Birth

Carol Gilligan Birth of Pleasure can be considered a research in social science. She has hypothesised certain theories regarding men and women behaviour. One of her main hypothesis is that women are different from men in various ways; she argues that female have a higher level of morality that cements the relation among sexes. At times she seems a feminist who is playing for female audience. She overcomes the limitation as the book flows.

For example she starts the human life story from a child perspective that is “under father’s authority” (Pg 5). She mentions that in patriarchy society there are different ways of dealing with boys and girl. For example boys are forced to learn and be disciplined at a young age compared to female. Female are forced to learn from age 13 and above at puberty. The reason for such approach; she argues is the utility of women. In a patriarchal society, women become important when they become fertile; before fertility they have no existence.

However the problem arises when a child becomes adult and he has to unlearn the older behaviour. Sometimes it is hard to undo the learned behaviour; deep inside sometimes adults feel guilty, if they do not follow the behaviour they have been taught in childhood. Gilligan does not argue in straight forward manner about the theme patriarchy in teenagers life, but the book overall covers the relationship between children and parents as pathologies.

For example she mentions that boys have two choices; either becomes good boy or bad boy; either by following the parent’s instructions or negating them to create their own social identities. The problem with such approach is that boys cannot form their own identities with reference to their true self. For girls the process began at much later stage when they approach the puberty. She insists that girls are forced by mothers to follow their footsteps and behave according to the established norms of the society.

This situation gives rise to conflict and breaking of the bond that exists between parents and children. She insists that love is based on democracy; while the patriarchy is based on hierarchy of men and women. The result of such hierarchy is patriarchy; where individuals find pain in love rather than pleasure due to the inherent conflict (in these relations). She suggests that it is possible to find pleasure with in the social norms, if couples overcome their limited roles and try to unlearn the behaviour childhood behaviour.

Gilligan has taken ideas from various sources, but she is able to develop her own ideas by studying life of children and couples including her own experience of life spiced with various Western myths and legends; such as Psyche and Cupid. She successfully weaves different pieces together to form one narrative immersing reader in interesting stories with one common theme. The positive effect of this style is that reader finds new interpretations about the stories and myths he is familiar with.

Gilligan sometimes seems to speak in a mystical language, when she declares that the yoke of Western love stories is made of tragedy because of the presence of patriarchy; where male justify their authority by trampling true feelings of women. Her idea of democracy of love seems un-restricted by social norms; such idea seems far from practical. All societies need to survive; the hierarchy allows a society to survive which may look cruel at time but this is how civilization are made from. Reference Gilligan, Carol (2002). The Birth of Pleasure. Random House.

Introduction

Vertebrate mean backbone and every species in the vertebrate classes has a backbone. Phylum chordatata contains the most familiar species, which includes humans. All chordates have several things in common that occurs in some stage of their development. They have pharynged slits, which are openings that connect the inside of the throat to the outside of the neck. These are often used as gills, and are only present in humans when they are at the early stage of development (foetus). A tail is also present, which extends past the anal opening. The main feature is the notochord, which is a rod that supports the nerve cord and this is present in all species. The nerve cord is a bundle of nerve fibres which connects the brain to every muscle and organ in the body. These nerve fibres are used to send messages to organs and muscles from the brain. In most species these features disappear with age. There are about 44.000 species in three subphylum’s groups (Matthew Morris15/05/2003).

Vertebrata is the largest subphylum with the more well known animals such as: mammals, reptiles, fish, aves, amphibians. Every animal with a back bone is present in vertebrate subphylum. All vertebrates have a skeleton of either bone or cartilage and there brain is protected by a bony cranium which consists of three parts. They have well developed hearts with three or four chambers and have a closed circulatory system. There are 41700 species in eight different groups and they are as follows: Amphibia (frogs, salanders), Aves (birds), Cephalaspidomorph (lamprey), chondrichthyes (hag fish), osteichthyes (bony fish) and reptilian (crocodiles, snakes, turtles).

