object. A debit balance should never occur in an Appro- 
 priation Account, as no Treasurer is authorized to pay out 
 more money than has been appropriated (or actually re- 
 ceived as a gift) for a Class or Object. (See Exception 
 below.) 
 
 Exception: Special permission has been granted by the 
 Board whereby in two or three Missions advances 
 of salary may be made by the Field Treasurer to 
 cover payments for supplies purchased in quan- 
 tity, made necessary by distance or the seasons, 
 or in special cases arising from long itinerating 
 tours, but in all such cases Personal Accounts 
 must be liquidated every three months. 
 Ordinarily Salary or Personal Accounts (Class I) 
 must be squared every month. No Field Treas- 
 urer is authorized to lend Mission funds to any- 
 one. 
 
 Balances in Appropriation Accounts at Close of Year: 
 
 All credit balances remaining in Appropriation Ac- 
 counts at the close of a fiscal year revert to the Board and 
 must be credited in the General Treasurer Account, 
 Exception : The one exception is that of Class VIII. The 
 amounts unspent in Class VIII (i. e., credit bal- 
 ances) are carried over for the same building 
 operation into the new year, as, of course, the 
 entire sum appropriated was intended to be used 
 for that special object and is available for it until 
 the building is entirely completed. 
 
 4. Bills of Exchange Account: 
 
 The debit balance in this Account will represent the 
 
 46 
 
 V 
 
 (\ 
 
 amount of Bills of Exchange on hand. There could never 
 be a credit balance in this Account, as No. B/E*s could be 
 given out (sold) when none were on hand. (Review p. 13.) 
 
 5. Field Money Orders Account (Certificates of Credit). 
 
 This Account is balanced each quarter by entering 
 (using the Journal for the original entries) a debit in the 
 Account, equal to all the Certificates of Credit sold during 
 the quarter. The corresponding credit entry must be made 
 (Rule II) on the credit side of General Treasurer Account. 
 The final step here is the listing of all C. C.'s sold during the 
 quarter in a Statement, as a credit to the General Treas- 
 urer (on the debit side) and forwarding the statement to 
 New York (see pp. 15 and 16), thereby balancing the ac- 
 count for the quarter. 
 
 Other Ledger Accounts are treated elsewhere. 
 
 THE TRIAL BALANCE 
 
 When complete postings have been made from Journal 
 and Cash Book into Ledger Accounts, find balances (on 
 one side or the other) in all the Accounts; enter these 
 balances on the lesser side of each Account (see Cash 
 Book entry, p. 42), and "balance" — making the totals of 
 the columns equal. 
 
 Since we have the Rule (II) that every credit entry 
 must have a corresponding debit entry, or entries, and vice 
 versa, it must follow that the sum of all the debit entries 
 of all the Accounts in the Ledger must equal the sum of 
 all the credit entries of these same Ledger Accounts. {Bal- 
 ances are not, of course, regular entries, and are not 
 included.) 
 
 A Trial Balance is obtained by thus adding (simply 
 on memorandum paper) all the debits of the Accounts, and 
 all the credits of the same Accounts, in separate Dr. and 
 Cr. columns and noting that the totals must equal each 
 
 47 
 
> 
 
 f.t 
 
 m- 4 
 
 other. If the totals of the two columns are not equal, it 
 is probable that some mistake has been made in posting to 
 one of the Ledger Accounts. 
 
 TRIAL BALANCE SHORTER METHOD 
 
 If the total of all debits in the Ledger Accounts is 
 equal to the total of all the credits in these same Accounts, 
 then it must be true that all the debit balances added 
 together must equal all the credit balances added together. 
 
 Therefore, find the Trial Balance by comparing the 
 total of all the debit balances, with the total of all the credit 
 balances of the Accounts in the Ledger. 
 
 The Trial Balance is not an Account; it is merely a 
 statement showing the Accounts to be correct, and is of 
 no further use. It is usually drawn up at the close of 
 every period for which a report is to be made. 
 
 THE BALANCE SHEET 
 
 The Balance Sheet is an abstract of the business Lia- 
 bilities and Assets. It gives the merchant a bird's-eye 
 view of (1) what he owes and what is owing to him; (2) 
 what profit or loss he has made; (3) what his capital 
 amounts to; and (4) the Balance Sheet proves the Ac- 
 counts to be correct, because it shows the capital to be in 
 
 actual existence. 
 
 Since a Mission Field Treasurer does not keep a Cap- 
 ital Account, no Balance Sheet, in the true sense, can be 
 made up from his Accounts, but one could be composed by 
 appraising the Assets in his field and placing them in suit- 
 able Accounts. 
 
 48 
 
 t% 
 
 CHAPTER V 
 
 NATIVE CURRENCY 
 
 It will be understood that the examples and illus- 
 trations thus far given have been in United States money 
 generally termed "gold" (meaning dollars and cents, based 
 on the gold standard of the U. S.) for the sake of simplicity 
 in explaining the steps in bookkeeping. 
 
 In actual practice. Bills of Exchange or Building 
 Drafts when sold on the field do not produce dollars and 
 cents in U. S. money, but produce Native currency, such as 
 Yen in Japan, Mexicans in China, Rupees in India, etc. 
 
 Since a Treasurer's books must be kept in one cur- 
 rency only, it will be necessary, when entering Bills of Ex- 
 change or other papers made in gold, to reduce the same to 
 a corresponding amount in the currency of his accounts. 
 In the case of Bills of Exchange received from New York 
 this can be done by using an arbitrary or an average rate 
 and adjusting through an Exchange Account the difference 
 between this value and the actual value determined when 
 the bill is sold. Personal charges, etc., are usually entered 
 at an average rate for the month or quarter. 
 
 The amount of Mexicans (for example) which $100 
 gold (i.e., a Bill of Exchange for $100) will realize varies 
 almost daily and depends upon the Rate of Exchange on the 
 
 day the Bill is sold. 
 
 This Rate of Exchange is determined by several fac- 
 tors, among which are (a) the cost of collecting the money 
 which the Bill represents; (b) the charge of interest on 
 the amount, for the time intervening before the money can 
 be collected (from the Board in N. Y.), and (c) the dis- 
 tance from a large money center, (d) All these factors are 
 influenced by the relation between imports and exports of 
 
 49 
 
the countries involved. The credit of the countries involved 
 and the market price of silver may also seriously affect 
 Rates. 
 
