For a record of departmental sales the form shown in Fig. 7 may be used. The data for this report is secured from the commodity records, Fig. 6. For each commodity, the quantity and total amount of sales are entered. Following this is a per cent column in which is entered the ratio which the sale of each commodity bears to the total sales of the department. The columns which follow are the same as on the commodity sales records. A loose-leaf form should be used, and this may be filed with the commodity records--the departmental record on top, with the commodity records arranged alphabetically underneath. The forms described provide detailed records of the business of each salesman and each department (classified by commodities), records of goods received, and of returned goods. From these records, complete trading statements can be made for each department, or for the entire business. =Trading Statements.= Reports in the form of trading statements made from these records give the manager the facts in which he is specially interested; they show him the profits of the business and the sources of the profits. [Illustration: Fig. 7. Record of Sales of a Department Divided as to Commodities] A monthly trading statement should be made for each department, in order that the total operations may be seen at a glance. All of the essential facts are shown on the department report, Fig. 7, but a properly constructed trading statement affords an opportunity for valuable comparisons. While the fact that a department has made a net profit of $7864.20 this month is interesting, these figures take on added interest when compared with last month's profits. A form for a monthly departmental trading summary is shown in Fig. 8. In this form, the trading statement for the current month is entered in the two columns headed _trading_. First, the total amount of sales is entered in the credit column; then the value of stock on hand at the beginning of the month is entered on the next line, in the debit column. When the profit-figuring department is organized, it is necessary to have an accurate inventory in each department that this trading statement may be started correctly. If started on a correct basis, the record becomes perpetual. To the amount on hand is added the value of goods received, as shown by the merchandise received reports, Fig. 1. From the total, the value of the inventory at the end of the month is deducted, the remainder being known as the _turnover_--the cost or inventory value of goods sold. To find the value of the inventory an actual count of the goods on hand is unnecessary. The value may be found by deducting from the total the value, at cost, of goods sold, which is the footing of the total cost column, Fig. 7. This inventory is, of course, the amount shown as on hand at the beginning of the next month.