Agnatha which are also known as jawless fish is a lower class vertebrate and the best representative for this vertebrate is the marine lamprey (petromyzon). This fish is eel like in its appearance, but much more primitive in its structure than true eels, which are more developed bony fish. The lamprey body is very soft and scale less and its skeleton consist of just cartilage (it lacks bone completely). There are no traces of paired fins and most of all it is completely jawless. The lampreys rounded mouth cup forms an adhesive disc, which it uses to attach to other fish that it preys on as a blood sucker. It has a rough tongue like structure in the mouth that is good substitute for having no jaw bone. There is just one nostril opening which is situated on top of its head, and having a hypophsial pouch combined with it. The gills passages in typical fish are slits, but in the lamprey they are rounded pouches, which are connected by narrow tubes with the pharynx and body surface.

Cartilaginous Fishes (Chondrichthyes) date back to the Devonian period and fossels that were found resembled sharks. The animals of today are made up of about eight hundred species which include; sharks, skates and rays. The cartilaginous fishes got their name from the fact that their skeleton is made of cartilage, not bone. With their gills exposed to sea water, all marine fishes are faced with the problem of conserving body water because Sea water is about 3.5% salt, which is over 3 times that of vertebrate’s blood. The cartilaginous fishes solve that problem by maintaining a high concentration (2.5%) of urea in their blood (which is far higher than the 0.02% of other vertebrates) that is in osmotic balance with sea water. This ability develops late in embryo, so the eggs of these species cannot simply be released in the sea, but there are two solutions to this and they are: Enclose the egg in an impervious case filled with isotonic fluid before depositing it in the sea and, Retain the eggs and embryos within the mother’s body until they are capable of coping with the marine environment. Both these solutions require internal fertilization and the cartilaginous fishes were the first vertebrates to develop this. The pelvic fins of the male are modified for depositing sperm in the reproductive tract of the female.

Bony Fishes (Osteichthyes) as the name indicates their skeletons are made of bone and they are divided into two groups which are: ray-finned fishes (Actinopterygii) and lobe-finned fishes (Sarcopterygii). Ray-finned fishes have thin fins that are supported by the spine and there are around thirty thousand species. the only Lobe-finned fishes that are still around today are one possibly two species called coelacanth, which were thought to be extinct and several species of lungfish that are found in Africa, South America, and Australia.In additions to gills, these fishes had a pair of pouched outgrowths from the pharynx which served as lungs. They were inflated with air taken in through the mouth and may have provided a backup gas exchange organ when the water became too warm and stagnant to carry enough dissolved oxygen. Their kidneys were adapted for the hypotonic environment in which they lived. These animals diversified through the remainder of the Devonian period (which is often called the “Age of Fishes”). Some migrated to the oceans. In this more stable environment, their lungs became transformed into a swim bladder with which they could alter buoyancy. Their kidneys became transformed as well adapting them to their new hypertonic surroundings. The nostrils of bony fishes open only to the outside and are used for smelling. Some of the lobe-finned fishes developed internal openings to their nostrils. This made it possible to breath air with the mouth closed as modern lungfishes do. These rare modern lobe-finned fishes are the sole survivors of once-flourishing groups that also gave rise to the tetrapods — the four-legged vertebrates. In the Devonian (perhaps as early as 395 million years ago), the paired fins of some sarcopterygians moved under the body and developed limbs (complete with digits). This enabled them to venture out on land. So once again, evolution was opportunistic giving rise to the first land vertebrates, the amphibians.

