By Richard L. Chambers
A compilation drawn from over 500 years of English language accounting literature reflecting a life of scholarly enquiry, this booklet contains over 5000 quotations of among 1-20 strains in size. The e-book goals to provide an old viewpoint in addition to an updated evaluation of what accounting and accountants have been, are and do, and is meant either as a reference ebook and a learn device. Its diversity extends from basic curiosity to the complex, protecting principles, practices and criteria, expert and educational critiques, and the social and logical foundations of accounting; it additionally attracts at the paintings of students in different fields that experience a few pertaining to accounting paintings and proposal.
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Your computer must work to so and so many places of accuracy. This means so and so many significant figures, whether the significance of the digits begins six places before or six places after the decimal point. Your accountant works to cents, and he will work to cents till hell freezes over. Whatever numbers our accountant computed he kept at all stages to exactly two places after the decimal point, whether they were numbers in the millions, where even the first place to the left of the decimal point was of no possible significance, or numbers which begin only five places after the decimal point.
Is essentially an attempt to present . . an exhibit . . of the wealth owned and the debts for which the proprietor is liable . . and how his wealth increases or decreases from time to time. Hatfield, 1 9271 1 97 1 , 1 Accumulated wealth used in the creation of new wealth is called capital. To report the wealth (capital) being used in this process, and the increase in that wealth (income) over time periods, is the function of accounting. Marple, 1 962, 58 The details of the change in wealth during each period are revealed in the income statement; the details of the composition of wealth appear in the balance sheet.
Of modern accounting is to record the changes in financial position or economic status . . in a manner that permits the determination, from the record, of the new financial position at some subsequent date and the results of operations during the period . . ended on that date. Moonitz & Jordan, 1 963, 1: 1 6 Accounting in its broadest sense is concerned with the measurement of transactions (usually involving money as the medium of exchange, but occasionally resulting from barter), transformations (the conversion, usually through the process of pro duction, of goods from one form to another) and events (all other economic occur rences, external and internal, that affect the position or performance of the entity).