 A Rate of Exchange is the value of the unit of the 
 money of one country, expressed in the money of another 
 country. 
 
 That is: $1 gold (U. S.) will purchase on a certain day 
 2.22 Mexican dollars (China). 
 
 The value of the unit ($1.00) =2.22 Chinese Mexicans; 
 
 or, 
 
 1 Mexican (Chinese) is equivalent, on a certain day, 
 to $.45 (U. S. gold). 
 
 The value of the unit (1 Chinese Mexican) =45 cents 
 in U. S. money, i. e., in "gold". 
 
 The Rate may here be described either as 2.22, or as 
 .45. 
 
 By dividing the unit 1 by one rate (2.22) the equivalent 
 rate can be obtained (.45) and vice versa. 
 
 Also, divide gold amount by the Rate (in gold as .45) 
 to obtain Mexicans. Multiply amount in Mexicans by Rate 
 (in gold as .45) to obtain gold amount. 
 
 The Field Treasurer will handle cash in native cur- 
 rency only; there is, of course, no U. S. money in circula- 
 tion on the foreign field. Disbursements of every kind will 
 have to be made in the money of the country where deal- 
 ings take place. 
 
 Therefore, when selling a (gold) B/E for $500 — for 
 which the local bankers will give him in return say Mex- 
 ican dollars 1111.11, the Field Treasurer will make the fol- 
 lowing entries (through the Journal). — Item of April 10th. 
 
 } 
 
 Dr. 
 
 Bills 
 
 
 
 / Exchange 
 
 ; Account 
 
 
 Cr. 
 
 
 1914 
 
 5 
 
 To Gen. Treas. No. 
 275 (received this 
 B/E from N. Y.) 
 $500 @ .46) 
 
 
 Mexicans 
 
 1914 
 April 
 
 10 
 
 By Cash B/E No. 275 
 (sold April 10 for 
 $500) 
 
 
 Mexicans 
 
 April 
 
 1086 
 
 96 
 
 1111 
 
 11 
 
 60 
 
 •# 
 
 Note : The Cr. side of this Account should always show the 
 value of the B/E in both currencies. 
 
 Cash Account 
 
 1914 
 April 
 
 10 
 
 To. B/E No. 275 (B/E 
 Acc't.) @ $600 
 (sold Apr. 10) 
 
 Mexicans 
 
 nil 
 
 11 
 
 As the Mexicans are expended they will be entered 
 as credits in Cash Account and as debits in the Appropria- 
 tion Account involved. 
 
 Note: Dividing the Mexicans (1111.11) by the gold ($500) 
 gives 2.22 the Rate in Mexicans. 
 Dividing the gold ($500) by the Mexican 
 (1111.11) gives the Rate in Gold = .45. 
 
 APPROPRIATIONS 
 
 Classes I, II and III 
 
 The Board appropriates Native Currency for all 
 Classes of the work, except for 
 
 Class I. Salaries and children's allowances. 
 Class II. Cost of missionaries* furloughs, and 
 Class III. New missionaries' outfit, travel and salary. 
 
 In the case of these three Classes the Board agrees to 
 pay the amount in gold. Therefore a current rate of ex- 
 change must always be used in paying salaries and chil- 
 dren's allowances. Since the total appropriation for Class 
 I will require to be entered in native currency, and the dif- 
 ference between this amount and the sum of all payments 
 made for an entire year will possibly differ considerably, 
 the Treasurer should adjust after each month's payments 
 of salaries these differences by entries through Exchange 
 Account so that the only remaining difference to the end of 
 
 51 
 
 m 
 
1)' 
 
 any given month would represent salaries not paid. The 
 Field Treasurer, in crediting Personal Accounts with the 
 salary item each month will use two columns, one of them 
 showing the amount in gold (as on p. 27), followed by the 
 amount of Native Currency which the gold would buy, i. e. : 
 
 Dr. 
 
 H, James Account 
 
 Cr. 
 
 1914 
 April 
 
 By Class I Approps. 
 (for Apr. @ 2.22) 
 
 27 
 
 83 
 
 Mexicans 
 
 184 
 
 99 
 
 .^^ 
 
 As payments are made to missionaries in Native Cur- 
 rency their Accounts will be debited with the amounts in 
 Native Currency. 
 
 EXCHANGE ACCOUNT EXPLAINED 
 
 All losses in exchange are charged (i. e., debited) in 
 this Account; all gains in exchange are credited in this 
 Account. 
 
 } 
 
 52 
 
 CHAPTER VI 
 
 VARIOUS ACCOUNTS 
 
 The number of Accounts on the books of the Field 
 Treasurer should be kept as small as possible. 
 
 If the Treasurer be a Mission Treasurer, who deals 
 with Station Treasurers, one Account, headed with the 
 name of the Station, should be sufficient for all dealings 
 with that Station. 
 
 Excepting Class VIII — ^which would require a separate 
 Account for each building or property on the books of the 
 Mission Treasurer. The Station Treasurer will establish 
 separate Accounts for each one of the missionaries in his 
 Station, and for each Appropriation Account, etc. 
 
 The Station Treasurer would be credited on the Mis- 
 sion Treasurer's books with all Appropriations allotted to 
 the Station by the Board and the Mission. 
 
 The Station Treasurer will be debited on the Mission 
 Treasurer's books with all remittances made to him to take 
 care of these appropriations. 
 
 The Station Treasurer's Account (on the Mission Treas- 
 urer's books) will also be debited with all Certificates of 
 Credit sold by the Mission Treasurer to missionaries in his 
 Station, and debited with all charges received from New 
 York, against missionaries in the Station involved. These, 
 the Station Treasurer will charge against the individual 
 missionaries. 
 
 Note: The importance of sending complete and accurate 
 Reports to the Mission Treasurer by the Station 
 Treasurer is seen just here. Without such Re- 
 
 68 
 
ports, with full details, the Mission Treasurer 
 cannot make suitable Reports to the General 
 Treasurer, as he is required to do. 
 
 Note : The above directions will have to be modified to fit 
 conditions, in cases where Salary or Appropria- 
 tion Accounts have been centralized, i. e., where 
 the Mission Treasurer will himself assume most of 
 the duties formerly left to the Station Treasurer, 
 relieving the latter of the details of bookkeeping 
 and administration. 
 
