At the close of business, Nov. 30, the ledger is proved, in accordance with the rules given in Art. 7. All open accounts in the ledger are listed on ordinary journal ruled paper and the balances extended to the debit and credit columns. These columns are footed, the total of the credit columns being $1,564.02, and of the debit column, $56.08. Subtracting the latter from the former, we find the difference to be $1,507.94. The total postings—debit and credit—from the journal and the cash book are then entered and added, the total debit postings being $296.44, and the total credit postings, $1,804.38. The former deducted from the latter leaves $1,564.02, which agrees with the _difference_ in the ledger balances. This proves the correctness of the postings to the ledger, and takes the place of the trial balance used in the double entry method. [Illustration: Single Entry Journal ] [Illustration: Single Entry Journal ] [Illustration: Single Entry Journal ] [Illustration: VIEW IN THE GROUNDS OF THE FORE RIVER SHIPBUILDING COMPANY, QUINCY, MASS. Showing the Facilities for Handling Material in the Plate Yard and a Typical Arrangement of the Shops. The Great Electric Crane Shown has a Span of 175 Feet, and Travels Over 1,000 Feet of Track. It is Said to be One of the Largest of Its Kind in the World. ] [Illustration: Single Entry Cash Book ] [Illustration: Single Entry Ledger ] [Illustration: Single Entry Ledger ] [Illustration: Single Entry Ledger ] [Illustration: AUTOMATIC MACHINE TOOL ROOM, FOR THE MANUFACTURE OF PARTS FOR ROCK DRILLS, COAL MINING MACHINES, DIAMOND DRILLS, ETC., IN THE CLAREMONT, N. H., FACTORY OF THE SULLIVAN MACHINERY COMPANY ] [Illustration: Proof of Single Entry Ledger ] [Illustration: Single Entry Profit and Loss Statement ] DETERMINING THE PROFIT =9.= Having no nominal accounts, we cannot close through trading account into profit and loss, but must use another method to find the profit or loss for a given period. It will be necessary to first ascertain the present worth of the business. Therefore the first step will be to take an inventory, just as we would if closing a double entry ledger. Our inventory shows merchandise $1,042.77. Next, we will make a statement of assets and liabilities, following the same form as the balance sheet when the books are kept by double entry. This will give us the present worth. From the present worth, we will deduct the capital investment (or the present worth at the time of making the last statement) which will show the profit for the period. If the present worth is less than the capital investment, the business shows a loss.