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The relationship between trust, accountability and procedural justice is studied via research into British credit unions (CUs) following regulatory reform to remedy problems exposed by the 2007–2008 global financial crisis.

Interviews at 13 case studies of different types and sizes of credit unions in Glasgow, Scotland, are examined using template analysis and abductive theorizing to understand the effects of disproportionate reforms on small credit unions.

Smaller credit unions found three regulatory changes – namely dual regulators, increased minimum reserves and introduction of the Senior Managers and Certification Regime – excessive. Excessive change generated distrust in regulators. Regulators' insufficient attention to procedural justice contributed to this distrust.

Linkage of multidimensional confluent trust to a multilevel system of accountability provides an original way of understanding how indiscriminate attempts at trust repair damage some elements of trust in formal regulatory systems. Recognition of the need for procedural justice to enable smaller credit unions to articulate their extant checks and potential exemption from formal regulations provides another valuable contribution. The explanation of the abductive logic employed is also original.

This paper discusses the contribution and value of research into human resource management issues as they affect auditors and audit firms, and to identify areas for future research. The contribution and areas for future research are identified in terms of four areas, namely career development, staffing patterns, the multi‐disciplinery global firm, and the management structure and practice as they relate to audit firms. This is followed by a discussion about the value of this research. In the conclusion the paper argues for future research to adopt a greater sociological and organizational perspective, including studies which work shadow auditors and audit teams, and longitudinal studies.

Reports the findings of a pilot survey into how product costs are calculated and how they are used in decision making in manufacturing industry in the UK. The survey examines how many accounting systems firms use, blanket overhead rates in product costing; the bases used to calculate overhead rates; the application of product costs in decision making; and profitability maps. The results show that a variety of methods are used to calculate product costs and that they are used to a significant extent in decision making.

The Sudan Companies Act 1925 is outdated. There is a need for substantial revision to the Act either in accordance with, for example, current UK legislation, or a framework more directly suited to the economic and legal environment of the Sudan. At a general level this should include the preparation of a profit and loss account, specific formats for the profit and loss account and balance sheet, notes to the accounts and an auditor’s report stating whether or not the accounts give a true and fair view of the state of a company’s affairs.

This paper reviews prior research to consider whether there are differences in human resource management terms between auditors and other categories of professional staff within accounting and audit firms, for example those working in taxation or management consultancy. The review reveals conflicting results regarding the extent of these differences, which leaves open the question of whether research results in the human resource field can be generalized across all functions within an accounting and audit firm. We speculate that whereas in the past the similarities between functional groups may have outweighed any differences, increasingly this will no longer be the case.

This paper uses questionnaires from and interviews to examine the level of co‐operation and co‐ordination between directors of internal audit departments, and partners and managers in external audit firms in Saudi Arabian companies. The results revealed that external auditors expressed concern about the independence, scope of work and small size of many internal audit departments. Internal auditors considered co‐operation between internal and external audits to be limited, although external auditors were more positive about the extent of co‐operation when the internal audit department was of high quality. The extent of reliance by the external auditor on the work of the internal auditor varied with the quality of the internal audit department. External auditors suggested that the objectivity, competence and work experience were important factors affecting the reliance decision. They felt that the internal audit function in many Saudi companies lacked professionalism and independence from management, which adversely affected its work and the potential for reliance thereon.