 MISSION FIELD RECEIPTS ACCOUNT 
 
 The Field Treasurer should enter as credits in this 
 Account all receipts of money coming under this head 
 (charging Cash Account with the same amounts). These 
 Receipts are subject to expenditure on the authority of the 
 Mission, and when so disbursed, must be charged in the 
 Mission Field Receipts Account (crediting Cash Account). 
 A careful record should be kept of sources from which 
 these receipts come, such as tuitions, hospital receipts, dis- 
 pensary fees, personal gifts, etc., also the special purposes 
 for which the funds are used. These receipts and dis- 
 bursements should be entered on the quarterly reports to 
 the General Treasurer. 
 
 INTEREST ACCOUNT 
 
 If the bank balance of a Field Treasurer produces 
 interest allowed by the Bank, an Interest Account should 
 be credited with the amount. This sum reverts to the 
 Board at the end of the year (unless special action is taken 
 by the Board, on the recommendation of the Mission). If 
 no request is made by the Mission concerning the use of the 
 money the interest accrued would be debited to the Inter- 
 est Account (having previously been credited) and credited 
 
 54 
 
 
 in General Treasurer Account, This credit would appear 
 on the Statement sent the General Treasurer at the close 
 of the period (unless, as previously stated. Board permis- 
 sion has been granted to use the interest for some special 
 object on the Field). 
 
 ii 
 
 BUILDING OR EMERGENCY DRAFTS ACCOUNT 
 
 As already noted (see page 13) these Drafts are filled 
 out by the Field Treasurer himself on blanks furnished 
 for the purpose and are used for the following objects : 
 
 (a) To realize funds for the purchase of property, or for 
 building operations, authorized by the Board. 
 
 (b) To realize funds for use in some form of Mission work 
 for which appropriations have been made, and for 
 which no Bills of Exchange are on hand at the time ; or, 
 
 (c) For some emergency, clearly falling under Board sanc- 
 tion and regulations as set forth in the Manual. 
 
 It may lend clearness to the accounting if a special 
 Account is opened for the handling of these Drafts, instead 
 of placing them in the Bills of Exchange Account (page 
 13). This Account may be called as above — Building, or 
 Emergency Draft Account, which Account would be debited 
 with the Drafts as soon as filled out. General Treasurer 
 Account would be credited. 
 
 On selling the Draft for cash, the Bldg, or Emergency 
 Drafts Account would be credited and Cash would be 
 debited. As Cash was spent upon a building. Cash would 
 be credited, and the Building Account would be debited. 
 
 
 CLASS VIII ACCOUNTS 
 
 Class VIII embraces all property appropriations. Each 
 piece of property, or building operation, should have a 
 separate Account. 
 
 55 
 
!!.;« 
 
 The credit side of the Account will be filled in by Ap- 
 propriations from the Board for that specific object. All 
 gifts received direct for such an object would be entered 
 also on the credit side, and these should be reported to the 
 Mission and the Board. 
 
 The debit side of the Account will be filled in as ex- 
 penditures are made for the object (building or property) 
 involved. The close of a fiscal year has no effect on the 
 credit balance in a Class VIII Account. It remains as a 
 credit balance until expended upon the object, or until 
 reported by the Missions as not likely to be needed. 
 
 Accounts for buildings (Class VIII) should each be 
 numbered and the designated number used in addition to 
 name in communicating with New York. Descriptions or 
 names of buildings alone are likely to be confused, or not 
 understood in the sense recognized on the field. 
 
 Appropriations for property (all Class VIII) are not 
 included in the original yearly appropriations, but are 
 always separate and distinct, and notifications to the field 
 are made on separate oflficial numbered blanks sent out 
 from the General Treasurer's office in New York. In 
 reporting disbursements against these special appropria- 
 tions, the number of the notice of appropriation should 
 always be given on quarterly report or separate property 
 blank. 
 
 Funds, for use in Class VIII operations, are not sent 
 out in Bills of Exchange from New York, but after the 
 appropriation has been made, the Field Treasurer is author- 
 ized to sell a Building Draft (drawn against the General 
 Treasurer) for such an amount as shall be required for 
 the building operation (or for the purchase of property) 
 in the near future. 
 
 The Field Treasurer is not authorized to sell Build- 
 ing Drafts even after an Appropriation Notice is received 
 unless there is an immediate demand for the money. 
 
 56 
 
 t 
 
 ii 
 
 PERSONAL ACCOUNTS OF MISSIONARIES 
 
 The salaries of missionaries, while on the field, are 
 paid out of Class I. Children's allowances are paid out of 
 Class I, if on the field. If salary and children's allowances 
 for any reason are not payable on the field (i. e., the mis- 
 sionary may leave on furlough), the unused part of his 
 Class I appropriation remains as a balance on the Field 
 Treasurer's books until the close of the year, when the 
 Field Treasurer will credit it to General Treasurer 
 
 Account. 
 
 Children born during the year will draw regular child's 
 allowance from the date of birth, though no appropriation 
 will have been made. The amount disbursed is to be 
 charged against the General Treasurer in his Account and 
 reported, with the child's name and date of birth, in the 
 Statement forwarded to New York. 
 
 '11 
 
 57 
 
 
■■; 1 
 
 CHAPTER VII 
 
 t 
 
 GENERAL DIRECTIONS 
 
 For guidance in the general conduct of field treasury 
 matters, see the Manual of the Board. Departures from 
 the rules of the Manual may be made only upon the express 
 authority of the Board. 
 
 Authority for Making Disbursements: 
 
 Excepting the use of miscellaneous receipts on the 
 field, such as tuition fees, etc., Field Treasurers may only 
 make disbursements of Mission funds on the authority of 
 the Board. 
 
 This authority is given through appropriations, passed 
 in formal meetings of the Board, and notified to the field 
 by formal communications. These are of two kinds : 
 
 (1) The "original appropriations", passed by the Board 
 at the beginning of a fiscal year, covering the bulk 
 of the work to be conducted during the year are noti- 
 fied to the field by the "Annual Appropriation Letter" 
 from the Secretary's office, addressed to the Mission. 
 This becomes the Field Treasurer's authority for mak- 
 ing regular disbursements for the current work. 
 
 (2) For all other disbursements, the Field Treasurer must 
 have regular "Notices" from the General Treasurer's 
 office. These Notices are numbered, and give the date 
 of the meeting of the Board at which the appropria- 
 tion was made. 
 
