Reviews the book "Principles of College and University Administration,"by Lloyd S. Woodburne.

Reviews the book "The Reorganization of the Financial Administration of the Dominican Republic," by Taylor G. Addison.

Reviews the book "Manual of Pathfinder Accounting System for Municipalities."

This article focuses on fund and proprietary accounts in governmental accounting. The ledger accounts of municipal and other governments may be classified under two heads, "proprietary," including accounts with assets and liabilities, and with revenues and expenses; "fund," including those accounts necessary to reflect the operations of the budget. Fund, or budget, accounts are peculiar to governmental organizations. They are necessary because the finances of such organizations are carried on in accordance with the budget system, which requires accounts which control and analyze the transactions incident thereto in accordance with the limitations set in the budget. All revenue estimates and appropriations are for a fiscal period and at the end of that period any unencumbered balances in the appropriation accounts fall back into "unappropriated surplus." The net difference, therefore, between the original amounts debited to "unappropriated surplus" for appropriations and the amount thrown back into "unappropriated surplus" represents the total expenditures for the fiscal period plus encumbrances outstanding at the end of the period.

This article focuses on the post audit program in Illinois established in the U.S. General Assembly in the year 1957. The post audit program deals entirely with post facto audits of all offices, departments, boards, commissions, institutions, and other bodies "expending or encumbering State funds by virtue of an appropriation from the General Assembly, or handing money on behalf of the State or holding any trust funds from any other source thereof." For the audit program now covering over 200 state agencies (separate offices and institutions being considered distinct agencies even though under some State Department) the Auditor General each year has engaged over 50 firms and individual accountants, and in addition has performed a number of minor audits with his own staff. Contracts are confirmed by a letter of engagement setting forth the general conditions and the basis of compensation, which is a per diem with a maximum limit. Itemized bills of time and expenses are required.

There has been in recent years a tremendous increase in research and writing in accounting, and in studies and publications by committees and professional organizations. The efforts of the latter have been devoted almost entirely to the problems of business enterprises privately-owned and conducted with a profit objective. It is but natural that the interests of practicing accountants should be primarily in this area, as their activities and income are principally from that source. It thus follows that the interest of teachers of accountancy and of their students also lie heavily in these directions. In spite of these facts professional accounting associations have not officially recognized the work done in these fields, nor the fact that principles have been authoritatively developed and sufficiently applied to make them "generally accepted." There is need and opportunity for greater interest in and attention to the field of nonprofit activities, and particularly for more definite recognition of the important work done in this great area. There is need for a more positive pronouncement and identification of the applicable principles so that these principles will be recognized and accountants will be guided thereby.

This article presents remarks before annual meeting of American Accounting Association, presented on September 1, 1954. The term "academic" in the college and university world, means teaching and research. Both are essential in a well-rounded educational program, and the two usually go hand in hand. This Association has taken a leading place in both areas. Its original purpose was the improvement of instruction by bringing together those concerned for discussion of topics relating thereto. Whatever may be the economic success and public recognition of a profession, whatever may be the growth of its membership, however rigid may be its regulations for admission and practice, its true service and its accomplishment will depend on the quality of preparation of its members. This is where our collegiate departments of accountancy and related business subjects must recognize the depth of their responsibility. So the demands as well as the opportunities for an organization of this kind and its individual members continue without limit.

The article presents information on governmental accounting in the U.S. In fact, certain procedures established by in the federal fiscal system are still in use. Little of the kind of accounting today recognized as adequate, however, went on prior to 1910. Hence the history of the governmental accounting-federal, state, and municipal taken together-may be thought of in terms of the current forty Years. The most significant contribution of the 1910 decade was the publication of the "Handbook of Municipal Accounting," by the New York Bureau of Municipal Research. During the same period numerous states took steps to establish budget systems and fiscal organizations for budgetary operation and control. Thus the states generally were in advance of the federal government in their progress in this field. The next period, 1920 on, is significant for the amount and character of important literature on governmental accounting and financial procedures which it produced. The decade beginning in 1930 brought about developments of outstanding importance. The various national organizations of public accountants and public finance officials joined together in forming the National Committee on Municipal Accounting. The period from 1940 on has been largely an extension of movements inaugurated in the preceding decade. In spite of the war much progress has taken place in all fields. The proposals of the National Committee on Municipal Accounting were refined and promoted.

The basic law governing accounting, auditing and financial reporting in the United States Government is the Budget and Accounting Act of 1921. This Act created the General Accounting Office under the Comptroller General, and the Bureau of the Budget. The Bureau of the Budget was originally placed in the Treasury Department under the Budget and Accounting Act, but in the reorganization Act of 1939 it was placed in the Office of the U.S. President which was a sensible change. The Comptroller General is also given the power to prescribe accounting procedures in the various departments. Responsibility for account-keeping was not placed upon him but was left in the various departments and agencies. The general account-keeping function, placed in the Treasury under previous Acts of 1789 and 1894, was left in that Department. The Act of 1921 does not place upon the Comptroller General the responsibility of either preparing or certifying financial statements. The principal requirement of the Act in this respect is placed upon the President, who, in connection with the transmittal of the budget, must submit a complete financial statement of the government.

The United States government is the largest, the most extensive, and the most diversified business enterprise in the world. Its financial operations involve practically every kind and type of situation found in private business and in other forms of government, and many conditions not elsewhere found. Hence no simple or direct statements of the problem or of its solution are possible. Yet the purposes of financial reporting in the Federal government are the same as in any other government or in any private enterprise in which the public is materially concerned. They are to compile and disseminate information concerning financial operations and condition, for the benefit and guidance of management, investors, and the public. To these ends, each phase of the accounting and reporting should be directed. To be of the most service, the reports should be based on uniform standards and terminology consistently followed, should be comprehensive and truly informative, and should be rendered promptly and regularly.