21. The transactions which follow represent the business for the period covered:
| —Dec. 10— |
| Commenced business with the following assets: |
| Cash | | $1,415.55 |
| Due from L. B. Jenkins | 24.45 |
| —Dec. 10— |
| Bought from Lehigh Coal Co., on account, |
| 25 tons nut coal | $4.25 | 106.25 |
| —Dec. 10— |
| Bought from Reading Coal Co., on account, |
| 25 tons egg coal | 4.25 | 106.25 |
| 15 tons pea coal | 3.75 | 56.25 |
| | ———— |
| 162.50 |
| —Dec. 10— |
| Deposited cash | 1,400.00 |
| —Dec. 11— |
| Sold to Henry Newton |
| 2,000# nut | 5.25 | 5.25 |
| —Dec. 11— |
| Sold to D. H. Kennedy |
| 6,000# egg | 5.75 | 17.25 |
| 4,000# nut | 5.75 | 11.50 |
| | ———— |
| 28.75 |
| —Dec. 11— |
| Sold for cash |
| 1,000# nut | 5.25 | 2.63 |
| —Dec. 12— |
| Sold to Andrew White |
| 4,000# egg | 5.75 | 11.50 |
| 1,000# pea | 5.25 | 2.63 |
| | ———— |
| 14.13 |
| —Dec. 12— |
| Sold to F. W. Francis |
| 6,000# nut | 5.75 | 17.25 |
| 1,500# pea | 5.25 | 3.94 |
| | ———— |
| 21.19 |
| —Dec. 12— |
| Sold for cash |
| 4,000# nut | 5.75 | 11.50 |
| —Dec. 13— |
| Bought from Lackawanna Coal Co. |
| 50 tons run of mine | 3.25 | 162.50 |
| —Dec. 13— |
| Sold to Eastern Foundry Co. |
| 25 tons run of mine | 3.75 | 93.75 |
| —Dec. 13— |
| Sold to Geo. Miller |
| 8,000# egg | 5.75 | 23.00 |
| —Dec. 13— |
| Sold for cash |
| 2,000# nut | 5.75 | 5.75 |
| 4,000# nut | 5.25 | 10.50 |
| 2,000# pea | 4.75 | 4.75 |
| | ———— |
| 21.00 |
| —Dec. 13— |
| Deposited all cash on hand |
| —Dec. 14— |
| Bought from Lehigh Coal Co. |
| 30 tons nut | 4.25 | 127.50 |
| —Dec. 14— |
| Sold to Lotus Club |
| 10 tons nut | 5.75 | 57.50 |
| —Dec. 14— |
| Sold to David Meyer |
| 4,000# pea | 5.25 | 10.50 |
| —Dec. 14— |
| Sold to City Wagon Co. |
| 10,000# run of mine | 4.50 | 22.50 |
| —Dec. 14— |
| Sold for cash |
| 6,000# egg | 5.25 | 15.75 |
| —Dec. 15— |
| Paid Lehigh Coal Co. |
| Check# 1 | | 106.25 |
| —Dec. 15— |
| Received from D. H. Kennedy |
| Cash in full payment of his account. |
| —Dec. 15— |
| Sold to Samuel Hartley |
| 1,000# pea | 4.75 | 2.38 |
| 2,000# nut | 5.25 | 5.25 |
| | ———— |
| 7.63 |
| —Dec. 15— |
| Sold for cash |
| 2,000# pea | 5.25 | 5.25 |
| 5,000# nut | 5.25 | 13.13 |
| 4,000# egg | 5.25 | 10.50 |
| 2,500# run of mine | 4.25 | 6.38 |
| | ———— |
| 35.26 |
| —Dec. 15— |
| Paid Henry Wiggins, teamster |
| Check #2 | | 24.00 |
| —Dec. 15— |
| Paid D. H. Tuttle |
| 1 month's rent, check #3 | 40.00 |
| —Dec. 15— |
| Deposited all cash on hand |
| —Dec. 15— |
| Charged L. B. Jenkins account to profit and loss |
EXERCISE
22. Open the books, using cash book, sales book, journal, and ledger. Enter each transaction, and make all postings to ledger. Take off a trial balance of the ledger accounts.
At the close of business, Dec. 15, the inventory is taken, and shows the following quantities on hand:
| 38 | tons | nut | @ 4.25 |
| 14 | " | egg | @ 4.25 |
| 9 | " | pea | @ 3.75 |
| 18½ | " | run of mine | @ 3.25 |
Close all accounts representing trading transactions into a trading account, and find the gross trading profit or loss.
Close trading and revenue expenditure accounts into profit and loss account.
Close net profits into proprietor's account.
Bring down the balances in the ledger and take a new trial balance.