William D. Samson

EXPLORING THE CONTENTS OF THE BALTIMORE AND OHIO RAILROAD ANNUAL REPORTS: 1827–1856

In 1995, a nearly complete collection of the annual reports of the earliest interstate and common carrier railroad in the U. S., the Baltimore and Ohio (B&O), was rediscovered in the archival colle...

The origins of value‐for‐money auditing: the Baltimore and Ohio Railroad: 1827‐1830

Evidence of audit committee activity in the formative years of the Baltimore & Ohio (BO and the railroad industry, in turn, greatly influenced the development of modern American businesses during the Industrial Revolution.

USING A WHITE-COLLAR PROFESSION IN ACCOUNTING COURSES: APPROACHES TO ADDRESSING DIVERSITY

Accounting educators no doubt agree that diversity is an important and much neglected part of accounting education. They further recognize that it is difficult to incorporate this important topic into the accounting curriculum. This paper describes the efforts of various professors to expose business and accounting students to the evolution of diversity issues related to the accounting profession by using the book A White-Collar Profession [Hammond, 2002]. A White-Collar Profession: African-American CPAs Since 1921 is a seminal work which presents a history of the profession as it relates to African-American CPAs and documents the individual struggles of many of the first one hundred blacks to become certified. This paper describes efforts of faculty at four different colleges to utilize this book in their teaching of accounting. Instructors found that students not only developed an enhanced awareness about the history of the accounting profession, but that other educational objectives were advanced, such...

EARLY AMERICAN CORPORATE REPORTING AND EUROPEAN CAPITAL MARKETS: THE CASE OF THE ILLINOIS CENTRAL RAILROAD, 1851-1861

This study of the annual reports of the Illinois Central Railroad (IC) from the 1850s supports a conclusion that the statements, as to form and content, were developed to serve the needs of two classes of investors and to inform the general community of the activities of the company. The need to report to the public as to the success of the companys role in its “social contract” to develop the state required details of a demographic nature, which were provided by the land commissioner. Operating results provided evidence of the ability to service the debts held by European investors and to inform British venture capitalists of the extent of the companys operations. This communication with the distant capital providers was a new development in financial reporting as the capital-intensive railroads experienced management and ownership separation on a scale not seen before. In summary, the IC provided annual reports more detailed and informative than those of other corporations of the period because of a n...

Teaching the Statement of Cash Flows

Abstract In this paper, we offer ways of improving both student comprehension of and appreciation for the importance of the Statement of Cash Flows (SCF). Specifically, the paper presents four modules aimed at improving student understanding of the concepts underlying the Statement of Cash Flows. As part of these modules, examples of cash flow patterns taken from actual financial statements are provided. In addition, the paper presents the calculation of net cash flow from operating activities under the indirect method as a reconciliation process which focuses on understanding the timing differences between accrual and cash basis accounting.

History of Taxation

Taxation is a mark of civilisation. Tax evolved and developed independently in the great ancient empires. The concepts that evolved were transported to other empires and cultures where tax ideas took root. This pattern continues through to today as nations are influenced by developments in tax from other countries. In this chapter, the evolution of property taxes, inheritance, estate and gift taxes, consumption taxes such as excise taxes and sales taxes, and the income tax are examined. These taxes are traced from their roots on through mutations. The transportation of these taxes is also described.

Working on the Railroad: Public Accounting Talent in the United States—The Case of Haskins & Sells (Now Deloitte)

Nineteenth century US railroads were the first ‘big businesses’ and had profound influence on society. This paper addresses one source of talent for the early US public accounting profession—railroads. Following the end of the US Civil War (1861–65), industrial expansion was a revolutionary experience, with large trusts appearing in the wake of the railroads maturing influence on the development of a vast continental economy. Accounting practice also was impacted by railroads. For example, the development of annual reports, income measurement, the standardization of reporting by regulators, developing fixed and variable cost, and throughput concepts for capital intensive business—all were related to the railroads. This paper focuses on a significant link between the emerging public accounting profession and the railroads by examining how an early major US public accounting firm relied upon accounting skill developed within railroads as an important source of talent. Arguably, talent is the most important resource of a professional firm. While it is a commonly held view that the immigration of UK accountants in the late nineteenth century was the source of public accounting talent, this paper provides evidence of a competing explanation—the sourcing of talent from a firm (Haskins & Sells) that continues to the present day as Deloitte. Key leadership and personnel of that time gained their experience while working on the domestic railroads.

S. PAUL GARNER: ACCOUNTANCY'S AMBASSADOR TO THE WORLD

Samuel Paul Garner spent nearly seven decades, as a student, professor, administrator, leader and visionary, enhancing the understanding and development of our academic community. Born in 1910, he studied at Duke University, then briefly as a non degree student at Columbia before teaching and then entering the Ph.D. program at the University of Texas at Austin. At Texas, under the direction of George Hillis Newlove, he focused upon accounting. His interest in history had been kindled by a noted economic historian Earl J. Hamilton, under whom Garner had studied at Duke. His first post doctoral appointment would be his lifelong assignment, as a member of the faculty of what is now the Culverhouse School of Accountancy at the University of Alabama. Starting in 1939 he served as a faculty member, next as department chair, and then for seventeen years, from 1954 to 1971, as dean of the College of Business. His career achievements are many and include being the only person to serve as President of both the Amer...