N .A.C.A_BULLETI

December °� pprr� Three Sections1950 '� ;!IIL� Section 2

In the NewsSeason's�Greetings�—from�your�President 459

1950 -1951 Discussion Forum Enrollment High 460

First Research Report on Nonmanufacturing Costs Takes Shape 461

National President Tours North American Aviation Plants 467

In the Public Eye 462

Congratulations To ... 470

The Technical SideCost Currents 463

Literature Notes 471

Stevenson Trophy Standings468

Chapter Meetings473

N.A.C.A. BULLETIN Volume XXXII, Dumber 4

rn o f

Published by NATIONAL ASSOCIATION OF COST ACCOUNTANTS

SOS PARK AVE., NEW YORK 22, N. Y.

N A T I O N A L O F F I C E R S

President

WILLIAM B. McCLOSKEY

Vice Presidents

THOMAS A. DUNBAR JESSE G. KLINE

WILLIAM H. FRANKLIN GEORGE L. NOHEPALMER W. HANCOCK JOHN PUGSLEY

J. BROOKS HECKERT HAROLD W. SCOTT

Treasurer

PHILIP J. WARNER

H E A D Q U A R T E R S ' S T A F F

ARTHUR B. GUNNARSONSecretary

RAYMOND P. MARPLE JOHN L. DORANAssistant Secretary— Technical Service Assistant Secretary — Chapter Relations

and Conferences

WALTER B. McFARLAND JAMES A. THOMPSONSupervisor of Research — Member Service Office Manager — Membership Relations

DONALD G. KEENGEORGE F. WYMAN Supervisor of Publicity and

Editor of N.A.C.A. Bulletin Public Relations

It c - c c c c c

Seasons Greetings— from your President

W ELL, the Christmas season is upon us once again and a brand New Year is just

behind it . We're all busily engaged in buying gifts, mailing greeting cards

and laying in the season's supply of good cheer. It's a truly joyous season, a time

to relax a bit from the chores of a workaday existence and count our blessings, and

to share them with others.

No matter how old we get, we never seem to lose our enjoyment of Christmas.

But, did you ever sit back and think over the various stages which your own anticipa-

t ion of the holiday has gone through? It 's a complete metamorphosis.

As kids, Chris tmas was a t ime of the year when we t r ied our darnedes t to l ive

by the rule book as closely as possible in ant ic ipation of great rewards for our

ef forts. W e t r i ed every d od g e an d guise to get the th ings we thought we wanted

most. For a time, most of us lived in the aura of that delightful old man Santa

Claus and wrote long, p leading letters to his legendary home.

As we grew older , our point of view changed and we became more imbued

with the spirit of giving as the greatest pleasure to be der ived f rom the season.

The idea of making others happy at Chris tmas took f irm hold and the religious

theme took on added significance.

Today, the Christmas season is a time to set aside for a few days our wrestling

with problems of costs, profits and overhead and the normal cares and worries of

everyday life. It's a time to communicate with distant friends through the time -

honored "once -a- year" medium of the Christmas card. It's a joyous period of open

house for friends and relatives and for profuse exchange of gifts and greetings.

Tables groan with mountains of good food and many glasses are raised on high.

But, more important, Christmas is for the kids —ours, the ones next door andon the other side of the tracks. In their excitement and enjoyment lies the complete

measure of Christmas happiness and rhyme and reason for a bountiful New Year.

May all of you have a very Merry Christmas and enjoy all of the things that

characterize the Season, and be prosperous and happy in your activities throughout

the coming year.

� �-�� .�)/� � �K.,*,

1950 -1951 Discussion Forum Enrollment High

PRELIMINARY REPORTS INDICATE t h a t

some 4,000 N. A. C. A. members are

enrolled in chapter discussion forum pro-

grams this fall. While a majority of the

chapters are devoting this year's discus-

sion sessions to the subject of "Work

Simplification for the Accountant," using

the outline on this topic developed by

National Headquarters, a fair number

of chapters have selected other subjects

of special interest to their chapter mem-

bers.

This year the discussion forum pro-

gram for the Association as a whole is

characterized by the great variety in typesof programs sponsored by the various

chapters. While the majority of chapters

aQRsmr� R�V ..+- rronca`arxw wire rNe•�"• 'n�4,' r;� � �� CYI f'1 ONE

V ` ` Ne�*� `� � . F• � �� � �̀ .� T�ioN 1 01 T AC0OU1fTAIB$

f )OPOAN STALL ANAtt DAY

FORUMSATURDAY. NOV. 44

9 , 3 0 A . M .EXECUTIVES

W l , t ! " '"NE rORUM THEME;III

WORK S!li vl -!i ICNTIOF IN AMU_NTINGSTUDr er'- s� r, � � . � ^ _1111SINESS EXECUTIVES

A0.MISSIOf1 :students 11?g ..eiw%.,y /cAner "� 1qo

M e m ' 216 . 4.dr i.X*„ -'1°-4

Adwae 1 In i aid lunchmn may pe ub ,zd. f tw m DDiTBn A t! orot(rem trHabm�D�� c 4s m a III oG Wed at t► ! u

YOUR ATTENTION IS INVITED TO TH E

N,A.C.A. COST DISPLAZM 6 k Main Readin Room "

Poster displayed by N.A.C.A . chapter at localuniversity to stimulate student interest in discus•

sion forum program held at school.

continue the practice of holding a seriesof weekly discussion meetings during thefall months, some chapters are dividing

their programs between the fall and

spring, and a few are experimenting with

the "seminar" or "short- course" type of

program. Itiese programs, coveringeither six or twelve hours of discussion,

are concentrated in one or two days, usu ' , ally over a week -end. In some cases the

meetings are held at resorts or campsaway from the chapter city.

Designed to provide for an interchangeof experience, viewpoint, and practice in

a specific area by the members of a chap-ter, the discussion forum programs havenow become an established part of the ac-tivities of all chapters of the Association.

Figures for the 88 chapters for whichdiscussion forum programs have been ap-proved for the current year, disclose that73 are utilizing the N. A. C. A. study out-line for the year, mentioned above, withfive chapters using prior year outlinesand ten embarking on chapter- developedsubjects. The "split" program (fall andspring) has attracted nine chapters, andthe same number are trying out the"short- course" type of program.

Where the "single" program is beingadhered to, weekly meetings are in vogue,48 chapters having elected to completetheir programs in this way. Five of thechapters planning to use a "split" pro-gram have also chosen this interval.

460 N . A . C . A . B U L L E T I N

First Research Report onNon - Manufacturing Costs Takes Shape

New Subcommittees Aid Expanding Research Program

IN THE IN TEREST o f i m p r o v i n g t he s e l l -

ing and distribution methods of Amer-ican business, through the development ofbetter information on marketing costs, theCommittee on Research and the researchstaff have completed a preliminary draftof N. A. C. A.'s Research Series Number

r 19 —"T he Classification and Analysis of

Non - Manufacturing Costs for Managerial

Policy Decisions." In developing the re-port a nation -wide survey covering the

analysis of costs for determining market-

ing policies was made, based on methods

employed by forty -two major companies

and on existing literature on the subject.

On December 1st the Committee on

Research, chairmanned by Herman C.

Heiser, Treasurer of Crown Can Co.,

Philadelphia, held its first meeting of the

current chapter year to review the draft

of the new research study and to consider

a report of the subcommittee appointed

to facilitate work on the project.

Under a new practice, in force this

years for the first t ime, a sub - committee

is appointed by the Chairman of the Com-

mittee on Research when a topic for re-

search has been approved by the National

Board of Directors. Its function is to ad-

vise and work with the research staff and

to maintain a liason between the staff and

the Committee. Each of these project

sub - committees consists of a chairman and

two other members chosen from the Com-

Herman C. Heiser Chairman Committee onitesearch

mittee on Research. The sub - committeeon Research Series 19, appointed earlier

in the year by Mr. Heiser, is as follows:STERLING K . AT KI N S ON , C h a i r m a n ,

Philadelphia.C H A R L E S H . GLE AS ON ' New York.

GI LE S B . RAISNER, Philadelphia.In addition to project sub - committees,

there also functions a newly- appointedsub - committee whose function is to pro-pose additional topics for future study.The committee made its recommendationsat the December 1st meeting. Its mem-bers are:

A . R . K A S S A N D E R , C h a i r m a n , N. Y.GE OR GE D . M C t A F F R E Y , New York.

ESTEL W . KE LLE Y , New York.C.LARENCE B . NI CKE RS ON , B o s t o n .

E R N E S T C . BRELSFORD , Cleveland.(Continued on page 478)

D E C E M B E R , 1 9 5 0 4 6 1

IN T HE P UB LI C EY E

Boston's Russell H. Hassler and Detroit'sJohn W. McEachren were elected VicePresidents of the American AccountingAssocia tion at the group's annual meetingin Boston. New Haven's Ralph C. Joneswas elected Director of Research andRochester's Frank P. Smith was namedEditor of the Accounting Review.

Chicago's Vice President Edward R. John-son, as Treasurer and Controller of Web -ster-Chicago Corp., was recently presentedwith the bronze "Oscar of Industry"trophy on behalf of his company, whichwas judged as having the best annualreport in the electronics industry. TheFinancial World's Survey of Annual Re-ports judged the winners.

Rockford's President Frank J. Frech has beenelected to the Board of Directors of theNational Furniture Manufacturers Associa-tion.

Philadelphia's Jerald S. Hanks is Co-Chairmanof the Conference Committee for theNinth Annual Conference of the Instituteof Internal Auditors.

J a mestown's J. Gordon Taylor has beenelected to the Board of Directors of theJamestown Chamber of Commerce.

Syracuse's Charles V. Lane has been electedPresident of the National Association ofCredit Men's local group, John H. Cur-ling and Charles Whittenburg were namedVice Presidents and Charles Obrist electedTreasurer.

San Francisco's Ralph B. Knott was Chair-man of the Pulp and Paper IndustryConference of the Controllers Institu te ofAmerica at its recent annual meeting inChicago.

Southern Maine's Leland E. Glew was re-cently elected Secretary and Treasurer ofthe Maine State Golf Association.

