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OPERATIONS MANUAL Pettisville Bank 1

OPERATIONSMANUAL

NAME OF MANAGER

PETTISVILLEBANK

2 Pettisville Bank OPERATIONS MANUAL

OPERATIONS MANUAL FOR PETTISVILLE BANK

Workday Hours

8 a.m. to 5 p.m. , Monday through FridayAll employees work an 8-hour day1 hour is allowed for lunch

Business Hours

9 a.m. to 5 p.m. , Monday through Friday9 a.m. to 12 noon on Saturday, July 28

Important Numbers

Cashier’s Checking Account Number: 417-6543Telephone Number: 419-555-0101

Businesses Which Rent Safe Deposit Boxes

at Pettisville Bank

The Denim MakerNouveau Investment Company

Businesses Which Have Mortgage Loans

with Pettisville Bank

18 Wheeler Truck Lines; Creative AdvertisingAgency; Hollywood & Vine Videos; NouveauInvestment Company; Popular Designs; TaylorOffice Supplies; United Communications

Businesses Which Have Installment Loans

with Pettisville Bank

18 Wheeler Truck LinesNouveau Investment Company

Businesses Which Have Checking Accounts

at Pettisville Bank

All businesses in the Pettisville model businesscommunity

Salary Information

All empoloyees are paid biweekly (every twoweeks)

Manager’s biweekly salary is $1,352

Pettisville Bank’s Obligations to ItsCustomersMaintain goodwill; treat all customers with respectProvide prompt, courteous serviceProvide accurate bank statements

Pettisville Bank’s Obligations toLocal, State, and National GovernmentsObey all laws and regulationsWithhold payroll taxes and forward them to the

proper agenciesPractice conservation of energy

Pettisville Bank’s Obligationsto the CommunitySupport all activities sponsored by the

Pettisville Chamber of CommerceSupport local charity projectsOperate a fair and honest businessBe an equal opportunity employer

Your Obligations to the Stockholders ofPettisville BankCare about the business as if it were your ownKeep accurate and up-to-date recordsExhibit wise judgment in the use of company fundsKeep company financial information confidentialHire employees who will contribute to the over-

all good of the company

Your Obligations as anAmerican CitizenBe knowledgeable about the free enterprise

systemBe competent in managing personal business

affairsExhibit wise judgment in use of personal fundsObey all laws and regulations

Business Plan is Due ____________

INFORMATION YOU’LL NEED TO KNOWABOUT PETTISVILLE BANK


Pettisville Power and Light CompanyGold Mine MallPettisville, OH 43545-0176

Internal Revenue Service9 Mayesville CourtFlorence, KY 41042-2070

Pettisville Chamber of Commerce101 Dungaree DrivePettisville, OH 43553-0178

Farmers & Merchants State Bank505 Monroe StreetToledo, OH 43604-2595

Lee Community CenterOne Vale StreetPettisville, OH 43553-0177PHN 419-555-0166; FAX 419-555-0167www.leecc.mjs(Corporation, Nonprofit)

Mean Jeans Manufacturing Co.45 Maple StreetPettisville, OH 43553-0175PHN 419-555-0100; FAX 419-555-0110www.meanjeans.mjs(Corporation)

Nouveau Investment Company440 Wall StreetPettisville, OH 43553-0178PHN 419-555-0134; FAX 419-555-0136www.nouinv.mjs(Partnership)

Passports-2-Go728 Blazer AvenuePettisville, OH 43553-0177PHN 419-555-0164; FAX [email protected](Sole Proprietorship)

Pettisville Bank101 Greenback DrivePettisville, OH 43553-0178PHN 419-555-0101; FAX 419-555-0102www.pettisvillebank.mjs(Corporation)

Pettisville Post Office22 Stamp StreetPettisville, OH 43553-0178PHN 888-555-0133; FAX 419-555-0140www.ppo.mjs(Federal Agency)

Correspondents Outside the Model Business Community

During the course of the business simulation, you will be mailing and shipping a variety of things to other businessesboth within and without the model business community. Addresses follow. (NOTE: For Web addresses, the suffix.mjs (Mean Jeans simulation) has been used to avoid conflicts with real-world .com addresses.)

18 Wheeler Truck Lines1208 Oshkosh Blvd.Pettisville, OH 43553-0177PHN 419-555-0119; FAX 419-555-0120www.18wheeler.mjs(Corporation)

Buckeye Equipment1313 Olentangy RoadPettisville, OH 43553-0175PHN 419-555-0178; FAX 419-555-0180www.buckeye.mjs(Partnership)

The Clothes Closet61 Dungaree DrivePettisville, OH 43553-0178PHN 419-555-0154; FAX 419-555-0155www.clothescloset.mjs(Sole Proprietorship)

Creative Advertising Agency816 Corduroy DrivePettisville, OH 43553-0177PHN 419-555-0188; FAX 419-555-0190www.creativeadvertising.mjs(Corporation)

The Denim Maker752 Gold Mine LanePettisville, OH 43553-0176PHN 419-555-0195; FAX 419-555-0197www.denim_maker.mjs(Corporation)

Hollywood & Vine Videos2501 Kneepatch AvenuePettisville, OH 43553-0175PHN 419-555-0172; FAX [email protected](Corporation)

Popular Designs2020 Carpenter RoadPettisville, OH 43553-0176PHN 419-555-0182; FAX [email protected](Sole Proprietorship)

Taylor Office Supplies12 Rivet StreetPettisville, OH 43553-0177PHN 419-555-0135; FAX 419-555-0113www.taylor.mjs(Sole Proprietorship/Franchisee)

The Towne CrierP. O. Box 276Pettisville, OH 43553-0176PHN 419-555-0122; FAX 419-555-0124www.townecrier.mjs(Sole Proprietorship)

United CommunicationsInformation CirclePettisville, OH 43553-0176PHN 800-555-0111; FAX 419-555-0112www.uncom.mjs(Corporation, Controlled Monopoly)

Correspondents Within the Model Business Community

Addresses You Will Need …


Pettisville BankCorporation

The information contained on these pages is confidential. It is provided here to inform you of the typeof ownership and the financial condition of your business.

FINANCIAL STATEMENTS

PETTISVILLE BANK

BALANCE SHEET

As of June 30, 20––

ASSETSCash and due from banks $ 9,777,280Investment securities 60,959,025Funds sold 7,051,800Loans

Commercial $ 52,198,950Consumer 38,719,840Real estate 42,594,360

133,513,150Less: Allowance for loan losses 1,774,000

Total net loans $131,739,150Bank premises and equipment 2,076,090Accrued interest and other assets 3,394,310

TOTAL ASSETS $214,997,655

LIABILITIESDeposits

Demand $ 59,022,760Savings and time 129,113,030

Total deposits $188,135,790Borrowed funds 9,463,695Accrued expenses 1,494,445

TOTAL LIABILITIES $199,093,930

STOCKHOLDERS’ EQUITY

COMMON STOCK $ 12,700,000

RETAINED EARNINGS 3,203,725Total stockholders’ equity $ 15,903,725

TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY $214,997,655


The information contained on these pages is confidential. It is provided here to inform you of the typeof ownership and the financial condition of your business.

FINANCIAL STATEMENTSPettisville Bank

Corporation

PETTISVILLE BANK

STATEMENT OF INCOME

For the year ended June 30, 20––

INTEREST INCOMEInterest and fees on loans $5,247,066Interest on investment securities 1,572,840Other 448,530

Total interest income $7,268,436

INTEREST EXPENSEInterest on deposits 3,454,174Interest on short-term borrowings 361,762Other 8,240

Total interest expense $3,824,176

NET INTEREST INCOME 3,444,260

OTHER INCOME 528,380$3,972,640

OTHER EXPENSESSalaries and employee benefits $ 750,285Other 445,900

Total other expenses $1,196,185

INCOME BEFORE FEDERAL INCOME TAX 2,776,455

PROVISION FOR FEDERAL INCOME TAX 1,101,288

NET INCOME $1,675,167


ARTICLES OF INCORPORATIONof

PETTISVILLE BANK101 Greenback Drive

WE, the undersigned, for the purpose of forming an Ohio corporation for profit, do hereby certify:

FIRST. – The name of the corporation is ___________________________________________ .

SECOND. – The principal office of the corporation is located in ______________________________

___________________________________________________________________________________ .

THIRD. – The purpose of the corporation is _______________________________________________

________________________________________________________________________________________

_______________________________________________________________________________________ .

FOURTH. – The amount of the capital stock of the corporation is ______________________________

_____________________________________________________________________________ dollars

______________________ to consist of __________________________________________ shares of

the par value of ___________________ dollars _____________ each.

FIFTH. – The existence and duration of the corporation is perpetual.

SIXTH. – The names and addresses of the directors of the corporation, who are also subscribers tothese Articles of Incorporation, and the number of shares of common stock that each agrees topurchase, are as follows:

________________________________________________________________________________________

________________________________________________________________________________________

________________________________________________________________________________________

________________________________________________________________________________________

SEVENTH. – All of the undersigned are of full age, United States citizens, and residents of the stateof Ohio.

IIN WITNESS WHEREOF, we have made, subscribed and executed these Articles of Incorporation

the ___________ day of _____________ in the year one thousand nine hundred and ____________________ .

_________________________________________________________

_________________________________________________________

_________________________________________________________

_________________________________________________________

Pettisville Bank

Fulton County, Ohio

to provide banking services

Pettisville,

for the general public

Seven Hundred Thousand

($700,000) Seventy Thousand (70,000)

Ten ($10)

Rita Riegsecker, Route 2, Archbold, Ohio 10,000 shares

Douglas Good, Route 2, Archbold, Ohio 5,000 shares

Dallas Schrock, Box 12, Pettisville, Ohio 5,000 shares

first August

August 1, 1920

August 1, 1920

August 1, 1920

twenty

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GETTING READY TO DO BUSINESSPETTISVILLE BANK

Check off each activity as you complete it.

When 2 managers are assigned to Pettisville Bank, each manager should check off the items on his orher Getting Ready To Do Business checklist as they are completed.

COMPLETED

1. Participate in the “Presimulation: Group Activity” conducted by your Instructor.

2. Learn about how you will obtain supplies for your business. In order to run yourbusiness, you will need certain supplies. Some of these supply items are forms (such asinvoices and purchase orders) while others are items (such as envelopes and notebookpaper). You will find a supplies request form for Pettisville Bank on pages 15 and 16 inthis Operations Manual, which lists all of the supplies that you will need to operate inthe model business community. There are several ways that you may obtain them.

C For students NOT using computersYour Instructor will give you ALL the supplies you will need. During the businesssimulation, you will need to complete all forms by hand.

V For students using computersYour Instructor will give you PART of the supplies you will need (such as envelopesand notebook paper) but will ask you to print your own forms. To do this, you willuse the business forms document located in the folder for your business that theInstructor will have copied onto your workstation from the Supplies and Resources CD.

Some forms (such as the cashier’s check register and payroll register) are alsoavailable as templates. A template is an electronic form that allows the user tokey information directly onto the screen and then print the completed form ratherthan printing a blank form that must then be completed by hand. These templatesare also located in the folder for your business that your Instructor will have copiedonto your workstation from the Supplies and Resources CD.

3. Remove the supplies request form. See pages 15 and 16 in this Operations Manual.

4. Identify how you will obtain your supplies. Notice that the supplies request form isdivided into columns so that you can check off whether a particular supply item isgoing to be supplied by your Instructor or printed by you as the student manager.Some forms are also available as electronic templates for students who will be usingcomputers. A check-off column is provided for these as well.

For each of the supply items, your Instructor will tell you whether he/she willbe giving them to you or whether he/she will be asking you to print your own.Record a � in the blank line in the appropriate column to indicate whichforms will be provided by your Instructor and which will be printed by you.Put your � in the “TO DO” side of the appropriate column.


Your Instructor will also tell you which, if any, template forms you will use.Verify each time you will use a template form by recording a � in the blankline in the template column. For example, if you will use a template cashbook,place a � in the blank line in the template column beside cashbook.

NOTE: You will not need a hard (paper) copy of template forms.

5. Obtain 5 file folders from your Instructor. Label them as follows.

PENDING FILE CASH FILE OFFICE FILEPettisville Bank Pettisville Bank Pettisville Bank

MORTGAGE AND INSTALLMENT CHECKING ACCOUNTS FILELOAN CONTRACTS FILE Pettisville BankPettisville Bank

The PENDING FILE contains work from the end of a class period that has not beencompleted and business papers that must be followed up on. For example, a purchaseorder is placed in the Pending File until an invoice is received and paid. An invoice isplaced in the Pending File until payment is received. The CASH FILE contains money,postage, and financial records. The OFFICE FILE contains all completed work.

6. Obtain the Supplies folder for Pettisville Bank from your Instructor. The folder willbe labeled SUPPLIES, Pettisville Bank, and will contain various supplies you will need.

7. Verify the items contained in the Supplies folder. Assume that you completed thesupplies request form and that your Instructor filled the request and placed the itemsin your Supplies folder. The folder should contain every item that was checked under“Instructor Will Supply” on your supplies request form.

Verify the quantity of each supply item provided by your Instructor. For eachInstructor-provided supply item, place a check mark under “DONE” in theInstructor-Will-Supply column of the supplies request. For example, yourequested 6 whole sheets of plain paper. Go to the Supplies folder and verifythat you received 6 whole sheets of plain paper. Then place a check mark inthe appropriate blank to show that you have verified this item. Continue inthis manner until you have verified all items in the folder. If you do not havethe correct quantity of any item, tell your Instructor immediately.

Return all items to the Supplies folder.

8. Identify which forms, if any, you will print now. To begin doing business, you willneed some of the forms almost immediately. These are

1) checking account register (located in the back of this Operations Manual)(The checking account register is also available as an electronic template.)