A recent symposium was given by Sir William Savage, M.D., B.Sc., D.P.H., Mr. Morley Parry, M.R.San.I., M.S.I.A., Ministry of Food Hygiene Division, and Mr. A. Tyler, M.B.E., F.R.San.I., F.S.I.A., Chief Sanitary Inspector, Bath, to a meeting of health officers and representatives of the food trades. The subsequent discussion demonstrated the divergent views held in relation to food hygiene legislation and the conflict between ideals and practicability. Sir William, in his opening observations, speaking from the scientific aspect, showed a remarkably realistic approach to the problem. He referred primarily to the report of the Catering Trade Working Party and what are generally considered to be the three most valuable recommendations, the most important of which is that all catering establishments should be required to register with the appropriate authority; the second is that a special code of practice, called the Standard Code, should be defined and made legally enforceable; the third is that the existing deficiencies in legal powers as set out in the report should be removed by legislation. In dwelling for a short while on the Model Byelaws which the Ministry of Food issued in 1949, reference was made to the fact that, whilst it is appreciated that they cannot go beyond their limited purpose, many deficiencies are obvious. They have very limited practicability, being mainly concerned with requirements as to personal cleanliness of those who handle food, the protection of food from various possible sources of contamination, and certain requirements as to the wrapping of foods. These are all sound enough, but only touch the fringe of the problem. Whilst precise definitions are always most difficult in legal documents, especially when dealing with hygienic factors, the byelaws are particularly vague, as will be seen from the following examples: A person who handles food “ shall observe cleanliness both in regard to himself and his clothing ”. There is no definition of cleanliness and no subsequent requirements to attain it, such as the Catering Report sets out in its Target Code. Food should be covered in certain circumstances with “ suitable, clean material ”. Does a newspaper comply? Counters, floors, food utensils have to be cleaned “ as often as may be reasonably necessary ”. In the Standard and Target Codes these requirements are usually detailed, and so uniform, standard meanings can be accepted. In addition, the byelaws entirely fail to deal with the essentials of sound food hygiene. As the powers of the original Act were effected long before 1938, the standards are primarily those of visible cleanliness. We know now, however, that clean food is not necessarily safe food. This is abundantly demonstrated by the enormous increase, year by year, of recorded cases of food poisoning, most of it by food which would pass every standard of cleanliness for sight, smell and taste. All experts agree that, in the catering establishments, as the standard code requires, “ abundant supplies of water, both hot and cold, must be available ”. It is obvious that cleanliness to the point of freedom from pathogenic bacteria cannot be obtained otherwise, and sufficient sinks for washing must be available. Neither the Act nor the byelaws can enforce powers in this respect. It is sufficient, at present, to provide a gas‐ring and bucket of water in a food manufacturing room, and nothing more can be legally demanded. Sir William stressed that, if safe food was wanted and it was desired to reduce the present high toll of food poisoning, Local Authorities must be given adequate powers. Mr. Morley Parry confined his observations primarily to the defence of the model byelaws of the Ministry of Food, and his remarks admirably reflected the attitude of his particular division. He stated that, generally, we must admit that, within the past few years, the Public Health outlook of the man in the street has been developed along lines and to a degree for which sanitarians might have prayed, but for which they dared not hope, and that, for once, their opinions did not, in the main, lag behind the ideals of health officers. He qualified this, however, by stating that he was apprehensive of the fact that food hygiene might become a matter of glib phrases and catchwords, and that the public had quite readily seized on a few frequently repeated phrases that are but part of the food hygiene facts. He said that in the present position, at least theoretically, it should not be difficult to advance quickly to complete success. He deplored the entirely restrictive character of the previous set of model byelaws issued by the Ministry of Health in 1939, and said that the era of the sanitary policeman had gone, and thought it surprising that suggestions of punitive and restrictive legislation should be essential to success. He did not state how, with only permissive legislation, one would deal with the recalcitrant trader who would spend considerable amounts of money on a splendid shop‐front, but would remain content with a bucket and gas‐ring in his food manufacturing room; or how the progressive trader would view this unfair competition. In support of his argument he quoted what he termed the wonderful old phrase “ any premises in such a state as to be prejudicial to health ” and declared that the whole basis of the success of a sanitary officer's work in Public Health was built up by their predecessors on this one ambiguous phrase. He stated that the Ministry had three standards of judgment when any deviation or new byelaw was adjusted. The first was the essential practicability and reasonableness of the demand; secondly, whether the demand could be enforced with existing public health establishments; and, thirdly, that the deviation and new byelaw meet with general acceptance in the locality or be a prime necessity because of some specific local circumstance. Mr. Tyler reviewed the problem, and, having dealt with the wide adoption of the new byelaws, stated that this demonstrated that Local Authorities were prepared to make full use of the powers available. He also put some very pregnant questions as to whether the new food byelaws were an improvement on the powers possessed prior to their coming into operation, and whether they were adequate to deal effectively with the problem. He stated that the consensus of opinion among sanitary officers and food manufacturers in general was that the policeman attitude was certainly not enough. The majority of Authorities, however, were running extensive food hygiene courses for personnel employed in such work, the public, and, in some cases, children of school‐leaving age. He cited the stringent legislation in other countries which had resulted in an extremely high standard in food premises, and, although the legal penalties were extremely severe, they were rarely invoked. The subsequent discussion on this symposium showed that the opinions of the meeting, including many representatives of the food trades, were in favour of effective legislation, providing that this was lucid and equitable, and that Local Authorities must have adequate powers to deal with the very small minority of traders and manufacturers on whom advice and requests were wasted, and from whom the public must be protected. It is undoubtedly preferable to have legislation capable of a specific interpretation than a series of vague terms, such as “ reasonably necessary ”, “ suitable and efficient”, or “ a reasonable distance ”, which entail court cases to determine what exactly is meant by them. Such terms are capable of wide variations of interpretation, not only by the food trade but by the Public Health officers, resulting in a wide divergence of interpretation amongst Local Authorities.