Amphibians in its class included all cold blooded species that are in between the evolutionary development of fishes and reptiles. They Include 4 living species which are the frogs, toads, salamanders and newts. Amphibians were the first vertebrates to move from a water habitat to a earthly one, and they are also the ancestors of all reptiles, birds, and mammals. Although there are a few species that live their lives in water, most spend a lot of time on land. Most Amphibians are species of the class Amphibia and are vertebrates easily recognised by their ability to live on land and water. amphibians have an aquatic larval, or tadpole stage that metamorphises into an adult. Amphibians are believed to have evolved from either the lobe-fin fishes (Crossopterygii) or the lungfishes (Dipnoi). These fishes had an advantage over other fishes by the fact that they had lungs. They could breathe on land which ment that when there was a shortage of water they could use there fins to pull themselves onto to land to search for another water source and in time they became less dependant on water.

Reptiles came into being about 315 million years ago, when amphibians developed two unique features, which were; skin and an egg covering that helped stop water loss and this is how they evolved into reptiles. These two adaptations allowed reptiles to become a dominant life form on land, as where amphibians are dependant on water to survive. The main success for reptiles was being able to produce offspring on land. Most reptiles lay eggs that are hard and brittle, or covered with paper like shell. Some reptiles like snakes and lizards are ovoviviparous, which means they give birth to living offspring that hhatch from an egg from inside the female and then she gives birth.

Birds have been termed glorified reptiles but are treated as a different class (aves). They are a far removed species from the general reptilian group because from that group there was a flying species called the pterosaurs. The aves are not descended from pterosaurs, they are descendants from another flying species called archosaur which had feathers instead of membrane. In birds we see a group of vertebrates that in a lot of ways is not considered a high level class of species like mammals. Birds can be trained but seem relatively much less capable of learning by experience than mammals. On the other hand they show innate behaviour patterns of a complexity unknown to mammals. A lot of these patterns are related to social behaviour for example, courtship, nest building and rearing there young.

Mammals are vertebrates that have hair, a four-chambered heart and mammary glands (sweat glands), which is where the name mammal came from because they are the only animals that have sweat glands. Mammals first came about 200 million years ago during the Jurassic Period and there are about five thousand four hundred living species of mammals today that differ greatly in size, form and adaptations. Mammals inhabit every country and have occupied a wide variety of places, which include grasslands,

wetlands, scrublands, seas and oceans, below ground, forests, mountaintops, Polar Regions and deserts. Mammals range in size from the minute bumblebee bat which measures a mere three centimeters in length, to the massive blue whale, which can measure up to 33 meters from head to tail, which makes it the largest animal alive today. Although mammal’s species vary in form, they do share some rare characteristics and they are; that their lower jaw bone which carries the teeth attaches directly to the skull. In other vertebrates, the jaw bone is one of multiple bones that does not attach directly to the skull. Mammals also have a unique arrangement of three bones, which are; the incus, malleus and stapes, that located in the middle of the ear. These bones turn sound vibrations into neural impulses. Two of these bones, the incus and malleus, originated as bones within the jaw. Another feature which is unique to mammals is that they have two lumps on the base of the skull (known as a double occipital condyle) which are used to hold the skull in the top neck vertebra, but in other vertebrates, the base of the skull has only a single lump. Hair is also unique trait to mammals because no other animals in the other class of vertebrates have true hair and all mammals have hair covering at least some part of their body at some time during their life. Hair grows from skin cells called follicles and it is made of a protein called keratin. Hair serves many functions which differ in different animals and they are to insulate, to conceal, to signal, to protect, and to sense the immediate surroundings. Insulation is to keep heat in the body, but it also helps to protect the body from too much heat as in the case of diurnal desert animals such as the camel. The coloring of hair on animals helps them to conceal themselves from predators or prey because some animal’s fur matches their habitat. Hair also provides by its color a means of signaling other members of one’s own species (e.g., the white tail of the white-tailed deer, flashed by a fleeing animal to signal danger) or members of other species like the skunk which has a big white stripe down its back which is warning to predators. The hair also serves to protect the skin from abrasion and from excessive UV radiation.

The success of vertebrates lies in the evolution and adaptation which helped vertebrates to survive on land, in water and in different climates all around the world.