2) cashier’s checkbook (located in the back of this Operations Manual)3) cashier’s check register4) appointment calendar(s)5) postage meter sheet6) company sign7) Pettisville Chamber of Commerce letter/questionnaire8) mortgage loan contract #300 for United Communications


9) mortgage loan contract #320 for Popular Designs10) mortgage loan contract #330 for Creative Advertising Agency11) mortgage loan contract #340 for Hollywood & Vine Videos12) mortgage loan contract #350 for Taylor Office Supplies13) mortgage loan contract #360 for 18 Wheeler Truck Lines14) mortgage loan contract #410 for Nouveau Investment Company15) mortgage loan contract #9876 for Pettisville Bank16) installment loan contract #817 for Nouveau Investment Company17) installment loan contract #818 for 18 Wheeler Truck Lines18) sign for drive-in window

Find these items on your supplies request and note which column has been checked.If you are not printing any forms, go to step 11. If you are to print any of the forms listedabove, you will print them now. The remainder of the forms will be printed as you needthem. Your DAILY ACTIVITIES checklist will tell you when you need to print a form.

9. Print the forms you need. Open the folder for your business on your computer. Openthe business forms document. Print the forms you need now. Put your � in the“DONE” side of the Manager-Will-Print column.

10. Place all printed forms in the Supplies folder. Set the supplies request asidefor now.

11. Make a notation on your appointment calendar.

C If you are using a paper calendar, remove the calendar from the Supplies folder.

Write your name at the top of the calendar. (If there are two managers, therewill be two calendars.)

JULY JULY JULY JULY JULY APPOINTMENT CALENDAR

8 9 10 11 12 13 14

15 16 17 18 19 20 21

22 23 24 25 26 27 28

Name: _________________________________________

30 3129

1 2 3 4 5 6 7

SUNDAY MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY

Independence

Day

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JUNES

29

162330

F

18

152229

T

07

142128

W

06

132027

T

05

121926

M

04

111825

S

03

101724

S

4111825

F

310172431

T

29

162330

W

18

152229

T

07

142128

M

06

132027

S

05

121926

AUGUSTNotes:


Make the following notation on your calendar for July 2: Send Western RoundupDays questionnaire.

Paper clip the calendar(s) to the front of the Office File.

V If you are using an electronic calendar, open the calendar on your computer.

Make the following notation on your calendar for July 2: Send Western RoundupDays questionnaire.

Close the calendar.

12. Organize your files. File folders are illustrated below. Each file folder lists the item(s)to be placed inside the file.

Remove from your Supplies folder the item to be placed in the Pending File.

Place this item in the Pending File as shown below.

Remove from your Supplies folder the items to be placed in the Cash File,Office File, Mortgage and Installment Loan Contracts File, and CheckingAccounts File. Lists of these items follow. Place these items in the remainingfile folders in the order shown. HINT: If you are using an electronic calendar,electronic checking account register, and/or electronic cashier’s check register, youwill not have these items to place in the folders.

� Place a check mark beside each item as you place it in the proper file.

1 cashier’s check register

1 cashier’s checkbook

1 postage meter sheet

CASH FILEPettisville Bank

COMPLETED

1 Pettisville Chamber of Commerceletter/questionnaire

1 sign for drive-in window

PENDING FILEPettisville Bank

COMPLETED

appointment calendar (1 per manager)The appointment calendar(s) should beclipped to the front of this file.

1 set address labels and metered postage

1 set return address labels

1 completed supplies request

Employee’s Withholding AllowanceCertificate—W-4 (1 per manager)

OFFICE FILEPettisville Bank

COMPLETED


1 mortgage loan contract #300 for United Communications

1 mortgage loan contract #320 for Popular Designs

1 mortgage loan contract #330 for Creative Advertising Agency

1 mortgage loan contract #340 for Hollywood & Vine Videos

1 mortgage loan contract #350 for Taylor Office Supplies

1 mortgage loan contract #360 for 18 Wheeler Truck Lines

1 mortgage loan contract #410 for Nouveau Investment Company

1 mortgage loan contract #9876 for Pettisville Bank

1 installment loan contract #817 for Nouveau Investment Company

1 installment loan contract #818 for 18 Wheeler Truck Lines

MORTGAGE AND INSTALLMENT LOAN CONTRACTSPettisville Bank

COMPLETED

1 checking account register

Note: If you are using an electronic checking account register,you will not place anything in the folder at this time.

CHECKING ACCOUNTS FILEPettisville Bank

COMPLETED

13. Prepare a personal cash envelope. In the model business community, you will havean opportunity to conduct personal business using cash. You may purchase anewspaper, sign up for a class at Lee Community Center or Taylor Office Supplies, orbuy shares of stock from Nouveau Investment Company.

Remove one envelope from the Supplies folder.

Use a pen to print PERSONAL CASH FOR (YOUR NAME) across the top on thefront of the envelope.

Remove your personal cash from pages 351-362 inthe Student Reference Book. Count the money.Record the total amount saved: $ ______________

If you said $2,232 you were correct. You will need approximately $4 to purchasenewspapers and $100 to sign up for classes, which will leave more than $2,000to buy shares of stock. Do not pay any company bills with your personal cash.You will make all payments for your business with checks.

Use scissors to cut the bills. Place the money in the envelope. Place theenvelope in the Cash File.

14. Prepare a cash receipts envelope.

Remove one envelope from your Supplies folder.

Use a pen to print CASH RECEIPTS across the top on the front of the envelope.

Place the envelope in the Cash File.


15. Store your postage in a safe place. Postage is as valuable as cash. It is importantthat you store your postage in a safe place.

Remove the set of address labels and metered postage from the Office File.Remove one envelope from the Supplies folder.

Use a pen to print POSTAGE METER LABELS across the top on the front of theenvelope.

Use scissors to remove the postage meter labels from the address labels sheet.HINT: Make sure you do not remove the adhesive until you are ready to use thepostage meter labels.

Place the postage meter labels inside the envelope. Do not seal the envelope.Place the envelope in the Cash File.

Return the set of address labels to the Office File.

16. Set up your drive-in window. Get an appropriate box (to be used as a drive-inwindow) from your Instructor.

If you wish, cover the box with paper. Use felt-tip markers to print on the boxin large letters the words: DRIVE-IN WINDOW DEPOSIT SLOT

DRIVE-IN

WINDOW

DEPOSI

T

SLOT

Decide where within your work area you will locate your drive-in window.

Remove the Drive-in Window is Open/Drive-In Window is Closed sign fromthe Pending File.

Drive-in

Win

do

wis

CLOSEDD

rive

-in

Win

do

wis

OPEN


CASH FILEPettisville Bank

OFFICE FILEPettisville Bank

SUPPLIES FILEPettisville Bank

CHECKING ACCOUNTS FILEPettisville Bank

PENDING FILEPettisville Bank

SUPPLIES

FILE

Pettisvi

lle Bank

CHECKING

ACCOUNT

S FILE

Pettisvi

lle Bank

MORTGAGE

AND INS

TALLMENT

LOAN CO

NTRACTS

Pettisvi

lle Bank

OFFICE F

ILE

Pettisvi

lle Bank

CASH FIL

E

Pettisvi

lle Bank

PENDING

FILE

Pettisvi

lle Bank

MINI FILING

cabinet

MORTGAGE AND INSTALLMENTL0AN CONTRACTSPettisville Bank

Use rubber cement or glue to mount the sheet on a lightweight piece ofcardboard cut to the same size. Then fold the sign on the fold line.

Drive-in Windowis

OPEN

Place the sign near the drive-in window deposit slot.

Drive-in Windowis

OPEN

DRIVE-IN

WINDOW

DEPOSI

T

SLOT

17. Organize your “mini filing cabinet.”

Get an appropriate box (to be used as a “mini filing cabinet”) from yourInstructor.

Place the 6 file folders in your “mini filing cabinet” in the order in which theywere just shown. The Pending File should be in the front of the “mini filingcabinet,” and the Supplies folder should be in the back.


18. Organize your work area.

Place a check mark beside each piece of equipment available for your use.Equipment followed by an asterisk (*) is optional.

NOTE: Items may be available in the classroom but not specifically at your place ofbusiness.

calculator* scissors

stapler computer*

Place a check mark beside each miscellaneous supply item available at yourwork area. Items followed by an asterisk (*) are optional.

pens and pencils mail delivery box*

paper clips ruler

“mini filing cabinet” rubber bands

felt-tip markers rubber cement or glue*

If you do not have required supplies, check with your Instructor.

Remove the Pettisville Bank sign from the Supplies folder. Use tape suppliedby your Instructor to position your company sign within your work area(perhaps taped to a desk or on a nearby wall).

19. Read the part titled INFORMATION YOU’LL NEED TO KNOW ABOUT PETTISVILLEBANK on page 2 in this Operations Manual.

20. Tell your Instructor you have completed the GETTING READY TO DO BUSINESSactivities for Pettisville Bank.

YOU ARE NOW READY TO BEGIN DOING BUSINESS WITH THE OTHERCOMPANIES IN THE PETTISVILLE BUSINESS COMMUNITY.


QuantityNeeded

PETTISVILLE BANKSUPPLIES REQUEST

DescriptionUse

ComputerTemplate

Page 1 of 2

InstructorWill Supply

ManagerWill Print

TO DO DONE TO DO DONE

This item is located in the back ofthis Operations Manual.

1 cashier’s check register

1 per manager appointment calendar

2 service invoices

2 purchase orders

15 bank statements (2 pages each)

2 payroll registers

4 sheets letterhead stationery

1 checking account register

1 cashier’s checkbook

1 set time cards for July 13 (4 sheets)

1 Pettisville Chamber of Commerceletter/questionnaire

1 priority seating reservation forWestern Roundup Days

1 sign for drive-in window

1 each bank draft #8549bank draft #8550

1 each installment loan contract #817installment loan contract #818

1 postage meter sheet

1 audit summary

1 final audit

3 sheets promissory notes

15 sheets deposit receipts

Located in the backof this Oper. Manual.


QuantityNeeded

DescriptionUse

ComputerTemplate

InstructorWill Supply

ManagerWill Print

TO DO DONE TO DO DONE

Page 2 of 2

1 company sign

1 each office supplies requisition No. 2office supplies requisition No. 4

1 each mortgage loan contracts #300, #320,#330, #340, #350, #360, #410, and #9876

1 set time cards July 27 (4 sheets)

3 sheets receipts for withholding tax deposit

1 set of 4 incoming cash slips

1 set of 2 safe deposit box rent-due notices

1 utility bill fromPettisville Power and Light Company

1 per manager New York Stock Exchange guide

1 per manager Mean Jeans stock certificates No. 89484B, No. 89485B, and No. 89486B

1 per manager business plan table of contents

4 per manager manager’s weekly job performanceevaluation

1 per manager notice of Mean Jeans Manufacturing Co.annual stockholders’ meeting

1 per manager proxy card

1 set while-you-were-out slips

6 sheets plain paper �5 half sheets

1 set address labels and metered postage �

1 set return address labels �

4 per manager notebook paper �

1 set binder labels (optional) �

38 envelopes �

1 per manager Employee’s Withholding Allowance�Certificate—W-4


RESPONSIBILITY PROCESSING INCOMING MAIL (Manager 3)

One of your responsibilities as manager of Pettisville Bank is to process incoming mail asefficiently as possible.

❏ When mail is delivered to your business, you should

1. Immediately open all incoming mail and carefully remove the contents. Someenvelopes may contain more than one item.

2. Read each item carefully. Ask yourself, “What action should I take?”

3. Take whatever action is necessary.

❏ When you receive a check in payment of a service invoice, you should

1. Remove the copy of the service invoice from your Pending File. Check to make sure thatthe customer has written the check in the proper amount and that the check is signed.

2. Write PAID and today’s July date across the front of the invoice. File the invoice in theOffice File.

3. Endorse the check. Refer to the illustration on page 62 in the Student ReferenceBook. Write For Deposit Only, Pettisville Bank on the back of the check. Place the checkin the cash receipts envelope in the Cash File.

❏ When you receive a check in payment of a utility bill, you should

� Turn to page 26 in this Operations Manual. Complete the steps titled When youreceive a utility bill payment, you should.

RESPONSIBILITY USING A POSTAGE METER (Managers 1, 2, and 3)

Reference Lesson 5.2 Using Postage Meters - in the Student Reference Book

One of your responsibilities as manager of Pettisville Bank is to use your postage meter forall outgoing envelopes and to keep an accurate record of all postage used on your postagemeter sheet.

❏ When you mail an envelope, you should

� Turn to page 186 in the Student Reference Book. Complete the steps titled Followthese steps when using a postage meter.

RESPONSIBILITIES OF THE MANAGER(S) OFPETTISVILLE BANK


RESPONSIBILITY PAYING FOR GOODS AND SERVICES (Manager 3)

References Lesson 1.1 Writing Checks – in the Student Reference BookLesson 4.2 Using Item Invoices – in the Student Reference BookLesson 4.3 Using Service Invoices – in the Student Reference Book

It is your responsibility as manager of Pettisville Bank to verify that item invoices and serviceinvoices are correct and that the calculations are accurate.

❏ When you receive an item invoice, you should wait until you receive a shipment form beforeyou take any action. Then you should

1. Turn to page 160 in the Student Reference Book. Find the steps titled Follow thesesteps when you receive an item invoice. Complete steps 1 through 3.

2. Record the payment in the cashier’s check register. Complete the steps on page 19in this Operations Manual titled When you write a cashier’s check, you should.

3. Return to page 160 in the Student Reference Book. Complete steps 6 through 9.

❏ When you receive a service invoice, you should

1. Make sure that all calculations on the invoice are correct.

2. Turn to page 19 in this Operations Manual. Complete the steps titled When youwrite a cashier’s check, you should.

3. Turn to page 165 in the Student Reference Book. Find the steps titled Follow thesesteps when you receive a service invoice. Complete steps 4 through 8.

RESPONSIBILITY WRITING CASHIER’S CHECKS (Manager 3)

Reference Lesson 1.1 Writing Checks – In the Student Reference Book

A check written by a bank from the bank’s own funds is called a cashier’s check. For thepurpose of this simulation, the bank uses the cashier’s checkbook to make all payments ofbank funds. The cashier’s checkbook is almost identical to the checkbooks used by all otherbusinesses in the business community.

Refer to line 2 of the illustration on page 20 in this Operations Manual. Notice that on July 5Check No. 1931 for $2,168.00 was written to pay the bank’s utility bill. Because the $2,168.00is considered a bank expense, it was recorded in the EXPENSES column of the cashier’s checkregister. The payment was then deducted from the previous balance of $9,777,280.00 to getthe new balance of $9,775,112.00.

