553
bought on works and of which no stock is kept it is well to keep
an special folio in the stockbook entitled Sundry Direct Charges
in which such purchases are debited according to the receipt notes
and credited according to the Heads of account without any detail
which is recorded in the bill-book and store-journal.
This done the stock-book will balance completely with the stock-
journal and ledger.
44. The Prime cost-book enables the Engineer to price imported
articles without waiting for complete accounts from the Crown Agents which may only arrive after the goods have been issued and used. The invoice usually comes with the bill of lading and forms the basis for calculations. The Prime cost-book is debited in
sterling with the amount of the invoice in detail. To this is added an arbitrary percentage to cover freight, insurance, inspection, and landing charges. Experience determines the proper percentage to be added in each case and it varies with the nature
of the article. The total, after addition of the percentage, is
converted into dollars at some standard rate of exchange. The price in dollars is then calculated out for each item so that the total value of the consignment agrees with the augmented total in sterling. The prices so determined are used for future transactions. From the Prime cost-book several articles are entered in their proper folios in the Stock-book and the total is carried
to the Store-Ledger.
45.
The Impost Account is simply a record of the transactions in the Prime cost-book. It shows whether the added percentages are correct or not and gives a means of accounting for any profit or loss due to any differences between the real and assumed rate
of exchange.
46. The Impost Account is debited with all payments made by the Crown Agents or locally such as landing charges, &c, and credited with the value of goods as calculated and transferred to Stock-book and journal. By careful calculation of percentages the
(10)
balance
VAL CD 72
1976
A
553
bought on works and of which no stock is kept it is well to keep
aspecial folio in the stockbook entitled Sundry Direct Charges
in which such purchases are debited according to the receipt notes
and credited according to the Heads of account without any detail
which is recorded in the bill-book and store-journal.
This done the stock-book will balance completely with the stock-
journal and ledger.
44. The Prime cost-book enables the Engineer to price imported
articles without waiting for complete accounts from the Crown Agents which may only arrive after the goods have been issued and used. The invoice usually comes with the bill of lading and forms the basis for calculations. The Prime cost-book is debited in
sterling with the amount of the invoice in detail. To this is added an arbitrary percentage to cover freight, insurance, inspec- tion, and land ing charges. Experience determines the proper percentage to be added in each case and it varies with the nature
of the article. The total, after addition of the percentage, is
converted into dollars at some standard rate of exchange. The price in dollars is then calculated out for each item so that the total value of the consignment agrees with the augmented total in sterling. The prices so determined are used for future trans-
the actions. From the Prime cost-book several articles are entered i in their proper folios in the Stock-book and the total is carried
to the Store-Ledger.
45.
The Impost Account is simply a record of the transactions in the Prime cost-book. It shows whether the added percentages are correct or not and gives a means of accounting for any profit or loss due to any differences between the real and assumed rate
of exchange.
46. The Impost Account is debited with all payments made by the Crown Agents or locally such as landing charges, &c, and credited with the value of goods as calculated and transferred to Stock- book and journal. By careful calculation of percentages the
(10)
balance
VAL CD 72
1976
A
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