Introduction

In contemporary society, it is generally acknowledged that there is a compact relationship between the process of accounting and successive stages of capitalism. Then, according to Sombart (1916), the notion of double entry bookkeeping has influence on the emergence of capitalism. Consequently, this viewpoint can arouse a great controversy. Some researchers agree Sombart’s argument and launch a deeper study between the accounting and capitalism. In addition, Chiapello (2007) also states that there is the association between the conception of capitalism and the angle of economy and society which is impact on accounting.

Moreover, it is argued that the capitalism revolution has deeply impact on the history of accounting. So, there is an interconnected relationship between the process of accounting and successive stages of capitalism.

This essay will elaborate the issue about the role of accounting plays in successive stages of capitalism. In the first section, it will give the conception of capitalism and state two stages of capitalism. Second part gives the conception and development of accounting. Then, the relationship between them is given in the next section. Finally, it can be conclude that the history of accounting has influence on capitalism through the case of canals and railways in UK.

2. A review of Capitalism

2.1 The conception of Capitalism

Initially, as Deschepper (1964) states, capitalism was first proposed by Louis Blanc in the second half of nineteenth century and it is required to separate from the capital. Afterwards, Chiapello (2007) argues that the word capitalism can be turned into the antonyms of socialism during the twentieth century. Then, Sombart (1930) gives a clear definition on the basis of social scholars: ‘Capitalism designates an economic system significantly characterized by the predominance of “capital” ’ (Sombart, 1930, p.4).

Secondly, according to Weber (1991), capitalism is defined that ‘the most universal condition for the existence of modern capitalism is, for all large lucrative businesses supplying our daily needs, the use of a rational capital account as standard’(Weber, 1991,p. 297).

From the angles above, it can be concluded that most scholars cannot clearly propose the word capitalism even though capitalism has its definition according to their own thoughts. For example, Marx just used the expression of ‘capital system’ or ‘capital production’ rather than the word capitalism.

2.2 Capitalism and two stages

It is witnessed that there is an energetic view about the capitalist revolution with the development of business history. Consequently, according to Wilson (1995), it is widely accepted that capitalism can be divided into two stages on the basis of different categories of management: the traditional form of capitalism and the managerial capitalism.

To begin with, Wilson (1995) claims that it is clear that early capitalism is described that an individual can play various roles in operating the company from the perspective of personal management. So, it is the traditional form of capitalism. For instance, according to Mantoux (1928), the manager tends to have various powers to operate the company and the powers contain the rights for businessman or salesman. From the perspective above, it is obvious that most the corporate affairs can usually be dominated by an individual or small management teams until management functions can be separated.

Moreover, as Wilson (1995) states, the managerial capitalism is viewed as the second stage, but there are two periods in the managerial capitalism: the entrepreneurial form of organization and the managerial form of organization.

Firstly, it is apparent that a company transforms from individual forms to form of enterprise because personal management form has itself internal and external limits and it seems that the development of organization can be restricted. So it is the entrepreneurial form. In this stage, the owner-manager tend to need to hire professionals and use external funding and it seems that ownership and control start to emerge a separation in order to improve management functions.

Finally, the managerial stage is regarded as the second period as Wilson (1995) asserts. It is well known that there is a complete separation between ownership and control. That is to say, professional manager should commit strategic, functional and operational management while investors can control most of stock equity which operates the company.

3. A review of Accounting

3.1 The conception of Accounting

Initially, according to Young (2006), American Institute of Accountants’ Committee can provide an official definition: ‘Accounting is the art of recording, classifying and summarizing in a significant manner and in terms of money, transactions and events which are, in part at least, of a financial character, and interpreting the results thereof ’ (cited in Grady, 1965, p. 2).

