Index
A. C. Littleton’s Final Thoughts on Accounting: A Collection of Unpublished Essays
ISBN: 978-1-78635-390-0, eISBN: 978-1-78635-389-4
ISSN: 1479-3504
Publication date: 15 October 2016
Citation
(2016), "Index", A. C. Littleton’s Final Thoughts on Accounting: A Collection of Unpublished Essays (Studies in the Development of Accounting Thought, Vol. 20), Emerald Group Publishing Limited, Leeds, pp. 497-504. https://doi.org/10.1108/S1479-350420160000020074
Publisher
:Emerald Group Publishing Limited
Copyright © 2016 Emerald Group Publishing Limited
INDEX
Accountancy, 5, 6, 399, 403–418
Accountants, 7
management, 375–379
public, 375–379
Accounting
actions. See Accounting actions
administrative, 190, 245–246, 251, 260, 282, 309
cash-basis, 94
commercial, 108
communication, functions and effects of, 180
cost-plus, 108
education, purpose of, 47–55
enterprise, 15, 18, 23, 35, 43, 83, 99–102, 384, 399, 440, 463
financial, 202, 251, 282, 309
inner nature of, 271–277
limitations affecting, 99–102
managerial, 190, 237, 439–440
method, 169–174
mission of, 132, 169–174, 239–248
postulates of, 91, 297–304
practice, 381–382
principle, 351–356
profit and loss, 126
as science, 279–282
suitability of, 191–192, 194
theory, 3–4, 181, 381–382
as thinking tool, 259–268
Accounting actions, 74, 75, 81–83, 199–207, 251, 265, 285, 288, 409, 411–412
deviations in, 130–131
exceptions in, 130–131
structure of, 134, 383
Accounts
bilateral, 178–179, 187, 201, 209, 210, 212–213, 215, 240, 241, 244–245, 274, 281, 342, 420, 444, 454, 460
impersonal, 218
nominal, 10, 18, 87, 88, 143, 147, 149, 201, 221, 261, 267, 327, 335
real, 10, 87, 143, 149, 201, 221, 261, 267
record experience, 63–72
unilateral, 240
Accretion as profit, 282
Administrative accounting, 190, 245–246, 251, 260, 282, 309
Advocacy of index depreciation, 125
Allocation problems
in depreciation, 367–374
in inventory pricing, 359–366
Allowance, 344
Alternative means, 187–195
American Association of Public Accountants. See American Institute of Certified Public Accountants
American Institute of Accountants. See American Institute of Certified Public Accountants
American Institute of Certified Public Accountants (AICPA), 7, 19, 26, 34, 81, 227, 284, 297, 312, 321, 356
American Institute of CPAs, 73
Analytical necessity, 73–78, 361, 362, 367
Apportionment, 276, 340–341, 361, 364
of asset cost, 396
decisions, guidelines for, 465
periodic, 367, 395, 396
Appraisal
critical, 262
surplus, 19, 20
Appraising the knowns, 159–164
Appreciation surplus, 19, 20, 22, 314
Asset-equities, 201
Assets, 21, 237, 238n3
capital, maintenance of, 118–119
depreciation, 368
Assumption, 193
Attest function, 356
Audit, 245, 398
balance sheet, 28, 31
external, 327
internal, 327
verbs, 28–29, 106, 212
Balance sheet, 11, 274
audit, 28, 31
equation, 216
symbols and placement, 433–434
Bankrupt enterprise, adjudication of, 110
Bargained price, 422, 423
Becoming, 389
Bilateral accounts, 178–179, 187, 201, 209, 210, 212–213, 215, 240, 241, 244–245, 274, 281, 342, 420, 444, 454, 460
Bookkeeping, 9, 11, 17, 65, 75, 94, 228, 247, 280, 307, 404
double-entry, 93, 95, 97, 207, 218–220, 224, 274, 275, 391, 429, 430–431
possessions, 10
results, 10
Boundaries for accounting data, 331–338
Budgeting, 349
Business accounting, 121
Business enterprise, 75, 85, 231–232
Business entity, 84
Capital
enterprise, 17
flow, 202
kinds, 18, 354
markets, 17
sources, 18, 354
statement, 17, 18, 246–247
surplus, 19, 427
Cash-basis accounting, 94
Categories, 136, 186, 307, 383, 459
Category integration, 157
Certified Public Accountant, 140
Chance variations, 231
Charge-and-discharge reporting, 201
Commercial accounting, 108
Commission on Standards of Education and Experience for Certified Public Accountants, 34
Commodity, 145
Communication, 235, 301, 317, 394–395, 420, 423–424
data, 149, 157, 383
functions and effects of, 180
Communicative power, 430, 441–442
Companies Acts, 167, 346, 450
Company Act of, 1865, 398
Compelling concept, 193–194, 289, 331, 332, 355, 362, 382
Conditioning factors and accounting, relationship between, 400
Consequences, 176, 267
Conservatism, 30, 31, 298, 344, 347
Consistency, 289–300, 298
Consummated exchange-priced transactions, 166
Continuity, 288–289, 298, 299
Continuum, accounting as, 437–451
Convincing reasons, 160, 382
Cost
allocation, 114
historical, 222
recoverable, 364
Cost-or-market inventory pricing, 338, 365–366, 465–466
Cost-plus accounting, 108
CPA, 227, 376, 379, 470
examination, 15–16, 25–28, 33, 34, 58, 297, 378, 471
laws, 7, 57–58
Credit, 10, 212, 327, 418, 454
Custom, 263
Data, 237, 354–355
accuracy, 364
boundaries for, 331–338
communication, 149, 157, 383
improved data significance, 136
interpretation, 248, 252
marshaling, 188, 248, 275, 308
objectivity of, 139–150
organization, 157
quantitative, 83, 85, 240, 241, 253, 420, 422
supplementary, 125, 316
valuation, 248
Debit, 10, 212, 327, 418, 442, 454
Debt payable, 433
Decision makers, 353–354
Decision-making management, 220
Deductive reasoning, 40, 267
Deficiency account, 397
Depreciation, 105, 106–107, 109, 111–115, 123, 189, 276–277, 315, 361
allocation problems in, 367–374
fixed-asset, 352–353
general, 11
index, 117, 122, 124, 125
Desirability, 177
Deviations in accounting actions, 130–131
Digits, as meaning value, 432
Discipline, accounting as, 403–418
Disciplining of transaction data, 412
Disclosure, 298, 300
full, 289, 312
Dividends, 22, 356
Dollar, 144
Double-entry bookkeeping, 93, 95, 97, 207, 218–220, 224, 274, 275, 391, 429, 430–431
Dualism, duality, 219, 221, 223, 224, 273, 391, 392, 430–433, 438–439, 442–443, 448–449, 459–460
Earned surplus, 19, 22, 314
Earnings statement, 362, 425
Economic theory of value accretion, 118
Empiricism, 66–67, 235
Endproducts, 328
Ends and means, 175–186, 210, 229, 242, 421, 458, 466
Enterprise accounting, 15, 18, 23, 35, 43, 83, 399, 440, 463
limited function of, 99–102, 384
Enterprise capital, 17
Enterprise capital-income accounting, 220, 229
Enterprise earnings, 36, 368–369
Enterprise entity, 75, 83, 89, 135, 136, 220, 285, 333
Enterprise existence, continuity of, 393
Enterprise function–accounting function relationship, 354
Enterprise income, 36–37
Enterprise position, 112
Enterprise prior experience, 279, 354
Enterprise realities, 142
Enterprise solvency, 36
Enterprise transaction experience, 163
Entities, 302
business, 84
enterprise, 75, 83, 89, 135, 136, 220, 285, 333
Environment, 326
Equivalence, 272, 274, 275
Evolution of accounting terminology, 445–446
Exceptions in accounting actions, 130–131
Exchange, 302
Exchange-priced transactions, 129, 132, 135, 136, 217, 220, 234, 247, 252–253, 272–273, 274, 282, 285–286, 290, 333–336
characteristics of, 165–166
consummated, 166
Expense-revenue, 201
Experience, 257
accounts record, 63–72
actual, 242
hypothetical, 242
limits of, 105–115
significance of, 57–62
Experience-significance, 194
External audit, 327
Factual history, 404
Factual pattern of the transactions, 437
Fidelity to trust, 449
Financial accounting, 202, 251, 282, 309
Financial position statement, 425
Financial statements, 20
Financial status, 112
Fiscal period, 85, 336, 460
Fixed-asset depreciation, 352–353
allocation of, 276
Form, 209–214
