The Dairymen’s League on August 1, 19— owed the Union Car Line Company $19,780 for transportation services rendered, and paid $9,780 cash on account, and gave a 60-day note (6%) for $5,000.
Services to the League for the week ending August 7 totaled $2,920.
A claim of $720 was allowed the League on the 12th for goodslost in transit.
The bill of August 7 was paid in full August 14, less 5% for prompt payment.
On the 15th the note for $5,000 was discounted at the bank at 6%.
(b) Set up the Dairymen’s League account on the books of the Union Car Line Company.
2. (a) Analyze the following transactions of Samuel Lawson and name the debit and credit elements of each to show:
1. The increase or decrease of assets, liabilities, and proprietorship.
2. The account titles under each of the general groups.
On September 5, 19—, Lawson entered a claim for $1,000 against the Mohawk and Westchester Railroad Company for goods bought but lost in transit on August 12.