Secondly, as Bryer (2006) claims, accounting is defined that there is a kind of process which offer useful accounting information for investors and senior managers. Obviously, accounting is regarded as a kind of looking for the common economic purpose of the reasonable and dominant method (Bryer, 2006). Afterwards, it is obvious that all the accounting information can be made reasonable economic decisions for the future development of the organization as Bryer (2006) demonstrates.

Thirdly, McLaney and Atrill (2007) provide another conception of accounting: it is evident that it can collect many useful available financial data, use a certain method to analyse these information and report to managers in the form of financial statement. Then, managers can make full use of these data to make the right economic decisions for the progress of the company.

Therefore, from these angles, it tends to conclude that there are the common features in terms of the definition of accounting. In other words, it is well known that accounting is the process of collecting and analyzing the financial data for managers and managers can make use of these information to make economic decisions for the company.

3.2 The development of Accounting

Along with the progress of business, it is widely believed that accounting has been constantly developing. Therefore, as Edwards (1989) states, there are four stages in terms of the progress of accounting: the pre-capitalist period, the commercial capitalism, the industrial capitalism and the financial capitalism.

Firstly, according to Edwards (1989), the first stage is pre-capitalist period, which dates from Mesopotamian civilisation until the Greek civilisation (4000 BC -1000 AD). Then, the first form of accounting is a simple record keeping and it origins from the Mesopotamian trade. For instance, Edwards (1989) illustrates that the original method is that the knotted cord keeps records, but this record evolves into keeping the minute on the ceramics or paper with the development of society. Hence, it means that there appears an initial form of calculating profits in terms of recording the goods and cash in this stage.

Secondly, Edwards (1989) claims that commercial capitalism is regarded as the second stage. This stage begins from 1000 to 1750. It is defined that merchants use money to purchase raw materials rather than number of production equipment and finish the goods, and make a big profit to obtain more shares after selling the products in this period. Then, it is described as “circulating capital”. So, it is also called the original commercial form. Moreover, it is worth to point out that there appears a new way of record keeping which is called double entry booking from about 1300 and then this method becomes more and more prevalent after 1494.

Thirdly, as Edwards (1989) states, the third stage is known as industrial capitalism. This stage normally dates from 1760 to 1830 in Britain even though industrial revolution had different periods in various countries. Afterwards, it is commonly accepted that the progress of mass machinery and factory marked the birth of industrial capitalism due to the emergence of new energy in the mid-nineteenth century. In addition, it is obvious that rich labour resources also promote the capitalist industrialization because of low infant mortality and the enclosure movement and then textile industry with ceramic and transportation appear constantly. Hence, it can be seen that manufacturing is the main proceeds in this stage. On the other hand, it is of importance that single entry and double entry can be chosen at that time from the perspective of industrialists, however, double entry replaced eventually single record keeping due to the improvement of resource allocation even though single entry maintains the leading position in Britain until nineteenth century.

Finally, financial capitalism is viewed as the fourth stage according to Edwards (1989) and this period starts from 1830 until today. It is notable that public services, like railway building, tend to become the preliminary stress on capital rather than fixed capital in terms of financing at this stage. Furthermore, it seems that public services can be required abundant of money rather than carrying on activities on small scale. Obviously, accounting problems such as the division of capital costs and tax costs, calculating profits, the evaluation of fixed assets tend to be constantly emerged. At that time, there are same accounting problems between mechanical inventions and technological inventions because of financing. In the end, government has transformed the attitude about the rule of business activities and it means that financial data are required while managers tend to choose suitable methods in terms of financial reporting procedures.

4. The relationship between Capitalism and Accounting

According to Wilson (1995), it is witnessed that there is an energetic view about the capitalist revolution with the development of business history.

Furthermore, as Chiapello (2007) states, it is evident that to a large extent the emergence of accounting can lead to the notion of capitalism. Then, Chiapello (2007) also asserts that there is the association between the conception of capitalism and the angle of economy and society which is impact on accounting. At the same time, Sombart (1916) claims that as the record keeping method of accounting, the notion of double entry bookkeeping has influence on the emergence of capitalism.