characteristics of, 216–217
of transactions, 215, 216
Framework of concepts, 457
French Commercial Code of, 1673, 345
Full disclosure, 289, 312
Functional logic, 128, 130, 199, 290, 315, 333, 338, 383
General acceptance, 360
Good judgment, 76, 133–134
Grammar of accounting, 420, 421–422
Gross National Product (GNP), 35, 78, 188, 353
Hidden misinterpretation of actual transaction experience, 355
Historical cost, 222
History of accounting, 453–467
Human nature, 232–233
Ideas motivate action, 129–137
Imperatives, 287, 288, 297
Impersonal accounts, 218
Improved data significance, 136
Improved well-being, 308
Inadequacy, 142
Inadequate names, 93–98
Income, 17
determination, 313
enterprise, 36–37
Income statement, 17, 18, 246–247
symbols and placement, 434
Inductive reasoning, 40, 267, 292
Inflation, 39–41
price, 20
impact of, 117–128
monetary, 20, 21
Inner nature of accounting, 271–277
Institute of Chartered Accountants in England and Wales (ICAEW), 451n4
Institute of Chartered Accountants of Scotland (ICAS), 451n4
Instrumentalism, 66, 67
Integration, 206–207
Integrity, 165–168
Intellectual discipline of transaction data, 413, 415
Intellectual order, 255
Inter-account relations, 457
Interaction, 206–207
Internal audit, 327
Internal Revenue Service, 155
Interpretative analysis, 395–396
Interpretative function, 153–158
Interrelation, 206–207, 234, 244, 300, 395
Inventory, 342–343
allocation problems, 359–366
losses, 348
pricing, 30, 105, 106–107, 109, 359–366
of principles, 321–323
Investors, 353–354
Judgment, 76, 133–134, 137
Knowledge, 259, 394
of accounting history, 411, 453
of conditions, 407
of needs, 407
Knowns, appraising, 159–164
Language, 419–436, 441–442
Ledger account, 22
LIFO method, 158, 363–366, 465–466
Limited function of enterprise accounting, 99–102, 384
Liquidation, 394, 395
Logical duality, 448
Logical reasoning, 223
Lower-of-cost-or-market rule, 275, 344, 347, 348, 363, 364
Management, 75, 89, 181, 243, 333, 340, 353–354
accountant, 375–379
accounting for, 325–328
actions, 427
choices of transactions, 429
decision-making, 220
function, 84, 135
judgment, 427
objectives, 242
responsibility to absentee investors, 396
science, 375
Managerial accounting, 190, 237, 439–440
Markets, capital, 17
Materiality, 298
Mathematics, 238n4, 421
Means and ends, 175–186, 210, 229, 242, 421, 458, 466
Measurement, 141–142, 144, 289–290, 306–307
assumption of, 291
Medium of exchange, 423
Mental perception, 421
Microeconomics, 12
Mission of accounting, 132, 169–174
patterns of, 239–248
Modes of expression, 422
Monetary inflation, 20–22
Money, 87, 189, 303, 307, 384, 422–423
Montgomery, Robert, 7, 33
Napoleonic Code of, 1807, 345
National income accounting, 108–109, 200
Native intelligence, 234
Needs, 228
Neglected logic, 339–350
Neglect of dual entries, 219
Net value, 427
Newton’s theory of gravity, 205
New York Stock Exchange, 356
Nominal accounts, 10, 18, 87, 88, 143, 147, 149, 201, 221, 261, 267, 327, 335
Normal profit, 365
Objectivity, 298, 299
defined, 139–140
of account data, 139–150
Obsolescence, 369–370
Operations research, 150
Oppositeness, 211, 433, 448
Pacioli, Luca, 9, 65
Paid-in surplus, 19, 22
Periodic apportionment, 367, 395, 396
Periodic reporting, 302, 360, 393
Persuasive truth, 352, 354, 355, 382, 391–392
Planned effort, 189–190, 248
Planned performance, 248
Possessions bookkeeping, 10
Postulates of accounting, 91, 193, 297–304
Practicability, 176–177
Pragmatism, 3, 66, 195, 262, 265, 266, 383, 461
Preventative accounting, 327
Price
bargained, 422, 423
distinguished from value, 13, 87, 109, 144–145, 166, 189
inflation, 20
level changes, 311–319
Principles of accounting, 305–310, 351–356, 457
Private enterprise, 158
Profit, 19, 163, 243, 290, 369
normal, 365
Profit-and-loss statement, 11, 126
symbols and placement, 434–435
Public accountant, 375–379
Purchase-and-sale theory, 111
Purchasing power of money, 423
Quantification, 144, 287, 302
Quantitative data, 83, 85, 240, 241, 253, 420, 422
Rationality, 179
Rational motivation, continuity of, 406
Real accounts, 10, 87, 143, 149, 201, 221, 261, 267
Realization, 121, 141, 142–143, 306
Reasoning
deductive, 40, 267
inductive, 40, 267, 292
logical, 223
Recognized needs, 411
Recording of transactions, 408
Recoverable cost, 364
Relative solvency, 112
Reminiscing, 469–472
Responsibility accounting, 438, 449
Results bookkeeping, 10
Revenues, 23, 189, 354
Roman verbal memoranda of debts, 448
Rules, 22, 42
Science, accounting as, 279–282
Securities and Exchange Commission, 155, 185, 356
Self-interest, 251, 352, 355
Social accounts, 200
Stable unit, 298
Standards, 22
Statement
of affairs, 397
capital, 17, 18
income, 17, 18
Statistics, 463
Structure of accounting actions, 134, 383
Substance, 209–214
of transactions, 215–224
Suitability of accounting, 177, 191–192, 194
Superstructure of actions, 134
Supplementary data, 125, 316
Surplus, 313, 315
capital, 19, 427
appraisal, 19, 20
appreciation, 19, 20, 22, 314
earned, 19, 22, 314
paid-in, 19, 22
Syntax of accounting, 420
Systematic method of inquiry, 260
Taxation, 17
Tentativeness, 286
Theory as action explanation, 199–207
Theory–practice relation, 251–258
Transactions, 100, 125, 326
analysis of, 10, 11, 157, 188
characteristics of, 216–217, 223
exchange-priced, 129, 132, 135, 136, 217, 234, 252–253, 272–273, 274, 282, 285–286, 290, 333–336
factual pattern of, 437
recording, 408
substance of, 209–214
Trial balance, 11
Uniformity, 298, 299
Unilateral accounts, 240
Unit of measure, 144, 146–147, 302
Usefulness, 176, 217, 303, 467
of technical data, 141
Valuation, 248, 276, 306, 345, 366
Valuation precedent for companies, creating, 110–111
Value, 167, 168, 217, 248, 306, 431
accretion, 118
distinguished from price, 13, 87, 109, 144–146, 166, 189
Well-being, 427
enterprise, 369
improved, 308
“Why?” questions, inquiries of, 389–401
Capital
enterprise, 17
flow, 202
kinds, 18, 354
markets, 17
sources, 18, 354
statement, 17, 18, 246–247
surplus, 19, 427
Cash-basis accounting, 94
Categories, 136, 186, 307, 383, 459
Category integration, 157
Certified Public Accountant, 140
Chance variations, 231
Charge-and-discharge reporting, 201
Commercial accounting, 108
Commission on Standards of Education and Experience for Certified Public Accountants, 34
Commodity, 145
Communication, 235, 301, 317, 394–395, 420, 423–424
data, 149, 157, 383
functions and effects of, 180
Communicative power, 430, 441–442
Companies Acts, 167, 346, 450
Company Act of, 1865, 398
Compelling concept, 193–194, 289, 331, 332, 355, 362, 382
Conditioning factors and accounting, relationship between, 400
Consequences, 176, 267
Conservatism, 30, 31, 298, 344, 347
Consistency, 289–300, 298
Consummated exchange-priced transactions, 166
Continuity, 288–289, 298, 299
Continuum, accounting as, 437–451
Convincing reasons, 160, 382
Cost
allocation, 114
historical, 222
recoverable, 364
Cost-or-market inventory pricing, 338, 365–366, 465–466
Cost-plus accounting, 108
CPA, 227, 376, 379, 470
examination, 15–16, 25–28, 33, 34, 58, 297, 378, 471
laws, 7, 57–58
Credit, 10, 212, 327, 418, 454
Custom, 263
Data, 237, 354–355
accuracy, 364
boundaries for, 331–338
communication, 149, 157, 383
improved data significance, 136
interpretation, 248, 252
