The Bordazar memorandum: cost calculation in Spanish printing during the 18th century.

Abstract: Since the first printers settled in Castile, books were regulated as a basic necessity and their retail prices were controlled. The bestselling works were sacred prayer books. The printing monopoly in Castile was enjoyed by a Flemish workshop (Plantin). In 1732 Antonio Bordazar de

Artazu, authored, printed and distributed to the authorities a Memorandum in which he tried to prove that Spanish printers were able to print books at lower prices and still maintain quality standards. This Memorandum presented a costing model, and provides an early example of the use of cost accounting to challenge a monopoly in Spain.

INTRODUCTION

Antonio Bordazar de Artazu, a renowned printer from Valencia wrote and printed a Memorandum in 1732 addressed to the King of Spain with two objectives: to demonstrate his ability to take over the printing of sacred prayer books and to show through a costing statement that these books could be printed in Spain at lower prices. The Memorandum is 24 pages long and is available at the National Library, Madrid (under the reference 2/14180).

There are three basic reasons why this Memorandum merits a depth analysis. First, the document shows an early example of the usage of cost calculations to challenge a monopoly within a strictly regulated market. Second, and in contrast to similar and earlier costing documents, the Memorandum entered the public domain; it was addressed and sent to the government. Third, the costing systems used in the printing industry are of particular interest and were associated with relatively sophisticated technical processes during the 18th century. This paper seeks to contribute to the growing literature on accounting in the printing industry [Daniels, 1994; Walker and Mitchell, 1998]. The fact that Bordazar was an experienced and successful printer aged 61 when he published his Memorandum, together with his solid mathematical background, makes his paper a unique source for understanding the changes that were about to occur in the printing industry during the second half of the 18th century.

STATEMENT OF PURPOSE

The objectives of the paper are to compare Bordazar's costing model with that of a benchmark workshop (Plantin) and assess the impact of Bordazar's Memorandum on the printing industry. The evidence obtained will be used to verify the utility of Bordazar's model for decision making and to analyze the document in the context of theories of change in accounting technology.