THE PROBLEM of selecting a portfolio can be divided into two components: (1) the analysis of individual securities and (2) the selection of a portfolio or group of securities based on the previous analysis. Up to now, the majority of writers have focused on the first part of the problem and have developed several, well-accepted methods of analysis.1 Little attention has been paid to the second phase of the problem. It is to this second part of the portfolio selection process that this paper is principally devoted.

The course program herein offered is a possible path for accounting to follow in seeking its role in answer to the challenge thrown out to business education. It should, perhaps, not be called a program for it is much too incomplete for such a formal characterization. It is intended, rather, as a point of departure from a pattern of teaching which, without question. must be revised in order to meet the demands which are increasingly being leveled at it. It is to be hoped that many different paths will be attempted and there is much evidence in the accounting departments of our universities that such will be the case.