Boston's Director of Publications John A.Beckett, Director of Publicity John M.Sinclair, Maxwell A. H. Wakely, andBangor's Clinton A. Clauson were speak-ers at the Lewiston - Auburn (Me.) SmallBusiness Conference sponsored by Bates

College and the Lewiston- Auburn Cham-ber of Commerce.

Worcester's Richard Johnson was recentlyappointed to the Advisory Committee ofIndustrial Accountants of the Massachu-setts Society of C.P.A.'s

Boston's Past President Charles F. Ritten-house has been named Chairman of theAlumni Committee of Northeastern Uni-versity's Library Building Fund Cam-paign. . . . Joel Harvey was Chairmanof the Committee on Technical Sessionsof the 63rd Annual Meeting of the Amer-ican Institute of Accountants in Bostonlast month.

Pittsburgh's Clarence D. Weimer has beenelected to the Board of Governors of thelocal chapter of the Institute of InternalAuditors. .

St. Louis' Wilfred H. Holle has been re-elected Treasurer of the Belleville Cham-ber of Commerce.

Cleveland's Past President and former Na-tional Director, William Y. Armstrong,recently addressed a joint meeting of theArkansas Society of C.P.A.'s and theArkansas Bankers Association on the sub-ject "Economic and Accounting Conceptsof Depreciation and Depletion —Cost Ver-sus Replacement."

Washington's Past President, Robert W. King,is the first President of the newly organ-ized Federal Government Accounting As-sociation. Howard W. Bordner is Treas-urer.

Hartford's Ernest J. Meuten was recentlyelected President of the Hartford Control,Controllers Institute of America.

Birmingham's Joseph B. Bryson was electedPresident of the National Society of Pub-lic Accountants at their Salt Lake Citymeeting.

Lehigh Volley's Dr. C. E. Allen has been ap-pointed Chairman of the Committee onEducation of the Pennsylvania Instituteof Certified Public Accountants.

462 N. A. C. A. BULLETIN

C O S T C U R R E N T S

Short Reports on Items of Current Interest to Industrial Accountants

N. P. A. Up to Now— "National ProductionAuthority News," contained in the November16, 1950 issue of the Bulletin of Commerceof the U. S. Department of Commerce FieldService contains the summary, reproduced be-low, of "announcements and notices" issued by

0 the agency since its inception in SeptemberOrders M -8 relating to tin and M-9, relatingfo zinc were issued after the cited issue of theBulletin of Commerce had gone to press andmust be added to complete the summary as ofNovember 20, 1950. The summary follows:

Delegations of Authority to Use PriorityRatings:

1— (Amended Nov. 1) To the Secretary ofDefense.

2— (Amended Nov. 2) To the Atomic En-ergy Commission.

3 —Nov. 8, to the National Advisory Com-mission for Aeronautics.

4—Nov. 8, to the U. S. Coast Guard.

Regulations:

1 —Sept. 18, Inventory Control of 24 basicmaterials and6 manufactured products.

2— (Amended Oct. 12), Basic Rules of thePriority System.

Interpretation 1 to Reg. 2, October 20, au-thorizing the use of DO ratings forthe purchase of containers for food andfor petroleum products, and for thepurchase of certain chemicals requiredfor the processing of such products.

3 —Nov. 8, Extension of the Priorities RatingSystem to Canadian Defense Produc-tion.

Orders:

M-1 (Amended October 26), Rules limitingthe volume of rated orders for steel whichproducers are required to accept under

Reg. 2.Supplement to M -1, October 26— Railroad

freight car program.

M-2,Nov. 1,Rubber Conservation Order.

(Note that the former Rubber Allocation Or-der R -1 as amended August 25, 1950,mustbe consulted in conjunction with M -2.)

M -3, Oct. 19,Columbium Bearing Steel Or-der, limiting the production, distributionand use to orders bearing DO ratings.

M -4 (Amended Oct. 31), Prohibition ofConstruction of. 44 types of buildingswhich would not "further the defense ef-fort either directly or indirectly," andwould not "increase the nation's produc-tive capacity."

M-5,Oct. 27,Aluminum Distribution Order.

A— Requiring producers of primary alu-minum to "accept rated orders for cer-tain listed products" for shipment inany one month in excess of the listedpercentages of their "average monthlyshipments of such products during thefirst eight months of 1950."

B— Relieving both producers and fabrica-tors from the necessity of acceptingrated orders for certain listed prod-ucts "for shipment in any one monthin excess of the listed percentages oftheir average monthly shipments ofsuch products during the first 8months of 1950."

DECEMBER, 1950 463

M -6, November 8, Steel Warehouse Program.Establishing "regular allotments of steel

for purchase by steel distributors, based

upon their average monthly purchases . . .

during the period from January 1, 1950through September 30, 1950."

M -7, November 13, Aluminum Use Limita-

tion Order. This order applies to "all per-sons who use any aluminum for purposesof manufacture or construction, or for

maintenance, repair or operating supplies."Each such user is restricted to the follow-

ing amounts:

A— During December 1950, not more thanthe average monthly consumption by

weight . . . for the base period, Janu-

ary 1 to June 30, 1950.

B— During each calender quarter of 1951,not more than 65% of the averagequarterly consumption by weight dur-

ing the first half of 1950.

Any person who used an abnormally small

amount of aluminum, of the typescovered by the Order, during the

base period, or whose business wasstarted after June 30, 1950, may make

an appeal for relief.

Availability of N. P. A. Material—How, and

for what, to be put on the N. P. A. mailing list

for free copies of releases of various type and

the procedure to follow in purchasing copies of

this materia l in bulk is set forth in the follow-

ing instruction supplied by the U. S. Depart-

ment of Commerce, of which the agency is a

part:

"National Production Authority regulations,orders, forms, press releases and related ma-terial, issued by the Department of Commerce,can now be obtained direct from the Depart-

ment of Commerce as indicated herein. Twopublic mailing lists will be maintained in the

Department of Commerce to provide Associa-tions, Chambers of Commerce, manufacturers,

businessmen and others with not to exceed five

free copies of the above material."List 1. Request for copies of regulatory ma-

terial and press releases."List 2. Request for copies of regulatory ma-

terial only."Requests of companies, associations or indi-

viduals to be included in either of the above

lists should be specific and should be sent to:

U. S. Department of Commerce

Division of Printing Services

Attention: E. E. Vivian

Room 6225Washington 25, D. C.Telephone number: Sterling 9200

Extensions 568 or 532,

"The same address applies to the purchaseof copies of N . P . A . material in bulk. The

Superintendent of Documents of the Govern-ment Printing Office, who by law is chargedwith the sale of all government publications,

has designated the Department of Commerce assales agent for the distribution of N . P . A .

Regulations, Orders, etc. Bulk copies of N. P. A.regulatory material may be secured in either of

two ways at a cost of $1.00 per hundred copies

(additional units of 10 -10¢ per unit) :

­1 . The most convenient and expeditious

method is to establish a 'Deposit Account' withthe Superintendent of Documents. This may bedone by submitting such a request, togetherwith a check or money order or not less than$10 made payable to the Treasurer of theUnited States, to the above address. A 'De-posit Account' number will then be assignedand an accounting made to the depositor by the

Superintendent of Documents thereafter."Shipments will be made by regular mail

and charged to the account. Shipments may be

sent by air mail, air express, special delivery,etc., when so authorized by the depositor and

such extra cost will be charged to his account.Mail, telephone, or telegraph orders will be

honored and charged against the deposit ac-

count.

464 N. A. C. A. BULLETIN

"At the time a 'Deposit Account' is estab-lished, the depositor should clearly indicatewhether all regulatory material is desired, in

which event it will be automatically forwardedas released, or if charges to the account shouldbe made only on specific request made by the

depositor.

"2. The second method of securing bulk cop-ies of N. P. A. regulatory material is by direct

purchase in person at Room 6225, Departmentof Commerce, or by check or money order

made payable to the Treasurer of the United

States mailed to the address listed above. Therewill be no charge for mailing when shippedregular mail. Shipments may be sent by air

mail, air express, special delivery, etc., by re-mitting the best estimate of shipping chargesfrom the District of Columbia to point of

order.

"Every effort will be made to mail orders the

same day the request is received. Informationon Defense Program releases of other agencies(such as those named in the Defense Produc-tion Act of 1950) should be obtained from

each agency. Government regulations stipulatethat no material for which there is a chargemay be supplied without payment in advance.'

Su*x Numbers—The N. P. A. has pro-vided in an explanation of the DO numbers on

rated contracts. This explanation is couched asfollows in the "National Production AuthorityNews," November 16, 1950, included in the

Bulletin of Commerce of that date:

"Numbers used following the letters 'DO'

in the N. P. A. Priority Rating System are forclassification only and have no bearing on thepriority of the rated order, because all D Oorders have equal standing on the basis of 'firstcome, first served.' Numbers 01 to 10 refer todifferent industrial programs of the DefenseDepartment; 11 covers building materials and

equipment for overseas troop construction; and22 covers domestic construction contractsawarded by the Defense Department. Defense

Department orders which do not apply to anyof the above programs are ra ted 'DO-21.'

"Number 39 is given merely as an example

in Sec. 11.8 of N. P. A. Reg. 2 and has nosignificance. Numbers in the 40s have been

assigned to the Atomic Energy Commission.Number 98 is reserved for certain contractors

who have applied to the Defense Department

for a specific letter of authority (see separateCost Current item below) to use a priority rat-

ing on orders for production equipment re-quired to complete 'authorized procurement

programs' as provided for in par. 2 of N. P. A.

Delegation 1. (amended Nov. 1, 1950.)

"Number 99 has been designated by theN. P. A. in Sec. 11.9 par. (d) of Reg. 2 for

use by any holder of two or more rated

Defense Orders requiring two or more ma-terials which he wishes to obtain from a single

supplier, by using only one purchase order. In-

stead of listing on the purchase order the quan-tity of each materia l or component required to

fill each rated Defense Order and giving thevarious DO numbers which have been assigned,

a manufacturer is authorized by Reg. 2 to usesimply 'DO -99.' He must, of course, keep an

office record showing those quantities, so that,if occasion arises, the N. P. A. may make an

audit to determine that the quantities ordered

under 'DO -99 ' did not exceed the amounts ac-tually need to complete the Defense Orders inhand at the time the 'Basket- rating' was used."

