The Bridgeport evening farmer., 1912-08-01
MUNICIPAL ACCOUNTING
BY COMMITTEE OF AUDID

assist departments in keeping within the appropriation allowed them by the board of apportionment. This in- formation is presented in divisions of these appropriations determined by the board of apportionment and the department concerned, or Gin special cases) agreed upon by the department and the committee of audit
 The following classification of de- partmental appropriations and expen- ditures has been provided as a further step towards uniformity.
 1-Salaries, wages cts
 2-Printing, stationery, and office expenses.
 3-Materials, supplies and operative expenses
 4-Heat, light and power.
 5-Stable and garage expenses.
 6-Real estate and new equipment 7-Maintenance and repairs on or- ders Gor contracts or orders covering both services and materials. 8-Direct financial aid.
 Especial contract obligations
 10-Debt service.
 11-Payments to state and county. By the use of this classification in all departments, similar items of ex- penditure will fall under the same heads, whatever the department con- cerned.
 The ascertaining of unit costs is a matter for future development. It is the goal of complete accounting con 1 Knowledge of unit costs is the most effective basis for intelligent compari- sons in determining efficiency. The committee of audit is unable to discover any reason worthy of recog- hilton at the present time for the cumbersome plan prescribed by the charter for dividing the city into two -1a rT fnv dicfr ic however, is a matter for future legis- lative action. For the present it if necessary. to recognize in practice a legal requirement. which cannot be Justified upon any equitable or prac- tical grounds. This involves the ac- ceptance of the existing plan. by which the board of apportionment subdivides the annual appropriations by taxing districts; also the method employed in accounting by districts for the expen- allure of appropriation funds. In oth- CT words, the committee, in installing the new appropriatio record, is com pelled ito proceed in conformity with the law instead of attempting to es- tablish a system which would be more satisfactory from the standpoint of proper administration and accounting.
 Proper accounting is essential to the preparation of accurate. reports. A report which needs to be interpreted in the light of information known only to few is misleading to the general public. A case in point is the last monthly report of the city auditor, which was published under the head ing statement of appropriations and expenditures of the Citty{ of. Bridge port for the month ending June 30th, 1912" f47t
 This report is an accurate statement but considered by itself it affords no information as to the significant finan- cial transactions of the month of June. It shows warrants authorized in June for: Q) general bills representing principally items of May business; (2) general bills representing some busi- ness of April and even of months earlier; (3) semi-monthly payrolls for the second half of, May and the first half of June; O. weekly payrolls for the last two days of May and 26 days in June. Thus this form of report is not a complete statement of the trans actions of the city for any one single month, but of the claims audited in June. 1t is, therefore, month behind as to the majority of the items.
 This is the necessary result of the system of accounting authorize tions to disburse'' instead of for ex- pense. Such system cannot but cause confusion even in the minds of the ac- counting officers themselves, for it's use makes impossible a complete showing of the actual condition of the affairs at thej end of any accounting period, whether the period be a month or the fiscal year. This means that at the close of each fiscal year there would be an unknown amount of out standing claims which must, be pro- vided for, and as there has been no