T HIS article is based on a milk supply adjustment study. A primary objective was to test the use of linear programming techniques on the problems of farmers: how useful it would be for telling farmers what production adjustments would pay in response to changes in technical and economic conditions. The empirical results illustrate particular extensions in the application of programming techniques, but, more important, the results are of interest from two viewpoints: first, they indicate profitable lines of change in production when facing a range of changes in conditions of factor supply, prices of labor, prices of milk, and technical possibilities. Second, they offer reasonable explanations of changes taking place in important sectors in the southern states. The data were drawn largely from dairy farms in the Piedmont areas of North Carolina, but the empirical results should also apply in general to the much larger Piedmont region of the South and, to a somewhat lesser extent, to the larger areas in which cotton and tobacco are major crops. Production of milk for fluid use increased rapidly on these farms in the North Carolina Piedmont areas between I949 and I954. Expansion of dairying was accompanied by certain changes: enlargement of smaller farms by the renting of additional land, an increase in production of pasture and hay, shifts from lower-producing breeds to the Holstein breed, elimination of cotton or tobacco on many of the dairy farms, reduction in labor supply, and an increase in use of tractors. Assumptions

THIS paper reports the results of a statistical study of the elasticity of foreign demand for Canadian exports. It sprang from the desire to obtain some criterion of the effect on export receipts of altering the exchange value of the Canadian dollar. Attention was centered on merchandise exports since, aside from Chang's attempts to measure the elasticity of the world demand for Canada's exports,' very little work seems to have been done on the export side. The Department of Trade and Commerce has made estimates of the Canadian import elasticities but it regularly treats exports as an exogenous factor in its models of the Canadian economy. This study was conducted intermittently during the last six years. During this time many different approaches to the subject were made.2 The results of what seem to be the most fruitful approach attempted so far are presented here, with only occasional references to previous attempts. This last approach is based primarily upon the statistical work of Schultz, Stone, and Horner, and the contributions to the pure theory of demand of Knight and Friedman. An attempt has been made to fashion the statistical approach so that the concepts we attempt to measure coincide as closely as practicable to the theoretically ideal ones. The first section of the paper deals with some fundamental general considerations which influenced the decision as to what statistical techniques to adopt. Sections II and III summarize the statistical findings and the last takes up some qualifications.

Abstract The accountant most certainly needs some knowledge of tax planning regardless of the area of his specialization. Most business executives are aware that there are opportunities to save on taxes. The nature of these opportunities is not nearly so well known. Consequently, they are frequently overlooked and unnecessary tax obligations are incurred. It is important that tax saving opportunities be recognized when they arise. While it is sometimes possible to take advantage of opportunities which were overlooked on an earlier date, the usual result of tardy recognition is a lost opportunity. Taxes cannot be neglected because it is net income after taxes that is important. In view of the importance of tax planning in the management of business, it seems desirable that instruction in the subject be made available to all students of business administration. The interests and needs of different classes of students vary widely and must be considered in determining the extent and timing of their work in tax planning. Organization of a separate course in tax planning has a number of disadvantages.

Abstract It is incumbent upon us as professional men to carry out our work competently and efficiently. We should re-examine our techniques in the light of the objectives to be attained as expressed not only in published literature concerning audits of publicly owned companies but also in the terms of the contract for the individual engagement. All the work which is required should be done, but that which is anachronistic should be modernized or eliminated.

Abstract In sum, under Lifo, inventories no longer perform the function of taking up the slack between production and sales. Rather, inventory management policies are determined in the main by the artificial relationships developed above. The end result is a situation that accents, rather than mitigates, the undesired effects of business fluctuations by creating inflationary pressures that would other- wise be absent. The expansion and contraction stages of the inventory cycle are exaggerated, and inventory investment becomes an even more volatile component of private gross capital formation than has been in the past In the case of copper at least, the greater stability of reported earnings under Lifo does not appear to have resulted in the hoped for effect of reducing investment during the boom. Most industries that use Lifo do not have an institutional pricing structure and complete substitutability of product such as that found in copper. However, in these other industries, Formula (1) can be employed to determine the "grey" or "black" market price that a Lifo company can afford to pay for each unit of a commodity in order to improve its marginal cash position. For example, a steel company can use Formula (1), adjusted for smelt charges and technological factors, to arrive at the limit price that it can afford to pay for scrap. Or, if smelter capacity is not available and the Lifo base stock is seriously depleted, Formula (1) can be used as a guide in determining the price to be paid for scrap metal to be used to build up a processed metal inventory if permitted by the Bureau of Internal Revenue. Both Table 1 and Formula (1) are based on the simplifying assumption that the Lifo base stock is homogeneous in composition with respect to the cost of each unit of inventory.

Reviews the book "Encyclopedia of Accounting Systems," edited by Robert I. Williams and Lillian Doris.

Abstract The article talks about electronic data processing and the accounting faculty. Electronic data processing is the meaningful manipulation of data by the use of any electronic device capable of automatically following a series of sequences according to a predetermined program. In the past few years since the Second World War, the number and to some extent the variety of electronic devices capable of manipulating data has increased remarkably. Until quite recently, the predominant use of these devices was overwhelmingly in the area of engineering calculation and in scientific and related research studies. These machines have unusual capacities for dealing with relatively unlimited volumes of business data in remarkably short time periods--basic operation times of the machines are measured in milliseconds. The economic community will reasonably look to the colleges and universities to take some appropriate part in these developments. More particularly, the business community, it is to be hoped, will look to the schools of business administration to undertake foresighted steps to provide education and guidance through research directed toward the early achievement of the even now cloudily seen possibilities in this developing area. Some faculty development in EDP clearly should come before there is serious consideration of acquiring machines, an expensive project which probably would not run too much less than $100,000 a year under good conditions.