The following recapitulation of DO numbers

is offered:

DO -01 AIRCRAFT02 GUIDED MISSILES

03 SHIPS04 TANKS AUTOMOTIVE

05 WEAPONS06 AMMUNITION07 ELECTRONIC AN D COMMUNICA.

TIONS EQUIPMENT

08 FUELS AND LUBRICANTS09 CLOTHING AN D EQUIPAGE

10 TRANSPORTATION EQUIPMENT

D E C E M B E R , 1 9 5 0 465

11 BUILDING MATERIALS AN D

EQUIPMENT FOR OVERSEAS

(TROOP) CONSTRUCTION

21 MISCELLANEOUS

22 DEPARTMENT OF DEFENSE CON-STRUCTION CONTRACT

98 PRODUCTION EQUIPMENT FOR

CERTAIN CONTRACTORS

99 MISCELLANEOUS AS REFERRED

TO IN REG ULATION 2 SEC. 11.9

PARAGRAPH D

Atomic Energy CommissionDO-40 OPERATIONS

41 CONSTRUCTION

42 CONSTRUCTION EQUIPMENT

For Priority on Production Equipment Or-

ders—As noted above in presentation of thesignificance of defense order suffix numbers, the

number 98 is reserved for contractors who need

production equipment to complete authorized

procurement programs and have applied to theDefense Department for assistance, since "DO

ratings may not be extended to cover orders forsuch production equipment (see Sec. 11.6 par.(a) of Reg. 2). The procedure to be followed

in applying for a specific letter of authority is

as follows.

"A letter. in duplicate, should be addressed

to the Contracting Officer of the DefenseAgency from which the Contractor has re-ceived the bulk of his rated orders, and should:

"( a ) Explain fully why his present equipment

cannot handle the defense work fast

enough to meet the required deliverydates.

" ( b ) List exactly what types and sizes of ma-

chines he will require." ( c) Contain the following Certifications:

" ( i ) That the Contractor is using hissuitable existing equipment to the

full extent, to perform his rated

orders." ( i i ) That he has exhausted all reason-

able efforts to obta in new or used

equipment on an uarated basis."

About Defense Loans—It has been announcedthat the three armed services which— togetherwith the Departments of Commerce, Interiorand Agriculture and the General Services Ad-

ministration —have been named as guaranteeingagencies under the "V- loan" provisions- of the

Defense Production Act, will follow uniform

procedures in this area. The services are also

reported in the press to have been instructed

by the Defense Department, of which they com-prise parts, to observe a stated order of prefer-

ence as to means by which defense contractorsfinance related production. Put first is privatefinancing, with progress or partial payments by\ i

the contracting agency coming second and gov-

ernment guarantee of private loans third.

Fourth is mentioned direct advance payments

by the government agency, with direct loans bya military department listed fifth and last.

Accelerated Write - Ofis of Facilities —Forms on which to apply for necessity certifi-

cates under Section 124A of the Internal Reve-nue Code, enacted by the Revenue Act of 1950,

are stated to be available from the field offices

of the U. S. Department of Commerce. It ison the basis of these forms (designated NSRB-140) or equivalent data, that the board willpass on applications of companies to write -off

defense facilities over a 60 -month period. Fil-

ings of the form should be directed to the Na-tional Security Resources Board, Executive

Office Building, Washington 25, D. C. Ap-plications are prescribed to be submitted within

six months of the beginning of the "construc-

tion, reconstruction, erection or installation orthe date of acquisition" of the facility forwhich certification is asked.

Labor Supply Survey—A checkup made for

the Office of Defense Manpower (A DefenseProduction Act ageticy within the Departmentof Labor) designates the coming spring as theprobable location in time of significant labor

shortage. The survey was made on a city -by-city basis with the needs of defense programmanpower and skills in mind.

466 N. A. C. A. BULLETIN

National President ToursNorth American Aviation Plants

The respective merits of unit competi-tion as used successfully by two com-pletely different organizations, N. A. C. A.and North American Aviation, Inc., werediscussed and compared when NationalPresident McCloskey, accompanied byNational Secretary Gunnarson, paid a visitto North American plants in Los Angelesa few weeks ago. Both men were on thewest coast to present the Stevenson Trophyto the Los Angeles Chapter, en route tothe Pacific Coast Regional Cost Confer-ence in Portland.

In reviewing the procedures and ac-complishments of both groups, an un-usual similarity in methods of rating ac-complishments was revealed. The NorthAmerican competition covers nine ratingfactors — direct hours, schedule position,production control, efficiency, rework,supporting labor, lost time, safety, house-keeping and non - productive material,

National President McCloskey (right) and H.Leslie Rogers, 1949.50 LOS ANGELES President,congratulate John Goukler, foreman of Dept. 10,top North American unit.

N. A. C. A., with entirely different ob-jectives, rates its chapters on membershipmaintenance and growth, membership ap-plications, member attendance, manu-scripts, forum letters, meeting notices,financial reports and budgets, discussionforms, bulk mailings, publicity, employ-ment, news letters, board meetings and

special activities.

W E R E M E M B E R . . .

The following deaths have been reported recently:

Allan C. Davidson, 59, YOUNGSTOWN, Sec-retary- Treasurer, Niles Rolling Mill Co.

Lewis H. Livengood, 48, PEORIA, Secretaryand Assistant Treasurer, Central IllinoisLight Co.

Sidney L. Israel, 45, NEW YORK, CertifiedPublic Accountant and Tax Consultant.

James F. Hughes, 72, NEW YORK, Partner,Boyce, Hughes & Farrell.

DECEMBER, 1950

Frank A. Zacaroli, 57, MOHAWK VALLEY,Public Accountant.

Lewis R. McGee, 70, PORTLAND, C.P.A. L. R.McGee & Company.

Mary L. Downey, 50, BRIDGEPORT, Account-ant, T.A.D. Jones & Co. Inc.

467

S T E V E N S O N T R O P H Y S T A N D I N G S For Five Months Ending October 31st , 1950

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I . H O U S T O N . . . . . . . . . . . . . . . . . . . 333 - 797 251 1,048 151 100 82 100 200 23 270 40 40 75 - 130 1,211 2,259 - 2,2592 . P E ORI A . . . . . . . . . . . . . . . . . . . . . . 255 - 700 250 950 225 SS 98 100 200 25 240 40 50 7S - 190 1,298 2,248 - 2,2483 . P H I L A D E L P HI A . . . . . . . . . . . . . . 881 - 804 231 1,035 78 85 100 100 200 19 300 40 50 75 - 130 1,177 2,212 - 2,2124. E VA NS VI L L E . . . . . . . . . . . . . . 13113 - 954 244 1,198 - 60 139 100 200 25 240 40 50 75 - 165 1,094 2,292 104 2,1885. GREENWICH- STAMFORD . . . . 121 - 646 218 864 260 60 100 100 200 25 300 40 50 75 - 90 1,300 2,164 - 2,1646. CALUMET . . . . . . . . . . . . . . 90 - 630 270 900 102 150 55 100 200 14 240 28 50 75 - 205 1,219 2,119 - 2,1197. NEW ORLEANS 165 - 799 252 1,051 82 50 100 100 200 19 270 40 50 75 - 40 1,026 2,077 25 2,052S. FORT W ORTH . . . . . . . . . . . . . . . 103 - 509 243 752 172 75 91 100 200 18 300 40 50 75 - 90 1,211 1,963 - 1,9639. TOLEDO . . . . . . . . . . . . . . . . . . . . . 273 - 6S2 223 875 75 35 95 100 200 20 270 40 50 75 - 115 1,075 1,950 - 1,950

10. EL MIRA AREA . . . . . . . . . . . . . . . 100 - 700 211 911 94 - 150 100 200 25 210 40 50 75 - 75 1,019 1,930 - 1,930

II. DALLAS . . . . . . . . . . . . . . . . . . . . . . 293 - 482 201 683 - 60 ISO 100 200 25 300 40 20 75 - 255 1,225 1,908 - 1,90812. SOUTH BEND . . . . . . . . . . . . . . . 189 - 595 211 806 - - 61 100 200 19 300 40 50 75 - 240 1,085 1,891 - 1,89113. READING . . . . . . . . . . . . . . . . . . . . 165 - 473 236 709 76 25 100 f00 200 25 300 40 50 75 - 155 1,146 1,885 - 1,88514. WATERLOO . . . . . . . . . . . . . . . . . 68 - 438 217 655 276 IIS 58 100 200 25 240 40 40 75 - 40 1,209 1,864 - 1,86415. NORTHERN W ISCONSIN . . . 138 - 560 211 771 194 45 99 100 200 19 210 40 50 75 - 40 1,072 1,843 - 1,84316, LOS ANGELES . . . . . . . . . . . . . . 552 - 688 219 907 - - 100 100 200 25 240 40 50 75 - 90 920 1,827 - 1,82717. BUFFALO . . . . . . . . . . . . . . . . . . . . 362 - 472 189 661 75 70 99 100 200 23 300 40 50 75 - 130 1,162 1,823 - 1,82318. PATERSO N . . . . . . . . . . . . . . . . . . . 200 - 533 168 701 - - 100 100 200 25 270 40 50 75 - 240 1,100 1,801 - 1,80119. INDIANAPOLIS . . . . . . . . . . . . . . 350 - 458 244 702 75 20 150 100 200 20 270 40 50 75 - 90 1,090 1,792 - 1,79220. SA BIN E . . . . . . . . . . . . . . . . . . . . . . 105 - 636 191 827 - 20 100 100 200 20 270 40 50 75 - 75 950 1,777 - 1,777