(continued on next page)


RESPONSIBILITY RECORDING WEEKLY RECEIPTS (Manager 3)

A cashier’s check register is the bookkeeping record used to record the income and expensesof the bank. It serves the same purpose as the cashbook used by the 14 other businesses inthe Pettisville community. The incoming cash slip represents CASH—money received frompersons and businesses outside the business community.

Look at the scratch sheet of paper in the illustration on page 20 in this Operations Manual.The incoming cash slip for $206,067.00 has been added to the incoming checks for this week.Now look at line 3 of the cashier’s check register in the illustration. Because the $211,682.00is considered income, it is recorded in the INCOME column. The total of $211,682.00 is thenadded to the previous balance of $9,775,112.00 to find the new balance of $9,986,794.00.


❏ When you write a cashier’s check, you should

1. Remove the cashier’s checkbook from the Cash File. Write the cashier’s check. Ifnecessary, refer to the steps beginning on page 54 in the Student Reference Book.

2. Find your cashier’s check register.

C If you are using a manual check register, remove the cashier’s check register fromthe Cash File.

V If you are using an electronic check register, open the cashier’s check register onyour computer. Use the tab key to move from column to column.

3. Record the payment in the cashier’s check register.

a. Record the July date in the DATE column.

b. Record the purpose of the check in the EXPLANATION column.

c. Record the check number in the CHECK NO. column.

d. Record the amount of the check in the EXPENSES column (unless you are told touse the OTHER column).

e. Calculate the new balance.

C If you are using a manual cashier’s check register, subtract the amount of the checkfrom the preceding balance. Record the new balance. Return the cashier’s checkregister to the Cash File.

V If you are using an electronic cashier’s check register, the balance is calculatedautomatically. Save your work and close the cashier’s check register.

4. Return the cashier’s checkbook to the Cash File.


❏ When you record the weekly receipts, you should

1. Find your incoming cash slip. After July 6, the incoming cash slips will be kept in the CashFile. If this is the first time you have used an incoming cash slip, locate the slip as follows.

If you are using Instructor-supplied forms, remove the set of 4 incoming cash slips fromthe Supplies folder.

If you are printing your forms, open the forms document on your computer. Find Unit4 Accounts Payable and Receivable. Print 1 set of 4 incoming cash slips.

2. Use scissors to remove from the sheet the incoming cash slip for today’s July date.Place the remaining slips in the Cash File.

3. Remove the checks from the cash receiptsenvelope in the Cash File. Use a small pieceof scratch paper to total the checks and theincoming cash slip. Verify your total by addingthe cash and checks a second time. Writetoday’s July date on the piece of scratch paper.Clip the scratch paper to the pile of checks.

4. Place the incoming cash slip in the SAFE inthe Cash File.

5. Open the cashier’s check register.

C If you are using a manual cashier’s check register, remove the cashier’s checkregister from the Cash File.

V If you are using an electronic cashier’s check register, open the cashier’s checkregister on your computer. Use the tab key to move from column to column.

$2,010.0090.00100.00

3,415.00206,067.00

$211,682.00

checks

July 6

incomingcash

6. Make an entry in the cashier’s check register.

a. Record today’s July date in the DATE column of the register.

b. Record Weekly Receipts in the EXPLANATION column.

c. Record the total amount of all the checks and the incoming cash slip in the INCOMEcolumn (the total from the scratch paper prepared in step 3 above). HINT: Referto line 3 of the illustration above.

d. Calculate the new balance.



RESPONSIBILITY ACCEPTING BANK DEPOSITS (Manager 1)

Reference Lesson 1.3 Making Bank Deposits – in the Student Reference Book

All deposits must be made at the drive-in window. If the window is open, the customer willhand you the deposit. If the window is closed, customers will place deposits in the depositslot. Most checking account customers make deposits on the last day of the workweek. Afew customers make deposits on other days of the workweek.

If two or more customers are waiting at the drive-in window, put out the Drive-In Window isClosed sign. This will allow customers to use the deposit slot and not be delayed. You willthen have time to process the deposits without customers waiting in line.

❏ When you accept bank deposits, you should

1. Verify the accuracy of each deposit. Do not accept a deposit until you have verifiedthat it is correct. Keep page 65 in the Student Reference Book open so that you cancompare the deposit slip with the illustration shown.

a. Turn each check over to see that it is endorsed with the words For Deposit Onlyand the name of the depositor.

b. Make sure all checks are listed on the back of the deposit slip and that only thetotal of the checks is listed on the front.

c. Compare the amount of each check with each check listed on the deposit slip.

d. Compare the total cash and total of the incoming cash slip with the amountrecorded on the deposit slip beside CURRENCY.

e. Add all figures at least twice to be sure the total is correct. HINT: If the depositslip is incorrect, ask the customer to make the necessary correction. If a depositwith an error was left in the deposit slot, close the drive-in window and take thedeposit slip and other items to the customer. Point out the error and wait whilethe customer corrects it.


C If you are using a manual cashier’s check register, add the total recorded in theINCOME column to the preceding balance. Record the new balance. Return thecashier’s check register to the Cash File.

V If you are using an electronic cashier’s check register, the balance is calculatedautomatically. Save your work. Close the cashier’s check register.

7. Remove the clip from the checks. Discard the scratch paper. Place the checks in theCHECKS & DEPOSITS TO BE RECORDED envelope in the Checking Accounts File.


2. Remove a deposit receipt from the Supplies folder. Complete the receipt. Refer tothe illustration on page 68 in the Student Reference Book. HINT: Each customer’saccount number appears as the last 7 electronic numbers at the bottom of the depositslip. Account numbers are also listed on customers’ bank statements.

a. Write today’s July date.

b. Record the time.

c. Write the customer’s account number.

d. Write the total amount deposited.

3. Hand the receipt to the customer. If the deposit was left in the deposit slot, deliverthe receipt to the customer.

4. Remove the CHECKS & DEPOSITS TO BE RECORDED envelope from the CheckingAccounts File. Staple or clip the deposit slip to its accompanying cash and checks.Place the deposit in the CHECKS & DEPOSITS TO BE RECORDED envelope. Return theenvelope to the Checking Accounts File.

RESPONSIBILITY RECORDING CUSTOMERS’ DEPOSITS AND CHECKS ON

BANK STATEMENTS AND IN THE CHECKING ACCOUNT

REGISTER (Manager 1)

Each day when you do not have customers to serve at the drive-in window, you must recordcustomers’ deposits and withdrawals on bank statements and in the checking accountregister. Your DAILY ACTIVITIES will not tell you to do this. It is your responsibility toremember to carry out these instructions.

❏ When you record customers’ deposits, you should

1. Remove from the Checking Accounts File the CHECKS & DEPOSITS TO BE RECORDEDenvelope and the CANCELED CHECKS & DEPOSIT SLIPS TO BE SORTED AND FILEDenvelope.

2. Remove the SAFE from the Cash File.

3. Turn to page 72 in the Student Reference Book. On the bank statement illustrated,notice that all deposits are recorded in the DEPOSITS AND OTHER CREDITS column ofthe statement. Use this illustration as a guide as you record deposits on bankstatements. You will record one deposit at a time.

4. Remove a deposit slip from the CHECKS & DEPOSITS TO BE RECORDED envelope.Remove the staple or clip from the deposit slip. Separate the deposit slip from thechecks, cash, and/or incoming cash slip. Place cash and incoming cash slips in theSAFE. Return the checks to the CHECKS & DEPOSITS TO BE RECORDED envelope.



5. Find the customer’s bank statement.

C If you are preparing the bank statement manually, remove the pack of bankstatements from the Checking Accounts File. Find page 1 of the customer’s bankstatement.

V If you are preparing the bank statement electronically, open the customer’s bankstatement on your computer. HINT: You should have already created and namedbank statements for your customers. If you have not done this, see theinstructions under ADDRESS ENVELOPES on July 2 in your DAILY ACTIVITIES.

6. Record the deposit on the customer’s bank statement.

a. Find the total on the deposit slip. Record that amount in the DEPOSITS AND OTHERCREDITS column.

b. Record today’s July date in the DATE column.

c. Find the new balance.

C If you are preparing the bank statement manually, add the deposit to the previousbalance. Record the new balance. File the customer’s bank statementalphabetically in the pack of statements.

V If you are preparing the bank statement electronically, check to see that the depositwas added to the previous balance. Save your work and close the bank statement.

18-Wheeler Truck Lines

CHECKING ACCOUNT REGISTER

DEPOSITS CHECKS PAID

1

2

3

4

23

24

25

1

2

3

4

23

24

25

DATE EXPLANATION

PETTISVILLEBANK

J»ãò BÄãÄçÇ∏CªÑÇæí pÄàÉDÑèé¨àìCªÑÇæí pÄàÉ

2 9 81 0 00

1 4 30 9 00

1369

4 2 9 8 00

2 6 9 1 14

7 4 7 0 591 2 95

1 8 2 0 4 22Sûëï¢Ç∏ CªÄëÜ∏Té≠Äãí

3131

7. Open the checking account register.

C If you are using a manual checking account register, remove the checking accountregister from the Checking Accounts File. Find the page for the customer.

V If you are using an electronic checking account register, open the checking accountregister on your computer. To find the page for your customer, click on the tab atthe bottom of the screen. (Tabs are abbreviated alphabetically by customername.)



8. Record the deposit in the checking account register. (Refer to line 3 of the illustrationon page 23 in this Operations Manual.)

a. Record today’s July date in the DATE column.

b. Record the word Deposit in the EXPLANATION column.

c. Record the amount deposited in the DEPOSITS column.

d. Close the checking account register.

9. Place a large check mark beside the customer’s name on the deposit slip. This checkmark shows that the deposit has been recorded on the customer’s bank statementand in the checking account register. Place the deposit slip in the CANCELED CHECKS& DEPOSIT SLIPS TO BE SORTED AND FILED envelope.

10. Repeat the previous steps for each deposit in the CHECKS & DEPOSITS TO BERECORDED envelope.

11. Return the SAFE to the Cash File. Return all remaining items to the Checking AccountsFile.

❏ When you record customers’ checks, you should

1. Remove from the Checking Accounts File the CHECKS & DEPOSITS TO BE RECORDEDenvelope and the CANCELED CHECKS & DEPOSIT SLIPS TO BE SORTED AND FILEDenvelope.

2. Turn to page 72 in the Student Reference Book. On the bank statement illustrated,notice that all checks paid by the bank are recorded in the CHECKS AND OTHER DEBITScolumn of the statement. Use this illustration as a guide as you record checks on thebank statement.

3. Remove from the CHECKS & DEPOSITS TO BE RECORDED envelope all checks that donot have a deposit slip attached to them. Cancel each check. (Refer to the illustrationon page 73 in the Student Reference Book.)

a. Draw a diagonal line across the front of each check.

b. Turn the check over. On the back, write today’s July date and the word Canceled.

4. Sort the checks into piles. HINT: Sort checks by the depositor name, not by the payeename. For example, a check written by 18 Wheeler Truck Lines to Rupp Auto Supplyshould be placed in 18 Wheeler’s pile of checks.

a. Place in one pile all cashier’s checks written by Pettisville Bank.

b. Place in one pile all checks written by businesses not operating in the businesscommunity.

c. Make a separate pile of checks for each business operating in the businesscommunity. Place all the checks written by 18 Wheeler Truck Lines in one pile,checks written by Buckeye Equipment in another pile, and so forth. Continue inthis manner until all checks have been sorted. Some businesses may only haveone check.



5. Place the piles of checks in envelopes.

a. Place cashier’s checks written by Pettisville Bank into the PETTISVILLE BANKenvelope in the Checking Accounts File.

b. Place checks written by businesses not operating in the business community intothe CANCELED CHECKS FROM OUTSIDE THE MODEL BUSINESS COMMUNITYenvelope in the Checking Accounts File.

c. Put separate paper clips on each pile of checks for each business operating in thebusiness community. Then arrange the piles in alphabetic order according to thebusiness name imprinted on the checks. For example, the pile for 18 WheelerTruck Lines would be first, and the pile for United Communications would be last.

d. Place these piles into the CHECKS AND DEPOSITS TO BE RECORDED envelope.

6. Find the customer’s bank statement.

C If you are preparing the bank statement manually, remove the pack of bankstatements from the Checking Accounts File. Find page 1 of the customer’s bankstatement.

V If you are preparing the bank statement electronically, open the customer’s bankstatement on your computer.

7. Remove the first pile of checks from the CHECKS AND DEPOSITS TO BE RECORDEDenvelope. Record on the customer’s bank statement each check paid by the bank.

a. Record the check number and the amount of the first check in the CHECKS ANDOTHER DEBITS column.

b. Record today’s July date in the DATE column.

c. Find the new balance.

C If you are preparing the bank statement manually, subtract the amount of the checkfrom the previous balance. Record the new balance. Repeat this procedure untilyou have recorded all checks paid by the bank for that customer. File thecustomer’s bank statement alphabetically in the pack of statements.

V If you are preparing the bank statement electronically, look to see that the checkwas subtracted from the previous balance. Repeat this procedure until you haverecorded all checks paid by the bank for that customer. Save your work andclose the bank statement.

8. Total the checks paid for the customer. Check the accuracy of your work by addingthe checks a second time. Write the total on a scratch sheet of paper. Clip the paperto the pile of checks.

9. Open the checking account register.

C If you are using a manual checking account register, remove the checking accountregister from the Checking Accounts File. Find the page for the customer.



V If you are using an electronic checking account register, open the checking accountregister on your computer. To find the page for your customer, click on the tab atthe bottom of the screen. (Tabs are abbreviated alphabetically by customer name.)

10. Record the total of the checks in the checking account register. (Refer to line 2 of theillustration on page 23 in this Operations Manual.)

a. Record today’s July date in the DATE column.

b. Record the words Checks paid in the EXPLANATION column.

c. Record the total of all checks paid for that customer in the CHECKS PAID column.

d. Close the checking account register.

11. Place the canceled checks in the CANCELED CHECKS & DEPOSIT SLIPS TO BE SORTEDAND FILED envelope.

12. Repeat the previous steps for each business’s pile of checks remaining in the CHECKS& DEPOSITS TO BE RECORDED envelope.

