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STATE OF NEW YORK
Public Service Commission
SECOND DISTRICT
Albany, December 2, 1908.
To.
The following order has been adopted by this Commission, and is hereby
served on you. Please acknowledge receipt at once.
Yours very truly.
State op New York,
©ftlcc Of tbe t)ublic Service Commission }■ **••
SECOND DISTRICT
I have compared the following copy with the original on file in this office,
and I do HEREBY CERTIFY the same to be a correct transcript therefrom
and of the whole thereof.
IKIlitneSS my hand and the Seal of Office of the Public Ser-
vice Commission, Second District, at the City of
Albany, this second day of December, one thousand
nine hufvd red ,ayd eight.' '.'/
,-<?«i»,"
Secretary.
274664
• ->•.'•
• -• ••" ^•.
State of New York,
Public Service Commission. Seconti Dtstrtct.
At a sudsion of the Public Service Lommission, Second
District, lield at the Capitol, Albany, on the 21st
day of October, 1908.
Present :
' Frank W. Stevens, Chairman,
Thomas M. Osborne,
Martin S. Decker,
James E. Sague,
John B. Olmsted,
Commissioners.
Ordered: That, except as hereinafter provided:
1. On and after January 1, 1909, every electrical corporation shall keep
upon its books the accounts prescribed or defined in the hereto annexed
schedule marked " Schedule A", so far as the said accounts are pertinent to
the facts and circumstances of the said corporation. The term electrical cor-
poration is used herein in the sense defined in the Public Service Commissions
Law.
2. On and after the date of service of this order on any such electrical
corporation, such corporation shall not charge to any account representing
cost of property any discount or commission on securities issued by the said
corporation, but shall charge all such discounts, commissions, and other
expense connected with the issue of securities subsequent to the said date of
service, in accordance with the directions contained in the definitions of the
account named Organization, and the account named Unamortized Debt Dis-
count and Expense, in the said " Schedule A".
3. On and after January 1, 1909, every said electrical corporation shall keep
upon its books the accounts prescribed or defined in the hereto annexed
schedule marked " Schedule B ", so far as the same are pertinent to the
facts and circumstances of the said corporation.
4. During the year beginning January 1, 1909, any said corporation may
for purposes of comparison with prior years keep on its books any account
pertaining to revenues, revenue deductions, income deductions, and appro-
priations ( as defined in the said " Schedule B " ) which it had on its books
during the year begun January 1, 1908; provided that on or before January
1, 1909, there be filed with the Public Service Commission a statement con-
taining a list of the said accounts pertaining to the year begun January 1,
1908, and definitions of such accounts.
5. For purposes of improving the efficiency of administration and operation,
any corporation may, unless or until otherwise ordered, keep upon its books
any temporary or experimental accounts and any accounts covering particular
divisions of its operations, provided that in respect of each siicli temporarj',
experimental, or divisional account, the said corporation shall (ile with the
Public Service Commission, at least ten days in advance of the time when
[3]
4 .FiJ.Bilp ^EfiVlCE G'OMMISSION, SecOXD DlSTfilCT
the said account is to be instituted, a statement showing the name of the
said account, the date when it is to be instituted, the purpose for which it ia
to be kept, the period of time during which it is to be kept, and a clear
and accurate definition of the classes of items and facts to be contained in
the said account; and in case of a divisional account, the definition of the
division covered. Upon compliance with the provisions of this paragraph,
any account herein prescribed or defined in either said " Schedule A" or said
" Schedule B " may be subdivided.
6. All notices herein required to be filed concerning accounts shall be upon
sheets 9i^ inches by 12 inches in size, and shall be entitled in the name of
the corporation filing said notices, followed by a brief statement of the charac-
ter of the accounts covered by the notice.
SCHEDULE A.
bala:n'ce sheet or ikdicant accounts.