20. SOUTHERN MAINE . . . . . . . . . 120 - 525 225 750 - 25 150 100 200 17 240 40 40 75 - 140 1,027 1,777 - 1,77722. ROCHESTER . . . . . . . . . . . . . . . . . 344 - 307 179 486 222 155 100 100 200 25 270 40 40 7S - 40 1,267 1,753 - 1,75323. YO U N GSTOWN . . . . . . . . . . . . . . 198 - 487 214 701 72 20 98 100 200 23 240 40 50 75 - 130 1,048 1,749 - 1,74924. YORK . . . . . . . . . . . . . . . . . . . . . . . . 170 - 331 265 596 92 - 150 100 200 20 270 28 50 75 - 165 1,150 1,746 - 1,74625. WABASH VALLEY . . . . . . . . . . . 47 - 1,166 222 1,388 - - 90 100 200 24 270 40 30 75 - 40 869 2,257 519 1,73826. KALAM AZOO . . . . . . . . . . . . . . . 73 - 855 262 1,117 - 20 93 80 200 25 178 40 40 75 - 115 866 1,983 251 1,73227. MILW AUKEE . . . . . . . . . . . . . . 479 - 491 104 595 73 50 100 100 200 25 300 32 50 75 - 130 1,135 1,730 - 1,73028. BROOKLYN . . . . . . . . . . . . . . . . . . 337 - 162 203 365 284 70 100 100 200 20 270 40 50 75 - 150 1,359 1,724 - 1,72429. AKRON . . . . . . . . . . . . . . . . . . . . . . 243 - 804 211 1,015 - - 65 60 200 25 300 40 50 75 - 40 855 1,870 160 1,71030. BIN GH A MTO N . . . . . . . . . . . . . . 120 - 512 189 701 78 25 100 100 200 25 240 40 40 75 - 80 1,003 1,704 - 1,704

31. SAN AN TON IO . . . . . . . . . . . . . . 89 - 544 197 741 - - 83 80 200 22 268 39 20 75 - 165 952 1,693 - 1,69332. ATLANTA . . . . . . . . . . . . . . . . . . . 237 - 500 209 709 73 - 74 100 200 25 300 40 40 7S - 50 977 1,686 - 1,68633. CEDAR RAPIDS . . . . . . . . . . . . . . 122 - 512 204 716 - - 150 100 200 20 270 40 30 75 - 80 965 1,681 - 1,68134. SEATTLE . . . . . . . . . . . . . . . . . . . . . 94 - 641 223 864 - - 50 100 200 16 296 40 30 75 - - 807 1,671 - 1,67135. BOSTON . . . . . . . . . . . . . . . . . . . . . 807 - 284 171 455 236 45 100 100 200 25 300 40 40 75 - 50 1,211 1,666 - 1,66636. CLEVELAND . . . . . . . . . . . . . . . . . 625 - 379 133 512 78 65 200 100 200 14 300 40 40 75 - 40 1,152 1,664 - 1,66437. LANCASTER . . . . . . . . . . . . . . . . . 326 - 379 222 601 72 45 100 100 200 25 270 40 50 75 - 80 1,057 1,658 - 1,65838. FOX RIV ER VAL LEY. . . . . . . . . . . 118 - 431 207 638 - - 130 80 200 25 240 28 40 75 - 190 1,008 1,646 - 1,64638. O M A H A . . . . . . . . . . . . . . . . . . . . . 77 - 777 211 988 - 20 70 100 200 8 240 40 30 75 - 40 823 1,811 165 1,64640. CHARLOTTE . . . . . . . . . . . . . . . . . 73 - 700 207 907 - - 135 80 200 20 240 40 30 75 - - 820 1,727 87 1,640

41. HAW AII . . . . . . . . . . . . . 108 - 592 - 592 160 - 82 100 200 25 240 24 - 7S - 140 1,046 1,638 - 1,63842. CHATTANOOGA . . . . . . . . . . . . 140 - 606 187 793 - - 99 100 200 25 210 40 30 75 - 50 829 1,622 - 1,62243. DAYTON . . . . . . . . . . . . . . . . . . . . . 514 - 384 211 595 68 40 100 100 200 23 300 40 40 75 - 40 1,026 1,621 - 1,62144. DES MOINES . . . . . . . . . . . . . . . . 164 - SOS 238 743 - 45 86 100 200 25 210 40 30 75 - 65 876 1,619 - 1,61945. B IRMINGHAM . . . . . . . . . . . . . . . 278 - 362 223 585 0 35 100 100 200 25 300 40 50 75 - 40 1,032 1,617 - 1,617

47. TULSA.......................

137 - 525 189 714 88-

42 100 200 18 300 40 30 75- -

893 1,607-

1,60748. ST. LOUIS

....................539 - 286 163 449

-

25 145 100 200 19 300 40 50 75 - 180 1,134 1,583-

1,58348. SYRACUSE

...................314 - 340 188 528 155

-

150 100 200 25 240 40 30 75 - 40 I,O55 1,583-

1,58350. LANSING

....................147 - 746 229 975

- -

100 100 200 25 210 40 40 75- -

790 1,765 185 1,58051. TWIN- CITIES

................414 - 310 179 489

- -

200 100 200 25 270 40 40 75 - 140 1,090 1,579-

1,57952. LOUISVILLE

.......226 - 350 217 567 SO 20 120 100 200 25 270 40 30 75 - 40 1,009 57

53. W ICHITA....................

125 - 400 178 578 90 55 52 100 195 20 270 40 50 75 - 40 987 1,565-

1,56554. HARTFORD

..................317 - 210 197 407 148 45 99 100 200 20 300 40 40 75 - 90 1,157 1,564

-

1,56455. ROCKFORD

..................239 - 362 202 564 67

-

101 60 200 20 238 40 30 75 - 165 996 1,560-

1,56056. LEHIGH VALLEY

............135 - 326 232 558

-

20 100 100 200 24 270 40 30 75 - 130 989 1,547-

1,54757. PORTLAND

..................ISO - 368 190 558 100

-

65 80 200 20 300 40 50 75 - 40 970 1,528-

1,52858. CHATTAHOOCHEE VALLEY.. 115

-

484 215 699- -

95 100 200 24 240 40 50 75- -

824 1,523-

1,52359. MEMPHIS

....................157 - 622 200 822

- -

39 100 200 23 210 39 30 75 - 40 756 1,578 66 1,51260, WILLIAM SPORT

.............142 - 453 196 649

-

20 130 80 200 25 180 40 50 75 - 50 850 1,499-

1,499

61. SPRINGFIELD................

299 - 298 208 506 68 20 149 100 200 20 270 40 10 75 - 40 992 1,498-

1,49862. W ASHINGTON

..............232 - 363 231 594

- -

150 100 200 18 240 40-

75 - 80 903 1,497-

1,49763. BATON ROUGE

..............85 - 980 226 1,206 108

-

35 40 200 5 270 40-

50- -

748 1,954 458 1,49664. ALBANY

.....................135 - 327 273 600

- -

140 100 200 19 270 40 50 75- -

894 1,494-

1,49465. TRI- CITIES

...................222 - 336 181 517 153 50 40 60 200 25 240 40 50 75 - 40 973 1,490

-

1,49066. PROVIDENCE

................318 - 208 166 374

-

40 100 100 200 25 300 40 50 75 - 180 1,110 1,484-

1,48467. ERIE

.........................177 - 333 174 507

-

45 99 100 195 25 300 40-

75 - 90 969 1,476-

1,47668. HARRISBURG

................87 - 318 193 511 81

-

51 100 200 17 270 40 30 75 - 100 964 1,475-

1,47569. GRAND RAPIDS

.............166 - 466 208 674

-

45 95 100 200 25 180 39 30 75- -

789 1,463-

1,46369. M O HAWK VALLEY

..........144 - 393 175 568

- -

80 100 200 20 300 40 40 75 - 40 695 1,463-

1,463

71. BANGOR....................

65 - 300 204 504-

45 71 100 200 19 240 40 50 75 - 90 930 1,434-

1,43472. NEWARK

....................573 - 297 224 521

- -

ISO 100 200 25 238 40 40 75 - 40 908 1,429-

1,42973. NORW ICH

..................81 - 490 191 681

-

40 80 60 200 IS 180 40 30 50 - 50 745 1,426-

1,42674. NEW HAMPSHIRE

...........139 - 241 207 448

- -

84 100 200 25 270 40 50 75 - 130 974 1,422-

1,42275. FALL RIVER

..................120 - 280 214 494

-

40 187 100 200 19 176 40 30 75 - 50 917 1,411-

1,41176. NEW YORK . . . . . . . . . . . . . . . . . . 1 , 6 2 2 - 235 168 403

- -

150 100 200 20 300 40 40 75 - 80 1,005 1,408-

1,40877. DENVER

.....................200 - 213 192 405 76

-

95 100 200 25 300 40 30 75 - 50 991 1,396-

1,39616. JACKSON

...................75 - 311 196 507

- -

55 100 200 19 300 40 40 75 - 50 879 1,386-

1,38679. PITTSBURGH

.................698 - 212 185 397 153

-

86 100 200 25 270 40 30 75- -

979 1,376-

1,37680. SAN FRANCISCO

............406

-

193 176 369 77 20 89 100 200 24 210 27 40 75-

140 1,002 1,371-

1,371

81. CINCINNATI................

253 - 217 233 450- -

100 BO 200 25 210 40 50 75 - 130 910 1,360-

1,36082. SAGINAW VALLEY

..........129

-

373 215 588- -

34 80 200 25 240 40 30 75-

40 764 1,352-

1,35283. SANGAMON VALLEY

.......144

-

372 192 564- -

118 100 200 25 180 40-

75-

40 778 1,342-

1,34284. MID-HUDSON

...............152 - 218 J98 416

-

40 94 100 200 20 210 40 40 75 - 90 909 1,325-

1,32585. CHICAGO . . . . . . . . . . . . . . . . . . . 1 , 0 3 2 - 159 179 338 80

-

91 100 200 20 240 40 40 75 - 90 976 1,314-

1,31486. SCRANTON . . . . . . . . . . . . . . . . . . 152 - 165 18; 346

- -

100 100 200 19 270 40 40 75 - 115 959 1,305-

1,30587. MERRIMACK VALLEY

........

