Introduction

A public utility company was formed which had, to quote from the original prospectus, 'the special purpose of extending the benefit of this admirable system to the principal towns of the Continent'. On the other hand there had grown up by this time a comprehensive system of internal audit, carried on chiefly by Inspectors of Accounts who travelled round the different Continental establishments. Accounting principles remained virtually unchanged until the last quarter of the century, when an awareness, which appears to have already existed for a number of years. In contrast, the profit and loss account was never more than the most meagre of statement. Accompanying the balance sheet for the first time was a statement entitled 'scheme for the division of profits' which showed under appropriate headings, income from trading, income from investments. Of the duties performed by the auditors the only evidence now available is in the 'reports' on the half-yearly balance sheets.