• Abstract and Figures
• Public Full-text

University of Mississippi eGrove American Institute of Certified Public Accountants Accounting Trends and Techniques (AICPA) Historical Collection 1950 Accounting trends and techniques, 4th annual survey, 1950 edition American Institute of Accountants Follow this and additional works at: https://egrove.olemiss.edu/aicpa_att Part of the Accounting Commons, and the Taxation Commons Recommended Citation American Institute of Accountants, "Accounting trends and techniques, 4th annual survey, 1950 edition" (1950). Accounting Trends and Techniques. 41. https://egrove.olemiss.edu/aicpa_att/41 This Book is brought to you for free and open access by the American Institute of Certified Public Accountants (AICPA) Historical Collection at eGrove. It has been accepted for inclusion in Accounting Trends and Techniques by an authorized administrator of eGrove. For more information, please contact [email protected]. ACCOUNTING TRENDS and TECHNIQUES IN PUBLISHED CORPORATE ANNUAL REPORTS . 1950 EDITION th ANNUAL CUMULATIVE SURVEY 4of the accounting aspects of 525 corporate annual re­ ports, to which are added excerpts from and comments upon unusual accounting treatments found in six hundred additional reports. The reports analyzed are those with fiscal years ending July 1 , 1949 to June 30, 1950 PREPARED BY THE RESEARCH DEPARTMENT AMERICAN INSTITUTE OF ACCOUNTANTS ACCOUNTING T R E N D S and TECHNIQUES IN PUBLISHED CORPORATE ANNUAL REPORTS . 1950 EDITION th ANNUAL CUMULATIVE SURVEY 4of the accounting aspects of 525 corporate annual re­ ports, to which are added excerpts from and comments upon unusual accounting treatments found in six hundred additional reports. The reports analyzed are those with fiscal years ending July 1, 1949 to June 30, 1950 PREPARED BY THE RESEARCH DEPARTMENT AMERICAN INSTITUTE OF ACCOUNTANTS Copyright 1960 American Institute of Accountants ☆ $ 10 p e r copy introduction A ccounting Trends and Techniques in Published Corporate Annual Reports—1950 is the fourth in a series of studies carried out by the research department of the American Institute of Accountants as part of a long-term program initiated by the council in 1946 for the analysis of corporate reports. T he study is based on an analysis of 525 annual reports of corpora­ tions with fiscal years ending between July 1949 and June 1950. Reports of the same 525 companies have been examined for each of the past four years in order that trends in accounting treatments might be disclosed. In our previous study, in order to make the re­ sults available as early as possible, we did not wait to receive about 2 per cent of the selected group of 525 reports. This practice was continued in the current study, with the result that the trends as they are affected by those companies are one year late. P articular emphasis has been placed on subjects covered in recent Accounting Research Bulletins issued by the committee on accounting procedure of the American Institute of Accountants. In addition to the 525 reports which have been included in the tabulations, approximately 600 additional reports have been reviewed and referred to in many instances. A list of the 525 companies on whose reports the tabulations have been based is included in the appendix. For the convenience of the reader, examples have been furnished frequently throughout the study by referring to the code numbers of companies appearing in the appendix. Carman G. Blough, Director of Research American Institute of Accountants table of contents Section 1: general Page Customary Certified Statements................................................................................................... 7 Additional Certified Statements................................................................................................... 10 Certified Statements—Comparative Form Used.................................................................. 13 Uncertified Statements................................................................................................................... 14 Consolidation Policy—Domestic Subsidiaries....................................................................... 15 Consolidation Policy—Foreign Subsidiaries.......................................................................... 16 Post-Balance-Sheet Disclosures.................................................................................. 20 Pension Plans................................................................................................................................... 21 Reasons Advanced for Retaining Earnings............................................................................... 30 Section 2: balance sheet Title of Certified “Balance Sheet”.......................................................................................... 33 Form of Certified Balance Sheet.............................................................................................. 33 Marketable Securities (Current Assets)—Basis of Valuation........................................... 34 Inventories—Basis of Pricing.................................................................................................... 35 Inventories—Method of Determining Cost........................................................................... 37 Disclosure of Replacement Value of Lifo Inventories....................................................... 40 Inventories—Excess and Slow Moving...................................................................................... 42 Current Assets—Unusual Items, Treatments, and Presentations................................... 43 Cash Surrender Value of Life Insurance............................................................ 46 Prepaid Expenses and Deferred Charges.......................................................................... 47 Unconsolidated Subsidiaries—Valuation Basis..................................................................... 48 Property—Basis of Valuation.......................................................................................... 49 Fully Amortized Emergency Facilities....................................................................................... 50 Claims for Tax Refunds................................................................................................................. 50 Intangibles...................................................................................... 51 Non-Current Assets—Unusual Items, Treatments, and Presentations.......................... 53 Current Liabilities—Interesting and Unusual Items.......................................................... 56 Non-Current Liabilities and Deferred Credits—Interesting and Unusual Items........ 60 Reserves Shown Below Current Liabilities............................................................................ 61 Inventory Reserves—Where Shown........................................................................................... 68 Inventory Reserves—Classification............................................................................................. 69 Contingency and Possible Future Inventory Price Decline Reserves—How Created or Increased.................................................................................................................................. 72 Contingency and Possible Future Inventory Price Decline Reserves—How Decreased 74 Use of Term “Reserve”................................................................................................................. 77 “Net Equity” Terminology.......................................................................................................... 78 Minority Interests in Consolidated Subsidiaries—Where Shown................................. 79 Capital Stock............ ................................................................................................................ 80 Treasury Stock................................................................................................................................. 81 Disclosure of Contingent Liabilities............................................................................................ 83 Disclosure of Long-Term Leases in Financial Statements of Lessees................................ 84 Section 3: income statement Page Title of Income Statement........................................................................................................ 87 Form of Income Statement....................................................................................................... 88 Volume of Business...................................................................................................................... 88 Wages and Salaries (Employment Costs).............................................................................. 89 Cost of Past Service Pension Credits...................................................................................... 89 Allocation of Income Taxes....................................................................................................... 92 Accrual of Vacation Allowances............................................................................................... 93 Accelerated Depreciation and Plant Replacement Charges.............................................. 94 Foreign Exchange Losses........................................................................................................... 98 Reporting of Earnings per Share in the President’s Letter..............................................

Load more

  139

Copy Link