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VALUE AND PRICE IN ACCOUNTING.

A. C. Littleton
The Accounting Review 1929 4(3), 147-154
Abstract Value has not always been one of the problems of accounting, if accounting may be conceived as including bookkeeping. Bookkeeping is the record side of business and has had a definitely organized existence as double entry since about the middle of the fourteenth century. From very early times there has also been auditing of a kind, but only comparatively recently has valuation been a problem of auditing, as of September 1929. For the most part, early auditing consisted of checking the accuracy of the records made, value was not a part of the record. Such simple conditions, however, could not continue in the face of the growth of modern business. The volume of transactions was itself a matter of great influence, for volume brought about the development of skilled bookkeepers whose technical execution needed little outside checking, and volume made over the auditor's task into one of selective tests. Out of this situation grew the balance sheet audit, an examination of only the assets and liabilities, such as could yield an approved statement of financial condition satisfactory for credit purposes, yet without the work incident to a complete audit in the old sense.

COST ACCOUNTING IN GREAT BRITAIN.

H. S. Noble
The Accounting Review 1929 4(2), 88-93
Abstract The article focuses on cost accounting in Great Britain. Institute of Cost and Works Accountants was organized in 1919 with its headquarters in the city of London, with local chapters in London, Liverpool, Manchester, Sheffield, Birmingham and other centres. It publishes a periodical giving articles with aspects of cost accounting and news of the chapter activities. It sets examinations which must be passed as a prerequisite to membership. The purpose to be served by cost accounting include, statistical, economic, manufacturing and administrative. The extent of analysis, the technique of the system and the intricacy of its operation are all to be dependent upon the executive's use of the cost reports. Cost accounting is also considered as a partial solution to labor difficulties. It is suggested that accurate cost thinking on the part of labor and capital will give both parties a similar point of view and lead to co-operation. There is a new appreciation of the utility of cost accounting, in the light of present industrial condition in Great Britain.