11. How is the general ledger account, Vouchers Payable, proven?
12. State the steps that must be taken when substituting the voucher system for the old journal method of handling purchases.
13. Explain two methods of treating purchases returns and allowances on the voucher register. Which method is the most satisfactory for a concern doing a large volume of business?
14. Explain in detail the methods of handling the following items on the voucher register: (a) Partial payments on vouchers. (b) Payment by means of a note payable. (c) Cash discounts on purchases.
15. Enumerate the advantages claimed for the voucher system. The disadvantages.
Chapter III
1. In what respect does factory accounting differ from financial accounting?
2. What three main elements enter into the manufacture of a product? Discuss each.
3. For what special purposes are cost records kept?
4. What is meant by raw materials from the manufacturer’s viewpoint?