1. Electrical Corporations and Electric Operations defined. — Section 2
of the Public Service Commissions Law defines electrical corporation as
follows :
I 2. . . . The term " electrical corporation "... includes everj' corpora-
tion, company, association, joint stock association, partnership and person, their
lessees, trustees or receivers appointed by any court whatsoever (other than a rail-
road or street railroad corporation generating electricity for its own use exclu-
sively), owning, operating, managing or controlling any plant or property for'
generating and distributing, or generating and selling for distribution, or distribut-
ing electricity for light, heat or power or for the transmission of electric current
for such purposes.
Electric operations, as the term is hereinafter used, include all acts and
transactions directly connected with the operation of a plant for the produc-
tion of electric energy, the transmission thereof and the supply thereof to
consumers for light, heat, or power, and all operations incident thereto, in-
cluding the collection of revenues therefor and the disposition of byproducts
produced in connection therewith.
2. Accounts to be kept by double-entry method. — All accounts kept by any
corporation or person within the scope of the present order shall on and after
January 1, 1909, be kept by the double-entry method.
Note. — This requirement is not Intended to apply to purely statistical accounts.
CAPITAL ACCOUNTS.
3. Capital defined. — As the term is used herein, by capital of a corporation
is meant all property devoted to the rendering of the services or the pro-
duction of the commodities which are within the purposes of the corporation.
4. Fixed Capital defined. — Capital which has an expectation of life in
service of more than one year (exception being made of hand and other small
portable tools liable to be lost or stolen*) is called fixed capital.
5. Floating Capital defined. — Capital other than fixed capital is called float-
ing capital.
6. General Capital and Departmental Capital defined. — Fixed capital is di-
visible into general capital and departmental capital, general capital being
that which is indiscriminately available for the use of two or more classes
of operations, while departmental capital is that assigned solely or principally
to a single class of operations.
' Hand and other small portable tools liable to he lost or stolen shall, when first
acquired and before Issued for use, be carried In a suitable Materials and Supplies
account ; when Issued they shall be charged to the appropriate expense account.
Portable tools and apparatus of special value may, however, be charged to the
appropriate tangible capital account, and remain therein so long as record is kept
of the persons to whom such tools and apparatus are issued and such persons are
made responsible therefor.
[5]
6 Public Service Commission, Second Disteict
7. Landed Capital and Non-Iandsd Capital defined. — Fixed capital is also
divisible into landed capital and non-landed capital. Landed capital includes
all interests in land (exclusive of improvements thereon) the term of which
is more than one year. All other fixed capital is herein cai>ed non-landed
capital.
8. Intangible and Tangible Capital distinguished. — Non-landed capital is
divisible into intangible and tangible. Intangible capital comprises organ-
ization, franchises, patent-rights, and all other intangible property within
the definition of fixed non-landed capital as above stated. Tangible capital
comprises structures and equipment having an expectation of life in service
of more than one year. Because of their liability to loss or theft, hand and
other small portable tools are excepted from tangible capital, and the cost
of such tools when issued is required to be treated as a part of ths operating
expenses.'
9. Further Classification of Capital. — Capital is also divisible into original
capital, additions, betterments, and reneicals and replacements, as defined
below. Charges to capital accounts shall show these divisions as set forth
in paragraph 21, infra.
10. Original Capital defined. — Original Capital is that put into service at
the outset of an enterprise.
11. Additions defined. — Additions include additional structures, facilities, or
equipment not taking the place of anything previously existing.
12. Betterments defined. — Betterments include the enlargement or improve-
ment of existing structures, facilities, and equipment.
13. Renewals defined. — Renewals include all extensions of terms of years
in land and tangible fixed capital, and all extensions of the life period of
franchises and other intangible fixed capital.
14. Replacements defined. — Replacements include all substitutions for capi-
tal exhausted or become inadequate in service, the substitutes having sub-
stantially no greater capacity than the things for which they were substi-
tuted. When a substitute has a substantially greater capacity than that
for which it is substituted, the cost of substitution of one of the same
capacity as the thing replaced should be charged as a replacement, and the
remaining portion of the cost of .the actual substitute should be charged as
a betterment.