 In writing to New York about any appropriation, Field 
 Treasurers must refer by number to this "Notice" 
 
 58 
 
 \ 
 9 
 
 ii 
 
 
 which gives date of the meeting of the Board at which 
 the appropriation was made. 
 
 Note: Most emergencies on the field, which might call for 
 the disbursement of funds for which no formal ap- 
 propriation has been made, are covered in the 
 Manual, and Field Treasurers will act on the 
 authority there given. For authority to disburse 
 funds for any other emergencies, the Board must 
 be consulted. Extreme cases, requiring quick 
 action can, of course, be handled by the Mission 
 or its Executive Committee. 
 
 Getting Funds to the Field. 
 
 Funds are transferred from New York to the Field 
 by means of Bills of Exchange drawn in New York and 
 by Emergency or Building Drafts drawn on the field (see 
 p. 12). 
 
 (1) Bills of Exchange are forwarded to the Field Treas- 
 urer each month roughly representing one-twelfth of 
 the original appropriations and are sold by him as the 
 work demands. 
 
 Any Bills of Exchange on hand at the close of a 
 fiscal year are reported in the Annual Report of the 
 Field Treasurer, and are carried as debits in the Bills 
 of Exchange Account over into the new year. 
 
 (2) Emergency or Building Drafts (see p. 13). 
 
 All funds for property appropriations are realized on 
 the field by the sale of these Drafts. No Bills of Ex- 
 change are sent out from New York to cover Class 
 VIII appropriations. These drafts should only be 
 drawn for amounts which are to be paid out in the 
 near future. 
 
 (3) Funds for Emergencies (see Note, p. 55). 
 
 59 
 
■'■■ 
 
 \ 
 
 u 
 
 Certificates of Credit (see pp. 15 and 16). 
 
 These should always be used by missionaries when 
 making payments of exact sums in the U. S. They may 
 be sold by Field Treasurers for cash only, or by debiting 
 the Personal Account of the Missionary, if solvent. 
 
 Orders for Payment, 
 
 Periodical payments will be made by the New York 
 office, on written request of the missionary, the amount 
 paid out on his behalf being charged against him through 
 the Monthly Statement sent to the Field Treasurer. 
 
 Special Payments, 
 
 Missionaries may wish to make payments in the U. S., 
 the exact amount of which is not known. They may effect 
 such payments by forwarding to payees or to the Board 
 Forms properly filled out, which will be furnished by Field 
 Treasurers. 
 
 These Forms must be lodged with the New York Office 
 (either direct by the missionary or indirectly through the 
 payee) before payment will be made, as the Board cannot 
 undertake to disburse money for individuals without writ- 
 ten instructions to that effect. 
 
 Purchase Orders, 
 
 The Board has a Purchasing Department for the ac- 
 commodation of missionaries and through this Department 
 they can purchase to advantage, as most of the large firms 
 in the United States allow a special discount on orders 
 received through the Board. For this purpose special 
 Forms are furnished on which the missionary can write 
 a list of goods required. If the order is sent direct to the 
 firm supplying the goods the discount may or may not be 
 granted; in such a case an Order for Payment should be 
 sent by the same mail to the General Treasurer in New 
 York or enclosed with the order. 
 
 r^, 
 
 Indebtedness of Missionaries, 
 
 The system of Orders for Payment and Purchase 
 Orders is a source of danger to the Personal Accounts of 
 missionaries. All such payments made by the New York 
 Office must be charged out on the next Monthly State- 
 ment against the missionary involved, and must be col- 
 lected from the missionary, through his Account, by the 
 Field Treasurer. The latter has no authority to lend Mis- 
 sion funds to workers, and overdrafts on salary would rep- 
 resent loans which are forbidden. Hence it comes that 
 Orders for Payment and Purchase Orders must be counter- 
 signed by Field Treasurers, who are expected to exercise 
 a wise and helpful oversight with reference to obligations 
 which it will be his duty to collect for the Board. The 
 Field Treasurer should notify the Executive Committee of 
 the Mission of any cases of continued or excessive Per- 
 sonal indebtedness of missionaries, and if allowed to stand 
 the Board should be advised. 
 
 New York Money Orders (see p. 17). 
 
 When these are presented to the Field Treasurer he 
 will pay the equivalent of the gold value of the Order, in 
 Native Currency, at the current rate of exchange, or at 
 the rate he is using for salary disbursements for that 
 period. 
 
 Travel Items — From the Field. 
 
 Class II contains appropriations to cover the cost of 
 travel and freight for missionaries while going or coming 
 on regular furlough. The "original appropriations" will 
 show what these appropriations are, and the Field Treas- 
 urer will advance funds to missionaries duly listed, to 
 cover cost of tickets, incidental expenses and freight 
 charges, charging all amounts thus paid out against Gen^ 
 eral Treasurer Account, The General Treasurer will 
 
 61 
 
charge amounts, properly expended, against Class II appro- 
 priations, which, according to the established practice, are 
 held in New York and are adjusted there. 
 
 It must not be understood either by the Field Treasurer 
 or the missionary that these advances are to be expended 
 on travel, incidentals, or freight up to their limits; the 
 missionary on his arrival at his destinaton must report his 
 expenditures and his balance of funds in hand, together 
 with the Clearance Sheet which the Field Treasurer gives 
 him on leaving the field. 
 
 Travel Items — to the Field, 
 
 On arriving at his post on the field, the missionary 
 must report his balance of travel funds in hand to his 
 Field Treasurer, and must turn over to him his Travel 
 Blank containing his items of expenditure en route. 
 
 The Field Treasurer is expected to audit this "Travel 
 Account", calling the missionary's attention to any items 
 of expenditure which the Board does not regard as legiti- 
 mate charges against Mission funds (see Manual). Any 
 such items must be eliminated from the Travel Account 
 and must be charged against the missionary personally, 
 together with the balance of Travel funds in his hands. 
 The Travel Account must then be forwarded to New York 
 for final adjustment. 
 
 The Clearance Sheet. 
 
