74 The Stock Market Crash—And After
creased satisfactorily over the corresponding period
of 1928.
That the gains of 1929 were extraordinary as
compared with 1928, is indicated in the figures cited
above. That the gains of 1928 were extraordinary
is also shown by a study of 914 companies published
by Ernst & Ernst in their bulletin of May, 1929,
that records corporation balance sheets at the end of
1928. These had increased by 9.18 per cent in current
 assets at the close of 1928, as compared with
the close of 1927; in net working capital they had
increased by 8.86 per cent and in cash and marketable
securities by 19.09 per cent. The latter item shows
clearly that inventories and accounts receivable had
been carefully controlled, and that inventories were
conservative at the close of 1928 in relation to sales,
as compared with 1927.
Changes in corporation profits during 1923 to
1927, inclusive, according to Recent Economic
Changes, show extraordinary increases through the
entire range, with the exception of railroad equipment,
 clothing, textiles and coal, which recorded decreases
 ranging from .1 per cent to 48 per cent in
the average annual rate of change; also, in motor
accessories, building supplies and paper, with decreases
 ranging from 1 per cent to 4.4 per cent. In
all the rest of the industries great increases were
registered—Ileather and shoes by 28.8 per cent for
1927 as compared with 1923; motors by 22.5 per
cent; amusements by 18.9 per cent; miscellaneous
industries by 1¢ per cent: machine and machine man-