Principles of bookkeeping : corporation and voucher accounting

Preface

The large number of business enterprises conducted by corporations has resulted in a demand for a bookkeeping text which would cover the basic and fundamental points connected with corporation accounting. The points which distinguish corporation accounting from sole pro¬ prietorship and partnership accounting are explained in this work in some detail, and the optional exercises of the text allow the student an opportunity to apply the principles presented.

In contrast with the various kinds of mercantile businesses taken as the bases for the preceding laboratory sets, the manufacturing business is used in this text as the basis for a practice set so that the student may become familiar with records, books, accounts, and statements suited for this type of industry.

The voucher system of recording commodities purchased is illustrated and used in Set IX. Students will find no difficulty in mastering its basic principles or in understanding the application of such variations of the system as may be found in practice.

In the last chapter of the text the authors give a descriptive intro¬ duction to the subject of cost accounting, and touch upon those points with which the cost clerk should be most familiar.

The authors wish to acknowledge their indebtedness to the follow¬ ing persons for helpful suggestions and criticisms of the manuscript: Henry R. Hatfield, Professor of Accounting, University of California; Stephen W. Gilman, Professor of Business Administration, University of Wisconsin; John R. Wildman, Professor of Accounting, New York University ; J. A. Book, Head of the Commercial Department, South Division High School, Milwaukee, Wisconsin; Ivan E. Chapman, Head of the Commercial Department, Northwestern High School, Detroit, Michigan ; Elizabeth Campbell, Commercial Department, High School, Somerville, Massachusetts ; Myron F. Palmer, Principal of Bay Path Institute, Springfield, Massachusetts.

Business men, bookkeepers, and certified public accountants have also been consulted freely regarding many features of the text, and their practical suggestions have added to the working value of the book.

VA iii

Contents

CHAPTER PAGE

XXXIII. Introduction to Corporate Organization .... 417

XXXIY. The Stock System . 421