The institution of food and cookery exhibitions and the dissemination of practical knowledge with respect to cookery by means of lectures and demonstrations are excellent things in their way. But while it is important that better and more scientific attention should be generally given to the preparation of food for the table, it must be admitted to be at least equally important to insure that the food before it comes into the hands of the expert cook shall be free from adulteration, and as far as possible from impurity,—that it should be, in fact, of the quality expected. Protection up to a certain point and in certain directions is afforded to the consumer by penal enactments, and hitherto the general public have been disposed to believe that those enactments are in their nature and in their application such as to guarantee a fairly general supply of articles of tolerable quality. The adulteration laws, however, while absolutely necessary for the purpose of holding many forms of fraud in check, and particularly for keeping them within certain bounds, cannot afford any guarantees of superior, or even of good, quality. Except in rare instances, even those who control the supply of articles of food to large public and private establishments fail to take steps to assure themselves that the nature and quality of the goods supplied to them are what they are represented to be. The sophisticator and adulterator are always with us. The temptations to undersell and to misrepresent seem to be so strong that firms and individuals from whom far better things might reasonably be expected fall away from the right path with deplorable facility, and seek to save themselves, should they by chance be brought to book, by forms of quibbling and wriggling which are in themselves sufficient to show the moral rottenness which can be brought about by an insatiable lust for gain. There is, unfortunately, cheating to be met with at every turn, and it behoves at least those who control the purchase and the cooking of food on the large scale to do what they can to insure the supply to them of articles which have not been tampered with, and which are in all respects of proper quality, both by insisting on being furnished with sufficiently authoritative guarantees by the vendors, and by themselves causing the application of reasonably frequent scientific checks upon the quality of the goods.

Aarhus Kommunes Biblioteker (Teknisk Bibliotek), Ingerslevs Plads 7, Aarhus, Denmark. Representative: V. NEDERGAARD PEDERSEN (Librarian).

The use of technical terms to communicate accounting information can lead to misunderstandings when the meaning of such terms is not fully appreciated by the recipient of the information. The discipline of translation studies suggests that full equivalence in translation between languages is rare. This suggests that the risk of misunderstanding is exacerbated when technical terms are translated into another language. This paper examines the implications of mistranslations of technical terms in the context of theories from linguistics, which suggest that language influences the way we think. It uses three examples of accounting terminology to illustrate these problems. It concludes that the choice of an inappropriate label in the translation of accounting terminology is detrimental to international accounting communication and creates problems for users and preparers of translated financial statements as well as for researchers in, and students of, international accounting and for those involved in harmonisation and standardisation of accounting.