The Accountancty of Investment

Charles Ezra Sprague

Ronald Press Company, 1914 - 353 páginas

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PART ITHE MATHEMATICS OF INVESTMENT Chapter I Capital and Revenue 1 Definition of Capital 2 The Use of Capital	19

Sources of Capital 4 Investment	20

Revenue 6 Interest and Rent 7 Dividends	21

Laws of Interest	22

Interest 9 Interest 10 Essentials of Interest Contract	23

Interest Rate 12 Principal 13 Simple and Compound Interest	24

Punctual Interest 15 Computation of Interest 16 Simple Interest 17 Compound Interest	25

Computation of Compound Interest	26

Accounts Where Original Cost Is Disregarded	155

Amortization Reserve 208	156

Premiums and Amortization	157

Writing Off Premiums 211 Disposal of Amortization	158

Amortization AccountingComparison of Methods 213 Irredeemable Bonds a Perpetual Annuity	159

Bond Accounts for General Ledger	161

to	167

Rate of Discount Named in Notes	168

Comparison of Simple and Compound Interest	27

The Day as a Time Unit 21 The Month as a Time Unit	28

Half and Quarter Years 23 Partial Interest Periods	29

Changing the Day Basis 25 The AmountFirst Period	30

The AmountSubsequent Periods 27 Exponents and Powers	31

Finding the AmountCompound Interest 29 Present Worth	32

Present Worth and Amount Series 31 Relation Between Present Worth and Amount	33

Formation of Series 33 Discount 34 Computing Compound Discount	34

Formulas for Interest Calculations	35

Use of Logarithms Chapter III The Use of Logarithms 37 Purpose of Logarithms 38 Exponents Powers and Roots	36

Logarithms as Exponents	37

Rules and Symbols of Logarithms	38

The Two Parts of a Logarithm	40

Mantissa Not Affected by Position of the Decimal Point	41

FourPlace Table of Logarithms	42

Multiplication by Logarithms	45

Division by Logarithms	46

Powers by Logarithms 47 Roots by Logarithms	47

Fractional Exponents	48

Use of Logarithms in Computing Compound Interest	49

Accuracy of Logarithmic Results 51 Logarithms to Fifteen Places 52 Use of Logarithms in Present Worth Calculations	51

Amount of an Annuity 53 Evaluation of a Series of Payments 54 Annuities	53

Amount of Annuity 56 Calculation of Annuity Amounts	54

Formation of Tables 58 Use of Tables	55

Compound Interest as a Base for Annuity Calculations 60 Rule and Formula for Finding Amount 61 Operation of Rule	56

Present Worth of an Annuity 62 Method of Calculation 63 Tables of Present Worth	57

Short Method for Finding Present Worth of an Annuity 65 Present Worth Obtained 66 Rule for Present Worth	58

Amortization	60

Amortization and Present Worth 72 Development of a Series of Amortizations 73 Evaluation by Logarithms	61

Special Forms of Annuities 74 Ordinary or Immediate Annuities 75 Annuities	62

Present Worth of Annuities Due 77 Present Worth of Deferred Annuities	63

Rule for Finding Present Worth of Deferred Annuity 79 Present Worth of Perpetuities	64

Perpetuity in Stock Purchased for Investment 81 When Annuity Periods and Interest Periods Differ 82 Varying Annuities	65

Formulas for Present Worth	67

Analysis of Annuity Payments	68

Components of Annuity Instalments	69

Rule for Finding Sinking Fund Contributions 89 Verification Schedule	70

Amortization and Sinking Fund	71

Nominal and Effective Rates 91 Explanation of Terms	72

SemiAnnual and Quarterly Conversions 93 Limit of Effective Annual Rate	73

Rule for Effective Rate 95 Logarithmic Process	74

Bonds and the Proper Basis of Bond Accounts 96 Provisions of Bonds 97 Interest on Bonds	75

How Bonds Are Designated 99 Relation of Cost to Net Income	76

Coupon and Effective Rate of Interest on Bonds 101 Present Worth of Bonds	77

Considerations in the Purchase of Bonds 103 Present Worth and Earning Capacity of Bonds	78

Cost and Par of Bonds	79

True Investment Basis for Bonds 107 Various Bond Values	80

Investment Value the True Accounting Basis	81

Valuation of Bonds 109 Cash Rate and Income Rate of Bonds 110 Elements of a Bond	82

Valuation of BondsFirst Method 112 a Finding Present Worth of Principal 113 b Present Worth of Coupons	83

Schedule of Evaluation	84

Valuation of BondsSecond Method 116 Evaluation When Cash Rate Is Less Than Income Rate	85

Second Method by Schedule	86

Rule for Second Method of Evaluation 119 Principles of Investment 120 Solution by Logarithms	87