13. Return all items to the Checking Accounts File.

RESPONSIBILITY RECEIVING CHECKS FOR PAYMENTS

(Manager 2 or Manager 3)

One of your responsibilities as manager of Pettisville Bank is to decide what action to takewhen a customer hands you a check for services performed by the bank.

Receiving Payments for Utility Bills

Pettisville Bank has been authorized to collect Pettisville Power and Light Company utilitybill payments. These payments are then directly deposited to the utility company’s accountat the bank. A utility bill remittance slip should be included with each payment.

❏ When you receive a utility bill payment, you should

1. Compare the amount of the check with the total on the remittance slip. The checkshould be payable to Pettisville Power and Light Company.

2. Endorse the check. Write Credit to Pettisville Power and Light Company’s account onthe back of the check.

3. Open the checking account register. Record the check in the Utility Company column.Close the checking account register.

4. Place the check in the CHECKS & DEPOSITS TO BE RECORDED envelope in the CheckingAccounts File. Place the remittance slip in the Pettisville Power and Light Companyenvelope in the Checking Accounts File.



Receiving Payments for Federal Taxes

Pettisville Bank has been authorized by the IRS (Internal Revenue Service) to collect federalincome taxes, FICA (social security and Medicare taxes), and FUTA (unemployment) taxesfrom Pettisville businesses. A Federal Tax Deposit Card should be included with each payment.

❏ When you receive a federal tax payment, you should

1. Compare the amount of the check with the total on the Federal Tax Deposit Card.The check should be made payable to Internal Revenue Service.

2. Remove a bank receipt for withholding tax deposit from the Supplies folder.

3. Complete the receipt.

a. Write the amount of the check beside the dollar sign on the receipt.

b. Record the customer’s name and address.

c. Write today’s July date.

d. Sign your name as bank manager.

4. Hand the receipt to the customer.

5. Endorse the check. Write Credit to Internal Revenue Service’s account on the back ofthe check.

6. Open the checking account register. Record the check in the Internal Revenue Servicecolumn. Close the checking account register.

7. Place the check in the CHECKS & DEPOSITS TO BE RECORDED envelope in the CheckingAccounts File. Place the Federal Tax Deposit Card in the Internal Revenue Serviceenvelope in the Checking Accounts file.

Receiving Payments for Mortgage Loans

Monthly payments on mortgage loans are due and payable by the 10th of each month.

❏ When you receive a mortgage payment, you should

1. Remove the bank’s copy of the mortgage loan contract from the Mortgage andInstallment Loan Contracts File. Look at the payment record on the contract. Comparethe amount of the check with the amount written in the Monthly Payment column.

2. Check the customer’s copy of the contract. If the customer’s record agrees with yourrecord, write your initials on the Monthly Payment line on both copies of the contract.If your records and the customer’s records do not agree, recalculate the mortgage.

3. Return the customer’s copy of the contract to the customer. Return the bank’s copyof the contract to the Mortgage and Installment Loan Contracts File.

4. Endorse the check. Write For Deposit Only, Pettisville Bank on the back of the check.Place the check in the cash receipts envelope in the Cash File.



Receiving Payments for Installment Loans

Monthly payments on installment loans are due and payable by the 18th of the month.

❏ When you receive an installment loan payment, you should

1. Remove your copy of the installment loan contract from the Mortgage and InstallmentLoan Contracts File.

2. Make sure the check is for the proper amount. Complete the payment record on thecontract.


b. Write the amount of the regular monthly payment.

c. Calculate the new balance by subtracting the amount of the check from theprevious amount in the BALANCE TO BE PAID column. Record the new balance.

3. Record the same information on the payment record of the customer’s copy of thecontract. Write your initials next to the amount paid. Return the contract to thecustomer.

4. Return your copy of the contract to the Installment Loan Contracts File.

5. Endorse the check. Write For Deposit Only, Pettisville Bank on the back of the check.Place the check in the cash receipts envelope in the Cash File.

RESPONSIBILITY RECEIVING CHECKS FOR “CASH” FROM CUSTOMERS


Customers sometimes come to the bank to cash checks. For the purpose of this simulation,assume that you hand the customer the cash in exchange for the check. The customer willnot actually receive any cash.

❏ When a customer presents a check for “cash,” you should

1. Make sure the check has been made payable to Cash and that it is written correctly.

2. Ask the customer to endorse the check by writing his or her name on the back of thecheck.

3. Explain to the customer that he or she will not actually receive any cash. The customermust assume that cash has been received.

4. Place the check in the CHECKS & DEPOSITS TO BE RECORDED envelope in the CheckingAccounts File.


RESPONSIBILITY SENDING MONTHLY BANK STATEMENTS(Manager 1 and Manager 2)

Reference Lesson 1.4 Reconciling a Bank Statement – in the Student Reference Book

One of your responsibilities as manager of Pettisville Bank is to complete and send bankstatements to Pettisville checking account customers. Service charges for checking accountsnormally vary depending on the size of the account and the number of checks written. Butfor the purpose of this simulation, all service charges for checking accounts will be $12.95.

Manager 1 and Manager 2 should work together to complete and mail the bank statementfor the first customer (18 Wheeler Truck Lines). Once that statement is completed, the twomanagers should divide the remaining bank statements between them.

❏ When you send bank statements, you should

1. Find the back (page 2 of 2) of each customer’s bank statement. HINT: The back of thebank statement is the bank reconciliation form.

C If you are using Instructor-supplied forms, remove the pack of bank statementsfrom the Checking Accounts File. Remove all bank statement forms labeled (back)page 2 of 2. When you are ready to mail the bank statements, you will attachpage 2 to each statement. Set these pages aside for now.

V If you are using electronic bank statements, open the forms document on yourcomputer. Find Unit 1 Banking and Bookkeeping. Do not print the front page(page 1 of 2) of the bank statements. Print page 2 of 2 (the back of the bankstatement) for each Pettisville business. When you are ready to mail the bankstatements, you will attach page 2 to each statement. Set these pages aside for now.

2. Find page 1 of the customer’s bank statement.

C If you are using Instructor-supplied forms, remove the remaining pages of the bankstatements from the Checking Accounts File. Remove the bank statement for1 customer. HINT: Begin with 18 Wheeler Truck Lines.

V If you are using an electronic bank statement, open the bank statement for1 customer. HINT: Begin with 18 Wheeler Truck Lines.

3. Remove the preaddressed customer envelopes from the Checking Accounts File.Count the number of canceled checks and deposit slips for the customer.

a. Remove the canceled checks from the customer’s envelope and count them.Return the checks to the envelope.

b. Look at the bank statement for that customer. Count the checks listed in theCHECKS AND OTHER DEBITS column to make sure you have the same numberyou just counted.

c. Remove the deposit slips from the customer’s envelope and count them. Returnthe deposit slips to the envelope.

d. Look at the bank statement for that customer. Count the deposits listed in theDEPOSITS AND OTHER CREDITS column to make sure you have the same numberyou just counted.



4. Turn to page 72 in the Student Reference Book. Look at the SC notation (ServiceCharge) in the CHECKS AND OTHER DEBITS column. Notice that the service charge islisted on a line by itself and that it is the last entry made on the statement.

5. Record the service charge on the customer’s statement.

C If you are preparing the bank statement manually, use the illustration on page 71in the Student Reference Book as a guide.

a. Write the abbreviation SC in the far left column.

b. Record $12.95 in the second column under CHECKS AND OTHER DEBITS.

c. Write July 31 in the DATE column.

d. Subtract the service charge from the previous balance and record the new balance.

e. Write July 31, 20– – in the STATEMENT DATE box at the top of the statement.

V If you are preparing the bank statement electronically, use the illustration onpage 72 in the Student Reference Book as a guide.

a. Record the abbreviation SC in the far left column.

b. Record $12.95 in the second column under CHECKS AND OTHER DEBITS.

c. Record July 31 in the DATE column.

d. Check to make sure that the service charge has been subtracted from the balance.Check to make sure that the service charge is recorded in the SERVICE CHARGEcolumn at the top of the statement.

e. Record July 31, 20– – in the STATEMENT DATE box at the top of the statement.

6. Open the checking account register. Find the page for the customer.

7. Record the service charge in the checking account register. HINT: Refer to line 24 ofthe illustration on page 23 in this Operations Manual.

a. Record July 31 in the DATE column.

b. Record Service Charge in the EXPLANATION column.

c. Record $12.95 in the CHECKS PAID column.

8. Calculate the totals on the checking account register. Use the line below the entryyou made for the service charge. (Refer to line 25 of the illustration on page 23 in thisOperations Manual.) HINT: If you are using an electronic checking account register,totals are calculated automatically. Go to step 9 that follows.

a. Record July 31 in the DATE column.

b. Record the word Totals in the EXPLANATION column.

c. Total the DEPOSITS column.

d. Total the CHECKS PAID column.

9. Calculate the balance of the customer’s account. Subtract the total of the CHECKSPAID column from the total of the DEPOSITS column. Compare this amount with thelast amount written in the BALANCE column on the customer’s bank statement. Theseamounts must agree. If the two amounts do not agree, ask your Instructor for help.



10. Return to the bank statement. Complete the summary section at the top of thestatement. HINT: If you are preparing your bank statement electronically, thesecalculations are automatic. Go to step 11 that follows.

a. Count the number of checks paid. Record the total number of checks in the NO.OF WITHDRAWALS column at the top of the bank statement.

b. Calculate the total dollar amount of all checks paid. Add the amounts except theservice charge in the CHECKS AND OTHER DEBITS column. Write the total underthe TOTAL WITHDRAWAL AMOUNT column.

c. Count the number of deposits. Record the number of deposits in the NO. OFDEPOSITS column.

d. Add the total dollar amount of all deposits. Write the total under the TOTALDEPOSIT AMOUNT column.

e. Write the amount of the service charge under the SERVICE CHARGE column.

f. Use the formula that follows to prove the bank statement.

BalanceForward

TotalWithdrawal

Amount

TotalDepositAmount

ServiceCharge

BalanceThis

Statement− + − =

g. If the BALANCE THIS STATEMENT amount is not the same as the last amount inthe BALANCE column, ask your Instructor for help. If the two amounts agree, writethe total under the BALANCE THIS STATEMENT column.

11. Prepare to mail the bank statement to the customer.

a. Take the back pages of the bank statements (bank reconciliation forms). Be surethese pages are in alphabetic order.

b. Match the bank reconciliation form for each customer with the customer’s bankstatement. Staple these 2 pages together with the statement on top and thereconciliation behind it.

c. Fold the statement.

d. Remove the canceled checks and deposit slips from the customer’s preaddressedenvelope. Place the checks and deposit slips inside the folded bank statement.Then place the bank statement in the envelope.

e. Seal the envelope. Store it in the Pending File until July 30 when you will mail allbank statements.

12. Repeat the steps above for each Pettisville customer. When all statements have beencompleted, close the checking account register.


RESPONSIBILITY ISSUING BANK DRAFTS (Manager 2)

One of your responsibilities as manager of Pettisville Bank is to issue bank drafts. A bankdraft is a check that a bank official draws on the bank’s deposits in another bank. Customerswho make payments for large sums of money frequently purchase bank drafts.

❏ When you issue a bank draft, you should

1. Look at the bank draft number listed in the forms list of your DAILY ACTIVITIES. (Eachbank draft has its own number.) Find the bank draft.

C If you are using Instructor-supplied forms, remove the numbered bank draft fromthe Supplies folder.

V If you are printing your forms, open the forms document on your computer. FindUnit 1 Banking and Bookkeeping. Print the numbered bank draft.

2. Use scissors to separate the 3 copies of the draft along the dashed lines.

3. Record the following information on one copy of the bank draft.


b. Write the payee’s name after PAY TO THE ORDER OF. (The customer will supply thisinformation.)

c. Write the amount of the draft in figures beside the dollar sign. (The customer willsupply this information.)

d. Write the amount of the draft in words. Write the cents amount as a fraction of adollar. Draw a line from the fraction to the word DOLLARS.

e. Sign your name on the signature line as cashier.

4. Copy the bank draft onto the 2 other forms.

5. Ask the customer to write a check payable to Pettisville Bank in the amount of thebank draft.

6. When you receive the check, give the customer the original and one copy. Place yourcopy in the Office File.

7. Endorse the check from the customer. Write For Deposit Only, Pettisville Bank on theback of the check.

8. Place the check in the cash receipts envelope in the Cash File.


DAILY ACTIVITIES FORPETTISVILLE BANK

THE FIRST 4 THINGS EACH MANAGER SHOULD DO EACH CLASS PERIOD1. Give full attention to your Instructor. He/she will tell you whether you should open for

business as usual or participate in a special activity.2. Check your appointment calendar to see if you have any appointments or obligations today.3. Access your Mean Jeans e-mail account (if you have one). Check to see if you have any

new messages.4. Open your Pending File. Remove and complete any work that was not completed the

day before.

THE NEXT 3 THINGS MANAGER 1 SHOULD DO EACH CLASS PERIOD1. Deliver deposit receipts to customers (if you have any).2 Make sure the drive-in window is operational. Remove the Drive-In-Window sign from

the Office File. Place the “Open” sign near the deposit slot. Anytime you leave the drive-in window, place the “Closed” sign near the deposit slot.

3. Process bank deposits. When you do not have customers to serve at the drive-in window,record customers’ deposits and withdrawals on bank statements and in the checkingaccount register. (Refer to page 22 in this Operations Manual.)

THE LAST 4 THINGS MANAGERS SHOULD DO EACH CLASS PERIOD1. Record any new appointments or obligations on your appointment calendar.2 Place outgoing mail in the community mailbox. Place incomplete work in the front of

the Pending File.3. Clean up your work area.4. Place the Drive-In Window sign in the Office File.

DIVISION OF LABOR

One, two, or three managers may be assigned to Pettisville Bank. Manager 1 willmaintain checking accounts, accept deposits at the drive-in window, record depositsand withdrawals on the checking account register, and prepare bank statements. Whentwo managers are assigned to Pettisville Bank, Manager 2 is responsible for all otheractivities performed by the bank. When three managers are assigned to PettisvilleBank, the main responsibility for Manager 3 is to process incoming mail. However, allmanagers will perform some of the checklist activities. If a manager is not at work onany given day, the other manager(s) will assume his or her duties for that day.


