That the student may be more familiar with the accounts of a foreign department when it is conducted practically as a bank within a bank, the accounts which would appear in a moderate sized foreign department are shown below and are briefly explained in the following paragraphs.
Close of business...................
1. U. S. Currency.
2. Foreign Currency.
4. Dollar Ledger Accounts - Overdrafts.
5. Due from Foreign Banks and Bankers - Foreign Currency.
6. Due for Foreign Exchange Sold.
7. Advances on Foreign Bills - Secured.
8. Advances on Foreign Bills - Unsecured.
9. Customers' Liability for Drafts Paid under Letters of Credit.
10. Customers' Liability for Acceptances - This Bank.
11. Customers' Liability for Acceptances - Other Banks.
12. Liability of Foreign Banks and Bankers for Dollar Exchange Acceptances.
13. Accounts Receivable.
15. Interest Paid to Banks.
16. Contracts to Buy Exchange - Asset.
17. Contracts to Sell Exchange - Asset.
18. Due from General Banking Department.
1. Dollar Ledger Accounts - Banks.
2. Dollar Ledger Accounts - Individuals.
3. Due to Banks - Foreign Currency Overdrafts.
4. Due for Foreign Exchange Bought.
5. Brokerage Account.
6. Cash Letters of Credit.
7. Anticipated Acceptances - This Bank.
8. Anticipated Acceptances - Other Banks.
9. Accounts; Payable.
10. Foreign Drafts Outstanding.
11. Manager's Checks.
12. Acceptances Executed by This Bank for Customers.
13. Acceptances Executed by Other Banks for Account of This Bank.
14. Acceptances Executed to Furnish Dollar Exchange.
16. Contracts to Buy Exchange - Liability.
17. Contracts to Sell Exchange - Liability.
18. Due to General Banking Department.