Amortization Schedule	88

Use of Schedules in Accountancy	89

Book Values in Schedules 124 Checks on Accuracy of Schedules	90

Tables Derivable from Bond Values 126 Methods of Handling Interest	91

Schedule of Bond Values	92

Valuation of Bonds Concluded 128 Bond Purchases at Intermediate Dates	95

Errors in Adjusting Bond Prices	96

Schedule of Periodic Evaluation 131 Objection to Valuation on Interest Dates	97

Interpolation Method of Periodic Valuation 133 Multiplication Method of Valuation	98

Computation of Net Income for Partial Period	99

Purchase Agreements 136 Approximation Method of Finding Income Rate	100

Application of Method 138 First Method of Eliminating Residues 139 Second Method of Eliminating Residues	101

Third Method of Eliminating Residues	103

Short Terminals	104

Serial Bonds	108

Irredeemable Bonds	109

Optional Redemption	110

Bonds as Trust Fund Investments 149 Payments to Life Tenant	111

Effect of Varying Rates on Investments	112

Example of Payments to Life Tenant	113

Cullen Decision 153 Cullen Decision Scheduled	114

Unjust Feature of Cullen Decision	115

Bond Tables	117

Features of the Bond Table	119

Summary of Compound Interest Processes 157 Rules and Formulas 158 Rules	120

Formulas	121

AccountsGeneral Principles 160 Relation of General Ledger to Subordinate Ledgers 161 The Interest Account	123

Mortgage and Loan Accounts	124

Real Estate Mortgages 163 Nature of Loans on Bond and Mortgage	125

Separate Accounts for Principal and Interest 165 Interest Debits and Credits 166 Characteristics of Modern Ledger	126

The Mortgage Ledger 168 Identification of Mortgages by Number 169 The Principal Account	127

Special Columns for Mortgagees Disbursements 171 The Interest Account 172 Interest Due 173 Books Auxiliary to Ledger	128

The Due Column 175 Interest Account Must Be Analyzed 176 Form of Interest Due Account	129

Forms for Mortgage Account 178 LooseLeaf and Card Records	130

Forms of Mortgage Loan Accounts	131

Reverse Posting of Interest Register 181 Handling Receipts and Notices	135

Mortgages Account in General Ledger	136

Tabular Register	137

Equal Instalment Method	138

Loans on Collateral 185 Short Time Loans on Personal Property 186 Forms for Loan Accounts	139

Requirements for Interest Account 188 Forms for Collateral Loan Accounts	140

Rule for Short Terminals	142

A Double Record for Interest Earned 191 Example of Interest Income 192 Daily Register of Interest Accruing	143

Monthly Summary	144

Method and Importance of Interest Earned Account 195 Interest Accounts in General Ledger	145

Payment of Accrued Interest	147

Bonds and Similar Securities 197 Investments with Fluctuating Values 198 199 Amortization Account	148

Effect on Schedule of Additional Purchases 200 The Bond Sales Account	149

Requirements as to Bond Records 202 Form of Bond Ledger	151

Interest Due Account 204 Interest AccountBond Ledger 205 Amortization Entries	153

Bond Entries in General Ledger	154

Discount and Interest Entries	169

Total Earnings from Discounts	170

PART IIPROBLEMS AND STUDIES Chapter XIX Interest and Discount 222 Problems in Simple Interest	171

Notes on the One Per Cent Method	172

Answers to Problems in Simple Interest	174

Problems in Compound Interest	175

Answers to Problems in Compound Interest	176

Proof of Amount and Present Worth	177

Contracted Multiplication	178

Problems in the Use of Logarithms 230 Problems Requiring Use of More Extended Tables of Logarithms	180

Answers to Problems in Logarithms	181

Problems in Annuities and in Nominal and Effective Rates 232 Problems in Annuities 233 Answers to Problems in Annuities	183

Problems in Rent of Annuity and Sinking Fund	184

Answers to Problems in Rent of Annuity and Sinking Fund 236 Problems in Nominal and Effective Rates	186

Answers to Problems in Nominal and Effective Rates	187

Constant Compounding	188

Finding Nominal Rate 240 Approximate Rules	189

Equivalent Rates of InterestBond Valuations 241 Annual and SemiAnnual Interest	191

SemiAnnual and Quarterly Interest	194

Problems in Valuation of Bonds	196

Successive Method of Bond ValuationProblems	197

Answers to Bond Valuation Problems 246 Bond Valuations by the Use of Logarithms	198

Finding Initial Book Values	200

Tabular Multiplication and Contracted Division	201

Formation of Successive Amortizations	203

Test by Differencing 251 Successive Columns	205

Intentional Errors 253 Rejected Decimals 254 Limit of Tolerance	206

Broken Initial and Short Terminal Bonds 255 Problems in Valuation	207

Answers to Valuation Problems	209

The Use of Tables in Determining the Accurate Income Rate 257 Bond Tables as Annuity Tables 258 Premium and Discount as a Present Worth	212

Present Worth by Differences	213

Present Worth by Division 261 Compound Discount and Present Value of a Single	215

