Journal Article Output and Investment for Exponential Growth in Consumption — an alternative Formulation: and Derivation of their Technological Upper Limits Get access P. N. Mathur P. N. Mathur Poona Search for other works by this author on: Oxford Academic Google Scholar The Review of Economic Studies, Volume 31, Issue 1, January 1964, Pages 73–76, https://doi.org/10.2307/2295938 Published: 01 January 1964

Journal Article Rate of Profit and Income Distribution in Relation to the Rate of Economic Growth: A Comment Get access Perry P. Chang Perry P. Chang Search for other works by this author on: Oxford Academic Google Scholar The Review of Economic Studies, Volume 31, Issue 2, April 1964, Pages 103–105, https://doi.org/10.2307/2296190 Published: 01 April 1964

The article informs that in the April, 1963 issue of the "Journal of Accountancy," Kenneth S. Axelson' expresses the opinion that management services do not compromise an independent certified public accountant's necessary independence. This article takes a contrary view, one which certainly will not be popular either with the American Institute (which strongly promoted management services from the CPA) or with the many firms which are now engaged in these services. Nevertheless, the issue is not settled, as Axelson's article would have been pointless had this been the case. The case for management services. By-passing the question of the competence of the CPA, the basic premise of those supporting combined audit and management services from the same accounting firm for the same client is that the auditor only recommends, that he does not and cannot make the final decision as to implementing the recommendation. Thus, management of the client's affairs is still in the client's control and therefore the auditor, in a subsequent audit is not in effect auditing his own work. From this reasoning it is then concluded that the auditor's independence is not impaired by rendering management services to an audit client.

The article informs that accountant's role in wage negotiations arises whenever financial data are used in the negotiations. The relevance of particular financial data may vary from case to case, but in general the data that are germane relate to the firm's "ability to pay." The accountant who is engaged to participate in wage negotiations should exhibit the same degree of independence and objectivity as an independent auditor. Functions the independent accountant may perform in wage negotiations can be classified as verification, interpretation, and communication of financial data. A controversy that arises frequently in wage negotiations, when "ability to pay" is an issue, is discussed in this paper. The controversy, which deals with the relationship of depredation to reported profits, is presented as an example of the contribution the independent accountant can make to wage negotiations. Financial data may be used to obtain public, as well as employee and union support. Collective bargaining is becoming more public and less private in our con temporary society. There has been increasing government intervention in wage negotiations through the use of fact-finding boards. These boards, at times, rely heavily on the use of financial data of the firm.