The practical work of a bank : a treatise on practical banking which aims to show the fundamental principles of money, the practical work of a bank in detail, and particularly, credit in its relation to banking operations . ve ourselves, and only that part of the earnings whichproperly belong in the period should be reckoned as anearning. Therefore the interest for jMarch only is properlypart of the earnings for the period, and all well-managedbanks endeavor to so apportion interest earnings. Likewise, loans where the interest is paid at maturitymust have the earninos for the time thev have ru
The practical work of a bank : a treatise on practical banking which aims to show the fundamental principles of money, the practical work of a bank in detail, and particularly, credit in its relation to banking operations . ve ourselves, and only that part of the earnings whichproperly belong in the period should be reckoned as anearning. Therefore the interest for jMarch only is properlypart of the earnings for the period, and all well-managedbanks endeavor to so apportion interest earnings. Likewise, loans where the interest is paid at maturitymust have the earninos for the time thev have run until di^d-dend time entered as accrued interest, thereby swelhng theearnings of the bank by the amount due but unpaid. Theseaccruals can only be deterrmned by taking each note andapportioning the interest over the term, entering under eachmonth the interest that is earned during the month, so thatat any time the true earning power may be known. Mr. Howard M. Jefferson, auditor of the New YorkFederal Reserve Bank, has made a specialty of accrued in- 232 THE PRACTICAL WORK OF A BANK to <O cw KOW 0^ QW CD OO > P ^ vo o 1—( o o o c:i o o 5i^o jb IO I. o OO o o O I oo O oo O I o o O ooo >5 O o o lO vO o t^ 00 OJ o 1—1 (N CO ^ 1 (N CM (M CO 1 4> >. 3 •- *- ^ D ^ ^ * * >-s ?-5 CO a a ci>> U3 -O -o» o O Q CO o3 ccO 3 H 0) 3 >. rt a m -ac 3CO o 3 H CISCO 3V LENDING THE BANKS MONEY 288 Dr. INTEREST ACCRUED Cr. Date Memoranda Amount Date 1Memoranda Amount June« July 2728293014 Int. Accd $41317132890 ! 444764191983 JuneJuly 305 CashTotal $ 13154 0343 $167 76 S167 76 FORM B Note: The credit entry of $ should be $ Form was photographedas Mr. Jefferson had it.—W. H. K., Jr. Dr. INTEREST ACCRUED RECEIVABLE Cr. Date Memoranda Amount Date Memoranda Amount June 30 Profit and LossTotal $48 74 June ti i( ti 27282930 Int. Accrued it it i( tiII it TotalInt. Accrued u a $ 44476419 $48 74 $48. 74 July 1 4 $ 1983 FORM C 284 TH
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Keywords: ., bo, bookcentury1900, booksubjectbanksandbanking, booksubjectmoney
