Reviews the book "Auditing Problems," by J. Hugh Jackson.

This article compares actuarial formula with sinking fund type formula for valuation. The objections to all sinking fund type formula are generally over-ridden with too great ease. This fault involves a fundamental question of financial policy, which it would seem is sufficient to cause the rejection of all sinking fund type methods of valuation and the use of the so-called compound interest actuarial method for all commercial situations save those in which some contractual or statutory requirement actually calls for a bona fide sinking fund. Under the compound interest actuarial premises the capitalist receives at the end of each year simple interest upon the amount of capital he has outstanding at the beginning of each year. The distinguishing feature of all sinking fund valuation methods is that no capital of the original commitment may be returned to the investor during period of investment. A sinking fund is created, or assumed for the purpose of valuation, in which any capital return from receipts is placed.

Reviews the book "Accountancy in Modern Business," by O. Wunderlich.

Reviews the book "Elementary Training for Business," revised by York Wilkes and Tirrell Wilkes.

Reviews the book "Corporation Profits," by Laurence H. Sloan.

No one knows precisely what portion of the income-streams of corporations goes to the "insiders." Insiders are the executive head of a business firm. He is typically on the board of directors and is acquainted first-hand with practically all the policies, the future plans and past operations of the business unit in question. Practically always bankers and very often the members of professional firms, such as, management, legal, accounting or engineering concerns might be considered "insiders." The indicated income-stream of a given business firm over short periods of time can be changed radically by the "insiders." And these changes can be so made that over a long period of time the income-streams to the "insiders" will be enhanced over what they would otherwise be. They can manipulate the accounting practices of the business unit, thereby affecting the amount that will be considered as the profit-share during any given period of time. The manipulation of accounts-takes the form usually of tampering with the valuation of assets and liabilities.