I. Statement of the problem, 232. — II. The evidence from some previous studies, 233. — III. The “.6 factor” rule and its application, 234. — IV. Specific evidence in a selection of metal processing and chemical industries, 236. — V. Studies of selected mineral industries, 239. — VI. Conclusions, 242.

Reviews the book "Thin Capitalization," by Martin M. Lore.

Reviews two books on taxation. "Tax Avoidance vs. Tax Evasion," by Sydney A. Gutkin and David Beck; "Sound Business Purpose," by Robert S. Holzman.

Reviews the book "Arm's Length Transactions," by Robert S. Holzman.

The article reports that the examination in theory of accounts of the May 1959, Uniform Certified Public Accountants was given on May 15, 1959. There were two groups in the question. The estimated time allowances are approximately proportional to the point values of the questions, the total of which for this examination is 100. The examinee is required to answer all questions in the first group. In group one of the question paper, on a lined sheet of paper the examinee is required to number the first ten lines from 1 through 10. The examinee is to select the graph, which matches the numbered factory cost or expense data and write the letter identifying the graph on the appropriate numbered line. In the second question, in the preparation of the consolidated balance sheet of a hypothetical parent corporation and its subsidiaries a decision must be reached concerning the inclusion or exclusion of each of them as a member of the consolidated group. A common criterion is the percentage of voting stock owned by the parent company. Answers to every question are also given in the article.

The theory of Accounts section of the November, 1958, Uniform Certified Public Accountant Examination was given on Friday, November 7, 1958, from 1:30 to 5 :00 P.M. There were two groups of questions; all five questions in the first group were required; two were to be selected from the three in the second group. To save candidates the time of computing their own time budgets for each question, notations of estimated time requirements were furnished for each question to be answered separately and in the aggregate by all questions to be answered out of a group where options are involved. The estimated time allowances were approximately proportional to their point value, the total of which for this examination is 100 points. Each numbered transaction was to be considered completely independent of the others and its related answer should be based on the effect(s) of that transaction alone.