In addition, Bryer (2000) suggests that there is the theory of Marx which emphasis on the history of accounting and the transformation of capitalism. So, it means that the history of accounting is closely associated with the transformation of capitalism.

Finally, according to Arnold and McCartney (2008), it is argued that series of developing capitalism has impact on the external form of accounting about financial statement during the industrial revolution in Britain.

Therefore, from these perspectives, it can be concluded that there is the common characteristics between the accounting and the capitalism. That is to say, firstly, it seems that along with the development of the business history, accounting can constantly emerge in the capitalist revolution and it also facilitates the notion of capitalism. Secondly, it is evident that the double entry bookkeeping also comes out with the progress of accounting and it is deeply connected with the appearance of capitalism.

Due to the development of capitalist revolution, there appears a new method of bookkeeping under the changing circumstance. Consequently, according to Edwards (1989), it is obvious that small businesses tend to use single entry to keep the trading activities in the eleventh century and this record keeping can make small businesses operating well. However, due to the increasing business activities and the growth of amount of trading, it seems that single entry may restrict the size of business. It is thus well known that double entry bookkeeping tend to come out from about fourteenth century and it would become increasingly popular in 1494. Then, double entry is widely used in UK in the seventeenth century because of the increase in the number of transaction.

To start with, as Sombart (1992) states, double entry bookkeeping is defined that there are two accounts in every entry. That is to say, one is the debit account and another is the credit account. It is also the basic rule of double entry. As is seen that double entry bookkeeping would closely together with the accounts of enterprise.

In addition, Sombart (1992) asserts that the capital account and the income account start to appear and it is the core of double entry bookkeeping. At the same time, DEB is given an objective: ‘keeping track of every movement throughout the company’s capital cycle, quantifying it and recording it in writing’ (Sombart, 1992, p.21). Chiapello (2007) claims that close annual account put forward for the first time from the textbook of Simon Stevin and the balance sheet was proposed according to double entry bookkeeping.

However, Yamey (1964) also gives another definition of double entry bookkeeping: initially, there is the sole standard about the balance of debit and credit accounts in terms of the balance system of bookkeeping. Secondly, this system adds the use of capital accounts and nominal accounts, but regular calculation of net income has not been enrolled.

As a result, from these perspectives it can be concluded that there is the development of double entry bookkeeping in early capitalism stage and the conception of double entry bookkeeping. That is to say, firstly, it is defined by Sombart and Yamey that double entry bookkeeping can be divided into two accounts. Secondly, double entry bookkeeping tend to be come out because of expanding increasingly the size of businesses.

5. Accounting changes during the Industrial Revolution in Britain

As Arnold and McCartney (2008) claim, financial statement which is an external form of accounting has formed in the successive stages of capitalism and it is obvious that financial reports have sort of changes in terms of railway and canal industry during the initial period of industrial revolution.

5.1 Railway

According to Arnold and McCartney (2008), it seems that the establishment of railway enterprise such as Liverpool and Manchester railway mark the appearance of financial capitalism from 1830. As an illustration, Edwards (1989) states that the requirement of public utilities tend to turn into the primary pressure of capital instead of fixed capital during the Industrial Revolution. So, for the sake of large scale financing, two railway buildings, Liverpool and Manchester railway, was found in 1830. The London Stock Exchange can place importance on corporation securities during the second half of nineteenth century and it can represent the importance of railway in terms of the capital market. At that time, as the railways were the major industry during the second half of nineteenth century according to Arnold and McCartney (2008), the construction of railway was required to invest amount of capital rather than a small scale. So, plenty of financial data can need to be reported in the financial statement. Then, these data can contribute to design the project, calculating costs in the period of construction and finally these information were reported after the completion of the railway line (Edwards, 1989).