 When a missionary leaves the field a Clearance Sheet 
 must be furnished him by the Field Treasurer indicating 
 the date to which his salary and children's allowances (if 
 any) have been paid, the amount advanced for tickets, in- 
 cidentals and freight, and the amount of credit (or debit) 
 balance standing in his Personal Account at the date of 
 his departure. A similar Blank will be given the mission- 
 ary on leaving the U. S. for his field ; it will show the debits 
 and credits of his Account. 
 
 62 
 
 ♦> 
 
 H 
 
 t ' 
 
 r 
 
 % • 
 
 Emergency Furloughs, 
 
 The Manual of the Board will indicate the conditions 
 under which a missionary may be supplied with travel 
 funds when the items do not appear in the regular appro- 
 priations. When the conditions are present^ and have all 
 been met, the Field Treasurer may advance the funds, and 
 the bookkeeping and Clearance Sheet will be handled as 
 though the transaction were regular. 
 
 Freight Charges from New York, 
 
 On shipments from the United States the freight 
 charges are always prepaid to port of entry, and all 
 charges are forwarded to the Mission Treasurer in the 
 following manner. Numbered invoices are prepared indi- 
 cating for whom the goods are shipped, the value in U. S. 
 Gold, the gross and net weights, the cubic measurement of 
 each box or package and the amount of freight charges 
 paid on each individual missionary's goods showing the 
 amount to be charged against freight allowance and against 
 the missionary. At the top of the invoice is given the total 
 amount of freight paid and the total measurements — this 
 total amount is charged on the monthly statement as 
 "freight on Invoice Number ". The Invoice is for- 
 
 warded to the Mission Treasurer and from it he gets the 
 details of the charge on the statement. To each mission- 
 ary's freight charges (as given on the Invoice, must be 
 added expenses on the goods from port of entry to destina- 
 tion — such as duties, landing charges, inland freight, etc. 
 
 To ascertain the proportion of such expenses paid on 
 the field chargeable to the Board or to the personal account 
 of the missionary, the Mission Treasurer must consult the 
 Manual for rules regarding freight allowances. From 
 this he will find a new missionary is entitled to two cubic 
 tons or 80 cubic feet. Now we will suppose that R. James' 
 goods measured 100 cubic feet and the charges paid by the 
 Mission Treasurer amounted to $50. The Board's allow- 
 
 63 
 
1' 
 
 ance would be 80/100 of $50, or $40, and 20/100, or 10, 
 must be collected from the missionary. This $40, added 
 to the amount of freight allowance as shown on the invoice, 
 should be charged against General Treasurer Account and 
 entered on the Quarterly Statement sent to New York. 
 
 Since a missionary sometimes receives shipments from 
 places other than New York, it is important that all these 
 freight items be passed through his personal account, and 
 that the measurements of each shipment be recorded there 
 in order that the Mission Treasurer may know when the 
 limit of the Board's liability has been reached. In case a 
 shipment has been made on the basis of weight not cubic 
 measurement, the measurements should be made and 
 recorded for reference. The New York computation of 
 Board's allowance would, of course, be subject to correc- 
 tion in case of a previous shipment from some other port. 
 
 Disbursements for Outfits, 
 
 New missionaries, arriving on the field, will often 
 have a balance of Outfit money due them (as noted in their 
 Clearance Sheet). This the Field Treasurer will pay over 
 to them, as called for, charging the amount to the General 
 Treasurer, giving the gold equivalent of the Native Cur- 
 rency paid. 
 
 64 
 
 CHAPTER VIII 
 
 REPORTS 
 
 The General Treasurer in New York is expected to 
 furnish complete reports to the Board and to the Church 
 of the expenditure of all money appropriated by the Board. 
 He can only do this by getting from Field Treasurers the 
 
 necessary data. 
 
 Missionaries must make out their reports for Station 
 Treasurers, and Station Treasurers for Mission Treasurers, 
 who in turn must report to New York promptly and fully 
 on all receipts and disbursements after the close of the 
 period (quarterly or annual) . 
 
 The object of all Reports on the expenditure of Mis- 
 sion funds is to furnish an answer to the question: 
 
 How much money has been expended on each Class 
 for which the Board has made appropriations? 
 
 Accounts Closed Each Year. 
 
 Mission Accounting is simplified by the practice of 
 liquidating all Accounts each year (except Class VIII). 
 The appropriations and expenditures for one year stand by 
 themselves and the new year will start with new 
 appropriations. 
 
 Balances on the credit side of Appropriation Accounts, 
 except Class VIII, revert to the Board at the end of the 
 year. Any overdrafts on Appropriations must be reported 
 to the Board, and these should be made the first charge 
 against the Appropriations for the year. 
 
 Quarterly Reports — Mission Treasurer. 
 
 The Mission Treasurer is required to furnish Quarterly 
 
 66 
 
Reports to the New York Office on blanks furnished for 
 the purpose. The directions on these Blanks are so clear 
 as to require few additional explanations. Note that the 
 full Monthly Statement Charges are entered on the Dr. 
 side (that is, they are "accepted" as debits by the Field 
 Treasurer — see page 14 foregoing). If a missionary shall 
 have left the field on furlough before a charge against him 
 arrives, the Field Treasurer should accept it as a debit 
 nevertheless ; he should then credit the item in his Account 
 and return it to New York on the Cr. side of the Quarterly 
 Report in the place provided for it. The General Treas- 
 urer's Account should be debited with the item. "Accom- 
 panying Statements" should be filled out with full explan- 
 ations and details which it is not possible to put into the 
 Report Blank proper. These separate or "accompanying" 
 statement blanks should be used in all cases where there 
 appears the line "as per Statement No ". Such state- 
 ments should all be numbered and thus referred to. 
 
 The Direction on the Blank: 
 
 "Remittances to Stations by Mission Treasurer"~calls 
 for a total only in the Quarterly Report. Details must be 
 submitted in the Annual Report. 
 
 Under Classes II and III: 
 
 Payments of outfit money must be reported separately 
 for each individual involved (Class III only). 
 Pajnnents of freight and travel items under appropria- 
 tions must be reported separately for each individual 
 involved. 
 
 Class VIII: 
 
 In the Quarterly Report, complete and detailed state- 
 ments of disbursements are not expected to be made. How- 
 ever, an "Accompanying Statement" should be filled out 
 with the name and number of the building, or property, for 
 
 66 
 
 (.^ 
 
 ^ 
 
 r 
 
 which any disbursement has been made, with the amount 
 disbursed. 
 
