Reviews the book "Replacement Costs for Managerial Purposes," edited by J. Klaassen, P. Verburg.

Charles R. Purdy, Jay M. Smith, Jack Gray, The Visibility of the Auditor's Disclosure of Deviance from APB Opinion: An Empirical Test, Journal of Accounting Research, Vol. 7, Empirical Research in Accounting: Selected Studies 1969 (1969), pp. 1-18

This article presents a business game that was developed for use in an introductory accounting course. Most such games are much too complex for classroom use in the introductory course. This game is designed to: 1) Require the student to think about a number of significant accounting problems and economic concepts. 2) Motivate an extremely high proportion of students to lean how accounting is used in decision-making. 3) Be simple enough that it can be used in the classroom without any calculating equipment.

Discounted Cashflow, Planning Horizon, Forecast horizon

This article focuses on the 1964 Concepts and Standards Research Study Committee of the American Accounting Association, which aimed to expand and to amend in part the statement on realization in "Accounting and Reporting Standards for Corporate Financial Statements--1957 Revision." That statement says the essential meaning of realization is that a change in an asset or liability has become sufficiently definite and objective to warrant recognition in the accounts. In considering this statement, and realization principles generally, attention will be focused on the problems of asset recognition and valuation and revenue recognition. The committee concurs with the statement of the 1957 Revision that primary emphasis should be given to the use by investors of published financial statements in making investment decisions and in exercising control over management. The committee recognizes the difficulty of developing a definition of realization that will have general applicability. Nevertheless, four of the committee members feel there is sufficient significance in the difference between realized and unrealized changes in value to justify making the distinction.