5.2 Canal industry

The canal industry plays a significant role in the UK economy during the start of nineteenth century and it also has impact on the industrial revolution. According to Edwards (1989), the canal industry may mark the real commence of financial capitalism because it make use of surpluses from the employment of capital in trade and capital from the investors.

As Bagwell and Lyth (2002) states, the establishment of the canals can be miracle during the late eighteenth century and the early nineteenth century and civil engineering with pound locks, aqueducts, cuttings and tunnels tend to be performed in the canal buildings. Then, Arnold and McCartney (2008) assert that the age of canals dated from 1755, for the sake of enhancing navigation of Sankey Brook which is a tributary of the Mersey, Liverpool Company acquired a navigable Act and the coals can be transported to Liverpool from the St Helens. So, it can also facilitate the progress of the Bridgewater canal from Manchester to Worsley. However, according to Bagwell and Lyth (2002), the cost of coal sharply decreased in Manchester when canal was built at the July of 1761. Subsequently, a better alternative of Manchester Runcorn Canal can be facilitated by the Bridgewater canal in 1767 and recently the carriage levies started to drop as well. Simultaneously, it is accepted that new canals have not only the function of transporting the cargo, but they can also be regarded as the transportation of passengers due to the introduction of the Manchester passenger boats in the late of eighteenth century (Arnold and McCartney, 2008). In addition, as Hadfield (1981) mentions, it is witnessed that from the angle of canals, there is a growth of inland navigation system between England and Wales from 1,482 miles to 3,969 miles during the late eighteenth century and early nineteenth century. Hence, it is defined as the stage of industrial revolution.

However, as Arnold and McCartney (2008) claim, the Bubble Act can be proposed by an Act of Parliament and there are some limitations from the angle of joint stock company since the failure of South Sea company. Afterwards, the first corporation, which is named The Company of Proprietors of the River Dun, was established in 1733 by this Act and this company has the total ? 17,250 capital. Therefore, it means that the canal companies can be viewed as “statutory companies, for trading purposes” for the first time and there are limited liabilities in some corporations(Harries, 2000, pp.98-9). From these perspectives above, it can be concluded that the canal companies tend to make a financial foundation for future industrial process as a means of selling stocks and bonds (Bagwell and Lyth, 2002).

Although some canal companies have some certain data such as construction costs and dividends, it is clear that the periodic accounts or financial statements are used to search for understanding the profitability (Arnold and McCartney, 2008). Additionally, the Rochdale and Lancaster directors insist to keep “proper books of Accounts” while the directors of the Kennet and Avon adhere to use the cost of construction about “a true and particular Account”. Then, it is also mentioned that the data set of three companies such as Birmingham, Kennet and Avon, and Oxford Canal companies can totally use the DEB to keep accounting records.

In brief, according to Arnold and McCartney (2008), it is obvious that there are two financial statements in the Rochdale Canal, which are Statement of the Receipts and Disbursements and Statement of the debits and credits. Then, Arnold and McCartney (2008) also state that the Kennet and Avon’s general account is the initial form of General Balance Sheet even if it cannot include relevant information.

6. Conclusion

Based on the arguments offered above, the development of accounting has far-reaching effects on the successive stages of capitalism especially in the period of British Industrial Revolution. Sombart (1916) claims that the notion of DEB has influence on the emergence of capitalism. In addition, Chiapello (2007) also states that there is the association between the conception of capitalism and the angle of economy and society which is impact on accounting. As a result, it is clear that along with the development of the business history, accounting can constantly emerge in the capitalist revolution and facilitate the notion of capitalism. Then, it is evident that the double entry bookkeeping also comes out with the progress of accounting and it is deeply connected with the appearance of capitalism.

Therefore, based on the case of canals and railways in Britain, it is evident that the process of financial reporting has far-reaching effects on the stages of industrial revolution. Meanwhile, the history of accounting may pose an essential impact on the stages of capitalism.

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