This article presents information on the relationship between internal control evaluation and audit sample size. The purpose of this paper was to analyze the relationship of internal control and sample size and to discuss the two suggested linking techniques. There is a logical relationship between internal control and sample size and that, although either proposed technique accomplishes the linking, the Bayesian approach is preferable. A seemingly plausible and often stated justification for relating control and saw pie size is the direct effect that internal control exercises over the state of the population from which the sample is drawn. It is apparent that internal control procedures will determine the possibility of errors within a population. Good control exhibits a causal relationship diminishing probability of errors as control effectiveness decreases, the probability of errors increases. Thus, this obvious relationship seems to justify the inverse relationship of control and necessary sample size. However, although it is not readily apparent, the state of internal control and sample size are automatically linked in classical sampling theory. The confidence level and precision with which an auditor desires to make an estimate from a sample are a function of the size of the sample and the statistical variance of the population from which the sample is drawn.

The article discusses the need for a senior level theory seminar in accounting education. The author believes that a senior level theory seminar is a must for the accounting major. Discussion and correspondence with former students and with their employers in public accounting tend to support this opinion. The accounting practitioner is the one who decides upon implementation of change in accounting. Intense exposure to accounting theory increases the probability that the practitioner will initiate needed change. In establishing the classroom atmosphere, two approaches are available: provide direction for the class by having the professor serve as a discussion leader or leave the direction to the students by having the professor--serve as a moderator. Two requisites for the course are class size and room arrangement. A small class size is conducive to achievement of the course purposes. However, some minimum parameter probably is beneficial also. The room arrangement should be one in which the students face one another, enabling the class to quickly overcome the tendency for the student to address the professor rather than his peers.

The article discusses a new emphasis for introductory accounting instruction. The purpose of this note is to present a proposed outline for a two semester introductory accounting course. The outline reflects beliefs regarding the direction in which introductory accounting education should and will evolve in the near future. It is hoped that this paper will stimulate discussion and research directed at improving the introductory accounting course, and in particular will encourage experimentation with new approaches in the development of teaching materials for the course. Basically it is felt that the outline provides a broader perspective of accounting, and a more balanced emphasis on breadth and depth, to the beginning student of accounting. People are critical of many, if not most, contemporary introductory accounting courses for providing too narrow a perspective by means of an overemphasis on the procedures and techniques of accounting. Accountants certainly do not advocate that procedures and techniques are not an integral part of introductory accounting. However, the outline does entail a reduction of emphasis on procedures and techniques, which is counterbalanced by an increase in emphasis on such matters as normative as well as positive views of the accounting function, the role of accounting in economic and social processes, an historical perspective, and an exposure to the variety of activities and dimensions which are encompassed by the accounting discipline, including not only financial and managerial accounting, but also auditing, information systems, taxation, quantitative methods, behavioral accounting and accounting theory.

This article presents information on audit management. The audit of management has received increasing attention in recent year. If the need for such an audit gains widespread support, the public accounting profession will face yet another challenge and a number of problems will require solution through the collective efforts of the public accounting profession, management and professional analysts. Justification for the audit could also be argued on the basis of the importance of management as a resource. American business attributes much of its success to its vast reservoir of professional managers, and is quick to identify the lack thereof as one of the barriers to success in other countries. If management is such an important resource and if it is in the interests of stockholders and the rest of society for that matter, that a particular business organization survive and grow, then it seems reasonable to conclude that these interested parties would be as interested in information concerning "management condition" as in financial condition and other indicators of ability to survive and grow.