Use of Bond Tables in Compound Interest Problems	216

Determination of Accurate Income Rate 264 Assumed Trial Rate	218

Application of Assumed Trial RateBond Above	219

Variations in Assumed Rates 267 Application of Assumed Trial RateBond Below	220

Trial Rates from Bond Tables 269 Use of Bond Tables	221

Discounting 144 Last HalfYear of Bond	223

Present Worths of InterestDifference	224

Discounts from Tables 273 Reussners Tables	226

Serial Bonds 274 Problem in Valuation of Serial Bonds	228

Interrates	229

Table of Differences	230

Successive Method	231

Balancing Period 279 First Payment in Series	232

Elimination of Residue	233

Schedule	234

Uneven Loans	236

Formula for Serials	238

Problems in Valuation of Serial Bonds 286 Answers to Problems in Valuation of Serial Bonds	239

Option of Redemption 287 Method of Calculating Income Rate 288 Advantageous Redemption Ignored	240

Disadvantageous Redemption Expected 290 Change in Principal	241

Approximate Location	242

Problems Involving Optional Redemption Dates	245

Rule for Determining Net Income	246

Bonds at Annual and Other Rates 295 Standard of Interest 296 SemiAnnual and Quarterly Coupons	248

Shifting of Income Basis 298 ProblemsBonds at Varying Rates	252

Answers to ProblemsBonds at Varying Rates	253

Bonds with Annual InterestSemiAnnual Basis	254

Annualization	255

SemiAnnual Income Annualized	256

Comparison of Annual and SemiAnnual Bonds 304 Finding Present Worth of an Annuity	258

Rule for Bond Valuation	260

Multipliers for Annualizing	261

Formula for Annualizer Scientific Process 308 Conventional Process	262

309	263

Values Derived from Tables	264

Successive Process 312 Problems and AnswersVarying Time Basis 313 Bonds at Two Successive Rates	265

Calculation of Immediate Premium Calculation of Deferred Premium	266

Symbols and Rule 317 Analysis of Premiums	267

Problems and AnswersSuccessive Rates	270

Repayment and Reinvestment 319 Aspects of Periodic Payment	271

Diminishing Interest Rates	274

Proof of Accuracy	275

Varying Rates of Interest 326 Dual Rate for Income and Accumulation	276

Instalment at Two Rates 328 Amortization of Premiums at Dual Rate	277

Modified Method for Valuing Premiums 330 Rule for Valuation of a Premium	278

Computation at Dual Rate 332 Dual Rate in Bookkeeping	279

Utilization of Dual Principle 334 Installation of Amortization Accounts	280

Scope of Calculations 336 Method of Procedure When Same Basis Is Retained	281

Tabular Methods	283

Standard Tables of Logarithms 340 United States Coast Survey Tables	284

Gray and Steinhauser Tables 342 A TwelvePlace Table 343 The Factoring Method	285

Finding a Number from Its Logarithm	286

Procedure in an Unusual Case	289

Rule for Finding Number When Logarithm Is Given	291

Method by Multiples	292

Forming Logarithms Tables 348 Explanation of Process	296

Rule for Finding a Logarithm	300

Examples of Logarithmic Computations	301

Logarithms to Less Than Twelve Places	302

Tables with More Than Twelve Places 353 Multiplying Up 354 Process of Multiplying	304

Supplementary Multiplication	306

Multiplying Up by Littles Table	308

Different Bases	309

Table of Factors	310

362	312

Table of Interest Ratios	314

Integration of Original Debt	320

Use of the Reinvestment Point of View	321

Replacement	322

Rent of Annuity	326

Table VIReciprocals and Square Roots	333

Table IIIAmount of Annuity of 1 at End of Each Period	344

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Otras ediciones - Ver todas

The Accountancty of Investment
Charles Ezra Sprague
Vista completa - 1914

The Accountancty of Investment
Charles E 1842-1912 Sprague,Leroy L Perrine
Sin vista previa disponible - 2016

The Accountancty of Investment
Charles Ezra Sprague,Leroy L Perrine
Sin vista previa disponible - 2016

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Términos y frases comunes

50 periods accumulation annual bond annuity of $1 ascertained Balance BOND ACCOUNTS bond netting Bond Valuation book value bought calculation cash and income cash interest cash rate cent Chapter column compound discount compound interest computed coupon coupon rate debit difference divide divisor effective annual rate effective rate equivalent example Extended Bond Tables figures find the amount find the present find the value given gives half-year income rate instalment Interest Accrued Interest Due interest-difference investment value July June 30 loan logarithm March 9 method months multiplying net income Nominal Rate number of periods obtained paid par value payable semi-annually present value present worth Problem purchase quarterly rate of income rate of interest Rate Per Annum ratio of increase redemption reinvestment result rule schedule September 9 sinking fund SMITHTOWN Sprague's Extended Bond subtract terest Valuation worth of $1

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Información bibliográfica

Título	The Accountancty of Investment Ronald accounting series
Autor	Charles Ezra Sprague
Editor	Ronald Press Company, 1914
Procedencia del original	Universidad de California
Digitalizado	27 Sep. 2007
Largo	353 páginas

Exportar cita	BiBTeX EndNote RefMan

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