99-

2S4 182 436- -

100

100 200 25 240 40 30 75-

50 860 1,296-

1,29688. DETROIT . . . . . . . . . . . . . . . . . . . . . 1 , 0 5 4 - 262 197 479

- -

97 100 200 20 240 40 30 75- -

802 1,281-

1,28189. COLUMBUS . . . . . . . . . . . . . . . . . . 337 - 180 174 354

-

25 100 100 200 25 270 40 50 75 - 40 925 1,279-

1,27990. JAMESTOWN . . . . . . . . . . . . . . . . 119 - 150 194 344

-

20 92 100 200 20 270 40-

75 - 115 932 1,276-

1,276

91. H AG ERSTOWN . . . . . . . . . . . . . . 70 - 263 177 440- -

94 100 200 19 236 40 30 75 - 40 834 1,274-

1,27492. WORCESTER . . . . . . . . . . . . . . . . . 214 - 28 179 207 77

-

99 100 200 20 300 40 40 75 - 40 1,041 1,248-

1,24893. SAN DIEGO . . . . . . . . . . . . . . . . . 81 - 210 164 374

- -

33 100 200 10 270 40 50 75 - 90 868 1,242-

1,24294. PIEDMONT . . . . . . . . . . . . . . . . . . . 118 - 150 195 345 77

-

60 100 200 20 240 40 40 75 - 40 892 1,237-

1,23795. NASHVILLE . . . . . . . . . . . . . . . . . . 94 - 318 169 487

-

-

18 60 200 IS 210 40 40 70 - 90 743 1,230-

1,23096. KANSAS CITY . . . . . . . . . . . . . . . 267 - 22 154 176 140 20 54 80 200 20 300 40 30 75 - 90 1,049 1,225

-

1,22597. M USKEGO N . . . . . . . . . . . . . . . . . 76

- -

237 237- -

ISO 100 200 25 270 40 30 75 - 90 980 1,217-

1,21798. BRIDGEPORT . . . . . . . . . . . . . . . 260 - 158 190 348

-

65 86 100 200 20 238 40 40 75- -

864 1,212-

1,21299. WATERBURY . . . . . . . . . . . . . . . . . 182 - 150 174 324

-

15 100 IDO 200 16 240 40 30 75 - 40 BS6 1,180-

1,180100. FORT WAYN E . . . . . . . . . . . . . . . 224 - 181 208 369

-

35 19 80 200 15 240 40 30 75 - 40 774 1,163-

1,163

101. NEW HAVEN . . . . . . . . . . . . . . . . 229 - 156 185 341- -

100 100 195 25 210 40 30 75 - 40 815 1,156-

1,156102. HAMPTON ROADS

..........

177-

147 174 321- -

88 100 200 24 180 39 40 75- -

746 1,067-

1,067103. A N NISTO N . . . . . . . . . . . . . . . . . . 70 - 78 182 260

- -

70 60 200 24 210 8 30 75 - 125 802 1,062-

1,062104. RICHMOND . . . . . . . . . . . . . . . . . 180 - 147 184 331

- -

65 100 200 25 ISO 40 40 75- -

695 1,026-

1,026105. COLUMBIA . . . . . . . . . . . . . . . . . . 71 - 389 222 611

- -

40 60 200-

90 40 30 50- -

510 1,121 101 1,020106. CUBA . . . . . . . . . . . . . . . . . . . . . . . . 157

- -

200 200- - -

60 200 14 270 40-

75- -

659 859-

859

CONGRATULATIONS TO . . .

Horace Bowen, Jr., Past President of PAT -ERSON CHAPTER, appointed Manager ofInternational Business Machine Corpora-tion's sdles and services in the Newark

area.Charles W. Mellinger, Director of Education

of LANCASTER CHAPTER, promoted toSecretary, Crescent Truck Co.

Dave Silverman, CALUMET, elected Control-ler, Cooperative Plant Foods.

W. Graham Jamison, PHILADELPHIA, electedVice President, Catalytic Construction Co.

. James A. McQuail, Jr. and Wil-liam F. Jones, admitted as Partners,John Heins & Co.

R. G. Wright, DES MOINES, elected Treasurer,Meredith Publishing Co.

Theodore Jamro, SYRACUSE, named Manager,Clyde ll "orks, General Electric Co.

Harold L. Kier, SAN FRANCISCO, promoted toHead of Production Control, Eitel -Mc-Cullogh, Inc. . . . Russell A. Clayton,named Controller and Robert A. Fratus,made Chief Accountant, Kaiser Alumi-num and Chemical Corp.

F. W. Frank, FORT WORTH, appointed As-sistan; Secretary, Roeser and Pendleton.. . . Paul H. Laverty made Partner,Sprole., and Woodard.

Alexander Walker, SOUTHERN MAINE, ap-pointed Controller, Brown Corp., La-Tuque. New Brunswick, Canada. . . .Andrew W. Stuart, appointed InternalAuditor, Goodall- Sanford, Inc.

D. K. Phillips, YOUNGSTOWN, promoted toSecretary - Treasurer, General FireproofingCo. . . Norman F. Yount, named Con-troller. Copperweld Steel Co.

Fred G. Schafer, FORT WAYNE, appointedAssistant Office Manager, Horton Manu-facturing Co.

Earl M. Ulbrich, SANGAMON VALLEY, namedComptroller, Darlene Juniors, Inc.

Charles H. Ross, formerly of TWIN CITIES,now Office Manager, Louisville, Office,General Mills. Inc.

Helen A. Castle, PEORIA, now in charge ofAccounting, Mercantile Mortgage Co.

Joseph Hock, transferred to Wash-ington, now Chief, Division of Accounts,U. S. Maritime Administration.

Henry C. Vincent, COLUMBUS, promoted toVice President and Treasurer, The Co-lumbus & Southern Ohio Electric Co... .John G. Kunkel, now Manager of theHome Office, The Shawnee Mutual Insur-ance Co. . . . F. E. Betz, appointed Re-gional Manager, The McBee Co.

Rupert E. Kuhne, COLUMBIA, elected VicePresident, Citizens and Southern NationalBank.

Hamilton A. Little, formerly of PITTSBURGHChapter, promoted to Division Super-visor, Yo r k s Accounting, Gary SteelWorks, Carnegie - Illinois Steel Corp., Gary,Ind.

John M. Leykam, ST. Louts, promoted to PlantManager, Dixie Machinery Co.

Robert M. Trueblood, PITTSBURGH, made aPartner, Touche, Niven, Bailey & Smart.

. M. W. Anderson, promoted to WorksController, Park Works, Crucible SteelCompany of America.

Samuel E. Harrison, SPRINGFIELD, promotedto Assistant Plant Manager, Fisk Plant,U. S. Rubber Co. and Horace J. Smith,succeeding him as Control Manager.

Milton A. Mandel, WASHINGTON, now Con-troller, Garey Winston Co.

S. J. Sehiml, DAYTON, promoted to AssistantComptroller in charge of the AccountingDivision, Dayton Power and Light Co.;J. E. Theobald, made Supervisor of theReports and Voucher Control Department;and Howard Ensor, named Supervisor,Voucher Control Section .. ..C. D. Smith,Jr., transferred to Washington office In-ternational Business Machines Corp, asSpecial Representative to the Departmentof Defense.

W. J. Rostoeii, formerly Director of Member-ship of KANSAS CITY Chapter, promotedto District Manager for Detroit area,Comptometer Division, Felt and TarrantManufacturing Co.

470 N . A . C. A . B U L L E T I N

L I T E R A T U R E N O T E S

Books

New Text

One of t i r o —

Advanced Accounting (Vol. II)Geargge H. Netalove and S. Paul Garner,D. C. Heath & Co., 1950, 418 pp. $4.50.

Ahead of its companion (and preceding)volume, which is scheduled to be issued inthe Spring and will deal with the broad areaof corporate capital and income, the volumenow out takes up some of the specialties ap-propriate to advanced accounting study. Treat-ed in as many parts of the book are the fourtopics of reorganizations, bankruptcies, fidu-ciaries, and partnerships.

The common bond in the first three mattersdealt with is the presence of an accountabilityof a somewhat rigid, legal character in thebusiness situations involved. Stress is laid,in the consideration of reorganizations, on thework and attitudes of the Corporate Reor-ganization Division of the Securities and Ex-change Commission.

Volume II is stated not to be dependenton prior study of Volume I.

On Our Horizons

Ir i t competition or monopoly?—

Geographic Pricing PracticesWilliam Simon, Callaghan & Co., 1950. $9.

The generalized title of this book is inter-preted by subtitle into "Basing -Point Selling"and its own point of departure is the situa-tion left by failure of the O'Mahoney bill,intended to specifically legalize freight absorp-tion in price quotations, to escape presidentialveto after passage at the first session of the

81st Congress. The work is both historicaland economic in character, with relation to itssubject. Attention is given to trends impliedin administrative policies of the Federal TradeCommission and in Court decisions in the de-livered pricing area.

Opening with the necessary definitions, theauthor proceeds to discuss the effects of f.o.b.mill selling and the growth of the oppositionto industry efforts to replace this with de-livered pricing arrangements of varying sorts.The subject is related in turn to the FederalTrade Commission Act, the Clayton Act andthe Robinson - Patman Act.

You have to sell—

Case Histories of Successful Market-ingHector Lazo, Punk & Wagnalls, 1950. 384 pp.$4.75.

The unit studies making up this book are 53in number and are intended to help poolbusiness experience in the removal of roadblocks to sales. In this direction, the author,who teaches marketing at New York Uni-versity Graduate School of Business Adminis-tration and is employed in industry as a di-rector of marketing, recounts the manner inwhich companies have in specific instancesimproved packaging, systematized pricing pol-icy, reinforced dealer ties, revised merchandiz-ing methods, handled salesmen's car allow-ances, etc.

The work is presented by its publisher asan addition to Printers' Ink Business Book-shelf. Reference is made to a similar pub-lication in the series, Case Histories of Suc-cessful Advertising, as in some sense a com-panion work.

DECEMBER, 1950 471

Articles

The Larger IssuesHindsight for foresight—

Inf luence of Government Regulationon Development of Today's Account-ing PracticesPercival F. Brundage, journal of Accountancy,November, 1950.