marshaling, 188, 248, 275, 308
objectivity of, 139–150
organization, 157
quantitative, 83, 85, 240, 241, 253, 420, 422
supplementary, 125, 316
valuation, 248
Debit, 10, 212, 327, 418, 442, 454
Debt payable, 433
Decision makers, 353–354
Decision-making management, 220
Deductive reasoning, 40, 267
Deficiency account, 397
Depreciation, 105, 106–107, 109, 111–115, 123, 189, 276–277, 315, 361
allocation problems in, 367–374
fixed-asset, 352–353
general, 11
index, 117, 122, 124, 125
Desirability, 177
Deviations in accounting actions, 130–131
Digits, as meaning value, 432
Discipline, accounting as, 403–418
Disciplining of transaction data, 412
Disclosure, 298, 300
full, 289, 312
Dividends, 22, 356
Dollar, 144
Double-entry bookkeeping, 93, 95, 97, 207, 218–220, 224, 274, 275, 391, 429, 430–431
Dualism, duality, 219, 221, 223, 224, 273, 391, 392, 430–433, 438–439, 442–443, 448–449, 459–460
Earned surplus, 19, 22, 314
Earnings statement, 362, 425
Economic theory of value accretion, 118
Empiricism, 66–67, 235
Endproducts, 328
Ends and means, 175–186, 210, 229, 242, 421, 458, 466
Enterprise accounting, 15, 18, 23, 35, 43, 83, 399, 440, 463
limited function of, 99–102, 384
Enterprise capital, 17
Enterprise capital-income accounting, 220, 229
Enterprise earnings, 36, 368–369
Enterprise entity, 75, 83, 89, 135, 136, 220, 285, 333
Enterprise existence, continuity of, 393
Enterprise function–accounting function relationship, 354
Enterprise income, 36–37
Enterprise position, 112
Enterprise prior experience, 279, 354
Enterprise realities, 142
Enterprise solvency, 36
Enterprise transaction experience, 163
Entities, 302
business, 84
enterprise, 75, 83, 89, 135, 136, 220, 285, 333
Environment, 326
Equivalence, 272, 274, 275
Evolution of accounting terminology, 445–446
Exceptions in accounting actions, 130–131
Exchange, 302
Exchange-priced transactions, 129, 132, 135, 136, 217, 220, 234, 247, 252–253, 272–273, 274, 282, 285–286, 290, 333–336
characteristics of, 165–166
consummated, 166
Expense-revenue, 201
Experience, 257
accounts record, 63–72
actual, 242
hypothetical, 242
limits of, 105–115
significance of, 57–62
Experience-significance, 194
External audit, 327
Factual history, 404
Factual pattern of the transactions, 437
Fidelity to trust, 449
Financial accounting, 202, 251, 282, 309
Financial position statement, 425
Financial statements, 20
Financial status, 112
Fiscal period, 85, 336, 460
Fixed-asset depreciation, 352–353
allocation of, 276
Form, 209–214
characteristics of, 216–217
of transactions, 215, 216
Framework of concepts, 457
French Commercial Code of, 1673, 345
Full disclosure, 289, 312
Functional logic, 128, 130, 199, 290, 315, 333, 338, 383
General acceptance, 360
Good judgment, 76, 133–134
Grammar of accounting, 420, 421–422
Gross National Product (GNP), 35, 78, 188, 353
Hidden misinterpretation of actual transaction experience, 355
Historical cost, 222
History of accounting, 453–467
Human nature, 232–233
Ideas motivate action, 129–137
Imperatives, 287, 288, 297
Impersonal accounts, 218
Improved data significance, 136
Improved well-being, 308
Inadequacy, 142
Inadequate names, 93–98
Income, 17
determination, 313
enterprise, 36–37
Income statement, 17, 18, 246–247
symbols and placement, 434
Inductive reasoning, 40, 267, 292
Inflation, 39–41
price, 20
impact of, 117–128
monetary, 20, 21
Inner nature of accounting, 271–277
Institute of Chartered Accountants in England and Wales (ICAEW), 451n4
Institute of Chartered Accountants of Scotland (ICAS), 451n4
Instrumentalism, 66, 67
Integration, 206–207
Integrity, 165–168
Intellectual discipline of transaction data, 413, 415
Intellectual order, 255
Inter-account relations, 457
Interaction, 206–207
Internal audit, 327
Internal Revenue Service, 155
Interpretative analysis, 395–396
Interpretative function, 153–158
Interrelation, 206–207, 234, 244, 300, 395
Inventory, 342–343
allocation problems, 359–366
losses, 348
pricing, 30, 105, 106–107, 109, 359–366
of principles, 321–323
Investors, 353–354
Judgment, 76, 133–134, 137
Knowledge, 259, 394
of accounting history, 411, 453
of conditions, 407
of needs, 407
Knowns, appraising, 159–164
Language, 419–436, 441–442
Ledger account, 22
LIFO method, 158, 363–366, 465–466
Limited function of enterprise accounting, 99–102, 384
Liquidation, 394, 395
Logical duality, 448
Logical reasoning, 223
Lower-of-cost-or-market rule, 275, 344, 347, 348, 363, 364
Management, 75, 89, 181, 243, 333, 340, 353–354
accountant, 375–379
accounting for, 325–328
actions, 427
choices of transactions, 429
decision-making, 220
function, 84, 135
judgment, 427
objectives, 242
responsibility to absentee investors, 396
science, 375
Managerial accounting, 190, 237, 439–440
Markets, capital, 17
Materiality, 298
Mathematics, 238n4, 421
Means and ends, 175–186, 210, 229, 242, 421, 458, 466
Measurement, 141–142, 144, 289–290, 306–307
assumption of, 291
Medium of exchange, 423
Mental perception, 421
Microeconomics, 12
Mission of accounting, 132, 169–174
patterns of, 239–248
Modes of expression, 422
Monetary inflation, 20–22
Money, 87, 189, 303, 307, 384, 422–423
Montgomery, Robert, 7, 33
Napoleonic Code of, 1807, 345
National income accounting, 108–109, 200
Native intelligence, 234
Needs, 228
Neglected logic, 339–350
Neglect of dual entries, 219
Net value, 427
Newton’s theory of gravity, 205
New York Stock Exchange, 356
Nominal accounts, 10, 18, 87, 88, 143, 147, 149, 201, 221, 261, 267, 327, 335
Normal profit, 365
Objectivity, 298, 299
defined, 139–140
of account data, 139–150
Obsolescence, 369–370
Operations research, 150
Oppositeness, 211, 433, 448
Pacioli, Luca, 9, 65
Paid-in surplus, 19, 22
Periodic apportionment, 367, 395, 396
Periodic reporting, 302, 360, 393
Persuasive truth, 352, 354, 355, 382, 391–392
Planned effort, 189–190, 248
Planned performance, 248
Possessions bookkeeping, 10
Postulates of accounting, 91, 193, 297–304
Practicability, 176–177
Pragmatism, 3, 66, 195, 262, 265, 266, 383, 461
Preventative accounting, 327
Price
bargained, 422, 423
distinguished from value, 13, 87, 109, 144–145, 166, 189
inflation, 20
level changes, 311–319
Principles of accounting, 305–310, 351–356, 457
Private enterprise, 158
Profit, 19, 163, 243, 290, 369
normal, 365
Profit-and-loss statement, 11, 126
symbols and placement, 434–435
Public accountant, 375–379
Purchase-and-sale theory, 111
Purchasing power of money, 423
Quantification, 144, 287, 302
Quantitative data, 83, 85, 240, 241, 253, 420, 422
Rationality, 179
Rational motivation, continuity of, 406
Real accounts, 10, 87, 143, 149, 201, 221, 261, 267
Realization, 121, 141, 142–143, 306
Reasoning
deductive, 40, 267
inductive, 40, 267, 292
logical, 223
Recognized needs, 411
Recording of transactions, 408
Recoverable cost, 364
Relative solvency, 112
Reminiscing, 469–472
Responsibility accounting, 438, 449
Results bookkeeping, 10
Revenues, 23, 189, 354
Roman verbal memoranda of debts, 448
Rules, 22, 42
Science, accounting as, 279–282
Securities and Exchange Commission, 155, 185, 356
Self-interest, 251, 352, 355
Social accounts, 200
Stable unit, 298
Standards, 22
Statement
of affairs, 397
capital, 17, 18
income, 17, 18
Statistics, 463
Structure of accounting actions, 134, 383
Substance, 209–214
