Three definitions of consumer's surplus, 422. — The assumption of universal independence, 422. — The "marginal-utility demand curve, " 423. — Open-topped marginal utility curves, 426. — Interpersonal and intertemporal comparisons of utility, 426. — Marshall's first version: extra expenditure, 427. — Its diagrammatic analysis, 429. — Nicholson's criticism of Marshall, 432. — Marshall's second version: the demand curve, 433. — Cannan's criticism, 435. — A necessary condition of independence, 437. — Relaxing the independence assumption: (1) One utility independent of all others, 438. — Alternative tests of independence, complementarity, competitiveness, 442. — (2) Independence between groups, 443. — (3) The case of "least independence, " 444. — Summary of basic tests, 447. — Conclusions, 448.

Abstract In the general accounting field, underlying principles emerged more or less naturally because of the wide circulation of certified, published financial statements. A statement of the generally accepted principles underlying cost accounting, however, must be derived from much less promising conditions, first, because such "general acceptance" does not at present exist, and, second, because the cost practices of individual concerns are not publicly circulated. Once the job is started, however, there should be no lack of assistance and support. In distinguishing cost accounting from general or financial accounting, one of the more commonly emphasized points is that cost accounting is carried on primarily as an aid to internal management. Because of this special purpose, cost accounting has tended to develop within each organization in accord with the problems of the particular situation. Since these situations include many thousands of industrial and governmental organizations it is certain that variations in cost accounting practices are numerous. The fact that cost data are usually considered confidential tends to preserve the variations in practices and procedures

Abstract Almost all the states at present require examination in the subjects of accounting theory, accounting practice, auditing, and law. In some states separate examinations are given in each subject. In many others accounting theory and practice are combined as one for grading purposes even though the examination is given in two parts. In still other states, subject matter from all these fields is included in the examination given, although not separately listed in the same four divisions. A few states give examinations in these subjects and additional examinations in other subjects. Since forty-six of the fifty-two states and territories use the American Institute of Accountants' examination questions, it may be said that the stated objective with reference to subject matter is now substantially reached. Laws and regulations, however, do not reveal the extent to which uniformity actually exists. Reference to the four general subjects is made either by law or regulation (mainly in the law itself) in forty-six states. Many refer to the combination of accounting theory and practice as one subject; a few refer to the use of American Institute examination questions; some list the four major subjects and also state that other subjects will be covered if deemed necessary or desirable by the board.

Abstract This article focuses over the history of inventory valuation. The supposition that early evidence of the use of cost-or-market grew out of tax considerations is subject to other and more general objections. It might be expected that a method designed for tax purposes would include some reference to its purpose. But instead the explanation given is the kind which would appear if there was an accounting policy in effect that sought to recognize economic losses which were soon to be realized through sales-the statement that "their price has gone down." Furthermore, general conditions of what might somewhat inappropriately be called "public finance" in the fourteenth and fifteenth centuries were such as to make such a mild device as cost-or-market for the closing inventory insignificant as a tax-avoidance scheme. The contention has been made that the policy of write-downs disclosed above was an effort at tax avoidance, made in a time when ad valorem levies upon personal as well as real property were heavy, and hence has no general significance for accounting principles.

Abstract Reviews the book "Introduction to Accounting," by Louis O Foster.

Abstract Mastery of bookkeeping is fundamentally a development of the ability to decide which accounts should be debited and credited in the recording of transactions. Analysis of this type must precede recording. Since this concept is fundamental to all bookkeeping and accounting, it is important that it be introduced early in every bookkeeping course in such a manner that it will be thoroughly mastered. The difference between a $20-a-week book keeper and the much higher salaried auditor is largely in the ability to analyze accounting data. The most common weakness of students from high-school book- keeping classes that enroll in beginning accounting course is their lack of ability to analyze. Their handicap seems to be that though they know something of the "how" of bookkeeping, they do not seem to understand the "why" and thus lack ability to do accounting, for they are not able to deal with new or unusual situations. They need more definite, purposeful training in transaction analysis.

Abstract Reviews the book "Federal Tax Course," by George T. Altman.