the active duties of the office until the meeting of the board of directors in Philadelphia, Feb. 7, 1919. Following this meeting, the office of the association was moved from Cleveland to 111 W. Monroe street, Chicago. Former Secretary A. O. Backert acted as secretary in the interim during which time the papers and discussions presented at the Milwaukee convention were edited and the bound volume of transactions published. Finances The expense of moving the office from Cleveland to Chicago, the necessary furniture and equipment, office rent and additional clerical help added considerably to the expense for the year. Receipts exceeded expenditures by $36.05, compared with $93.80 for the year ending June 30, 1918. The total receipts from all sources amounted to $16,227.19. The total disbursements $16,187.92. Total receipts from dues and subscriptions amounted to $11,406.79. The sum of $1,000.00 was transferred to the technical department from the earnings of the department of exhibits for the year 1918. The sum of $250.00 was paid to the Institute of Metals Division of the American Institute of Mining and Metallurgical Engineers from the earnings of the department of exhibits. The largest item of expense was for printing and stationery which amounted to $5349.76, an increase over the previous year of $715.96. The amount derived from the cost keeping account for the year was $816.12, and although the association was put to the expense of furnishing each subscriber to the cost system with a revised copy of the system, a profit to the Association from the cost account resulted. Research Fund The association's research fund created in 1916 by a contribution from the Cleveland local convention committee now amounts, with interest, to $372.13. It is earnestly hoped a substantial addition will be made to this fund, making it sufficient to enable the association, through some of its committee activities to carry on a work for which this fund was intended. Appended hereto are the financial statements of Ernst & Ernst, certified accountants, who audited the books for the technical department, and of White & Co. who audited the books for the department of exhibits. For the aid and support given him through the year by President A. O. Backert, the board of directors, and his assistants, your secretary-treasurer extends his warm appreciation and sincere thanks. As requested we have audited the cash receipts and disbursements of the American Foundrymen's Association, Inc., Chicago, for the year ended June 30, 1919, and submit herewith our report. Following is a condensed statement of the cash transactions for the period under review: We compared all checks returned by the bank with the original cash book entries and traced all recorded receipts to the bank statements and reconciled the balance shown on the book with the figures contained in signed statements received directly from the depositaries. We submit herewith a reconciliation of the bank balance and direct attention to an item of $10.00 representing a deposit shown by the April bank statement which amount is not reflected in the books. Due to the fact that the receipts consisted of a large number of $10.00 items and the absence of duplicate deposit tickets we were unable to locate the $10.00 item in question. We traced all cash received in payment of dues, etc., directly to the credit of the members' accounts and with the exception of the following, no errors were noted. On July 8, 1918, an item of $10.00 under name of Niles Anderson, appeared on the books and had been deposited, but we were unable to locate the individual card to which this amount should have been posted. We noticed the following amounts had been credited on the individual cards, but not entered in the cash receipts book: July 17, 1918, W. A. Coventry $10.00; September 5, 1918, W. W. Wallace $10.00; October 7, 1918, H. G. Walton $10.00. We noted that during the year under review, duplicate payments of dues in the amount of $30.00 had been received by the association, but we were advised that this amount would be refunded to the members having made the payments, at a date subsequent to June 30, 1919. From a letter on file we learned that a check was given in payment of the H. G. Walton account at the convention, Oct. 7, 1918, and cleared through the Central National Bank, Cleveland, Ohio, October 24, 1918. We verified the footings of all receipts and disbursements for the period under examination. All disbursements were supported by original invoices and properly signed vouchers. A schedule is attached showing the amount of membership dues unpaid at June 30, 1919. We verified these amounts by trial balance, but did not correspond with the members to further verify the records. We present below a trial balance of the General Ledger after the close of books at June 30, 1919: |