of transactions, 215–224
Suitability of accounting, 177, 191–192, 194
Superstructure of actions, 134
Supplementary data, 125, 316
Surplus, 313, 315
capital, 19, 427
appraisal, 19, 20
appreciation, 19, 20, 22, 314
earned, 19, 22, 314
paid-in, 19, 22
Syntax of accounting, 420
Systematic method of inquiry, 260
Taxation, 17
Tentativeness, 286
Theory as action explanation, 199–207
Theory–practice relation, 251–258
Transactions, 100, 125, 326
analysis of, 10, 11, 157, 188
characteristics of, 216–217, 223
exchange-priced, 129, 132, 135, 136, 217, 234, 252–253, 272–273, 274, 282, 285–286, 290, 333–336
factual pattern of, 437
recording, 408
substance of, 209–214
Trial balance, 11
Uniformity, 298, 299
Unilateral accounts, 240
Unit of measure, 144, 146–147, 302
Usefulness, 176, 217, 303, 467
of technical data, 141
Valuation, 248, 276, 306, 345, 366
Valuation precedent for companies, creating, 110–111
Value, 167, 168, 217, 248, 306, 431
accretion, 118
distinguished from price, 13, 87, 109, 144–146, 166, 189
Well-being, 427
enterprise, 369
improved, 308
“Why?” questions, inquiries of, 389–401
Earned surplus, 19, 22, 314
Earnings statement, 362, 425
Economic theory of value accretion, 118
Empiricism, 66–67, 235
Endproducts, 328
Ends and means, 175–186, 210, 229, 242, 421, 458, 466
Enterprise accounting, 15, 18, 23, 35, 43, 83, 399, 440, 463
limited function of, 99–102, 384
Enterprise capital, 17
Enterprise capital-income accounting, 220, 229
Enterprise earnings, 36, 368–369
Enterprise entity, 75, 83, 89, 135, 136, 220, 285, 333
Enterprise existence, continuity of, 393
Enterprise function–accounting function relationship, 354
Enterprise income, 36–37
Enterprise position, 112
Enterprise prior experience, 279, 354
Enterprise realities, 142
Enterprise solvency, 36
Enterprise transaction experience, 163
Entities, 302
business, 84
enterprise, 75, 83, 89, 135, 136, 220, 285, 333
Environment, 326
Equivalence, 272, 274, 275
Evolution of accounting terminology, 445–446
Exceptions in accounting actions, 130–131
Exchange, 302
Exchange-priced transactions, 129, 132, 135, 136, 217, 220, 234, 247, 252–253, 272–273, 274, 282, 285–286, 290, 333–336
characteristics of, 165–166
consummated, 166
Expense-revenue, 201
Experience, 257
accounts record, 63–72
actual, 242
hypothetical, 242
limits of, 105–115
significance of, 57–62
Experience-significance, 194
External audit, 327
Factual history, 404
Factual pattern of the transactions, 437
Fidelity to trust, 449
Financial accounting, 202, 251, 282, 309
Financial position statement, 425
Financial statements, 20
Financial status, 112
Fiscal period, 85, 336, 460
Fixed-asset depreciation, 352–353
allocation of, 276
Form, 209–214
characteristics of, 216–217
of transactions, 215, 216
Framework of concepts, 457
French Commercial Code of, 1673, 345
Full disclosure, 289, 312
Functional logic, 128, 130, 199, 290, 315, 333, 338, 383
General acceptance, 360
Good judgment, 76, 133–134
Grammar of accounting, 420, 421–422
Gross National Product (GNP), 35, 78, 188, 353
Hidden misinterpretation of actual transaction experience, 355
Historical cost, 222
History of accounting, 453–467
Human nature, 232–233
Ideas motivate action, 129–137
Imperatives, 287, 288, 297
Impersonal accounts, 218
Improved data significance, 136
Improved well-being, 308
Inadequacy, 142
Inadequate names, 93–98
Income, 17
determination, 313
enterprise, 36–37
Income statement, 17, 18, 246–247
symbols and placement, 434
Inductive reasoning, 40, 267, 292
Inflation, 39–41
price, 20
impact of, 117–128
monetary, 20, 21
Inner nature of accounting, 271–277
Institute of Chartered Accountants in England and Wales (ICAEW), 451n4
Institute of Chartered Accountants of Scotland (ICAS), 451n4
Instrumentalism, 66, 67
Integration, 206–207
Integrity, 165–168
Intellectual discipline of transaction data, 413, 415
Intellectual order, 255
Inter-account relations, 457
Interaction, 206–207
Internal audit, 327
Internal Revenue Service, 155
Interpretative analysis, 395–396
Interpretative function, 153–158
Interrelation, 206–207, 234, 244, 300, 395
Inventory, 342–343
allocation problems, 359–366
losses, 348
pricing, 30, 105, 106–107, 109, 359–366
of principles, 321–323
Investors, 353–354
Judgment, 76, 133–134, 137
Knowledge, 259, 394
of accounting history, 411, 453
of conditions, 407
of needs, 407
Knowns, appraising, 159–164
Language, 419–436, 441–442
Ledger account, 22
LIFO method, 158, 363–366, 465–466
Limited function of enterprise accounting, 99–102, 384
Liquidation, 394, 395
Logical duality, 448
Logical reasoning, 223
Lower-of-cost-or-market rule, 275, 344, 347, 348, 363, 364
Management, 75, 89, 181, 243, 333, 340, 353–354
accountant, 375–379
accounting for, 325–328
actions, 427
choices of transactions, 429
decision-making, 220
function, 84, 135
judgment, 427
objectives, 242
responsibility to absentee investors, 396
science, 375
Managerial accounting, 190, 237, 439–440
Markets, capital, 17
Materiality, 298
Mathematics, 238n4, 421
Means and ends, 175–186, 210, 229, 242, 421, 458, 466
Measurement, 141–142, 144, 289–290, 306–307
assumption of, 291
Medium of exchange, 423
Mental perception, 421
Microeconomics, 12
Mission of accounting, 132, 169–174
patterns of, 239–248
Modes of expression, 422
Monetary inflation, 20–22
Money, 87, 189, 303, 307, 384, 422–423
Montgomery, Robert, 7, 33
Napoleonic Code of, 1807, 345
National income accounting, 108–109, 200
Native intelligence, 234
Needs, 228
Neglected logic, 339–350
Neglect of dual entries, 219
Net value, 427
Newton’s theory of gravity, 205
New York Stock Exchange, 356
Nominal accounts, 10, 18, 87, 88, 143, 147, 149, 201, 221, 261, 267, 327, 335
Normal profit, 365
Objectivity, 298, 299
defined, 139–140
of account data, 139–150
Obsolescence, 369–370
Operations research, 150
Oppositeness, 211, 433, 448
Pacioli, Luca, 9, 65
Paid-in surplus, 19, 22
Periodic apportionment, 367, 395, 396
Periodic reporting, 302, 360, 393
Persuasive truth, 352, 354, 355, 382, 391–392
Planned effort, 189–190, 248
Planned performance, 248
Possessions bookkeeping, 10
Postulates of accounting, 91, 193, 297–304
Practicability, 176–177
Pragmatism, 3, 66, 195, 262, 265, 266, 383, 461
Preventative accounting, 327
Price
bargained, 422, 423
distinguished from value, 13, 87, 109, 144–145, 166, 189
inflation, 20
level changes, 311–319
Principles of accounting, 305–310, 351–356, 457
Private enterprise, 158
Profit, 19, 163, 243, 290, 369
normal, 365
Profit-and-loss statement, 11, 126
symbols and placement, 434–435
Public accountant, 375–379
Purchase-and-sale theory, 111
Purchasing power of money, 423
Quantification, 144, 287, 302
Quantitative data, 83, 85, 240, 241, 253, 420, 422
Rationality, 179
Rational motivation, continuity of, 406
Real accounts, 10, 87, 143, 149, 201, 221, 261, 267
Realization, 121, 141, 142–143, 306
Reasoning
deductive, 40, 267
inductive, 40, 267, 292
logical, 223
Recognized needs, 411
Recording of transactions, 408
Recoverable cost, 364
Relative solvency, 112
Reminiscing, 469–472
Responsibility accounting, 438, 449
Results bookkeeping, 10
Revenues, 23, 189, 354
Roman verbal memoranda of debts, 448
Rules, 22, 42
Science, accounting as, 279–282
Securities and Exchange Commission, 155, 185, 356
