Not long ago the author's college chose for a first year accounting textbook one of those modern versions whose publishers make life easier for the busy teacher by providing standardized objective type tests at no extra cost. Faced with one of the busiest years in history and with graders or readers obtainable only at premium, it is needless to add that all instructors used the tests. Nevertheless, some of the older teachers used them with a sense of misgiving. In probably no field is the belief more ingrained, both in student and faculty, that the objective test and the problem test differ in their measurement of a student's accounting ability. The latter test, it is believed, really measures true accounting ability while the former may merely measure general intelligence, familiarity with English, etc. Many teachers, therefore, rely exclusively on problem tests for measuring purposes, although they are willing occasionally to use the objective test for study motivation purposes. The reliability and validity of each question needs to be determined by statistical methods rather than psychical ones, and there are many pitfalls for those who attempt haphazardly to construct a reliable objective type test. Publishers spend a great deal of time and money in the development of their tests, and even in these many questions prove to be so ambiguously worded as to impair their value as a measuring device. However, whereas this is true of only a comparatively few questions in the printed forms, it may be true of the majority in a privately developed test, which accordingly may or may not be a reliable measuring instrument.

The discussion in this article is centered on the broader aspects and implications of professional education for persons who have already joined the staffs of Certified Public Accountants (CPA) or who may be practicing as CPA's. There is a serious lack of basic material for the preparation of continuing education courses and lectures. A portion of this lack arises from the confidentiality of much of the work done by CPAs. This reluctance to discuss clients limits the give and take necessary in a continuing education course. The lack of a deep and strong rapport between universities and the CPA profession will be a partially limiting factor until it is corrected. The comparatively high turnover of CPA staff members, especially at the lower echelons, is a handicap in promoting a widespread continuing education program. Another handicap in the path of CPA continuing education programs is the major amount of out-of-town work which some firms have. The large seasonal factor in public accounting work is also a limiting feature.

This article focuses on the Seventh International Congress of Accountants held in Amsterdam, Holland. The program of this event, which is held every five years, was filled with interesting and unusual features. The Dutch people extended their traditional hospitality to all the visitors at the Congress and brief introductions soon ripened into friendships. The Congress was attended by about 2,850 delegates and visitors coming from 40 countries and representing 140 different accounting organizations. Thirty-one formal papers were presented by experts from 13 countries. Eight additional countries were represented on the panels. Four official languages were used: English, Dutch, French, and German. The 31 formal papers had been written months ahead of the Congress, translated into the four languages mentioned above, then printed and mailed to each delegate last June. The authors did not read their speeches at the meeting. The 31 authors, plus several more delegates, were divided into six panels of about twelve to fifteen men each. The six panels, meeting at varying times during the week, discussed the following subjects: Principles for the Accountants' Profession, Verification of the Existence of Assets, Budgeting and the Corresponding Modernization of Accounting, The Internal Auditor and the Internal Audit Function, Business Organization and the Public Accountant Ascertainment of Profit in Business

Several forms of reconciliation schedule are in general usage. One begins with the balance per bank statement. Reconciling items are then added or subtracted until the final figure equals the balance per check stub. Another form begins with the balance per check stub and ends with the balance per bank statement. A third form shows the difference between the balance per bank statement and the balance per check stub. Then reconciling items are offset one against another until the difference is fully accounted for. A fourth form shows all items related to the records of the bookkeeper for the business in one section and all items related to the records of the bookkeeper for the bank in another section. The reconciling items are added and deducted in their proper sections and the final balances are shown to be in agreement. This is the divided form of reconciliation schedule. In preparing some of the reconciliation forms, students occasionally resort to mal and error methods to secure an agreement. They then find it necessary to search their reconciling items to locate those which require journalization to adjust the bank account balance in their records.

Reviews the book "CPA Review Outline," by Emerson O. Henke and Walstein Smith.

The elementary course in accounting, as it is taught in most instances today, is specifically designed to provide a base upon which to build a structure of accounting knowledge. This base consists to some extent of the broad principles of accounting, but often, to a much larger extent, of detailed methods of technique and procedure. At the outset several questions are bound to arise concerning any changes in the elementary course. It has been the writer's experience that sixty to eighty per cent of the first year accounting students are merely fulfilling requirements for a degree and have no intention of taking additional accounting courses. If such is the case, the needs of so large a majority cannot be reasonably ignored. Students often have no intention of taking more than the minimum of accounting until they have completed the first year course. Thus, students taking the non-accounting major course frequently find an interest kindled which leads them on to the advanced accounting courses. The elementary course, however taught, is not sufficient to make the student an expert accountant. It does provide him with the basic mechanics of recording, classifying and summarizing the usual transactions of business. It does not provide him with an adequate basis for interpreting and analyzing the accountant's work.

Solution of application of funds statement problems seems to be accomplished by many students more as a result of their memorization of rules and processes than because they have a basic understanding of what the statement seeks to accomplish. The student who understands the essential nature of the funds statement is not baffled easily when confronted by a unique situation, which his previous homework or classroom demonstration problems did not parallel. In an effort to achieve the desired sound grounding in fundamentals of funds statements the writer has reduced his first class discussions to a very elementary level. The result has been more satisfactory than previous efforts to teach the topic by conventional and more erudite approaches. The extreme simplification process is presented primarily on the blackboard. The writer has found that after use of this technique and a few transitional remarks the average student better understands the usual application of funds worksheet and works problems from reason and not by rote.

The article presents information about teaching methods in accounting systems. Any student with normal intelligence and aptitude can comprehend the general topics of elementary and advanced accounting and their associated relationships. However, when the student advances to specialized accounting courses, such as cost accounting, accounting system design and installation and auditing, he often loses perspective and fails to grasp the associated relationships present in the specialized courses. Often a student is half way through a specialized course before these relationships comprising the complete course are unfurled in fairly clear fashion. If the student is confused on this matter in the classroom, then how much more confused is he going to be when he takes an accounting position in a going concern? While it is true that the student first of all must know the why of it in all accounting courses from an academic viewpoint, it is also equally true that he must know the how to do it when he obtains a position after graduation. This latter point is particularly true if the student is to make rapid advancement in his chosen work.

The present Standards Rating Committee of American Accounting Association was appointed in 1949 for a period of five years upon the authorization of the Executive Committee of the Association Committee. The present committee was officially constituted and began functioning on January 1, 1949. Meetings of the committee have been held at intervals throughout the last five years. After extended discussion and rewriting over a period of two years this committee published an interim report in the January 1951, issue of Accounting Review. Full publicity was given to this interim report; suggestions, comments, and criticisms were solicited. Several members of the Association and other interested persons responded to the invitation. This committee appreciates the excellent suggestions made by correspondents. Their recommendations have been reviewed carefully along with the further thinking of the committee members themselves. After further weighing for about a year the problems confronting the committee, it was decided in early 1953 to prepare a final report in order to bring its current activities to a conclusion. Following this decision the committee has quite actively pursued its objectives and the present report represents the culmination of its efforts for the past five years.

If we could combine an effective inservice accounting instructional staff- training program with a well-supported professional faculty development program, we in accounting education would have an unlimited potential for greater usefulness to our institutions and the wide range of public interests which they serve. Perhaps the discussion which has gone on, and which will continue, will serve to bring the weak spots into sharper focus and encourage all of us to greater effort for the common good.