WORKWEEK 1July 2 – July 6

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JULY 2

■ ORGANIZE MATERIALS (Manager 1)

Business Forms You Will Need: � Deposit Receipts � Receipt for Withholding Tax Deposit� Sign for Drive-in Window

Today you will gather additional materials you need to conduct business during July and display yoursign for the drive-in window. When the window is open, place the sign (with the “Open” side showing)near the drive-in window deposit slot. When you leave the drive-in window (even if for only a shorttime), place the sign (with the “Closed” side showing) near the drive-in window deposit slot.

COMPLETED

Remove the drive-in window sign from the Pending File. Place the sign with the “closed”side showing near the deposit slot. HINT: No deposits will be made today.

Locate your banking forms. You need 15 sheets of deposit receipts (60 total) and 3 sheetsof withholding tax deposit receipts (12 total).

C If you are using Instructor-supplied forms, check your Supplies folder to make sure youhave the necessary supply of deposit receipts and withholding tax deposit receipts.

V If you are printing your forms, open the forms document on your computer. FindUnit 1 Banking and Bookkeeping. Print 15 sheets of deposit receipts (60 total). NowFind Unit 3 Payroll. Print 3 sheets of receipts for withholding tax deposits (12 total).

Ask another manager to help you separate the forms. Use scissors and cut along the dashedlines. Paper clip the forms and place them in your Supplies folder.

■ RETURN THE WESTERN ROUNDUP DAYS QUESTIONNAIRE

(Managers 1, 2, and 3)

Business Forms You Will Need: � Pettisville Chamber of Commerce Letter/Questionnaire� Appointment Calendar � Postage Meter Sheet� Address Labels & Metered Postage� Return Address Labels

You are looking forward to participating in Western Roundup Days on July 27 and 28. Each managerwill volunteer to work at one of the events, and you will donate an item for the auction.


COMPLETED

Remove the Pettisville Chamber of Commerce letter/questionnaire from the Pending File.Read the letter from Jerry Sherman and the questionnaire. Decide which event you wouldlike to volunteer to work at on July 27 or 28. All bank managers will work at the sameevent.

Place a check mark on the questionnaire beside the event chosen. Write Western-styleDenim Jacket on the ITEM line. Write $85.00 on the APPROXIMATE VALUE line. Print thename and address of your business. Sign your name as manager.

Make a notation on your appointment calendar.

C If you are using a paper calendar, remove the calendar from the Office File.

V If you are using an electronic calendar, open the calendar on your computer.

Record the event each manager is volunteering to work at on July 27 or 28.

Use scissors to separate the questionnaire from Jerry Sherman’s letter. Place the letter inthe Office File.

Prepare an envelope to mail the questionnaire. Turn to page 186 in the Student ReferenceBook. Complete the steps titled Follow these steps when using a postage meter.

■ LABEL ENVELOPES (Manager 2)

Business Forms You Will Need: none

You need 4 special envelopes to store checks as they are processed.

COMPLETED

Remove 4 envelopes from your Supplies folder. Ask your Instructor for a felt-tip marker.Use the marker to print the following information on the front and back of each envelope.

ENVELOPE 1 PETTISVILLE BANKENVELOPE 2 CHECKS & DEPOSITS TO BE RECORDEDENVELOPE 3 CANCELED CHECKS & DEPOSIT SLIPS TO BE SORTED AND FILEDENVELOPE 4 CANCELED CHECKS FROM OUTSIDE THE MODEL BUSINESS COMMUNITY

Place a rubber band around the four envelopes. Place the envelopes in your CheckingAccounts File. Return the felt-tip marker to your Instructor.

■ ADDRESS ENVELOPES (Manager 1)

Business Forms You Will Need: � Bank Statements (front and back pages of 15)

Today you will identify the bank statements for the 15 Pettisville checking account customers. Duringthe month of July, you will make entries on the front page of each bank statement. The back page ofthe statement is the bank reconciliation form that the customer completes. If you are preparing your


bank statements electronically, you will print page 2 of the statements when they are ready to bemailed on July 30. Today you will also address envelopes for your 15 checking account customers. Theenvelopes will be used to send the bank statements, canceled checks, and deposit slips to customersat the end of July. During the month, you will use the envelopes to file each customer’s canceledchecks and deposit slips as they are processed. Ask another bank manager to help you with thefollowing activities.

COMPLETED

Find the bank statements.

C If you are using manual bank statements, remove the bank statements from theChecking Accounts File. Count the bank statements. Notice that each statementincludes the customer’s checking account number and beginning balance.

V If you are using electronic bank statements, open the bank statement on your computer.Create a bank statement for each individual customer. Use the drop-down menu tochoose the customer’s name. When you save your work, use a file name that identifiesthe customer. For example, the file name BkStmt_Denim_Maker identifies thestatement for The Denim Maker.

Turn to page 3 in this Operations Manual. Notice there are 16 businesses listed underCorrespondents Within the Model Business Community. You will address an envelope foreach of these businesses except Pettisville Bank.

Address an envelope for each checking account customer. Turn to page 99 in the StudentReference Book. Find the steps titled Follow these steps when addressing envelopes.Complete steps 1 through 4.

NOTE: This is the last time you will be given directions for addressing envelopes. If you run out ofaddress labels, check with your Instructor; or you may address an envelope by hand. Referto page 3 in this Operations Manual for correct mailing addresses.

Arrange the envelopes in alphabetic order. Place a rubber band around the envelopes.Place the envelopes in the Checking Accounts File.

■ COMPLETE A PROMISSORY NOTE AND A CHECK FOR THE CLOTHES CLOSET


Business Forms You Will Need: � Promissory Note � Cashier’s Checkbook� Cashier’s Check Register

The manager of The Clothes Closet called last week and asked to borrow $10,700.00 to purchaseinventory. You agreed to lend the money for 60 days at 12% interest. You will prepare the promissorynote and a cashier’s check today, and the manager of The Clothes Closet will stop by tomorrow to signthe promissory note and pick up the check.

COMPLETED

Turn to pages 204-206 in the Student Reference Book. Read the information there aboutpromissory notes. Pay special attention to the illustration.


Use the illustration on page 207 in the Student Reference Book as a guide as you preparethe promissory note. Complete the steps titled Follow these steps when completing apromissory note. Include the following information on the promissory note.

� In step 3a, use tomorrow’s date (July 3, 20– –)

� In step 3i, use No. 197 for the promissory note number.

Write a check for $10,700.00 payable to The Clothes Closet. Turn to page 19 in thisOperations Manual. Complete the steps titled When you write a cashier’s check, you should.In step 3b, record Promissory Note—The Clothes Closet in the EXPLANATION column. Instep 3d, record the amount of the check in the OTHER column.

Clip the check to both copies of the promissory note. Place the papers in the Pending File.

JULY 3

■ FILE THE SIGNED PROMISSORY NOTE FROM THE CLOTHES CLOSET (Manager 3)

Business Forms You Will Need: � Promissory Note � Appointment Calendar

The manager of The Clothes Closet should stop by today to sign the promissory note and pick up thecheck for the $10,700 loan. Wait until the manager of The Clothes Closet comes to you before youtake any action. Then you should

COMPLETED

Turn to page 208 in the Student Reference Book. Complete the steps titled Follow thesesteps when filing a promissory note.

■ ADDRESS ENVELOPES (Manager 2)


Pettisville Bank is a depository for the Internal Revenue Service and the Pettisville Power and LightCompany. You need a place to store Federal Tax Deposit Cards and utility bill remittance slips until it istime to send them to the IRS and the utility company.

COMPLETED

Address one envelope to the Internal Revenue Service. Address a second envelope to thePettisville Power and Light Company. HINT: Use the address labels in your Office File.

Place the envelopes in the Checking Accounts File.


■ CREATE A SAFE (Manager 2)


The bank receives cash and slips of paper representing cash called “incoming cash slips.” All incomingcash must be stored in a secure place.

COMPLETED

Remove an envelope from the Supplies folder. Print SAFE in large, bold letters across thefront of the envelope.

Inform the other bank manager(s) that the bank now has a SAFE and that the SAFE will bestored in the Cash File.

Place the SAFE in the Cash File.

JULY 4 HOLIDAYHAPPY 4TH OF JULY! ENJOY THE HOLIDAY!

JULY 5

■ CALCULATE THE INTEREST ON MORTGAGE LOANS (Managers 2 and 3)

Business Forms You Will Need: � Mortgage Loan #9876 � Mortgage Loan #300� Mortgage Loan #320 � Mortgage Loan #330� Mortgage Loan #340 � Mortgage Loan #350� Mortgage Loan #360 � Mortgage Loan #410

Farmers & Merchants State Bank holds the mortgage loan contract on Pettisville Bank’s property.Pettisville Bank holds mortgage loan contracts on seven other Pettisville businesses. Today you willcalculate the interest due on your mortgage loan. Then you will calculate the interest due on theseven other loans.

COMPLETED

Turn to page 212 in the Student Reference Book. Read the information there aboutmortgage loans.

Remove mortgage loan #9876 from the Mortgage and Installment Loan Contracts File.(This is the mortgage loan contract that Farmers & Merchants State Bank holds on yourproperty.) Notice that the monthly payment on the mortgage loan does not change.However, the amount of interest charged and the amount of the payment applied to theprincipal (the amount borrowed) do change each month.


Calculate the interest due on your mortgage. Find the steps titled Follow these steps whenmaking a mortgage loan payment at Pettisville Bank on page 212 in the Student ReferenceBook. Complete steps 2 through 4.

Remove the remaining 7 mortgage loan contracts from the Mortgage and InstallmentLoan Contracts File. Complete steps 3 and 4 on page 214 in the Student Reference Bookfor each of the 7 contracts.

Return the mortgage loan contracts to the Mortgage and Installment Loan Contracts File.HINT: You have now completed the bank’s copies of the mortgage loans. When businessmanagers come to the bank to make mortgage payments, turn to page 27 in thisOperations Manual and complete the steps titled When you receive a mortgage payment,you should.

■ ACCEPT THE SERVICE INVOICE AND PATTERN FROM POPULAR DESIGNS

(Manager 2)

Business Forms You Will Need: � Cashier’s Checkbook � Cashier’s Check Register� Postage Meter Sheet� Address Labels & Metered Postage� Return Address Labels

In June, you asked Popular Designs to prepare a pattern for Western-style jackets. You plan to usethem as a promotional giveaway during Western Roundup Days. Today or tomorrow you should receivethe pattern and a service invoice. Wait until the pattern and invoice arrive in the mail before youtake any action. Then you should

COMPLETED

Show the jacket pattern to the other manager(s). You think the jacket design on the patternis exactly what is needed! This would be an excellent way to generate enthusiasm forWestern Roundup Days on July 27 and July 28.

If there are three bank managers, give the invoice to Manager 3. Tell Manager 3 to turn topage 18 in this Operations Manual. Complete the steps titled When you receive a serviceinvoice, you should. If there are only two bank managers, complete this assignment yourself.

Place the jacket pattern in the Office File. Assume that you arrange for a tailor to produce50 jackets with the jacket pattern.

■ INQUIRE ABOUT DENIM FASHIONS (Manager 2)


You are thinking about buying denim shirts and bandanna scarves for your bank tellers to wear topromote Western Roundup Days. You decide to use your lunch hour today to go shopping at TheClothes Closet.


COMPLETED

Remove a half sheet of plain paper from your Supplies folder. Take the sheet of paper anda pencil with you and go to The Clothes Closet. Ask the manager the following questions.

� Do you have denim shirts in misses’ and men’s sizes? What is the price?

� Do you have at least 12 denim shirts in stock?

� Do you have bandanna scarves? What is the price?

� Do you have at least 12 bandanna scarves in stock?

Write down the catalog number and price for each on the sheet of paper. Tell the managerthat you will send an order soon. Return to your place of business.

Tell the other manager(s) the prices quoted and that The Clothes Closet has adequatestock to fill an order for 12 denim shirts and 12 bandanna scarves.

Place the half sheet of paper in the Pending File.

JULY 6

■ RECORD THE WEEKLY RECEIPTS (Manager 3 or Manager 2)

Business Forms You Will Need: � Incoming Cash Slips � Cashier’s Check Register

Any checks and incoming cash received this past week must be recorded in the bank’s records.

COMPLETED

Turn to page 20 in this Operations Manual. Complete the steps titled When you recordthe weekly receipts, you should.

■ REQUEST A SERVICE CALL FROM UNITED COMMUNICATIONS


Business Forms You Will Need: � Appointment Calendar

The telephone in your office is not operating properly. Each time you make or receive a call, you hearconstant static and crackling noises on the line. You want the phone to be repaired as soon as possible.

COMPLETED

Go to United Communications and request a service call. Explain the problem to themanager and ask how soon a service call can be scheduled. Return to your place of business.


Make a notation on your appointment calendar.

C If you are using a paper calendar, remove the calendar from the Office File. Writetelephone service call in the space provided on the date when the telephone serviceperson is to repair the phone. Return the appointment calendar to the Office File.

V If you are using an electronic calendar, open the calendar on your computer. Recordtelephone service call in the space provided on the date when the telephone serviceperson is to repair the phone. Close the calendar.

CONGRATULATIONS! YOU HAVE JUST COMPLETED YOUR FIRST WORKWEEKAS MANAGER OF PETTISVILLE BANK.

■ GIVE THE MANAGER’S JOB PERFORMANCE EVALUATION TO YOUR INSTRUCTOR


Business Forms You Will Need: � Manager’s Weekly Job Performance Evaluation

At the end of each workweek, it is the responsibility of each manager to give his or her job performanceevaluation to the Instructor. Your Instructor will complete the form and return it to you. The manager’sweekly job performance evaluation represents your grade for this week. Make sure you turn it inon time!

COMPLETED

Find your job performance evaluation.

C If you are using Instructor-provided forms, remove 1 manager’s weekly job performanceevaluation from your Supplies folder.