 Gold and Native Currency, 
 
 Wherever indicated on the Report Blanks, Field Treas- 
 urer will give items in gold as well as the equivalent in 
 Native Currency. 
 
 Exceptions : The gold equivalents for Class VIII dis- 
 bursements need not be given for those building or prop- 
 erty items for which Native Currency has been appropri- 
 ated by the Board. 
 
 Interim Notices. 
 
 Some entries which the Field Treasurer must make 
 should be reported at once to the New York Oflftce, and a 
 special Blank is provided on which the Field Treasurer may 
 indicate the debit or credit as the case may be. These 
 items will for the most part have to do with charges and 
 credits of individual missionaries, but any items may be so 
 reported without being held over for the Quarterly Report. 
 These notices are not intended for routine business and are 
 not to be confused with clearance sheets which should be 
 furnished to all missionaries leaving the field. 
 
 Quarterly Reports — Station Treasurer, 
 
 The Station Treasurer must report quarterly to the 
 Mission Treasurer. Blanks are provided which are self- 
 explanatory. By changing the descriptive words printed 
 on the Blanks the Station Treasurer can use these same 
 blanks for his Annuxil Report to the Mission Treasurer. 
 
 Mission Treasurers Annual Report, 
 
 As indicated on the Blank for the Annuxd Report, the 
 amounts to be given are the totals of the four Quurterly 
 Reports previously submitted. The preparation of the last 
 of these Quarterly Reports gives the Field Treasurer an 
 
 67 
 
 I 
 
Ertrofth! "°"""'' ^7 '''"'' '" *^^ th'-^^ farmer 
 
 any differL. ^'^';- '° t^^^ ^^''^ '' "" ««°d reason for 
 any differences existing between the totals in the Annual 
 
 Sr rt'f 'T' "' *'^ ^°"^ Quarterly'Lportt eom- 
 
 thSore be r/d. f.f '^ ""'^ ^"""^' ^^P°^t« should, 
 mereiore, be made at the same time. 
 
 The Mission Treasurer should begin the preDaration 
 
 m order that he may complete the work as soon there 
 after as possible and may forward Report to Ne" York 
 To this end he shall remind Station Treasurers iLepare 
 the data which they must send in to him as early as pos- 
 sible (It may even be possible for Station Treasurers to 
 
 Tn^TaS/t ^'^ ^^^^^ '' ''^ yearroTstl! 
 
 of an !Xp M^ ^^^^^' '^"^ ''^^^^ ^^^ Annual Report 
 pfetSess rthfp'''"V '"f T^ inconvenience and incor^ 
 Assemb J^^ ^ ' ^'^'"'^ "^ '^^ ^^^^^ '"^^^ to the General 
 
 Annml Report Blanks. 
 
 explidt'aS? ifl if '''^^'^' "^ *^^^^ ^^^"k« ^re clear and 
 T?erP It f ""T^ "^"""^""^ ^^" be self-explanatory 
 
 ^rt^ur^e" if a^dt^r? '^^ ^ "^^^^ ^^' ^^^ 
 
 Reports. They may bell^Taf ^^^^^^^^^ ^^^^^"^^^'« 
 ''' stS. ^^' ™^^^'^ ^"~ Blanks-By 
 
 ^'^ -Sk^'""'"* '^ Disbursements under Class VIII 
 (d) Mission Treasurer's Statement of Cash-Blank. 
 
 68 
 
 /' 
 
 Additional Suggestions : 
 
 (a) In Blank (a), noted above, place disbursements 
 of salary for all missionaries (both Class I and 
 Class III). The new missionaries (Class III) will 
 be handled on the field exactly like Class I, except 
 that the amounts disbursed will be charged back 
 against General Treasurer in his Account, and he 
 will charge the items against Class III Appropria- 
 tion, which will have been reserved in New York. 
 The appointment of a new missionary and his 
 arrival on the field carries with it the authority to 
 the Field Treasurer to pay him regular salary 
 from the date of his arrival. 
 
 (b) In Blank (b), noted above, the "Appropriation'* 
 Column (Classes IV-X), must contain the amounts 
 of original appropriation in Native Currency as 
 finally assigned to a Station, after all additions, 
 subtractions and transfers have been made. 
 Spaces are indicated for appropriations added 
 during the year. 
 
 The Disbursement columns must nx)t include 
 the payments made out of Field Receipts since 
 these have not been appropriated. 
 
 Caution : Care should be exercised to make 
 sure that the totals given in Blanks (a) and (b) 
 agree exactly with grand totals as given on the 
 Annual Report Blank. These detailed Station 
 Statements must, taken all together, exactly equal 
 the totals as given on the Annual Report Blank. 
 Any differences here will cause long correspond- 
 ence and great delay and inconvenience. 
 
 (c) In Blank (c), noted above, each building (or 
 property) undertaking must have a separate 
 Blank filled out for it, according to the directions 
 printed on the Blank. Here again the totals of all 
 
 69 
 
 
mff''r'i''-'ef'''jaaimm 
 
 i '< 
 
 these blanks must agree exactly with the total 
 given in the Annual Report Blank of the Mission 
 Treasurer as expended on Class VIII items. Gold 
 amounts as well as Native Currency equivalents 
 must be given for all Class VIII disbursements 
 under appropriations if the appropriation was 
 made prior to April 1, 1914. When a Class VIII 
 appropriation has been made by the Board in 
 Native Currency, the gold equivalent of the dis- 
 bursement does not need to be reported, but an 
 average rate of exchange used during the year 
 should be noted on the blank for the purposes of 
 record. 
 
 All unexpended balances of appropriations 
 for Class VIII items, as claimed by the Mission 
 Treasurer at the close of a fiscal year, must be 
 Itemized on a separate Blank by the Mission Treas- 
 urer and submitted with his Annual Report. This 
 IS very important, and if it is overlooked it will 
 cause trouble to the Mission Treasurer himself, as 
 v^rell as to the New York Office, 
 (d) Blank (d), noted above, is intended for cash assets 
 and credits only. Bills of Exchange on hand should 
 not be included here. They should be entered in 
 
 the space provided on the Annual Report Blank 
 only. 
 
 Missionaries' Children Blanks. 
 