At various points in this article it is noted

that the Interstate Commerce Commission wasestablished in 1877 (issued its first classifica-tion of accounts in 1894), the Public Service

Commission of New York came into being

in 1907, Federal income tax administrationhad its inception in 1913, the National Asso-

ciation of Railroad and Utilities Commission-ers became an influence in the 1920's and the

Securities and Exchange Commission took its

place in the scheme of things a decade later,following activity of the New York StockExchange in the interest of better corporate

reports.Mr. Brundage traces some of the issues

which have shaped up as business, the ac-counting profession, and regulatory bodieshave taken a hand in the practical economics

of continued existence which is a foremost

concern of individual businesses and some-times seems (paradoxically) to run counterto the economics of the general welfare . It

becomes apparent from the article that the

most enduring and confusing theme through-out the whole regulatory period, which (de-spite a few nineteenth century dates) has been

a twentieth century characteristic, is that ofdepreciation, including its basis, manner ofcomputation, and application as a charge.

What relationship ? —

Cost Accounting and Pricing Poli-ciesCarl T . Devi ne, Account ing Rev i ew, October1950.

This article is a compact six -page review ofpositions of economists on the matter ofprice determinants and of the effect of cost

on pricing policy�—or the absence of such ef-

fect. The acceptance or modification of theo-

retical positions in business practice is alsonoted.

The author suggests that up to 1930 the

general atti tude of company managements wasto price down to (what was believed to be)

complete products costs as demand requiredand that, since then, the concept of pricing

down to variable costs when necessary hasgained wide acceptance. He points out fur-

ther that even variable costs are not a suit-able floor in all cases, citing instances where

it might be good policy to dip stil l lower, e.g.,

to keep a brand name alive or to avoid costsof plant shutdown and resumption of opera-

tions.

Of Sundry Importance

What matter when ? —

Advantages to a Business WhichResult f rom Abandoning December31 Closing DateEd wa r d M ez n er , Journal of Accountancy, N o -vember, 1950.

Here presented are the advantages of use of

a natural business year, which are not solely

those of financial and auditing personnel.

Of the advantages which accrue also to man-agement and the business entity as a whole,

are mentioned more reliable financial state-

ments and prompter and possibly less costlyaudits, as well as more complete managementaid service from public accounting firms and

a more useful summing up of results conse-quent on employment of the industry's annual

cycle for the company's fiscal year.With respect to the reliability of financial

statements, it is pointed out that the smallervolume of inventories, receivables, and cur-

rent liabilities at the close of the annual cycleappropriate to the line of business, leads natu-

rally to fewer estimates and fewer mechanicalerrors. The article also includes mention of

(Continued on page 478)

4 7 2 N . A . C. A . B U L L E T I N

� Y

C H A P T E R M E E T I N G S

AKRON, Ohio December 20Mayflower Hotel

Administration ofPension Plans. H. A .HI L L M A N , W e s t i n g h o u s e E le c t r i c C o r p .

ALBANY, N. Y. December 19Shaker Ridge Country Club

Employee Welfare and Benefit Plans.C. D. ROOT, J R , , C o n s u l t a n t , To w e r s ,P e r r i n , F o r s t e r & C r o s b y , I n c .

ANNISTON, Ala. December 18Y. M. C. A.

Application of Retail Inventory Meth-od to Small Businesses. S TE P H E N A .SAWYER , S a w y e r ' s Of f i c e S u p p l i e s .

ATLANTA, Go. December 19Ansley Hotel

The Cost of Scientific Management.VIC TOR P. TABAKA, P r o f e s s o r of Busi-n e s s A d m i n i s t r a t i o n , E m o r y Un i v e r s i t y .

BALTIMORE, MD. December 19Sheraton Belvedere Hotel

Some Recent Developments in IncomeTax Law and Administration. CHAR LESOL I P H A N T, B u r e a u o f I n t e r n a l R e v e n u e .

BANGOR, Maine December 18Bangor House

Consolidating Our Beachheads in theControl of Marketing Costs. E . W .KEL LE Y, S a l e s C o n t r o l l e r , S t a n d a r dB r a n d s , N . Y .

BATON ROUGE, La. December 20Club Tropicana

Intermediate Inventory Cost ProblemsIn a Chemical Industry. J O H N FUR R ,a n d R OBER T D. CR OOK, E t h y l C o r p .

BINGHAMTON, N. Y. December 21Arlington Hotel

Practical Budgeting. JESSE G . KL I N E ,C h ie f C o s t A c c o u n t a n t , T h e A t l a n t i cR e f i n in g Co.

BIRMINGHAM, Ala. December 19Tutwiler Hotel

Cost Reduction. EDWARD Y . BAR NHAR T,A s s ' t t o C o m p t r o l l e r , Te n n e s s e e C o a l ,I r o n & R a i l r o a d Co.

BOSTON, Mass. December 13Hotel Bradford

What Management Should Expect FromInternal Auditors. VIC TOR Z. BR I NK,A s s ' t C o n t r o l l e r , F o r d M o t o r Co.

D E C E M B E R , 1 9 5 0

BRIDGEPORT, Conn. December 19

Barnum HotelSelection and Training of ACfOuntosrtJfor Industry. TH O MA S L. MOR I SON,A s s t t o t h e P r e s i d e n t , B e n t l e y S c h o o l

o f A c c o u n t in g & F in a n c e .

BROOKLYN, N. Y. December 13The Brass Rail

Year End Federal Income Tax Prob-

lems. W I L L I A M J. CASEY, P r e s i d e n t ,

B u s i n e s s R e p o r t s , I n c .

BUFFALO, N. Y. December 14

Hotel BuffaloThe Accountant Comes of Age. WIL-LIAM H. FR ANK LIN, C a t e r p i l l a r TractorCo.

CALUMET December 28Phil Smidt's Restaurant Hammond, Ind.

Production ofRecords by Assembly LineMethods. S. D. FL I N N , Wo rk s A u d i -

to r , C ar n e gi e - I l li n o is S t e e l C o r p .

CEDAR RAPIDS, Iowa December 12Montrose Hotel

New Philosophy on Accounting Policies.HER B ER T E . MIL LE R , P r o f e s s o r of Ac-c o u n t in g , Un iv e r s i t y o f M i c h i g a n .

CHATTAHOOCHEE VALLEY December 11Ralston Hotel Columbus, Ga.

Graphs And Charts in Accounting Re-ports. HAR OLD M. HE C K M A N , P r o f e s -

s o r of A c c o u n t i n g a n d L a w , Un iv e r s i t y

of G e o r g i a .

CHATTANOOGA, Tenn. December 21Hotel Patten

Federal Income Taxes. ALBER T' W . TA -

BER, A t t o r n e y .

CHICAGO, III. December 7Furniture Club of America

Financial Controls. E . C. BRELSFORD,A s s ' t Tr e a s u r e r , Th o m p s o n P r o d u c t s , I n c .

CINCINNATI, Ohio December 14Hotel Gibson

The Economic or Replacement Value ofFixed Assets Should be the Basis Usedfor De recianon in Arriving at Net In-come from Operations.

NOAW OOD C.GETS, P r o f e s s o r a n d C h a i r m a n o f A c -c o u n t i n g , Un iv e r s i t y o f C i n c in n a t i .

473

CLEVELAND, Ohio December 14Car ter Hotel

Cost Reduction Through Organizationand Planning. S. Z . BRONNER, Assis-tant Treasurer, Bridgeport Brass Co.

COLUMBIA, S. C. December 14JeAerson Hotel

Income Tax Panel Discussion. Chair-man, WESLEY B. EDGAR, C.P.A.

COLUMBUS, Ohio December 18Columbus Athletic Club

Federal Income Tax — Recent Develop-ments, W . E. DicKERSoN and H. W .DOMIGAN, Professors of Accounting,Ohio State University.

CUBA December 20

Calculation of National Income: Systemof Social Accounting. DR. JOSE A.GUERRA DEBEN, Director National Bankof Cuba.

DAYTON, Ohio December 19Engineers Club

The Changing Pension Panorama.WILLIAM F. DRAKE, Director, GroupAnnuity Sales, Prudential Life Insur-ance Company of America.

DENVER, Colo. December 19University Club

Federal Taxation — Affect and Effect.W. B. PAUL, Internal Revenue Agent inCharge United States Government.

DES MOINES, Iowa December 13Standard Club

Clerical Burden, Its Effect on Profit, andHow to Control It. LLOYD F. WHIT-AKER' Supervisor of Special ServiceStaff, Ernst & Ernst.

DETROIT, Mich. December 14Sheraton Hotel

Management Control Through Cost Ac-cfanting. C. O. WELLINGTON, Partner,Scovell, Wellington & Co.

ELMIRA AREA December 12Mark Twain Hote l Elmira, N. Y.

Multiple Meanings of Cost. J. L. WARD,General Manager of Electrical Div.,Coming Glass Works.

EVANSVILLE, Ind. December 7

Alpine House

Financial Reports to Managemenl—Their Influence on Policy Making.C. E. JARCHOW, Vice President andComptroller, International HarvesterCo.

FALL RIVER, Mass. December 21Stone Bridge Inn Tiverfon, R. I.

Tools for Effective Plant Management.PALMER HAGER, Head of Production,Control Dept., International BusinessMachines.

FORT WAYNE. Ind. December 12

Chamber of Commerce

Hidden Assets. G. W . VAUGHT, VicePresident, The B. F. Goodrich Co.

FORT WORTH, Texas December 14

Worth Hotel

The Need of Cost Control in the Mill-ing Industry. BEN E. CALDWELL, TeX -homa Statistical Bureau.

FOX RIVER VALLEY December 6Fairbanks Cafeter ial Aurora, 111.

Electrons at Work for the Cost Account-ant. LEONARD SWANSON, InternationalBusiness Machines Corp.

GRAND RAPIDS, Mich. December 19

Rowe Hotel

Are Standard Costs and Budgets Uni-versally Usable? BENEDICT M. SAYRE,Principal, Benedict M. Sayre and Co.

GREENWICH- STAMFORD, Conn. December 19Rich's Restaurant Greenwich, Conn.

The Industrial Accountant Looks Ahead.J. C. PENNEY, President, The J. C.Penney Co.

