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BOOK-KEEPING. What are the names of the principal systems of book-keeping, and describe the leading features in each system ? Give the names of the books usually employed in recording the transactions of a merchant's business, and the purposes they serve. A merchant recommenced business with assets and liabilities as under, viz.:— Assets. £ s. d. £ s. d. Cash in the Colonial Bank ... ... ... 2,525 0 0 Wellington-Manawatu Eailway debentures ... 500 0 0 Shares in Wellington Trust and Loan Company ... 1,500 0 0 Bills receivable ... ... ... ... 7,375 15 6 3-per-cents English Consols ... ... ... 6,425 0 0 One-third share of barque " Ceylon" ... ... 7,000 0 0 Sugar consigned to Haymonson and Co., Dunedin 1,465 0 0 Petter, Webbe, and Co. ... ... ... 2,525 0 0 W. Martin ... ... ... ... ... 1,350 0 0 Interest accrued ... ... ... ... 225 0 0 ■ 30,890 15 6 Liabilities. Insurance premiums... ... ... ... 825 0 0 Bills payable ... ... ... ... 2,540 17 9 My share of loss on venture in tallow to London 1,870 0 0 Haymonson and Co., Dunedin ... ... 1,420 0 0 Henry Samuel ... ... ... ... 725 0 0 7,380 17 9 The above statements are to be journalized. Journalize the following transactions : — Bought of Saul Samuel and Co., of Calcutta, on account of W. Woods and Co., London, — 40 bags cotton ... ... ... ... ... £605 0 0 Commission and other charges ... ... ... 1600 Cash paid Stewart and Co. on account of W. Woods and Co., London, — For cotton ... ... ... ... ... 315 0 0 Accepted bill at 3 months in favour of S. Samuel and Co. ... 605 0 0 Sold to J. Palmer, 22 bags cotton ... ... ... 299 0 0 Expenses ... ... ... ... ... 146 J. Palmer, paid cash ... ... ... ... ... 150 4 6 Eeceived J. Palmer's acceptance, at 1 month ... ... 150 0 0 In closing your books, and ascertaining how you stand, suppose you use a " balance account " —state the reason why the difference of the "profit and loss account," added to the difference of the " stock account," equals the exact difference of the " balance account." [Approximate Cost of Paper.— Preparation, nil; printing (1,350 copies), £16 2b. Gd.J

Authority: Geobqe Didsboby, Government Printer, Wellington.—lBB6.