ABSTRACT
The writer’s distinction between a Balance Sheet and a Balance Account will appear new and novel to many—even including some prominent public accountants. Accounting may be compared to the plans and specifications of an architect, which epitomized are the theory of the building, while, from the same point of view, the bookkeeping would be the work executed by the builder, or the manner in which the theory is embodied in materials. A balance account is a general account in the ledger into which, at a given date, the balances of all other accounts are transferred. Profit in the accounts of a private individual or trading firm means the increased difference between the capital in the business at a given date and the actual capital at a subsequent date — say the beginning and end of a year. The programme thus arranged was successful and a better attendance of the members and those interested in accounts took place.