HAGERSTOWN, Md. December 14

Alexander Hotel

Guideposts to Planned Profit Control.D. M. MAGOR, Controller, York Corp.

HAMPTON ROADS, Va. December 15

Bell's Restaurant

The Practical Application of the Fed-eral Tax Law. WILLIAM H. WESTPHAL,.

-Partner, A. M. Pullen & Co., CertifiedPublic Accountants.

HARRISBURG, Pa. December I t

Penn-Harris Hotel

Personal Income Tax Law. LEE E.BOYER, C.P.A., Lee E. Boyer & Co.,Harrisburg, Pa.

HARTFORD, Conn. December 12Indian Hill Country Club Newington, Conn.

Current Tax Problems. LESLIE MILLS,Partner, O. F. Taylor Co.

H AWAI I December 15Commercial Club Honolulu

Income Taxed. HERBERT C. DUNN,C.P.A., Partner, Cameron, Tenent &Greaney.

4 7 4 N . A . C . A . B U L L E T I N

HOUSTON, Texas December 18Weldon's Cafeter ia

Anticipated Economic Trends for FirstSix Mouths of 1951. W A TR O US H.IRONS, Vice President, Federal ReserveBank of Dallas.

INDIANAPOLIS, Ind. December 13Morott Hotel

Information Please —Panel on Cost andGeneral Accounting, Auditing and Tax-ation. Chairman, CHARLES R. ISRAEL,

Aero - Mayflower Transit Co.

JACKSON, Miss. December 21Heidelberg Hote l

Employer- Employee Relations and TheirEffect on Our Way of Life. T . J.CASEY, Divisional Supt., Louisiana Div.,Illinois Central Railroad.

JAMESTOWN. N. Y . December 19Hote l Jamestown

Fundamentals of Accounting Manage-ment. B. H. ASKEW , Controller, Endi-cott Plant, International Business Ma-chines Corp.

KALAMAZOO, Mich. December 12Columbia Hote l

Effect of Wage Incentives Upon Costs.E. A. GR ATTO N, Comptroller, BundyTubing Company of Detroit.

KANSAS CITY , Mo. December 18President Hote l

Some Comments on Leadership. JOSEPH

T. MEADE, Dean of Men, Cornell Col-lege.

LANCASTER, Pa. December 15Hotel Brunswick

Goverment and Business in 1951.W A LTER E. HOADLEY, JR., Economist,Armstrong Cork Co.

LANSING, Mich. December 21Post Tavern Hotel Battle Creek

The Accountant's Contribution to PolicyDecisions. MASO N SM IT H, Partner, A. T.Kearney & Co.

L E H I " VALLEY December 15Hotel Bethlehem Bethlehem, Pa.

What We Need in Cost Reports forGeneral Management, Roy T . HU R L E Y,President, Curtiss - Wright Corp.

LOS ANGELES, Cal if. December 12Alexandria Hotel

Current Headlines in Federal and OtherTaxes. A R TH U R B. WIL LI S , Partner,Willis & MacCracken, Attorneys at Law.

LOUISVILLE, Ky. December 19

Kentucky Hote l

Taxes in Kentucky. JAMES W. M AR T I N ,

Director, Bureau of Business Research,University of Kentucky.

MEMPHIS, Tenn. December 20Hotel King Coffon

Recent Developments in AccountingPrinciples. F. C. LAMBERT, ResidentManager, Peat, Marwick, Mitchell & Co.

MERRIMACK VALLEY December 21Red Tavern Methuen, Mass.

Reducing Clerical Work Through WorkSimplification. HAROLD G. D U N L A P ,

H. P. Hood and Sons.MID -HUDSON December 18

Ne lso n House Poughkeepsie, N. Y.

Better Business Management Needs Bet-ter Cost Determination. GEORGE B.HEDDENDORF, The Babson Institute ofBusiness Administration.

MILWAUKEE, Wise. December 11

Milwaukee Athletic Club

Making Accounting Information MoreUseful. EDM UND H. PL AN T, Coordi-nator, Kodak Office Supervisory Train-ing.

MOH AWK VALLEY December 11Utica Hotel Utica. N. Y.

The Administration of Pension Plant.HARRY A. H I L L M A N , Director, PayrollAccounting, Westinghouse Electric Corp.

MUSKEGON, Mich. December 11Cottage lea

Breathing Life Into Internal Cost Re-ports. FRA NK W AL LAC E, Principal, Mc-Kinsel, & Co., Management Consultants.

NASHVILLE, Tenn. December 19Andrew Jackson Hote l

Information Please. Panel of IncomeTax Experts.

NEW HAMPSHIRE December 19Calumet Club Manchester, N. H.

Tax Outlook. ANDREW FIELDING,

C.P.A., Partner, Haskins & Sells.NEW HAVEN, Conn. December 12

Seven Gables Towne House

Benefits Gained by the Use of UniformAccounting System. R. E. CRAIG, Super-visor of Field Operation for the MotorAccounting Staff, General Motors Corp.

NEW ORLEANS, LA. December 21Blackstone Restaurant

Tax Treatment of Gains and Losses onSales and Exchanges of Assets. C. A.PALMGREN, New Orleans Public Service,Inc.

D E C E M B E R , 1 9 5 0 47 5

NEWARK, N. J. December 14Robert Treat Hotel

Inventory Taking and Pricing —a PanelDiscussion. THEODORE R. SULLIVAN,Manager, Industrial Div., Peat, Mar-wick, Mitchell & Co.

NEW YORK, N. Y. December 11Henry Hudson Hotel

Business Outlook 1951. ALAN H. TEM-PLE, Vice President, National City Bankof New York.

NORTHERN WISCONSIN December 19Hotel Atborn Oshkosh, Wisc.

Doing Business in Foreign States. JOHNBEST, Partner, Lecher, Michael, Spohn,Best & Friedrich.

NORWICH, CONN. December 20Waeregan Hotel

Some Aspects of the Revenue Bill of1950. THOMAS J. GREEN, C.P.A., Part-ner, Barrow, Wade, Guthrie & Co.

OMAHA, Neb. December 19Hotel Fonfenelle

New Developments in Federal Taxation.JOHN P. BEGLEY, Professor of Ac-counting, Creighton University.

PATERSON. N. J. December 13Tree Restaurant

Standard Costs for Smaller Plants. I.WAYNE KELLER, Assistant Controller,Armstrong Cork Co.

PEORIA, III. December 20Riviera Club Rome, 111.

Administrative Accounting. WILLIAMBLACKIE, Vice President, CaterpillarTractor Co.

PHILADELPHIA, Pa. December 21Kugler's Restaurant

What's Ne w in Taxes? JAMES J. MA-HON, JR., Partner in Philadelphia Of-fice, Lybrand, Ross Brothers & Mont-gomery.

PIEDMONT December 15Starmount Country Club Greensboro, N. C.

The Sales Executive Looks at Cost Ac-counting. R. M. BUNDY, Vice President,Adams -Mills Corp.

PITTSBURGH, Pa. December 13William Penn Hotel

The Accountant Comes of Age. WIL-LIAM H. FRANKLIN, Controller, Caterpil-lar Tractor Co.

PORTLAND, Ore. December 19Heathman Note[

How to Cut the Cost of Getting ThingsDone. HARRY M. BANFIELD, Counselon Executive Morale.

PROVIDENCE, R. 1. December 18Narragansett Hotel

This Chemical World. ALBERT E. MAR-SHALL, Rumford Chemical Co.

READING, Pa. December 15Wyomissing Club

Economics of Industrial Relations. J. P.LAFFERTY, Plant Comptroller WesternElectric, Allentown, Pa.

RICHMOND, Va. December 14Hotel Richmond

How Should Accountants Prepare forIndustrial Mohilixation? Selected Panelfrom Membership of Richmond Chapterof N. A. C. A.

ROCHESTER, N. Y. December 20Sheraton Hotel

Business Outlook for 1951. EDWIN S.QUINN, President, Investographs, Inc.

ROCKFORD, 111. December 12La Fayette Hotel

Education in Wa r and Peace. CAREYCROENESI, President, Beloit College.

SABINE December 18Charleston Hotel Lake Charles, La.

Cost Controls in Sugar Refining. EARLN. MARTIN, SR., Comptroller, GodchauxSugars, Inc.

SAGINAW VALLEY December •Zehnder's Hotel Frankenmuth, Mich.

The Public Accountant Looks at CostAccounting. DONALD BEVIS, Partner,Touche, Niven, Bailey & Smart, C.P.A.'s.

ST. LOUIS, Mo. December 19Sheraton Hotel

Methods of Funding Pension Plans.W . N. BURGER, Associate Sales Man-ager, The Prudential Insurance Co. ofAmerica. '

SAN ANTONIO, Texas December 19Monger Hotel

Research Cost Control. W . L. McKIN-NON, Shell Oil Co.

SAN DIEGO, Calif. December 20Cuyamoca Club

Taxation, Federal, State and Local. N .BRADFORD TRENHAM, General Manager,California Taxpayers' Association.

SAN FRANCISCO, Calif. December 12Engineers' Club

Principles of Inventory Control, VictorG. GENDRON, Manager, Audit Depart-ment, Crown Zellerbach Corp.

476 N . A . C . A . B U L L E T I N

r�

SANGAMON VALLEY December 19Elks Club Springfield, Il l .

Business Report Writing for Manage-m e n t Pu r p o s e s . C . R . ANDER SON , Chair-man, Div. of Business English, Univer-sity of Il linois.

SCRANTON, Pa. December 18Hotel Sterling

Tax Accounting vs. Good Accounting.PA UL D . SEGHERS, Garey & Garey.

SEATTLE, Wash. December 13Transportation Club of Seattle

How We Control Material Costs at Boe-ing Airplane C o . PA UL S. FORD, A s s t .

Chief Cost Accountant, Boeing AirplaneCo.

SOUTH BEND, Ind . December 5La Salle Hote l

The Accountant's Contributions to PolicyDecisions. MASON SM I TH , Partner, A.T. Kearney & Co.

SOUTHERN MAINE December 1SElm Hotel Auburn, Me.

D i s t r i b u t i o n Co s t i n g . J O H N R . BECK -

ETT, Department of Business and Engi-neering Administration, M. I. T.