V If you are printing your forms, open the forms document on your computer. FindUnit 9 Human Resources. Print 1 manager’s weekly job performance evaluation.

Complete only the top portion of the job performance evaluation. Write your name asmanager and circle workweek ending July 6. Give your job performance evaluation to yourInstructor.


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JULY 9

■ PURCHASE DENIM CLOTHING FROM THE CLOTHES CLOSET (Manager 2)

Business Forms You Will Need: � Purchase Order � Postage Meter Sheet� Address Labels & Metered Postage� Return Address Labels

You decide to order the denim clothing for your employees to wear during Western Roundup Days.You want to order 12 denim shirts (misses’ and men’s sizes) and 12 bandanna scarves. You want theitems shipped via Priority Mail.

COMPLETED

Remove from the Pending File the half sheet of paper on which you wrote the catalognumbers and prices for the shirts and scarves.

Turn to The Clothes Closet’s price list on page 337 in the Student Reference Book. Findthe items you want to buy.

Turn to page 148 in the Student Reference Book. Complete the steps titled Follow thesesteps when preparing a purchase order. HINT: In step 2c, this is the first purchase order issuedby Pettisville Bank. When you come to step 2e, record Priority Mail beside SHIP VIA.

■ SEND A MORTGAGE PAYMENT TO FARMERS & MERCHANTS STATE BANK(Manager 3)

Business Forms You Will Need: � Mortgage Loan #9876 � Cashier’s Checkbook� Cashier’s Check Register � Postage Meter Sheet� Address Labels & Metered Postage� Return Address Labels

Each month, you must make a mortgage payment on the loan from Farmers & Merchants State Bank.

COMPLETED

Remove mortgage loan contract No. 9876 from the Mortgage and Installment LoanContracts File. Read the contract and find the amount of the monthly payment. HINT:You already recorded your July payment on the loan contract.


Write a cashier’s check and record the payment in the cashier’s check register. Turn topage 19 in this Operations Manual. Complete the steps titled When you write a cashier’scheck, you should. When you come to step 3b, record Farmers & Merchants mortgage in theEXPLANATION column. Record the amount of the payment in the OTHER column. Referto line 4 on the illustration on page 20 in this Operations Manual.

Address an envelope and send the check to Farmers & Merchants State Bank.

Return the mortgage loan contract to the Mortgage and Installment Loan Contracts File.

JULY 10

■ ISSUE A BANK DRAFT TO THE DENIM MAKER (Manager 2)

Business Forms You Will Need: � Bank Draft #8549

Today or tomorrow the manager of The Denim Maker will come to the bank to purchase a bank draft.Wait until the manager of The Denim Maker comes before you take any action. Then you should

COMPLETED

Turn to page 32 in this Operations Manual. Complete the steps titled When you issue abank draft, you should.

■ AGREE TO LOAN MONEY TO BUCKEYE EQUIPMENT(Manager 3 or Manager 2)


Today or tomorrow the manager of Buckeye Equipment will come to the bank to arrange to borrow$25,000.00. Buckeye needs the money to complete expansion of the landscaping equipmentdepartment. Today the interest rate for a six-month loan is 12%. Wait until the manager of Buckeyecomes in and asks you for the loan. Then you should

COMPLETED

Agree to loan Buckeye Equipment $25,000 at 12% interest for six months. Tell the managerto stop back tomorrow to sign the promissory note and pick up the check.

■ COMPLETE A PROMISSORY NOTE AND A CHECK FOR BUCKEYE EQUIPMENT



You must complete the promissory note and prepare a check today so that the manager of BuckeyeEquipment can sign it tomorrow. The note is for 6 months at 12% interest.


COMPLETED

Use the illustration on page 207 in the Student Reference Book as a guide as you preparethe promissory note. Complete the steps titled Follow these steps when completing apromissory note. Include the following information on the promissory note.

� In step 3a, use tomorrow’s date (July 11, 20– –).


Write a check for $25,000.00 payable to Buckeye Equipment. Turn to page 19 in thisOperations Manual. Complete the steps titled When you write a cashier’s check, you should.In step 3b, record Promissory Note—Buckeye Equipment in the EXPLANATION column. Instep 3d, record the amount of the check in the OTHER column.


■ SORT AND FILE CANCELED CHECKS AND DEPOSIT SLIPS (Manager 1)


You have been recording checks and deposits on the bank statements and in the checking accountregister. The canceled checks and deposit slips are stored in the CANCELED CHECKS AND DEPOSITSLIPS TO BE SORTED AND FILED envelope. Today you will sort these items and file them in envelopespreaddressed to customers.

COMPLETED

Remove the CANCELED CHECKS AND DEPOSIT SLIPS TO BE SORTED AND FILED envelopefrom the Checking Accounts File. Remove all checks and deposit slips from the envelope.

Sort the items into piles by customer name. (The customer on a deposit slip is the businessname imprinted on the deposit slip. The customer on a check is the business nameimprinted on the check.) Place all items for 18 Wheeler Truck Lines in one pile and itemsfor Buckeye Equipment in another pile, etc. A pile might contain only one check or depositslip. Continue in this manner until all items have been sorted.

Remove the preaddressed customer envelopes from the Checking Accounts File. Theenvelopes should be in alphabetic order by customer name.

Take the first pile of items. Find the envelope for that customer. Place the items in theenvelope. Do not seal the envelope. Place the envelope aside for now. Continue in thismanner until all piles have been filed in envelopes.

Make sure the envelopes are in alphabetic order by customer name. Return the envelopesto the Checking Accounts File. Return the CANCELED CHECKS AND DEPOSIT SLIPS TO BESORTED AND FILED envelope to the Checking Accounts File.


■ REGISTER FOR A COMPUTER WORKSHOP OFFERED BY TAYLOR OFFICE SUPPLIES

(Manager 2)


Taylor Office Supplies is offering Saturday morning workshops for individuals in the community whowant to learn about personal computers. The enrollment is limited, so you want to sign up immediately.The fee for the materials is a personal expense. You must use your savings to pay for the workshop.Since you are registering as a private citizen, not as a manager of a business, assume that this transactionis completed on your lunch hour.

NOTE: If there are two or three managers assigned to Pettisville Bank, only Manager 2 will registerfor the workshop today. Manager 1 and Manager 3 will register later.

COMPLETED

Remove your personal cash envelope from the Cash File. Take your cash with you and goto Taylor Office Supplies. Ask the following questions.

� On which Saturdays do you have openings in the computer workshop?

� What time does the workshop begin and end?

� How much is the fee for materials?

Register for the workshop on a Saturday of your choice. Pay the fee for materials.

Return to your place of business. Make a notation on your appointment calendar regardingthe date and time the workshop will be held. If you are using a paper calendar, write theinformation on the lines beside notes at the bottom of the calendar.

JULY 11

■ FILE THE SIGNED PROMISSORY NOTE FROM BUCKEYE EQUIPMENT



The manager of Buckeye Equipment will stop by to sign the promissory note you prepared and receivethe $25,000 loan. Wait until the manager of Buckeye Equipment comes in before you take anyaction. Then you should

COMPLETED



■ DONATE MONEY FOR THE STRAWBERRY FESTIVAL (Manager 3 or Manager 2)

Business Forms You Will Need: � Cashier’s Checkbook � Cashier’s Check Register

Today or tomorrow the manager of Lee Community Center will come to the bank to ask if PettisvilleBank will contribute the cost of the strawberries for this year’s Strawberry Festival. The first StrawberryFestival was held five years ago. Each year, Pettisville Bank has donated the cost of the strawberries.Wait until the manager of Lee Community Center comes in before you take any action. Thenyou should

COMPLETED

Listen to the manager’s request. Ask the manager the following questions.

� On what dates will the festival be held?

� Does the committee expect many people to attend the festival?

� How much will this year’s strawberries cost?

� Will the bank be given any recognition for its donation?

Agree to donate the money to cover the cost of the strawberries. Write a cashier’s checkand record the payment in the cashier’s check register. Turn to page 19 in this OperationsManual. Complete the steps titled When you write a cashier’s check, you should. When youcome to step 3b, record Advertising in the EXPLANATION column.

■ WRITE A LETTER TO FARMERS & MERCHANTS STATE BANK (Manager 2)

Business Forms You Will Need: � Letterhead Stationery � Postage Meter Sheet� Address Labels & Metered Postage� Return Address Labels

The Farmers & Merchants State Bank makes a money display available to member banks for specialoccasions. The display features a colorful assortment of coins and paper money. You decide to use thedisplay as a special attraction for Western Roundup Days. Write a letter to Farmers & Merchants StateBank to arrange to use the display.

COMPLETED

Turn to page 98 in the Student Reference Book. Complete the steps titled Follow thesesteps when writing letters. Be sure to include the following information.

� The correct mailing address for Farmers & Merchants State Bank (Refer to page 3 inthis Operations Manual.)

� You want to schedule use of the money display for July 27 and July 28.

� You want to use the display as a special attraction during Western Roundup Days.

� You want the bank to contact you if the display is not available. If you do not hear fromthe bank, you will pick up the display before closing time on July 26.

� You will return the display to the bank on the morning of July 30.

� You will be happy to furnish any other information. You may be reached at(419) 555-0101 or by e-mail (give your Mean Jeans e-mail address if you have one).


■ ORDER SHARES OF STOCK FROM NOUVEAU INVESTMENT COMPANY(Manager 1)

Business Forms You Will Need: � New York Stock Exchange Guide

You have been saving your personal money so that you can purchase some shares of stock in anothercorporation. The money in your personal cash envelope represents your personal savings. You mustdecide today what type of stock you wish to purchase and how many shares you want to buy. You willplace the New York Stock Exchange Guide in your Pending File so that you can keep an ongoing recordof how well your stock is doing.

NOTE: Only Manager 1 will order stock today. The other manager(s) will order stock at a later date.

COMPLETED

Turn to page 306 in the Student Reference Book. Complete the steps titled Follow thesesteps when you order shares of stock.

JULY 12

■ GET CHECKS FROM YOUR INSTRUCTOR (Manager 1)


Checks that were sent by Pettisville businesses to persons or businesses not operating in your classroomhave been delivered to your Instructor. Like all checks, those checks must be recorded on the bankstatements and in the checking account register.

COMPLETED

Go to your Instructor and ask for the incoming checks. Return to your place of business.

Place the checks in the CHECKS & DEPOSITS TO BE RECORDED envelope in the CheckingAccounts File to be processed later.

■ ORDER CELL TELEPHONES FROM UNITED COMMUNICATIONS (Manager 2)


You have decided to order cell phones for each manager of the bank.

COMPLETED

Go to United Communications. Ask the manager the following questions.

� How many styles of cell telephones are available?

� Would you describe each style?

� What is the purchase price of each style?


Purchase one phone for each manager of Pettisville Bank. HINT: You will be billed for thephones on your August telephone bill.

Return to your place of business. Assume that you left United Communications with thecell phones in hand.

■ COMPLETE THE AUDIT SUMMARY (Manager 3 or Manager 2)

Business Forms You Will Need: � Audit Summary

The audit summary will help your Instructor identify problems you may be having in carrying out theduties as manager of Pettisville Bank. If two or three managers are assigned to Pettisville Bank,Manager 3 or Manager 2 should complete the audit summary.

NOTE: Although only one manager may prepare the audit summary, all managers should readthe audit summary before submitting it to the Instructor. Each manager is responsiblefor being familiar with the information on the audit summary.

COMPLETED

Turn to page 245 in the Student Reference Book. Complete the steps titled Follow thesesteps when you complete the audit summary.



If two or three managers are assigned to Pettisville Bank, only Manager 2 will order shares ofstock today.

COMPLETED

Turn back to the checklist for July 11. Complete the activities listed under ORDER SHARESOF STOCK FROM NOUVEAU INVESTMENT COMPANY. Place a check mark beside the activityas you complete it.

JULY 13

■ REPLENISH THE POSTAGE ON YOUR POSTAGE METER(Manager 3 or Manager 2)

Business Forms You Will Need: � Postage Meter Sheet � Cashier’s Checkbook� Cashier’s Check Register

The amount of postage remaining on your postage meter is running low. Some businesses purchasepostage for their meters on the Internet, and the meter is reset electronically. For the purpose of thissimulation, the postage meter sheet in your Cash File represents the head of your postage meter. Youmust take the head of the meter to the post office to get it reset with additional postage.


COMPLETED

Turn to page 186 in the Student Reference Book. Find the steps titled Follow these stepswhen you replenish the postage on your postage meter. Complete steps 1 through 4.

Record the payment in your cashier’s check register. HINT: Record Postage in theEXPLANATION column.

Return the postage meter sheet to the Cash File.

■ MAKE A CONTRIBUTION TO LEE COMMUNITY CENTER


Business Forms You Will Need: � Cashier’s Checkbook � Cashier’s Check Register� Postage Meter Sheet� Address Labels & Metered Postage� Return Address Labels

One of the favorite charities of Pettisville Bank is Lee Community Center. Each year you and youremployees contribute to this worthwhile organization. This year’s annual contribution is $2,500.00.

COMPLETED

Phone or e-mail Lee Community Center and tell the manager you will be sending a checkfor $2,500.00 for your employees’ annual contribution. If you do not have telephoneequipment or a Mean Jeans e-mail account, skip this step.

Write a cashier’s check payable to Lee Community Center for $2,500.00. Write EmployeeDonation on the FOR line of the check. Prepare an envelope and mail the check to thecommunity center.

Record the payment in your cashier’s check register. HINT: Record Contribution toCommunity Center in the EXPLANATION column of the cashier’s check register.



All cash and incoming checks that were received this past week must be recorded in the bank’s records.

COMPLETED



■ COMPLETE A PROMISSORY NOTE AND A CHECK FOR POPULAR DESIGNS(Manager 3 or Manager 2)


The manager of Popular Designs called today and asked for a $6,000.00 loan. You agreed to loan themoney at 12% interest for 30 days. You will prepare a promissory note and write a cashier’s checktoday. The manager of Popular Designs will come to the bank on July 16 to pick up the check and signthe note.

COMPLETED

Turn to page 207 in the Student Reference Book. Complete the steps titled Follow thesesteps when completing a promissory note. Include the following information on thepromissory note.

� In step 3a, use July 16, 20– – for the date.