 These should be filled out and forwarded to New York 
 during the year, as occasion arises. If this is done, proper 
 provisions for the expenditure can be made within that 
 fiscal year. The Field Treasurer is authorized to begin 
 paying child s allowance to parents from the date of 
 birth of a child, though not covered by appropriation. The 
 payments are to be charged in the General Treasurer Ac^ 
 
 children s allowances, on the regular disbursement Blanks. 
 
 70 
 
 ^' m •. 
 
 CHAPTER IX 
 
 MISCELLANEOUS 
 
 Audit. 
 
 Field Treasurers should insist on a thorough audit of 
 their Accounts, annually, if not oftener. Discretion as to 
 how the audit shall be conducted is left to the Mission. 
 
 Property Ledger. 
 
 Field Treasurers should keep in good form suitable 
 records of each property on the field, showing date of 
 acquisition, amount spent upon. each, value and dimensions 
 of lots or compounds with any other details which it would 
 be desirable to have on record. 
 
 Title Deeds. 
 
 Title Deeds properly executed and registered should 
 be obtained for every piece of property owned by the Board. 
 These deeds are kept on the field, in the custody of the 
 Mission Treasurer. They need not be duplicated for send- 
 ing to New York. 
 
 Insurance on Buildings. 
 
 Mission and Station Treasurers should periodically 
 take up with the Property Committee of the Mission the 
 question of insuring the buildings belonging to the Board in 
 the Mission. Time, or circumstances, may alter the con- 
 ditions surrounding the question of insuring Mission build- 
 mgs and the subject should be examined from time to time 
 and reports and recommendations submitted to the Board. 
 
 71 
 
 /! li 
 
 ■"wni^tai 
 
Ljfc-'S'a»..;-:lAJ. 
 
 '-'■WBffim 
 
 V 
 
 Different Bookkeeping Methods, 
 
 Other methods than those outlined in the early part 
 of this booklet could be successfully employed in Mission 
 Accounting, but it is believed that those here outlined will 
 prove the simplest of any that could be devised. 
 
 Local conditions might necessitate the modification or 
 change in some of the Accounts, or their arrangement, but 
 the Rules and principles will apply to any system. For 
 instance, it might be advisable to open an Account called 
 "General Treasurer Appropriation Account", in which 
 should be charged all appropriations received both regular 
 and special and at the close of the year all unspent balances 
 of appropriations (except Class VIII), should be credited 
 to this Account. When the books are closed for the year 
 the balance in this Account (except Class VIII), should be 
 transferred to the General Treasurer Account. 
 
 Value of Proper Accounting, 
 
 Not only is proper accounting absolutely necessary for 
 the honorable discharge of the trust committed to the Board 
 and its Missionaries, but it will surely redound to stronger 
 and more effective work in evangelism, education and 
 medicine as conducted on the field. Properly kept accounts 
 are a defense against criticism and tend to save individuals 
 from personal indebtedness, a burden which impairs per- 
 sonal efficiency and which may cloud a bright Christian 
 experience. 
 
 General. 
 
 The Field Treasurer acts as the agent of the Mission 
 in the departments of finance within his Mission, and with 
 reference to Board actions and Manual Rules affecting his 
 department, he is the representative also of the Board. 
 
 He is expected to co-operate with the Executive Com- 
 mittee of the Mission (or the Treasurer's Committee if 
 
 there be one) and they with him, and sound sense and 
 judgment, coupled with good-will, will serve to make his 
 position one of great usefulness. 
 
 The Field Treasurer will go as far as the limits of the 
 Board actions and Manual Rules will permit in meeting 
 unusual or unforeseen situations, and in case of doubt, 
 communication may be had with the Executive Committee 
 of the Mission, or with the Board in New York. 
 
 72 
 
 73 
 
II 
 
 i 
 
 ABBREVIATIONS 
 
 A/C 
 
 Approps. 
 
 B/E 
 
 Bldg. 
 
 C. of C. 
 
 Cert, of Cred. 
 
 Cr. 
 
 Dr. 
 
 Feb. 
 
 Gen. 
 
 Gov. 
 
 J'nal 
 
 Memo. 
 
 N. Y. M. O. 
 
 No. 
 
 P- 
 Res. 
 
 Treas. 
 
 At 
 
 Account 
 
 Appropriations 
 
 Bill of Exchange 
 
 Building 
 
 Certificate of Credit 
 
 Certificate of Credit 
 
 Creditor 
 
 Debtor 
 
 February 
 
 General 
 
 Government 
 
 Journal 
 
 Memorandum 
 
 New York Money Order 
 
 Number 
 
 Page 
 
 Residence 
 
 Treasurer 
 
 74 
 
 INDEX 
 
 ^ PAGE 
 
 „ , . 40 
 
 Accounts, Balancmg ^ 
 
 Accounts, Creditor ^ 
 
 Accounts, Debtor • .^ .„ 
 
 Accounts, General, What Balances Reveal 40, 4D, ^^ 
 
 Accounts, Personal ^g 
 
 Accounting, Value of ^ 
 
 Accounting, What It Is ^^ ^^ 
 
 Annual Reports 68* 73 
 
 Annual Report Blanks • • • • * 
 
 Appropriation Account, Balances at Close of Year ^ 
 
 Appropriation Account, What Balance Reveals lo 11 51 
 
 Appropriation, Classes of ' i n%l 
 
 Appropriation, What the Term Means A"» ^i 
 
 Audit gg 
 
 Authority for Making Disbursements 
 
 » ... ' 48 
 
 Balance Sheet 47 48 
 
 Balance, Trial \q 
 
 Balancing Accounts • ^g 
 
 Bank Accounts, What Balance Reveals ^^ 
 
 Bills of Exchange • • • *•*•*•, 46 
 
 Bills of Exchange Account, What Balance Reveals ^ 
 
 Bills of Exchange, Credit and Debit of ^^^^ 
 
 Blanks for Reports ^g 
 
 Bookkeeping, Different Methods ^ ^ 
 
 Bookkeeping, Double Entry ' ^ 
 
 Bookkeeping, What It Is ^^ 
 
 Building Drafts gg 
 
 Building Prafts Account ^^ 
 
 Building, Insurance on 
 
 ^ 45 
 
 Cash Account, What Balance Reveals • • • 19, 41, 42 
 
 Cash Book * '43 
 
 Cash Book, Balancing ^g 
 
 Cash Book, Example of ^^^^^ 
 
 Cash Book, How to Post 15 16, 59 
 
 Certificates of Credit ' ' ^rj 
 
 Certificate of Credit Account ^^ g^ 
 
 Children's Allowances, What Class » 
 