SPRINGFIELD, Mass. December 20Hotel Sheraton

Sel f-Insurance. FRANK E. GODFREY,Director of Self- Insurance, the StateHouse, Boston, Mass.

SYRACUSE, N. Y. December 21Hotel Syracuse

H o w W e Are Making Our Account-ing Information More Useful. E. H.PL AN T, Eastman Kodak Co.

TOLEDO, Ohio December 12Secor Hotel

Expense Control by Management. KEN-N E TH C . TI FF A NY, Vice President inCharge of Finance, Burroughs AddingMachine Co.

TRI- CITIES December 19Jul ' s Danis h Farm Davenport , Iow a

Accounting, Recounting, Discounting.Tom W . BR OW N, Personnel Manager,Reynolds Engineering Co.

TULSA, Okla. December 13Mayo Hotel

Recent Ta x D e ve l o pm e n t s . R. G . BoW-ERSOCK, T ax Manager , Ar t hu r Y o un g& C o.

D E C E M B E R , 1 9 5 0

TWIN CITIES December 12Curtis Hotel Minneapolis, Minn.

Cost In formation for Labor Relat ions.C A M P B E L L W . E L L I O T T, D i r e c t o r , Indus-trial Relations, Minneapolis-Moline Co.

WABASH VALLEY December 19Terre Haute House Terre Haute, Ind.

Cost Control —By Accountants? A. N.W H I TL O C K , Asst. Controller, CaterpillarTractor Co.

WASHINGTON, D. C. December 20Willard Hotel

Recent Developments in Federal Ac-c o un t i ng . W A L TE R F . FRESE, C h ie f ,

Accounting Systems Div., General Ac-counting Office.

WATERBURY, CONN. December 12Hotel Elton

Current Trends in the Valuation ofFixed Assets. A. B. HOSSACK, President,American Appraisal Co.

WATERLOO, Iowa December 12Black's Teo Room

Sources and Working Tools in FederalT a x a t i o n . OA KL EY B . DAVIDSON, P r e n -

tice -Hall T ax Service .

WICHITA, Kansas December 19Broadview Hotel

N e w Developmen ts in Federal IncomeTaxes for Ind iv idua ls and Corpora tions.R EX J ENNI NGS, C.P.A., Partner, Boni -camp, Koelling and Smith.

WILLIAMSPORT. Pa. December 11Lycoming Hotel

Wh at D o Yo u Want for Your Money?D R . R U T H H O N E Y, Professor of HomeEconomics, Pennsylvania State College.

WORCESTER, Mass. December 21Putnam i Thurston's Restaurant

Economics of Machine Replacement.EVERETT M. HICKS, Manager, GrindingMachine Div.

YORK, PA. December 13Hotel Yorktown

Research in Federal Taxation. R. H.KR EIGER, Executive Director, Prentice -Hall, Inc.

YOUNGSTOW N, OH IO December 13Tippecanoe Count ry Club

The Industrial Accountant's Role in La-bor Re la t i ons . SAMUEL L . H . BUR K ,

Dire ctor of Indus trial Relat ions, Pit ts-bu rgh P la t e Gl as s C o .

4 7 7

RESEARCH REPORT(Continued from page 461)

A report on the new Research Series 19will be released in the N. A. C. A. Bul-letin shortly after the first of the year.

Itwill deal with methods for evaluating

products, sales territories, customer classes

and similar lines of marketing activity

for purposes of aiding management tomeasure the effectiveness with which mar-

LITERATURE NOTES(Continued from page 472 )

examples of natural business years and gen-eral guides to their determination in otherinstances.

Cost impact —Fixed Charges and ProfitsJoseph Goliger, Accounting Review, October,1950.

The upward trend of variable and fixed costsin industry occupies attention in this article.The author comments that "there is a re-markable interdependence between the fixedcharges rate (to sales or sales value of pro-duction) and the profit rate whenever thevariable cost rate is constant. . . . This sideof the cost /profit relationship has so far beensomewhat neglected, for it is less conspicuousthan the other aspects."

Charted fixed charges and profits rates arepresented to illustrate the paper. These suggesta deceleration in the decrease of the formerand a similar deceleration in the increaseof the latter, as higher volumes are reached.Hence, attention turns back to the variablecost ratio, the author commenting that "Inorder to obtain a benefit from volume in-creases, management must keep the ratiovariable /sales within sound limits; otherwiseonly price increases or drastic reductions offixed costs remain as profit salvaging reme-dies.

keting functions are being performed.

The information will also be of assist-

ance in measuring the relative profitability

of different products, territories and other

categories. Additional reports are planned

for the future by the Committee to pre-

sent specific examples of practice in pre-paring and using cost information for

managerial decisions.

Calculated J.aiel)—Is Our Company Properly Insured?George Ricker, Internal Auditor, September,1950.

Reviewing types of insurance companies aswell as types of risk exposure, the presentauthor, who is an industrial insurance con-sultant, concludes that insurance protection"should be bought by specification and allpolicies should be tailormade." He commentson use of "a checklist of some eighty commontypes of industrial insurance."

Accorded specific discussion in the articleare use and occupancy insurance, public li-ability coverage, fidelity bonds, boiler andkindred equipment insurance, and workmen'scompensation insurance. Stock companies, mu-tuals, reciprocal underwriter's associations andLloyd's associations are distinguished as kindsof carriers and appropriate factors bearing onthe selection of insuring companies are setforth. These factors include: reliability andstrength, coverage offered, service, and cost.

Ways of Doing It

In step with eficiency—Organixing the Office Book of RulesKermit A. Crawley, American Business, Octo-ber, 1950.

Specific suggestions as to contents and methodsof preparation of office handbooks are offeredin this presentation which points out that,if the office manager be regarded as coach, it

4 7 8 N. A. C. A. BULLETIN

clearly follows that the othce teams shouldknow and play his system and not parts ofseveral diverse and conflicting systems. It isto the objective of clarifying and publicizinga single system of operation for the office thatthe procedures which Mr. Crawley commentsare directed.

For handbook contents he suggests sectionsdevoted to purpose, company history, com-pany business, locations of people and facili-ties within the office, activities carried on, andseveral items of office policy data. For methodof compilation, general participation of officepersonnel is the first of five basic approachesmentioned. Others are to keep the manualw ain compass, give it proper circulation toold employees and to new ones, and to realizethat a handbook is as suitable to a small officeas to a large one.

Too lit t le or too much —

Directed Energy in the OfficeThrough Work Distribution AnalysisJerome Barnum, The Controller, October,1950.

The first installment of a three -part paper,this article, stated to be directed to the "how"of manpower utilization, is enlivened by ani-mated charts. ,Preliminary considerations of-fered include the thoughts: (1) that improve-ment of method is a direct avenue to profitbetterment and (2) that application of meth-ods improvement to the office is conditionedby the fact that productive effort is less readilydetermined by supervisory observation than inthe shop.

Introduced, therefore, to fulfill the require-ments of a "directed energy" concept is the

device of "work distribution analysis." Theauthor contends that this form of survey neednot be an unduly protracted matter. He com-ments, "A complete study of an office sec-tion consisting of one supervisor and fourto a dozen subordinate employes should andcan be completed within ten days after it isstarted."

The particulars of a procedure for chartingwork distribution is given in the body of theinstallment. The remaining installments of thearticle are to cover chart analysis and mainte-nance and the effecting of improvements inwork distribution.

Here we go?

Electronic Accounting for SmallOrdersJohn Garth, American Bunnerr. October,1950.

The looked - forward -to magic of electronicapplications to accounting and other businessmachines appears to be beyond current realiza-tion if viewed as a spectacular development.However, as a step -by -step matter, there arehopeful signs.

The present article describes an installationof book club membership and title selectionrecords, tied to a complicated addressing func-tion. The machines employed in the account-ing and addressing procedures incorporateelectronic features. One statement of a por-tion of the routine is'that, "a highly sensitiveaddressing machine which interprets code -punched signals in the addressing stencilssimplifies what otherwise would be an ex-tremely complicated fulfillment problem."

ADDRESSES OF PUBLISHERS AND PERIODICALSAccounting Review, The School of Business, University of Chicago, Chicago 37, Ill. Single copy $1.American Business, 4660 Ravenswood Ave., Chicago 40, Ill. Single copy 35¢.Callaghan & Co., 401 E. Ohio St., Chicago 11, Ill.Controller, The, 1 East 42nd St., New York 17, N. Y. Single copy 50¢.Funk & Wagnalls Co., 153 E. 24th St., New York 10, N. Y.Heath, D. C. & Co., 285 Columbus Ave., Boston 16, Mass.Internal Auditor, The, 120 Wall St., New York 5, N. Y. Single copy $1.Journal of Accountancy, The, 270 Madison Ave., New York 16, N. Y. Single copy 60¢.Noma Forum, 132 W. Chelten Ave., Philadelphia 44, Pa. Single cop}, 50c.D E C E M B E R , 1 9 5 0 479

Now Available

In One

_ ,__A "̀ Complete

Volume!

COMPLETE TEXT OF N. A. C. A.'S STUDY ONSTANDARD COSTSAfter a number of years of development, standard costs have takentheir place as an important tool of management. Hence the Associationhas deemed it appropriate to review this field and to bring togetherin one complete volume the text of the Association's study of standardcosts. The study was originally published in the N. A. C. A. Bulletinduring 1948 as a series of five separate reports, listed below, whichnow have become chapters of the text:

I. A Reexamination of Standard Costs2. Standard Costs to Aid Control of Manufacturing Costs3. Standard Costs for Costing Inventories4. Standard Manufacturing Costs for Pricing and Budgeting5. A Standard Cost Case Study

Not only will this composite text on standard costs be of interest tothose engaged directly in the field, but it is especially suitable for col-lege and accounting school students and for public, school and companylibraries."How Standard Costs Are Being Used Currently" is available to

members at $1.00 per copy ($2.00 for nonmembers)Orders, accompanied by remittance, should be sent to—

NATIONAL ASSOCIATION OF COST ACCOUNTANTS505 Park Avenue 0 New York 22, N. Y.