Write a check payable to Popular Designs for $6,000.00. Turn to page 19 in this OperationsManual. Complete the steps titled When you write a cashier’s check, you should. In step 3b,record Promissory Note—Popular Designs in the EXPLANATION column. In step 3d, recordthe amount of the check in the OTHER column.


CONGRATULATIONS! YOU HAVE JUST COMPLETED YOUR SECOND WORKWEEKAS MANAGER OF PETTISVILLE BANK.

■ GIVE THE MANAGER’S JOB PERFORMANCE EVALUATION TO YOUR INSTRUCTOR(Managers 1, 2, and 3)



COMPLETED




Complete only the top portion of the job performance evaluation. Write your name asmanager and circle workweek ending July 13. Give your job performance evaluation toyour Instructor.


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JULY 16

■ PREPARE THE JULY 13 TIME CARDS (Manager 1)

Business Forms You Will Need: � Time Cards #1-12 (July 13th)

Before you can complete your biweekly payroll for the pay period ending July 13, you must preparethe time cards.

COMPLETED

Turn to page 121 in the Student Reference Book. Complete the steps titled Follow thesesteps when preparing time cards.

NOTE: Time card #10 is for Manager 1, Time Card #11 is for Manager 2, and Time Card #12 is forManager 3. If you do not have a Manager 3 at Pettisville Bank, use the name and socialsecurity number given in step 3 on page 121 in the Student Reference Book. If you arethe only manager of the bank, make up a name and social security number for Manager 2.

■ PREPARE THE JULY 13 PAYROLL REGISTER (Manager 1)

Business Forms You Will Need: � Payroll Register � Time Cards #1-12 (July 13th)� Cashier’s Checkbook � Cashier’s Check Register

All employees of Pettisville Bank are paid biweekly (or every two weeks). A payroll register is used tosummarize information recorded on employee time cards. Wages and deductions for all employeesare recorded on this single report. The payroll register must be completed and proved (checked foraccuracy) before any money can be paid to individual employees. The payroll register may be preparedeither manually or electronically.

COMPLETED

Turn to pages 124-126 in the Student Reference Book. Carefully read these pages. Payspecial attention to the illustrations. Find the steps titled Follow these steps when preparinga payroll register on page 127 in the Student Reference Book.


Begin to complete the payroll register. Complete steps 1 through 7 on pages 127-129 inthe Student Reference Book. Be very careful as you record the information from the timecards onto the payroll register. Double-check all amounts you record. Make sure yourecord each amount in the proper column. If you have any difficulty completing theDEDUCTIONS section of the payroll register, ask your Instructor for help.

Complete step 8 on page 129 in the Student Reference Book. Do not continue untilyour payroll register is accurate.

Complete steps 9 through 11 beginning on page 129 in the Student Reference Book.

■ PROCESS THE DENIM MAKER’S PAYROLL REGISTER (Manager 2)

Business Forms You Will Need: � Checking Account Register� Bank Statement (front page for The Denim Maker)

The manager of The Denim Maker should come in today or tomorrow to give you the payroll registerfor the July 13 pay period. It is your responsibility to deduct the total gross pay from The DenimMaker’s checking account balance. Since The Denim Maker contracted with Pettisville Bank forcomputer payroll service, the bank will electronically make the payments to the employees’ accountsand forward the withholding taxes to the proper agencies. For the purpose of this simulation, assumethat this has been done. Wait until the manager of The Denim Maker comes before you take anyaction. Then you should

COMPLETED

Accept the payroll register from the manager of The Denim Maker. Make sure theInstructor’s initials are on the payroll register.

Ask the manager to wait while you make the entries. HINT: You will return the payrollregister to the manager after you make the entries.

Open the checking account register. Find the page for The Denim Maker.

Find the Gross Pay column on the payroll register. Go down the column and find the totalgross pay. Record that amount in the checking account register.

� Record today’s simulation date in the DATE column.

� Record the words Automatic Payroll in the EXPLANATION column.

� Record the amount of the total gross pay in the CHECKS PAID column.

Open The Denim Maker’s bank statement on your computer, or remove it from the CheckingAccounts File.

Record the total gross pay on the bank statement.

� Record the abbreviation EFT (Electronic Funds Transfer) in the far left column underCHECKS AND OTHER DEBITS. (Refer to the illustration on page 72 in the StudentReference Book.)

� Record the gross pay in the next column under CHECKS AND OTHER DEBITS.

� Record today’s July date in the DATE column.

� Find the new balance.


C If you are using a manual bank statement, subtract the payment from the previousbalance. Record the new balance. Return the bank statement to the CheckingAccounts File.

V If you are using an electronic bank statement, the calculation is automatic. Close thebank statement.

Return the payroll register to the manager of The Denim Maker.

Close the checking account register.

■ FILE THE SIGNED PROMISSORY NOTE FROM POPULAR DESIGNS (Manager 3)


The manager of Popular Designs will stop by to sign the promissory note you prepared and receivethe $6,000 loan. Wait until the manager of Popular Designs comes to you before you take anyaction. Then you should

COMPLETED


JULY 17



You have been recording checks and deposits on the bank statements and in the checking accountregister. The canceled checks and deposit slips are stored in the CANCELED CHECKS AND DEPOSITSLIPS TO BE SORTED AND FILED envelope. Today you will sort these items and file them in envelopespreaddressed to customers.

COMPLETED

Turn back to the checklist for July 10. Complete the activities under SORT AND FILECANCELED CHECKS AND DEPOSIT SLIPS. Place another check mark beside each activityas you complete it.




If 3 managers are assigned to Pettisville Bank, Manager 3 will order shares of stock today. If the bankhas only 1 or 2 managers, skip this activity.

COMPLETED

Turn back to the checklist for July 11. Complete the activities listed under ORDER SHARESOF STOCK FROM NOUVEAU INVESTMENT COMPANY. Place a check mark beside the activityas you complete it.

JULY 18

■ ACCEPT INSTALLMENT LOAN PAYMENTS (Manager 3 or Manager 2)

Business Forms You Will Need: � Installment Loan #817 � Installment Loan #818

Installment loan payments are due today from 18 Wheeler Truck Lines and Nouveau InvestmentCompany. Wait until each manager comes in with a check and a copy of the installment loancontract to make a payment on the loan. Then you should

COMPLETED

Turn to page 28 in this Operations Manual. Complete the steps titled When you receivean installment loan payment, you should.

■ RETURN THE WESTERN ROUNDUP DAYS PRIORITY SEATING RESERVATION FORM(Managers 1, 2, and 3)

Business Forms You Will Need: � Priority Seating—Western Roundup Days� Appointment Calendar � Postage Meter Sheet� Address Labels & Metered Postage� Return Address Labels

A messenger from Pettisville Chamber of Commerce brings good news. Priority seating is available inthe Pettisville Athletic Field grandstand during Western Roundup Days. You may reserve up to 4 seatsfor the Lone Star Traveling Rodeo. If Pettisville Bank has 2 or 3 managers, all managers should completea form.

COMPLETED

Find your reservation sheet.

C If you are using Instructor-provided forms, remove the Priority Seating—WesternRoundup Days reservation form from the Supplies folder. If there are 3 managers atPettisville Bank, you will need 2 of these sheets (each sheet contains two forms). Askyour Instructor to make a photocopy of the sheet.


V If you are printing your forms, open the forms document on your computer. FindUnit 2 Business Communications. Print the Priority Seating—Western Roundup Daysreservation form. HINT: If there are 3 managers at Pettisville Bank, you will need 2Priority Seating—Western Roundup Days sheets (each sheet contains two forms).Print an extra sheet.

Use scissors to separate the 2 forms.

Look at your appointment calendar for July 28. The rodeo will take place from 2 p.m. to 4p.m. on July 28. Check your calendar to be sure that the rodeo does not conflict with theevent at which you volunteered to work. (The electronic games are also scheduled in theafternoon.) If you have a conflict, then reserve seats for your family members.

Decide how many seats you want to reserve.

Complete the reservation form(s) by filling in the information requested. Mail thereservation form(s) to the Chamber of Commerce.

JULY 19



Checks that were sent by Pettisville businesses to persons or businesses not operating in your classroomhave been delivered to your Instructor. These checks must be recorded on the bank statements and inthe checking account register.

COMPLETED



■ SEND SERVICE INVOICES FOR SAFE DEPOSIT BOX RENTALS (Manager 2)

Business Forms You Will Need: � Safe Deposit Rent-Due Notices� Service Invoice � Postage Meter Sheet� Address Labels & Metered Postage� Return Address Labels

The Denim Maker and Nouveau Investment Company both rent safe deposit boxes at the bank. Arental fee is collected once a year for this service. Today you must send service invoices to these twobusinesses notifying them that their payments are due.


COMPLETED

Find the safe deposit box rent-due notices.

C If you are using Instructor-provided forms, remove the safe deposit box rent-due noticessheet from the Supplies folder.

V If you are printing your forms, open the forms document on your computer. FindUnit 4 Accounts Payable and Receivable. Print 1 sheet of safe deposit box rent-duenotices.

Use scissors to separate the two notices. Notice that The Denim Maker’s annual rental feeis $45 for a large safe deposit box, and Nouveau Investment Company’s annual rental feeis $30 for a small safe deposit box.

Turn to page 162 in the Student Reference Book. Read the information there about serviceinvoices.

Prepare 2 service invoices. Turn to page 163 in the Student Reference Book. Completethe steps titled Follow these steps when preparing a service invoice. HINT: When you cometo step 6, staple the safe deposit box rent-due notices to the front of the ORIGINAL invoices.

■ WRITE A LETTER TO POPULAR DESIGNS REQUESTING FREE

ANNOUNCEMENT BUTTONS (Manager 3 or Manager 1)

Business Forms You Will Need: � Letterhead Stationery � Postage Meter Sheet� Address Labels & Metered Postage� Return Address Labels

At the last Chamber of Commerce meeting, President Jerry Sherman announced that each businessparticipating in Western Roundup Days could request up to 3 free announcement buttons foremployees to wear to promote this special event. As manager of Pettisville Bank, it is your responsibilityto decide how many buttons you wish to request for your employees. All requests must be in writingto Popular Designs.

COMPLETED

Turn to page 98 in the Student Reference Book. Complete the steps titled Follow thesesteps when writing letters. Be sure to include the following information.

� The correct mailing address for Popular Designs (Refer to page 3 in this OperationsManual.)

� You would like for your employees to wear the Western Roundup Days announcementbuttons to promote this special event.

� You would like _____ free Western Roundup Days announcement buttons.

� You appreciate the fact that Felicia Hernandez (the owner of Popular Designs) designedthe buttons as a free service to the community.


JULY 20

■ PREPARE FOR MEAN JEANS ANNUAL STOCKHOLDERS’ MEETING(Managers 1, 2, and 3)

Business Forms You Will Need: � Notice of Mean Jeans Annual Stockholders’ Meeting� Proxy Card (for managers not attending the meeting)� Mean Jeans Stock Certificate No. 89484B (Manager 1)� Mean Jeans Stock Certificate No. 89485B (Manager 2)� Mean Jeans Stock Certificate No. 89486B (Manager 3)� Appointment Calendar

You are a stockholder in Mean Jeans Manufacturing Co. As a valued stockholder, you are invited eachyear to participate in the annual stockholders’ meeting. If you are unable to attend the meeting, youwill return a proxy card so that someone else may vote on your behalf. If you will be attending themeeting, there are steps you must take to get ready. Check with your Instructor to find out if themeeting will be held in your classroom.

COMPLETED

Get ready for the meeting.

If you are NOT attending the meeting, turn to page 312 in the Student Reference Book.Complete the steps titled Follow these steps if you will not attend the annualstockholders’ meeting.

If you ARE attending the meeting, turn to page 313 in the Student Reference Book.Complete the steps titled Follow these steps if you are told to attend the annualstockholders’ meeting.



All cash and incoming checks that were received this past week must be recorded.

COMPLETED


■ ARRANGE TO HOLD A MEETING AT LEE COMMUNITY CENTER (Manager 2)


July 25 is the date set aside for a meeting of all loan department personnel. Several guests from nearbybanks have also been invited to attend. It is your responsibility to make the necessary arrangements.You decide to use one of the meeting rooms available at Lee Community Center.


COMPLETED

Go to Lee Community Center. Tell the manager that

� Pettisville Bank’s loan department would like to hold a meeting in one of the communitycenter’s meeting rooms on July 25.

� The room must be large enough to hold approximately 35 people.

� You will need the room from 6:45 p.m. to 9:00 p.m.

� You would like the community center’s social committee to provide refreshments.Specify 3 kinds of submarine sandwiches and 2 kinds of cookies of your choice. The billfor the refreshments should be sent to you on August 1.

Return to your place of business. Make a notation on your appointment calendar.

CONGRATULATIONS! YOU HAVE JUST COMPLETED YOUR THIRD WORKWEEKAS MANAGER OF PETTISVILLE BANK.

■ GIVE THE MANAGER’S JOB PERFORMANCE EVALUATION TO YOUR INSTRUCTOR




COMPLETED






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JULY 23

■ PAY THE UTILITY BILL (Manager 3 or Manager 2)

Business Forms You Will Need: � Utility Bill from Pettisville Power and Light Co.� Cashier’s Checkbook � Cashier’s Check Register� Checking Account Register

The Pettisville Power and Light Company has authorized Pettisville Bank to collect utility bill paymentsfrom Pettisville businesses. This arrangement is convenient for Pettisville Power and Light Companybecause it provides direct deposits to the utility company’s account at the bank. It is also convenientfor Pettisville Bank as a customer.

COMPLETED

Find your utility bill.

C If you are using Instructor-supplied forms, remove the utility bill from the Supplies folder.

V If you are printing your forms, open the forms document on your computer. FindUnit 4 Accounts Payable and Receivable. Print the utility bill.

Notice that the utility bill has two parts, the bill itself and the remittance slip. The remittanceslip is returned to the utility company with your payment. The bill is filed for future reference

Write a cashier’s check payable to Pettisville Power and Light Company. Use scissors toseparate the remittance slip from the bill on the dashed line.

Record the payment in your cashier’s check register. HINT: Record Utility Bill in theEXPLANATION column of the check register.