Self-interest, 251, 352, 355
Social accounts, 200
Stable unit, 298
Standards, 22
Statement
of affairs, 397
capital, 17, 18
income, 17, 18
Statistics, 463
Structure of accounting actions, 134, 383
Substance, 209–214
of transactions, 215–224
Suitability of accounting, 177, 191–192, 194
Superstructure of actions, 134
Supplementary data, 125, 316
Surplus, 313, 315
capital, 19, 427
appraisal, 19, 20
appreciation, 19, 20, 22, 314
earned, 19, 22, 314
paid-in, 19, 22
Syntax of accounting, 420
Systematic method of inquiry, 260
Taxation, 17
Tentativeness, 286
Theory as action explanation, 199–207
Theory–practice relation, 251–258
Transactions, 100, 125, 326
analysis of, 10, 11, 157, 188
characteristics of, 216–217, 223
exchange-priced, 129, 132, 135, 136, 217, 234, 252–253, 272–273, 274, 282, 285–286, 290, 333–336
factual pattern of, 437
recording, 408
substance of, 209–214
Trial balance, 11
Uniformity, 298, 299
Unilateral accounts, 240
Unit of measure, 144, 146–147, 302
Usefulness, 176, 217, 303, 467
of technical data, 141
Valuation, 248, 276, 306, 345, 366
Valuation precedent for companies, creating, 110–111
Value, 167, 168, 217, 248, 306, 431
accretion, 118
distinguished from price, 13, 87, 109, 144–146, 166, 189
Well-being, 427
enterprise, 369
improved, 308
“Why?” questions, inquiries of, 389–401
General acceptance, 360
Good judgment, 76, 133–134
Grammar of accounting, 420, 421–422
Gross National Product (GNP), 35, 78, 188, 353
Hidden misinterpretation of actual transaction experience, 355
Historical cost, 222
History of accounting, 453–467
Human nature, 232–233
Ideas motivate action, 129–137
Imperatives, 287, 288, 297
Impersonal accounts, 218
Improved data significance, 136
Improved well-being, 308
Inadequacy, 142
Inadequate names, 93–98
Income, 17
determination, 313
enterprise, 36–37
Income statement, 17, 18, 246–247
symbols and placement, 434
Inductive reasoning, 40, 267, 292
Inflation, 39–41
price, 20
impact of, 117–128
monetary, 20, 21
Inner nature of accounting, 271–277
Institute of Chartered Accountants in England and Wales (ICAEW), 451n4
Institute of Chartered Accountants of Scotland (ICAS), 451n4
Instrumentalism, 66, 67
Integration, 206–207
Integrity, 165–168
Intellectual discipline of transaction data, 413, 415
Intellectual order, 255
Inter-account relations, 457
Interaction, 206–207
Internal audit, 327
Internal Revenue Service, 155
Interpretative analysis, 395–396
Interpretative function, 153–158
Interrelation, 206–207, 234, 244, 300, 395
Inventory, 342–343
allocation problems, 359–366
losses, 348
pricing, 30, 105, 106–107, 109, 359–366
of principles, 321–323
Investors, 353–354
Judgment, 76, 133–134, 137
Knowledge, 259, 394
of accounting history, 411, 453
of conditions, 407
of needs, 407
Knowns, appraising, 159–164
Language, 419–436, 441–442
Ledger account, 22
LIFO method, 158, 363–366, 465–466
Limited function of enterprise accounting, 99–102, 384
Liquidation, 394, 395
Logical duality, 448
Logical reasoning, 223
Lower-of-cost-or-market rule, 275, 344, 347, 348, 363, 364
Management, 75, 89, 181, 243, 333, 340, 353–354
accountant, 375–379
accounting for, 325–328
actions, 427
choices of transactions, 429
decision-making, 220
function, 84, 135
judgment, 427
objectives, 242
responsibility to absentee investors, 396
science, 375
Managerial accounting, 190, 237, 439–440
Markets, capital, 17
Materiality, 298
Mathematics, 238n4, 421
Means and ends, 175–186, 210, 229, 242, 421, 458, 466
Measurement, 141–142, 144, 289–290, 306–307
assumption of, 291
Medium of exchange, 423
Mental perception, 421
Microeconomics, 12
Mission of accounting, 132, 169–174
patterns of, 239–248
Modes of expression, 422
Monetary inflation, 20–22
Money, 87, 189, 303, 307, 384, 422–423
Montgomery, Robert, 7, 33
Napoleonic Code of, 1807, 345
National income accounting, 108–109, 200
Native intelligence, 234
Needs, 228
Neglected logic, 339–350
Neglect of dual entries, 219
Net value, 427
Newton’s theory of gravity, 205
New York Stock Exchange, 356
Nominal accounts, 10, 18, 87, 88, 143, 147, 149, 201, 221, 261, 267, 327, 335
Normal profit, 365
Objectivity, 298, 299
defined, 139–140
of account data, 139–150
Obsolescence, 369–370
Operations research, 150
Oppositeness, 211, 433, 448
Pacioli, Luca, 9, 65
Paid-in surplus, 19, 22
Periodic apportionment, 367, 395, 396
Periodic reporting, 302, 360, 393
Persuasive truth, 352, 354, 355, 382, 391–392
Planned effort, 189–190, 248
Planned performance, 248
Possessions bookkeeping, 10
Postulates of accounting, 91, 193, 297–304
Practicability, 176–177
Pragmatism, 3, 66, 195, 262, 265, 266, 383, 461
Preventative accounting, 327
Price
bargained, 422, 423
distinguished from value, 13, 87, 109, 144–145, 166, 189
inflation, 20
level changes, 311–319
Principles of accounting, 305–310, 351–356, 457
Private enterprise, 158
Profit, 19, 163, 243, 290, 369
normal, 365
Profit-and-loss statement, 11, 126
symbols and placement, 434–435
Public accountant, 375–379
Purchase-and-sale theory, 111
Purchasing power of money, 423
Quantification, 144, 287, 302
Quantitative data, 83, 85, 240, 241, 253, 420, 422
Rationality, 179
Rational motivation, continuity of, 406
Real accounts, 10, 87, 143, 149, 201, 221, 261, 267
Realization, 121, 141, 142–143, 306
Reasoning
deductive, 40, 267
inductive, 40, 267, 292
logical, 223
Recognized needs, 411
Recording of transactions, 408
Recoverable cost, 364
Relative solvency, 112
Reminiscing, 469–472
Responsibility accounting, 438, 449
Results bookkeeping, 10
Revenues, 23, 189, 354
Roman verbal memoranda of debts, 448
Rules, 22, 42
Science, accounting as, 279–282
Securities and Exchange Commission, 155, 185, 356
Self-interest, 251, 352, 355
Social accounts, 200
Stable unit, 298
Standards, 22
Statement
of affairs, 397
capital, 17, 18
income, 17, 18
Statistics, 463
Structure of accounting actions, 134, 383
Substance, 209–214
of transactions, 215–224
Suitability of accounting, 177, 191–192, 194
Superstructure of actions, 134
Supplementary data, 125, 316
Surplus, 313, 315
capital, 19, 427
appraisal, 19, 20
appreciation, 19, 20, 22, 314
earned, 19, 22, 314
paid-in, 19, 22
Syntax of accounting, 420
Systematic method of inquiry, 260
Taxation, 17
Tentativeness, 286
Theory as action explanation, 199–207
Theory–practice relation, 251–258
Transactions, 100, 125, 326
analysis of, 10, 11, 157, 188
characteristics of, 216–217, 223
exchange-priced, 129, 132, 135, 136, 217, 234, 252–253, 272–273, 274, 282, 285–286, 290, 333–336
factual pattern of, 437
recording, 408
substance of, 209–214
Trial balance, 11
Uniformity, 298, 299
Unilateral accounts, 240
Unit of measure, 144, 146–147, 302
Usefulness, 176, 217, 303, 467
of technical data, 141
Valuation, 248, 276, 306, 345, 366
Valuation precedent for companies, creating, 110–111
Value, 167, 168, 217, 248, 306, 431
accretion, 118
distinguished from price, 13, 87, 109, 144–146, 166, 189
Well-being, 427
enterprise, 369
improved, 308
“Why?” questions, inquiries of, 389–401
Ideas motivate action, 129–137
Imperatives, 287, 288, 297
Impersonal accounts, 218
Improved data significance, 136
Improved well-being, 308
Inadequacy, 142
Inadequate names, 93–98
Income, 17
determination, 313
enterprise, 36–37
Income statement, 17, 18, 246–247
symbols and placement, 434
