If two or more articles be purchased, No. 4 will be the form.

If one article be sold, and one purchased, Nos. 1 and 3 will be the forms.

If two or more articles be sold, and but one article purchased, Nos. 2 and 3 will be the forms.

If but one article be sold, and two or more articles purchased, Nos. 1 and 4 will be the forms.

If two or more articles be sold, and two or more purchased, Nos. 2 and 4 will be the forms

ALPHABETICAL INDEX.

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ALPHABETICAL INDEX.

24. Every Ledger should have an Alphabetical Index, in which should be entered the name of every person whose account is transferred to the Ledger. Each person's name in this index should be followed by the number of the Ledger page to which his account is transferred.

An Index is sometimes kept upon the first page or pages of the Ledger, in the following

24. Use of Alphabetical Index. Where sometimes kept. Illustration of use of Index in finding any person's account in the Ledger. Particular care necessary in entering names in the Index. Writing names in Index. Residences. Reason for entering them.

To illustrate the use of this Index, we will suppose that Wm. Chapin calls to settle his account. We first turn to the Index, and look for the letter C, under which are arranged all the surnames, contained in the Ledger, beginning with that letter. Here we find Chapin, Wm., followed by figure 3, which denotes that Mr. Chapin's account is on the third page of the Ledger. In the same manner we find the account of Seelye, Dwight, Warner, Ottley, or any other person whose name is entered in the Ledger.

Particular care should be taken that every name found in the Ledger be entered in the Index, and vice versa.

Every name entered in the Index should be written in a full, fair hand, and the Christian name should be written out at length. Also, if the person reside in any town or city other than that in which the books are kept, the residence should be noted in the Index, because you may have occasion to do business with different persons of the same name, residing in different places.

¶25. The Index is commonly kept in a separate book, consisting of 24 leaves, thus giving a leaf to each letter. It is prepared in the following

manner:

Fold 6 sheets of foolscap paper in the middle, lengthwise, thus making 4 leaves of each sheet; and of these leaves make a book.

On the first line of the first page, at the outer corner, write A. Cut from the outer margin of this leaf, below A, a strip a half inch wide, extending to the bottom of the leaf. Write B on the outer margin of the third page, on the first line below the notch, and cut from the margin as before; and so on through the book. When completed, every letter written on the margin will be plain to the view.

On page A of this Index write all the names contained in the Ledger beginning with that letter, followed at the right hand by the Ledger page, as directed in T 24.

This Index, when not in use, should be kept between the lid and the first leaf of the Ledger.

NOTE. In an Alphabetical Index all proper names beginning with I and J are usually written under I. X not being an initial letter in proper names, has no place in the Index.

25. Usual place of keeping the Index. Manner of preparing an Index, in a separate book. Manner of entering names in this form of Index. Place for keeping Index when not in use. Note.

POSTING AND POSTMARK.

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POSTING AND POSTMARK.

T26. Posting may be defined the transferring of the several entries found on the Day-book, to the Ledger, in such a manner that each individual account shall stand by itself. See ¶ 20.

When any individual account is to be posted, the following order must

be observed:

First. Write the individual's name, in a large, fair hand, at the head of the Ledger page to which the account is to be transferred, and also the residence, if it be not in the same city or town in which the books are kept.

Second. Enter the person's name in the Index, as directed in the last T.

Third. Transfer the entry from the Day-book to the Ledger. If the entry be debtor, it will be entered on the left hand, or Dr. side of the page; if it be creditor, it will be entered on the right hand, or Cr. side of the page.

The order of making the entry will be as follows:

1st. The year, at the head of the first column.

2d. The month, in the same column, on the next line.

3d. The day of the month, in the second column.

4th. The articles, in the third column.

5th. The page of the Day-book from which the entry is taken, in the fourth column.

6th. The amount, in its appropriate columns.

TWO METHODS OF POSTING.

¶ 27. There are two methods of posting practised by accountants, both of which will now be presented. In the

First Method.

the names of all the persons whose accounts are found wholly or in part upon the Day-book pages which we are about to post, are written in their proper places in the Index, and a Ledger page apportioned to each. Then, with the Index open before us, we open to the first page of the Day-book.

26. Definition of Posting. The first step to be taken in posting any individual account. The second step. The third. Order of making the entry. First step. Second. Third. Fourth. Fifth. Sixth.

27. Two methods of posting. apportionment of Ledger pages. first Day-book entry to Ledger. subsequent entries. Note.

In first method, entry of names in Index, and Ledger pages entered in Day-book. Posting Postmark explained. Where written. Posting

and enter in the left hand column, near the line extending from the top to the bottom of the page, and on a line with the name of the first person, the Ledger page appropriated to his account.

After having in the same manner paged every entry found on the Day-book pages which we are to post, we close our Index, and, beginning with the first entry, transfer it to the Ledger in the order directed in the last T.

Lastly, we write P at the left of the Ledger page in the margin of the Day-book. This P is called the Postmark; it denotes that the entry is transferred to that page of the Ledger indicated by the number which stands at the right of it, in the margin.

In like manner we post the second and each succeeding entry as far as paged, the figures in the margin answering as an index to the Leger pages to which each entry is to be posted.

NOTE.-Many accountants use two parallel oblique lines (//) for a postmark, instead of P.

T28. The Second Method

of posting is as follows:

We open our Day-book to the first entry contained in it, and write the name of the person in its proper place in the Index, and assign to his account the first page of the Ledger.

We then open our Ledger to page 1, and lay it before us at the right hand of the Day-book. We post the first Day-book entry as before directed, and write the Ledger page and postmark in their respective places in the left hand margin of the Day-book page.

We then pass a finger of the left hand carefully over the names in the Day-book, till we again come to the individual's name whose account we are posting. We post this entry as before directed, and so proceed till every item of his account contained in the Day-book shall be posted.

In the same manner we post the account of the person whose name stands second in our Day-book, assigning to it the second page in our Ledger.

We proceed in this way with the third, fourth, fifth, and every succeeding name found in the Day-book, till the whole is posted.

NOTE. The student should be required to practise both methods of posting, and then to choose the one which suits him best.

¶ 29. In a considerable business the books should be posted as often as at the close of each week; in a less business the periods of posting

28. Second method of posting. First step. Second step. Third. Posting subsequent accounts.