Write PAID across the large portion of the utility bill. Place it in the Office File.

Place the remittance slip in the Pettisville Power and Light Company envelope in theChecking Accounts File.

Open the checking account register. Record the check in the Utility Company column.Close the checking account register.

Endorse the check. On the back of the check, write Credit to Pettisville Power and LightCompany’s account. Place the check in the CHECKS & DEPOSITS TO BE RECORDED envelopein the Checking Accounts File.



(Manager 1)


Manager 1 will register for the computer workshop today.

COMPLETED

Turn back to the checklist for July 10. Complete the activities under REGISTER FOR ACOMPUTER WORKSHOP OFFERED BY TAYLOR OFFICE SUPPLIES. Place a check mark besideeach activity as you complete it.

■ CHECK ON YOUR SHARES OF STOCK (Managers 1, 2, and 3)


You purchased stock recently from Nouveau Investment Company. From time to time you check yourstock to see how well it is doing. Assume that you are on your lunch hour. All managers of PettisvilleBank should complete this activity.

COMPLETED

Turn to page 308 in the Student Reference Book. Complete the steps titled Follow thesesteps when you check on your shares of stock.

■ PARTICIPATE IN MEAN JEANS ANNUAL STOCKHOLDERS’ MEETING


Business Forms You Will Need: � Mean Jeans Stock Certificate No. 89484B (Manager 1)� Mean Jeans Stock Certificate No. 89485B (Manager 2)� Mean Jeans Stock Certificate No. 89486B (Manager 3)� Notice of Mean Jeans Annual Stockholders’ Meeting

The day has now arrived for the annual meeting of stockholders of Mean Jeans Manufacturing Co. Ifyour Instructor told you that the meeting would be held in your classroom, complete the steps below.If your Instructor told you that the meeting would not be held, then skip this activity.

COMPLETED

Open your Pending File. Remove your stock certificate and the notice of the annualmeeting. Read again the information on the notice. Place the notice in the Office File.

Take your stock certificate and your Student Reference Book with you to the meeting. Whenyou return from the meeting, place the stock certificate in the Office File.


JULY 24

■ PURCHASE OFFICE SUPPLIES FROM TAYLOR OFFICE SUPPLIES


Business Forms You Will Need: � Office Supplies Requisition No. 2� Office Supplies Requisition No. 4� Purchase Order � Cashier’s Checkbook� Cashier’s Check Register

You will purchase office supplies from Taylor Office Supplies. Your purchase will be on a cash-and-carry basis. Cash and carry means you will go to the store, place the order, pay for the items, and carrythem back to your business.

COMPLETED

Turn to page 152 in the Student Reference Book. Complete the steps titled Follow thesesteps when ordering office supplies. Complete steps 1 through 7. HINT: This is the secondpurchase order issued by Pettisville Bank.

Record the payment in your cashier’s check register. HINT: Record Office Supplies in theEXPLANATION column of the check register.

Staple or paper clip the 2 requisitions and the purchase order to the back of the invoice.Place these papers in the Office File.



Checks that were sent by Pettisville businesses to persons or businesses not operating in your classroommust be recorded on the bank statements and in the checking account register.

COMPLETED




JULY 25

■ ISSUE A BANK DRAFT TO LEE COMMUNITY CENTER (Manager 2)

Business Forms You Will Need: � Bank Draft #8550

Today or tomorrow the manager of Lee Community Center will stop by to purchase a bank draft. Waituntil the manager comes to you before you take any action. Then you should

COMPLETED

Turn to page 32 in this Operations Manual. Complete the steps titled When you issue abank draft, you should.


(Manager 3)


If three managers are assigned to Pettisville Bank, Manager 3 will register for the workshop today. IfPettisville Bank has only one or two managers, skip this activity.

COMPLETED

Turn back to the checklist for July 10. Complete the activities under REGISTER FOR ACOMPUTER WORKSHOP OFFERED BY TAYLOR OFFICE SUPPLIES. Place a check mark besideeach activity as you complete it.

JULY 26



Checks that were sent by Pettisville businesses to persons or businesses not operating in your classroommust be recorded on the bank statements and in the checking account register.

COMPLETED






All canceled checks and deposit slips that have been recorded on bank statements and in the checkingaccount register are stored in the CANCELED CHECKS AND DEPOSIT SLIPS TO BE SORTED AND FILEDenvelope. Today you will sort these items and file them in envelopes preaddressed to customers.

COMPLETED


JULY 27



All cash and incoming checks received this past week must be recorded in the bank’s records.

COMPLETED


■ PROCESS TODAY’S BANK DEPOSITS (Managers 1 and 2)

Business Forms You Will Need: � Bank Statements (front pages of 13)� Checking Account Register

On July 30, the July bank statements will be mailed to Pettisville checking account customers. Alldeposits made today must be included on the statements. Also, all checks included in the depositsmust be canceled and recorded on the statements. Manager 1 should ask Manager 2 to accept alldeposits today at the drive-in window. Manager 2 will verify the deposits as they are made. Manager1 will record each deposit on the bank statement immediately after Manager 2 processes it. Manager1 will also process and record all checks paid by the bank.

COMPLETED

Manager 1 should take each verified deposit from Manager 2 and record it on thecustomer’s bank statement and in the checking account register. Follow the steps onpage 22 in this Operations Manual titled When you record customers’ deposits, you should.Continue in this manner until you have recorded a deposit for each business. (LeeCommunity Center and The Towne Crier will make their deposits on July 30, but thosedeposits will not be listed on this month’s bank statement.)


Process the checks and record them as paid on bank statements and in the checkingaccount register. Turn to page 24 in this Operations Manual. Complete the steps titledWhen you record customers’ checks, you should.



The canceled checks and deposit slips that have been processed today must be sorted and filed in thepreaddressed customer envelopes.

COMPLETED


■ COMPLETE THE BANK STATEMENTS (Managers 1 and 2)

Business Forms You Will Need: � Bank Statements (front pages of 15)� Checking Account Register

Today you will calculate the July service charge for each Pettisville checking account customer. Youwill then record that charge on the proper bank statement and make an entry in the checking accountregister. When the bank statement and checking account register balances for each customer areproved (when the balances agree), you will have completed the statement for that customer. Anydeposits received after today will be included on next month’s bank statement. Manager 1 should askManager 2 to help complete the July bank statements.

COMPLETED

Turn to page 29 in this Operations Manual. Complete the steps titled When you sendbank statements, you should.

CONGRATULATIONS! YOU HAVE JUST COMPLETED YOUR FOURTH WORKWEEKAS MANAGER OF PETTISVILLE BANK.

■ GIVE THE MANAGER’S JOB PERFORMANCE EVALUATION TO YOUR INSTRUCTOR(Managers 1, 2, and 3)




COMPLETED





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JULY 30

■ PREPARE THE JULY 27 TIME CARDS (Managers 2 and 3)

Business Forms You Will Need: � Time Cards #1-12 (July 13th)� Time Cards #1-12 (July 27th)

Before the employees at Pettisville Bank can be paid again, you must first prepare the time cards forthe July 27th pay period.

COMPLETED

Find the July 27 time cards.

C If you are using Instructor-provided forms, remove the time cards for the current payperiod (July 27) from the Supplies folder.

V If you are printing your forms, open the forms document on your computer. FindUnit 3 Payroll. Print the time cards for the current pay period (July 27).

Remove the July 13 time cards from the Office File.

Copy the employee names from the July 13 time cards onto the July 27 time cards. Copythe social security numbers for the managers onto the July 27 time cards.


Place the July 27 time cards in the Office File. Give the old time cards for the July 13 payperiod to your Instructor.

■ PREPARE THE JULY 27 PAYROLL REGISTER (Manager 2 and Manager 3)

Business Forms You Will Need: � Payroll Register � Time Cards #1-12 (July 27th)� Cashier’s Checkbook � Cashier’s Check Register

The second pay period ended July 27. It is time once again to prepare a payroll register and pay theemployees.

COMPLETED

Turn back to the checklist for July 16. Complete the activities under PREPARE THE JULY 13PAYROLL REGISTER. Place another check mark beside each activity as you complete it.

■ MAIL BANK STATEMENTS TO CUSTOMERS (Manager 1)

Business Forms You Will Need: � Bank Statements (pages 1 and 2 of 15)� Postage Meter Sheet

Today you must mail the bank statements to all Pettisville checking account customers.

COMPLETED

Remove the preaddressed envelopes from the Pending File. Remove the postage metersheet from the Cash File.

Place postage on each envelope. Record the total postage used on your Postage MeterSheet.

Take the envelopes to the post office. Ask the manager to make sure the bank statementsare delivered today.

■ PROCESS THE REMAINING DEPOSITS (Manager 1)

Business Forms You Will Need: � Deposit Receipts

The managers of Lee Community Center and The Towne Crier will come in today to make deposits.These deposits will not be listed on this month’s bank statement.

COMPLETED

Place the deposit for Lee Community Center in the SAFE in the Cash File.

Place the deposit for The Towne Crier in the SAFE in the Cash File.


■ PROCESS THE DENIM MAKER’S PAYROLL REGISTER (Manager 1)


The manager of The Denim Maker should come in today or tomorrow to give you the payroll registerfor the July 27 pay period. Wait until the manager of The Denim Maker comes before you take anyaction. Then you should

COMPLETED

Take the payroll register from the manager. Make sure the Instructor’s initials are recordedon the payroll register. Look at the total of the Gross Pay column.

Remove 1 sheet of notebook paper from your Supplies folder. Write The Denim Maker,Payroll for July 27, Gross Pay $__________. Explain that you will process the payroll onAugust 1.

Tell the manager of The Denim Maker that the total for payroll should not be recorded onthe cashbook until August.

Return the payroll register to the manager of The Denim Maker.

Place the sheet of paper with your notes in the Office File.

■ CALCULATE THE AMOUNT RECEIVED FOR SERVICE CHARGES

(Managers 1 and 2)

Business Forms You Will Need: � Checking Account Register

You must determine the amount of service charges received from all Pettisville checking accountcustomers and turn in a summary to your Instructor.

COMPLETED

Manager 1 should ask Manager 2 to help prepare the summary.

Remove 1 sheet of notebook paper from the Supplies folder (or you may key the summary).Record JULY SERVICE CHARGES at the top of the page.

Open the checking account register. Ask Manager 2 to read to you the names of thebusinesses and the amounts of the service charges. Write each business name and theamount of the service charge for each Pettisville business.

Total the amounts just listed. At the bottom of the page, record SERVICE CHARGES FORJULY. Then record the total received.


Take the summary to your Instructor.


JULY 31

■ SEND A DEPOSIT RECEIPT TO THE INTERNAL REVENUE SERVICE (Manager 1)

Business Forms You Will Need: � Checking Account Register� Deposit Receipts � Postage Meter Sheet� Address Labels & Metered Postage� Return Address Labels

The checks received by the bank made payable to the Internal Revenue Service have been deposited tothe account of the Internal Revenue Service. You will send a receipt to inform the IRS of the amountcollected and deposited to its account this month.

COMPLETED

Remove the envelope for the Internal Revenue Service from the Checking Accounts File.Remove the Federal Tax Deposit Cards from the envelope. Total the deposits of all thecards. Record the total: $___________.

Open the checking account register. Find the page for the Internal Revenue Service.

Total the amounts listed under the Internal Revenue Service column. (Refer to line 25 ofthe illustration on page 23 in this Operations Manual.) HINT: If you are using an electronicregister, this total is calculated automatically.

Compare the total with the amount you wrote above. If the two totals do not agree, checkyour calculations.

Remove 1 deposit receipt from the Supplies folder. Complete the deposit receipt.


b. Record the correct time.

c. Record Account No. 445-7641.

d. Record the total deposit.

Clip the deposit receipt to the front of the Federal Tax Deposit Cards. Place the items inthe preaddressed envelope. Place the proper postage on the envelope, and mail theenvelope to the IRS.



■ SEND A DEPOSIT RECEIPT TO PETTISVILLE POWER AND LIGHT COMPANY

(Manager 1)

Business Forms You Will Need: � Checking Account Register� Deposit Receipts � Postage Meter Sheet� Address Labels & Metered Postage� Return Address Labels

The checks received by the bank payable to Pettisville Power and Light Company for utility bills havebeen deposited to the utility company’s account. You will send a receipt to inform Pettisville Powerand Light of the amount collected and deposited to its account this month.

COMPLETED

Remove the envelope for Pettisville Power and Light Company from the Checking AccountsFile. Remove the utility bill remittance slips from the envelope. Total the payments madeby all customers. Record the total: $____________.

Open the checking account register. Find the page for Pettisville Power and Light Company.

Total the amounts listed under the utility company column. (Refer to line 25 of theillustration on page 23 in this Operations Manual.) HINT: If you are using an electronicregister, this total is calculated automatically

Compare the total with the amount you wrote above. If the two totals do not agree, checkyour calculations.

Remove 1 deposit receipt from the Supplies folder. Complete the deposit receipt.

� Write today’s July date.

� Record the correct time.

� Record Account No. 599-1658.

� Record the total deposit.

Clip the deposit receipt to the front of the utility bill remittance slips. Place the items inthe preaddressed envelope. Place the proper postage on the envelope, and mail theenvelope.



■ CHECK ON YOUR SHARES OF STOCK (Managers 1, 2, and 3)


Once again you need to check on the progress of the stock you purchased. Assume that you are onyour lunch hour. All managers should complete this activity.

COMPLETED

Turn to page 308 in the Student Reference Book. Complete the steps titled Follow thesesteps when you check on your shares of stock.

Give your New York Stock Exchange Guide to your Instructor.

■ COMPLETE THE FINAL AUDIT (Managers 1, 2, and 3)

Business Forms You Will Need: � Final Audit

Now that you have completed all activities for the month of July, you must get your records ready toturn into your Instructor. Do not complete this activity until all other activities for July have beencompleted.

COMPLETED

Ask your Instructor if you should print copies of the checking account register and bankstatements for your final audit. (Your Instructor may choose to look at these documentson screen rather than seeing a paper copy.)

Turn to page 247 in the Student Reference Book. Complete the steps titled Follow thesesteps when completing the final audit.

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