Inductive reasoning, 40, 267, 292
Inflation, 39–41
price, 20
impact of, 117–128
monetary, 20, 21
Inner nature of accounting, 271–277
Institute of Chartered Accountants in England and Wales (ICAEW), 451n4
Institute of Chartered Accountants of Scotland (ICAS), 451n4
Instrumentalism, 66, 67
Integration, 206–207
Integrity, 165–168
Intellectual discipline of transaction data, 413, 415
Intellectual order, 255
Inter-account relations, 457
Interaction, 206–207
Internal audit, 327
Internal Revenue Service, 155
Interpretative analysis, 395–396
Interpretative function, 153–158
Interrelation, 206–207, 234, 244, 300, 395
Inventory, 342–343
allocation problems, 359–366
losses, 348
pricing, 30, 105, 106–107, 109, 359–366
of principles, 321–323
Investors, 353–354
Judgment, 76, 133–134, 137
Knowledge, 259, 394
of accounting history, 411, 453
of conditions, 407
of needs, 407
Knowns, appraising, 159–164
Language, 419–436, 441–442
Ledger account, 22
LIFO method, 158, 363–366, 465–466
Limited function of enterprise accounting, 99–102, 384
Liquidation, 394, 395
Logical duality, 448
Logical reasoning, 223
Lower-of-cost-or-market rule, 275, 344, 347, 348, 363, 364
Management, 75, 89, 181, 243, 333, 340, 353–354
accountant, 375–379
accounting for, 325–328
actions, 427
choices of transactions, 429
decision-making, 220
function, 84, 135
judgment, 427
objectives, 242
responsibility to absentee investors, 396
science, 375
Managerial accounting, 190, 237, 439–440
Markets, capital, 17
Materiality, 298
Mathematics, 238n4, 421
Means and ends, 175–186, 210, 229, 242, 421, 458, 466
Measurement, 141–142, 144, 289–290, 306–307
assumption of, 291
Medium of exchange, 423
Mental perception, 421
Microeconomics, 12
Mission of accounting, 132, 169–174
patterns of, 239–248
Modes of expression, 422
Monetary inflation, 20–22
Money, 87, 189, 303, 307, 384, 422–423
Montgomery, Robert, 7, 33
Napoleonic Code of, 1807, 345
National income accounting, 108–109, 200
Native intelligence, 234
Needs, 228
Neglected logic, 339–350
Neglect of dual entries, 219
Net value, 427
Newton’s theory of gravity, 205
New York Stock Exchange, 356
Nominal accounts, 10, 18, 87, 88, 143, 147, 149, 201, 221, 261, 267, 327, 335
Normal profit, 365
Objectivity, 298, 299
defined, 139–140
of account data, 139–150
Obsolescence, 369–370
Operations research, 150
Oppositeness, 211, 433, 448
Pacioli, Luca, 9, 65
Paid-in surplus, 19, 22
Periodic apportionment, 367, 395, 396
Periodic reporting, 302, 360, 393
Persuasive truth, 352, 354, 355, 382, 391–392
Planned effort, 189–190, 248
Planned performance, 248
Possessions bookkeeping, 10
Postulates of accounting, 91, 193, 297–304
Practicability, 176–177
Pragmatism, 3, 66, 195, 262, 265, 266, 383, 461
Preventative accounting, 327
Price
bargained, 422, 423
distinguished from value, 13, 87, 109, 144–145, 166, 189
inflation, 20
level changes, 311–319
Principles of accounting, 305–310, 351–356, 457
Private enterprise, 158
Profit, 19, 163, 243, 290, 369
normal, 365
Profit-and-loss statement, 11, 126
symbols and placement, 434–435
Public accountant, 375–379
Purchase-and-sale theory, 111
Purchasing power of money, 423
Quantification, 144, 287, 302
Quantitative data, 83, 85, 240, 241, 253, 420, 422
Rationality, 179
Rational motivation, continuity of, 406
Real accounts, 10, 87, 143, 149, 201, 221, 261, 267
Realization, 121, 141, 142–143, 306
Reasoning
deductive, 40, 267
inductive, 40, 267, 292
logical, 223
Recognized needs, 411
Recording of transactions, 408
Recoverable cost, 364
Relative solvency, 112
Reminiscing, 469–472
Responsibility accounting, 438, 449
Results bookkeeping, 10
Revenues, 23, 189, 354
Roman verbal memoranda of debts, 448
Rules, 22, 42
Science, accounting as, 279–282
Securities and Exchange Commission, 155, 185, 356
Self-interest, 251, 352, 355
Social accounts, 200
Stable unit, 298
Standards, 22
Statement
of affairs, 397
capital, 17, 18
income, 17, 18
Statistics, 463
Structure of accounting actions, 134, 383
Substance, 209–214
of transactions, 215–224
Suitability of accounting, 177, 191–192, 194
Superstructure of actions, 134
Supplementary data, 125, 316
Surplus, 313, 315
capital, 19, 427
appraisal, 19, 20
appreciation, 19, 20, 22, 314
earned, 19, 22, 314
paid-in, 19, 22
Syntax of accounting, 420
Systematic method of inquiry, 260
Taxation, 17
Tentativeness, 286
Theory as action explanation, 199–207
Theory–practice relation, 251–258
Transactions, 100, 125, 326
analysis of, 10, 11, 157, 188
characteristics of, 216–217, 223
exchange-priced, 129, 132, 135, 136, 217, 234, 252–253, 272–273, 274, 282, 285–286, 290, 333–336
factual pattern of, 437
recording, 408
substance of, 209–214
Trial balance, 11
Uniformity, 298, 299
Unilateral accounts, 240
Unit of measure, 144, 146–147, 302
Usefulness, 176, 217, 303, 467
of technical data, 141
Valuation, 248, 276, 306, 345, 366
Valuation precedent for companies, creating, 110–111
Value, 167, 168, 217, 248, 306, 431
accretion, 118
distinguished from price, 13, 87, 109, 144–146, 166, 189
Well-being, 427
enterprise, 369
improved, 308
“Why?” questions, inquiries of, 389–401
Knowledge, 259, 394
of accounting history, 411, 453
of conditions, 407
of needs, 407
Knowns, appraising, 159–164
Language, 419–436, 441–442
Ledger account, 22
LIFO method, 158, 363–366, 465–466
Limited function of enterprise accounting, 99–102, 384
Liquidation, 394, 395
Logical duality, 448
Logical reasoning, 223
Lower-of-cost-or-market rule, 275, 344, 347, 348, 363, 364
Management, 75, 89, 181, 243, 333, 340, 353–354
accountant, 375–379
accounting for, 325–328
actions, 427
choices of transactions, 429
decision-making, 220
function, 84, 135
judgment, 427
objectives, 242
responsibility to absentee investors, 396
science, 375
Managerial accounting, 190, 237, 439–440
Markets, capital, 17
Materiality, 298
Mathematics, 238n4, 421
Means and ends, 175–186, 210, 229, 242, 421, 458, 466
Measurement, 141–142, 144, 289–290, 306–307
assumption of, 291
Medium of exchange, 423
Mental perception, 421
Microeconomics, 12
Mission of accounting, 132, 169–174
patterns of, 239–248
Modes of expression, 422
Monetary inflation, 20–22
Money, 87, 189, 303, 307, 384, 422–423
Montgomery, Robert, 7, 33
Napoleonic Code of, 1807, 345
National income accounting, 108–109, 200
Native intelligence, 234
Needs, 228
Neglected logic, 339–350
Neglect of dual entries, 219
Net value, 427
Newton’s theory of gravity, 205
New York Stock Exchange, 356
Nominal accounts, 10, 18, 87, 88, 143, 147, 149, 201, 221, 261, 267, 327, 335
Normal profit, 365
Objectivity, 298, 299
defined, 139–140
of account data, 139–150
Obsolescence, 369–370
Operations research, 150
Oppositeness, 211, 433, 448
Pacioli, Luca, 9, 65
Paid-in surplus, 19, 22
Periodic apportionment, 367, 395, 396
Periodic reporting, 302, 360, 393
Persuasive truth, 352, 354, 355, 382, 391–392
Planned effort, 189–190, 248
Planned performance, 248
Possessions bookkeeping, 10
Postulates of accounting, 91, 193, 297–304
Practicability, 176–177
Pragmatism, 3, 66, 195, 262, 265, 266, 383, 461
Preventative accounting, 327
Price
bargained, 422, 423
distinguished from value, 13, 87, 109, 144–145, 166, 189
inflation, 20
level changes, 311–319
Principles of accounting, 305–310, 351–356, 457