 75 
 
 I 
 
 ^^r^SS^^^sr^iSSSKW^ssww 
 
'i,~'='i*"''fi "ViTT^JwiwirajHi 
 
 ! I 
 
 i I 
 
 m ; 
 
 C PAGE 
 
 Children»s Blanks '^^ 
 
 Class VIII Accounts 5^' ^^ 
 
 Class VIII Disbursements, How to Report 66, 67 
 
 Classes of Appropriations 10, 11, 51 
 
 Clearance Sheets "^ 
 
 Creditor, Meaning of Term ^ 
 
 Currency, Native .• 49,50 
 
 D 
 
 Debtor, Meaning of Term ^ 
 
 Deeds of Property '^ 
 
 Directions, General ^^'^^ 
 
 Disbursements, Authority for Making 58 
 
 Dispensary Work, What Class ^^ 
 
 Double Entry ^ 
 
 Drafts, Building J^, 59 
 
 Drafts, Emergency lS,b9 
 
 E 
 
 Educational Work, What Class ^^ 
 
 Emergency Drafts ^^^ ^^ 
 
 Emergency Drafts Account ^^ 
 
 Emergency Furloughs ^^ 
 
 Evangelistic Work, What Class 1" 
 
 Exchange Account, Explained ^^ 
 
 Exchange, Rates of ^^ 
 
 Executive Committee • • 72, 73 
 
 P 
 
 Field Money Order Account ^'^ 
 
 Field Money Orders ^^^ ^^ 
 
 Field Receipts ^^ 
 
 Field Treasurer's Authority 58, 72, 73 
 
 Field Treasurers' Statements ^^ 
 
 Freight Charges ^^ 
 
 Fundamental Principles ^"^ 
 
 Funds for Emergencies °° 
 
 Funds, Getting to Field ^0 
 
 Furloughs, Emergency ^^ 
 
 Furloughs, What Class ^^*^^ 
 
 G 
 
 General Directions ^^-64 
 
 General Treasurer's Statement 14,15 
 
 76 
 
 g PAGE 
 
 Hospital Work, What Class 
 
 Indebtedness of Missionaries ^^ 
 
 Insurance on Buildings g^ 
 
 Interest Account ' ^.y 
 
 Interim Notices 
 
 J 
 
 19, 20 
 
 Journal 23 
 
 Journal, Example Entries 
 
 ^ 19, 24 
 
 Ledger 25-39 
 
 Ledger, Examples of 25 
 
 Ledger, How to Open ^^ 
 
 Ledger, Property 
 
 10 
 
 Medical Work, What Class •• 9 20, 21 
 
 Memorandum Book ' ' gi 
 
 Memorandum Book, Examples of ^^ 
 
 Methods of Bookkeeping ^^ 
 
 Mission Expenses, What Class ^^ 
 
 Mission Field Receipts ^^ 
 
 Mission Presses, What Class ^^_^^ 
 
 Mission Treasurers' Reports ^^ 
 
 Missionaries' Children Blanks ^^ 
 
 Missionaries' Children, What Class ^^| ^^ 
 
 Missionaries' Freight Charges ' ^^ 
 
 Missionaries' Indebtedness IQ 51 
 
 Missionaries, New, What Class • ' 
 
 Missionaries' Outfit, What Class 17' 57 
 
 Missionaries' Personal Accounts •••••••;•••••*. ' * ' ' ;^: * 1 
 
 Missionaries' Salaries and Expenses, Not on Field, What ^^^ ^^ 
 
 Class * • in ri 
 
 Missionaries' Salaries on Field, What Class 61 62 66 
 
 Missionaries' Travel V" '', 'lo'^Sl 
 
 Missionaries' Travel and Freight, What Class • • ^^ ^^^ 1^. ^^ 
 
 Money Orders ' ' 14' 15 
 
 Monthly Statements 
 
 N ... 
 
 49, 50, 51 
 
 Native Currency 17 61 
 
 New York Money Orders ' g^ 
 
 Notices, Interim 
 
 77 
 
 :i^i&t^X^:?1l^'^liitjiiia>Aui^ ^r :f":^jiiM4^M.'Li,:y *>i 
 
PAGE 
 
 Orders for Goods ^ 
 
 Orders for Payments ^ 
 
 Outfit Disbursements ^ 
 
 Outfit Disbursements, How to Report ^^ 
 
 Outfit of Missionaries, What Class 10, 51 
 
 P 
 
 Pajmfients in U. S 17 c7 
 
 Personal Accounts ^ ll' „I 
 
 Posting 19'20-25 
 
 Property Deeds «« I7 
 
 Property Disbursements, How to Report 66,67 
 
 Property Ledger JJ 
 
 Property, What Class " 
 
 Purchase Orders ^ 
 
 Q 
 
 Quarterly Reports, Mission Treasurer 65-73 
 
 Quarterly Reports, Station Treasurer ^" 
 
 R 
 
 Rate of Exchange ^ 
 
 Receipts on Field ^ 
 
 Rents, What Class ^^ 
 
 Repairs, What Class *" 
 
 T,. 65-7o 
 
 Reports 
 
 Report Blanks ^^-^"t 
 
 Rule No. 1 ^ 
 
 Rule No. 2 ^ 
 
 Rule No. 3 ^ 
 
 Rule No. 4 •^" 
 
 8 
 
 Salaries Placed in Personal Accounts 26, 27, 28 
 
 Salaries of Missionaries, What Class 1^ 
 
 Station Expenses, What Class J* 
 
 Statements from Field 1 a 1^ 
 
 Statements from N. Y a^ 
 
 Station Treasurers' Reports 
 
 T 
 
 Title Deeds ^J. 
 
 Transactions Explained «i aa 
 
 Travel from Field • ^^'^^ 
 
 Travel of Missionaries e «« 
 
 Travel to Field ^2,66 
 
 Trial Balance 
 
 78 
 
 / 
 
COLUMBIA UNiyERSITY 
 
 0032051530 
 
 I'"' 
 
 mo 2 6iqq4 
 
 ll/irrs •> fiiOQ^ 
 
 A\^f4 oo<j^(? 
 
 OCT 2 1928 
 
END OF 
 TITLE