5. Supplies Purchases. Charged through purchase and cash books for all purchases of factory supplies, like oil, waste, belt lacing, and similar items. Credited for all supplies used in the factory.
6. Finished Goods. Charged for all goods finished, usually at cost of manufacture. Sometimes a small factory profit is added. This account represents a purchase account to the commercial department, as it represents the cost of goods to them,
FACTORY EXPENSES
7. Salaries. Charged for salaries of superintendent, assistant superintendent, and factory clerks.
8. Labor. Charged through cash and pay roll books for the amount of all factory pay-rolls.
9. Experimental. Charged through cash and pay-roll books and journal for all labor and material used in experimental work carried on for the purpose of improving the product.
10. General Factory Expense. Charged through cash and purchase books for cost of miscellaneous factory expense items not otherwise accounted for.
11. Power, Heat, and Light. Charged for fuel, oils, water, wages of engineer and firemen, electricity (when purchased), and all other items entering into their cost.
12. Building Maintenance and Repairs. Charged through cash and purchase books for materials purchased specially for repairs to buildings. Charged through journal and pay-roll book for labor and materials or supplies consumed in maintenance and repairs to buildings.
13. Repairs to Machinery. Treated the same as No. 12.