Private enterprise, 158
Profit, 19, 163, 243, 290, 369
normal, 365
Profit-and-loss statement, 11, 126
symbols and placement, 434–435
Public accountant, 375–379
Purchase-and-sale theory, 111
Purchasing power of money, 423
Quantification, 144, 287, 302
Quantitative data, 83, 85, 240, 241, 253, 420, 422
Rationality, 179
Rational motivation, continuity of, 406
Real accounts, 10, 87, 143, 149, 201, 221, 261, 267
Realization, 121, 141, 142–143, 306
Reasoning
deductive, 40, 267
inductive, 40, 267, 292
logical, 223
Recognized needs, 411
Recording of transactions, 408
Recoverable cost, 364
Relative solvency, 112
Reminiscing, 469–472
Responsibility accounting, 438, 449
Results bookkeeping, 10
Revenues, 23, 189, 354
Roman verbal memoranda of debts, 448
Rules, 22, 42
Science, accounting as, 279–282
Securities and Exchange Commission, 155, 185, 356
Self-interest, 251, 352, 355
Social accounts, 200
Stable unit, 298
Standards, 22
Statement
of affairs, 397
capital, 17, 18
income, 17, 18
Statistics, 463
Structure of accounting actions, 134, 383
Substance, 209–214
of transactions, 215–224
Suitability of accounting, 177, 191–192, 194
Superstructure of actions, 134
Supplementary data, 125, 316
Surplus, 313, 315
capital, 19, 427
appraisal, 19, 20
appreciation, 19, 20, 22, 314
earned, 19, 22, 314
paid-in, 19, 22
Syntax of accounting, 420
Systematic method of inquiry, 260
Taxation, 17
Tentativeness, 286
Theory as action explanation, 199–207
Theory–practice relation, 251–258
Transactions, 100, 125, 326
analysis of, 10, 11, 157, 188
characteristics of, 216–217, 223
exchange-priced, 129, 132, 135, 136, 217, 234, 252–253, 272–273, 274, 282, 285–286, 290, 333–336
factual pattern of, 437
recording, 408
substance of, 209–214
Trial balance, 11
Uniformity, 298, 299
Unilateral accounts, 240
Unit of measure, 144, 146–147, 302
Usefulness, 176, 217, 303, 467
of technical data, 141
Valuation, 248, 276, 306, 345, 366
Valuation precedent for companies, creating, 110–111
Value, 167, 168, 217, 248, 306, 431
accretion, 118
distinguished from price, 13, 87, 109, 144–146, 166, 189
Well-being, 427
enterprise, 369
improved, 308
“Why?” questions, inquiries of, 389–401
Management, 75, 89, 181, 243, 333, 340, 353–354
accountant, 375–379
accounting for, 325–328
actions, 427
choices of transactions, 429
decision-making, 220
function, 84, 135
judgment, 427
objectives, 242
responsibility to absentee investors, 396
science, 375
Managerial accounting, 190, 237, 439–440
Markets, capital, 17
Materiality, 298
Mathematics, 238n4, 421
Means and ends, 175–186, 210, 229, 242, 421, 458, 466
Measurement, 141–142, 144, 289–290, 306–307
assumption of, 291
Medium of exchange, 423
Mental perception, 421
Microeconomics, 12
Mission of accounting, 132, 169–174
patterns of, 239–248
Modes of expression, 422
Monetary inflation, 20–22
Money, 87, 189, 303, 307, 384, 422–423
Montgomery, Robert, 7, 33
Napoleonic Code of, 1807, 345
National income accounting, 108–109, 200
Native intelligence, 234
Needs, 228
Neglected logic, 339–350
Neglect of dual entries, 219
Net value, 427
Newton’s theory of gravity, 205
New York Stock Exchange, 356
Nominal accounts, 10, 18, 87, 88, 143, 147, 149, 201, 221, 261, 267, 327, 335
Normal profit, 365
Objectivity, 298, 299
defined, 139–140
of account data, 139–150
Obsolescence, 369–370
Operations research, 150
Oppositeness, 211, 433, 448
Pacioli, Luca, 9, 65
Paid-in surplus, 19, 22
Periodic apportionment, 367, 395, 396
Periodic reporting, 302, 360, 393
Persuasive truth, 352, 354, 355, 382, 391–392
Planned effort, 189–190, 248
Planned performance, 248
Possessions bookkeeping, 10
Postulates of accounting, 91, 193, 297–304
Practicability, 176–177
Pragmatism, 3, 66, 195, 262, 265, 266, 383, 461
Preventative accounting, 327
Price
bargained, 422, 423
distinguished from value, 13, 87, 109, 144–145, 166, 189
inflation, 20
level changes, 311–319
Principles of accounting, 305–310, 351–356, 457
Private enterprise, 158
Profit, 19, 163, 243, 290, 369
normal, 365
Profit-and-loss statement, 11, 126
symbols and placement, 434–435
Public accountant, 375–379
Purchase-and-sale theory, 111
Purchasing power of money, 423
Quantification, 144, 287, 302
Quantitative data, 83, 85, 240, 241, 253, 420, 422
Rationality, 179
Rational motivation, continuity of, 406
Real accounts, 10, 87, 143, 149, 201, 221, 261, 267
Realization, 121, 141, 142–143, 306
Reasoning
deductive, 40, 267
inductive, 40, 267, 292
logical, 223
Recognized needs, 411
Recording of transactions, 408
Recoverable cost, 364
Relative solvency, 112
Reminiscing, 469–472
Responsibility accounting, 438, 449
Results bookkeeping, 10
Revenues, 23, 189, 354
Roman verbal memoranda of debts, 448
Rules, 22, 42
Science, accounting as, 279–282
Securities and Exchange Commission, 155, 185, 356
Self-interest, 251, 352, 355
Social accounts, 200
Stable unit, 298
Standards, 22
Statement
of affairs, 397
capital, 17, 18
income, 17, 18
Statistics, 463
Structure of accounting actions, 134, 383
Substance, 209–214
of transactions, 215–224
Suitability of accounting, 177, 191–192, 194
Superstructure of actions, 134
Supplementary data, 125, 316
Surplus, 313, 315
capital, 19, 427
appraisal, 19, 20
appreciation, 19, 20, 22, 314
earned, 19, 22, 314
paid-in, 19, 22
Syntax of accounting, 420
Systematic method of inquiry, 260
Taxation, 17
Tentativeness, 286
Theory as action explanation, 199–207
Theory–practice relation, 251–258
Transactions, 100, 125, 326
analysis of, 10, 11, 157, 188
characteristics of, 216–217, 223
exchange-priced, 129, 132, 135, 136, 217, 234, 252–253, 272–273, 274, 282, 285–286, 290, 333–336
factual pattern of, 437
recording, 408
substance of, 209–214
Trial balance, 11
Uniformity, 298, 299
Unilateral accounts, 240
Unit of measure, 144, 146–147, 302
Usefulness, 176, 217, 303, 467
of technical data, 141
Valuation, 248, 276, 306, 345, 366
Valuation precedent for companies, creating, 110–111
Value, 167, 168, 217, 248, 306, 431
accretion, 118
distinguished from price, 13, 87, 109, 144–146, 166, 189
Well-being, 427
enterprise, 369
improved, 308
“Why?” questions, inquiries of, 389–401
Objectivity, 298, 299
defined, 139–140
of account data, 139–150
Obsolescence, 369–370
Operations research, 150
Oppositeness, 211, 433, 448
Pacioli, Luca, 9, 65
Paid-in surplus, 19, 22
Periodic apportionment, 367, 395, 396
Periodic reporting, 302, 360, 393
Persuasive truth, 352, 354, 355, 382, 391–392
Planned effort, 189–190, 248
Planned performance, 248
Possessions bookkeeping, 10
Postulates of accounting, 91, 193, 297–304
Practicability, 176–177
Pragmatism, 3, 66, 195, 262, 265, 266, 383, 461
Preventative accounting, 327
Price
bargained, 422, 423
distinguished from value, 13, 87, 109, 144–145, 166, 189
inflation, 20
level changes, 311–319
Principles of accounting, 305–310, 351–356, 457
Private enterprise, 158
Profit, 19, 163, 243, 290, 369
normal, 365
Profit-and-loss statement, 11, 126
symbols and placement, 434–435
Public accountant, 375–379
Purchase-and-sale theory, 111
Purchasing power of money, 423
Quantification, 144, 287, 302
Quantitative data, 83, 85, 240, 241, 253, 420, 422
Rationality, 179
Rational motivation, continuity of, 406
Real accounts, 10, 87, 143, 149, 201, 221, 261, 267
Realization, 121, 141, 142–143, 306
Reasoning
