The problem with which this study is concerned is that of the income concepts used by bank loan officers in dealing with financial information, as compared to the income concepts used by the accounting profession. A series of twenty different financial situations were designed which required the loan officer to make a decision as to an income concept before he could compute the answer to the questions in income, profit, gain, and change in wealth which were asked for in each situation. The loan officers' answers to each situation were then compared with the accountants' answers, using generally accepted accounting principles. In addition, comparisons were made between the income concepts used by the different classes of loan officers and sixteen environmental factors to determine what influence, if any, these factors might have on the answer given by the bank loan officers. The two purposes of the study were to show that bank loan officers do not calculate net income by the same methods as accountants, and to determine if there are environmental factors which would influence the method the loan officer used to compute his answers.

With the current strain on the world's material resources and the increase in their cost, a constant pressure is building to increase the productivity of human resources. Adding, to the strain is the increasing demand of society for a higher quality of life through more meaningful work. Responding to both of these pressures requires decisions that simultaneously meet the goals of organizations and the needs and values of employees. To make the kind of decisions demanded by this dual priority of human effectiveness and improved quality of life, information is needed to: 1. Improve understanding of the nature and scope of human resource expenditures; 2. Improve selection, retention, and motivation of employees; 3. Allocate money spent on human resources; 4. Overhaul the approach to communication among managers, between managers and other employees, and between the organization as a whole and outside parties; 5. Expand the scope of internal and external reports to deal with social as well as financial accomplishments. The ultimate objective of this research is to develop a human resource model and a heuristic for developing empirical support which can be useful to businessmen seeking to increase human effectiveness and improve the quality of life. The model merges …