Jefferson County Online A part of the IAGenWeb and USGenWeb Projects How to Keep Accounts

Every farmer and mechanic, whether he does much or little business, should keep a record of his transactions in a clear and systematic manner. For the benefit of those who have not had the opportunity of acquiring a primary knowledge of the principles of book-keeping, we here present a simple form of keeping accounts which is easily comprehended, and well adapted to record the business transactions of farmers, mechanics and laborers.

Require the interest of $462.50 for one month and eighteen days at 6 per cent. An interest month is 30 days; one month and eighteen days equals 48 days. $462.50 multiplied by .48 gives $222.0000; 360 divided by 6 (the per cent. of interest) gives 60, and $222.0000 divided by 60 will give you the exact interest, which is $3.70. If the rate of interest in the above example were 12 per cent., we would divide the $222.0000 by 30 (because 360 divided by 12 gives 30); if 4 per cent., we would divide by 90; if 8 per cent., by 45; and in like manner for any other per cent.