deductive, 40, 267
inductive, 40, 267, 292
logical, 223
Recognized needs, 411
Recording of transactions, 408
Recoverable cost, 364
Relative solvency, 112
Reminiscing, 469–472
Responsibility accounting, 438, 449
Results bookkeeping, 10
Revenues, 23, 189, 354
Roman verbal memoranda of debts, 448
Rules, 22, 42
Science, accounting as, 279–282
Securities and Exchange Commission, 155, 185, 356
Self-interest, 251, 352, 355
Social accounts, 200
Stable unit, 298
Standards, 22
Statement
of affairs, 397
capital, 17, 18
income, 17, 18
Statistics, 463
Structure of accounting actions, 134, 383
Substance, 209–214
of transactions, 215–224
Suitability of accounting, 177, 191–192, 194
Superstructure of actions, 134
Supplementary data, 125, 316
Surplus, 313, 315
capital, 19, 427
appraisal, 19, 20
appreciation, 19, 20, 22, 314
earned, 19, 22, 314
paid-in, 19, 22
Syntax of accounting, 420
Systematic method of inquiry, 260
Taxation, 17
Tentativeness, 286
Theory as action explanation, 199–207
Theory–practice relation, 251–258
Transactions, 100, 125, 326
analysis of, 10, 11, 157, 188
characteristics of, 216–217, 223
exchange-priced, 129, 132, 135, 136, 217, 234, 252–253, 272–273, 274, 282, 285–286, 290, 333–336
factual pattern of, 437
recording, 408
substance of, 209–214
Trial balance, 11
Uniformity, 298, 299
Unilateral accounts, 240
Unit of measure, 144, 146–147, 302
Usefulness, 176, 217, 303, 467
of technical data, 141
Valuation, 248, 276, 306, 345, 366
Valuation precedent for companies, creating, 110–111
Value, 167, 168, 217, 248, 306, 431
accretion, 118
distinguished from price, 13, 87, 109, 144–146, 166, 189
Well-being, 427
enterprise, 369
improved, 308
“Why?” questions, inquiries of, 389–401
Quantification, 144, 287, 302
Quantitative data, 83, 85, 240, 241, 253, 420, 422
Rationality, 179
Rational motivation, continuity of, 406
Real accounts, 10, 87, 143, 149, 201, 221, 261, 267
Realization, 121, 141, 142–143, 306
Reasoning
deductive, 40, 267
inductive, 40, 267, 292
logical, 223
Recognized needs, 411
Recording of transactions, 408
Recoverable cost, 364
Relative solvency, 112
Reminiscing, 469–472
Responsibility accounting, 438, 449
Results bookkeeping, 10
Revenues, 23, 189, 354
Roman verbal memoranda of debts, 448
Rules, 22, 42
Science, accounting as, 279–282
Securities and Exchange Commission, 155, 185, 356
Self-interest, 251, 352, 355
Social accounts, 200
Stable unit, 298
Standards, 22
Statement
of affairs, 397
capital, 17, 18
income, 17, 18
Statistics, 463
Structure of accounting actions, 134, 383
Substance, 209–214
of transactions, 215–224
Suitability of accounting, 177, 191–192, 194
Superstructure of actions, 134
Supplementary data, 125, 316
Surplus, 313, 315
capital, 19, 427
appraisal, 19, 20
appreciation, 19, 20, 22, 314
earned, 19, 22, 314
paid-in, 19, 22
Syntax of accounting, 420
Systematic method of inquiry, 260
Taxation, 17
Tentativeness, 286
Theory as action explanation, 199–207
Theory–practice relation, 251–258
Transactions, 100, 125, 326
analysis of, 10, 11, 157, 188
characteristics of, 216–217, 223
exchange-priced, 129, 132, 135, 136, 217, 234, 252–253, 272–273, 274, 282, 285–286, 290, 333–336
factual pattern of, 437
recording, 408
substance of, 209–214
Trial balance, 11
Uniformity, 298, 299
Unilateral accounts, 240
Unit of measure, 144, 146–147, 302
Usefulness, 176, 217, 303, 467
of technical data, 141
Valuation, 248, 276, 306, 345, 366
Valuation precedent for companies, creating, 110–111
Value, 167, 168, 217, 248, 306, 431
accretion, 118
distinguished from price, 13, 87, 109, 144–146, 166, 189
Well-being, 427
enterprise, 369
improved, 308
“Why?” questions, inquiries of, 389–401
Science, accounting as, 279–282
Securities and Exchange Commission, 155, 185, 356
Self-interest, 251, 352, 355
Social accounts, 200
Stable unit, 298
Standards, 22
Statement
of affairs, 397
capital, 17, 18
income, 17, 18
Statistics, 463
Structure of accounting actions, 134, 383
Substance, 209–214
of transactions, 215–224
Suitability of accounting, 177, 191–192, 194
Superstructure of actions, 134
Supplementary data, 125, 316
Surplus, 313, 315
capital, 19, 427
appraisal, 19, 20
appreciation, 19, 20, 22, 314
earned, 19, 22, 314
paid-in, 19, 22
Syntax of accounting, 420
Systematic method of inquiry, 260
Taxation, 17
Tentativeness, 286
Theory as action explanation, 199–207
Theory–practice relation, 251–258
Transactions, 100, 125, 326
analysis of, 10, 11, 157, 188
characteristics of, 216–217, 223
exchange-priced, 129, 132, 135, 136, 217, 234, 252–253, 272–273, 274, 282, 285–286, 290, 333–336
factual pattern of, 437
recording, 408
substance of, 209–214
Trial balance, 11
Uniformity, 298, 299
Unilateral accounts, 240
Unit of measure, 144, 146–147, 302
Usefulness, 176, 217, 303, 467
of technical data, 141
Valuation, 248, 276, 306, 345, 366
Valuation precedent for companies, creating, 110–111
Value, 167, 168, 217, 248, 306, 431
accretion, 118
distinguished from price, 13, 87, 109, 144–146, 166, 189
Well-being, 427
enterprise, 369
improved, 308
“Why?” questions, inquiries of, 389–401
Uniformity, 298, 299
Unilateral accounts, 240
Unit of measure, 144, 146–147, 302
Usefulness, 176, 217, 303, 467
of technical data, 141
Valuation, 248, 276, 306, 345, 366
Valuation precedent for companies, creating, 110–111
Value, 167, 168, 217, 248, 306, 431
accretion, 118
distinguished from price, 13, 87, 109, 144–146, 166, 189
Well-being, 427
enterprise, 369
improved, 308
“Why?” questions, inquiries of, 389–401
Well-being, 427
enterprise, 369
improved, 308
“Why?” questions, inquiries of, 389–401
- Prelims
- Part I: Even with Change, Patterns Remain
- Preface
- Commentary in Retrospect
- A Background Note for the 1920s
- Abstract of Essays in the 1920s
- Abstract of Essays in the 1930s
- Abstract of Essays in the 1940s
- Abstract of Essays in the 1950s
- Part II
- The Purpose of Accounting Education
- Significance of Experience
- Accounts Record Experience
- Analytical Necessity
- Part III
- The Heart of the Matter
- Inadequate Names
- Limitations Affecting Accounting
- Part IV
- Limits of Experience
- Impact of Inflation
- Ideas Motivate Action
- Objectivity of Account Data
- Part V
- The Interpretative Function
- Appraising the Knowns
- Integrity
- Mission and Method
- Ends and Means
- Alternative Means
- Part VI
- Theory as Action Explanation
- Related Form and Substance
- The Substance of Transactions
- Part VII
- The Path of Philosophy
- Broad Patterns of Mission
- Part VIII
- Relation of Theory and Practice
- A Tool for Thinking
- Part IX
- The Inner Nature of Accounting
- Accounting as Science
- Continuing Importance of Basic Concepts
- Part X
- Basic Postulates of Accounting
- Broad Accounting Principles
- Price Level Changes
- An Inventory of Principles
- Accounting for Management
- Part XI
- Boundaries for Accounting Data
- Neglected Logic
- Concept of a Principle
- Part XII
- Allocation Problems – Inventory Pricing
- Allocation Problems – Depreciation
- Management and the Public Accountant
- A Covey of Concepts
- Part XIII: Late Reflections
- Why?
- Accountancy: A Discipline
- Accounting: A Language
- Accounting: A Continuum
- Thoughts on History and Theory
- Reminiscing
- Appendices
- Appendices
- References
- Index