15. Repairs defined. — Wlien through wear and tear or through casualty it
becomes necessary to replace some part of any structure, facility, or unit
of equipment, and the extent of such replacement does not amount to a aub-
stantial change of identity in such structure, facility, or unit of equipment,
the replacement of such part is to be considered a repair, and the cost of
such repair is to be treated as an operating expense and must not be charged
as a replacement in any capital account.
> Hand and other »mall portable tools liable to be lost or stolen shall, when first
acquired and before Issued for use, be carried in a suitable Materials and Supplies
account ; when issued tlie.v shall be oharKed to the appropriate expense account.
Portable tools and apparatus of special value may, however, be charged to the
approi)rlafe tangible capital account, and remain therein so long as record is kept
of the per.sons to whom Hueh tools and apparatus are issued and such persons are
made responsible therefor.
Accounts for Electrical Corporations 1
i6. First entries must enable identification. — Throughout all capital ac-
counts, the first entry in respect of any particular thing shall describe it
with such particularity as to enable its identification, and shall give it a
distinguishing name, number, or other designation by which it shall there-
after be designated in every entry in any capital account which in any way
concerns it. In the case of continuous structures like railroad track, or
electric line, or pipe line, such structures shall be itemized to the extent that
no item shall contain more than one operating division or more than one
type ef construction, and the entry in relation to any item shall describe the
size, weight, type, and other principal physical characteristics of the chief
constituent parts, together with their spacing if discontinuous.
17. Costs of new capital to be actual money costs. — All charges made to
capital or other accounts on or after January 1, 1909, shall be the actual
money cost of the things in respect of which they are made. When the con-
sideration actually given for the thing in respect of which a charge to a
capital account is made is anything other than money, the actual considera-
tion shall be described in the entry with sufficient fullness and particularity
to identify it, and the amount charged shall be the actual money value of
such consideration at the time of the transaction.
1 8. Discounts upon securities not to be charged to capital accounts. — Dis-
counts upon securities and other commercial paper issued in payment for
capital are to be provided for in other accounts and must in no case be
charged to the capital accounts.
ig. Costs of labor, materials, and supplies. — Cost of labor (employed in con-
struction) includes not only wages, salaries, and fees paid emploj'ees, but
also such personal expenses of employees as are borne by the corporation.
Cost of material and supplies consumed in construction is the cost at the
places where they enter into construction, including cost of transportation
and inspection when specifically assignable. If such materials and supplies
are passed through storehouses, their cost entered in the account may include
a suitable proportion of store expense.
20. Withdrawals or retirements. — When anything is withdrawn or retired
from service, the amount at which such thing stood charged in the capital
account shall be credited to the capital account in which it stood charged
at the time of withdrawal, and the entry of such credit shall cite by name
and page of book or other record the original entry of cost of the thing
withdrawn. If there is no such original entry, that fact shall be stated in
connection with the credit entry, and the actual amount orig>ially charged
shall be credited. If such amount is not known, it shall be estimated, the
facts upon which the estimate is based shall be shown, and the amount thus
estimated to be the original charge in respect of such thing withdrawn shall
be credited.
21. Particulars required to be shown in entries. — Every charge made to a
capital account on or after January 1, 1909, shall show whether the thing
in respect of which the charge is made is original capital, or an iuldition. a
betterment, a renewal, or a replacement. If the thing is a betterment, the
entry shall designate the thing enlarged or improved and shall cite by name
and page of book or other record the original entry of cost of such thing
enlarged or improved. If the thing to which any charge hereafter made re-
8 Public Service Commission, Second District
lates. is a renewal or a replacement, the entry made in respect thereof shall
designate the thing renewed or replaced and shall cite by name and page
of book or other record the original entry or entries of cost of such thing
renewed or replaced. If there is no entry in the accounts of the corporation
showing the cost (to the corporation) of the thing bettered, renewed, or re-
placed, that fact shall be stated in the entry describing the betterment,
renewal, or replacement, and the original cost of such tiling to the corpora-
tion shall be stated. Such cost shall be estimated if not known, and when
estimated the basis of such estimation shall be shown.
22. Betterments Involving partial destruction of thing bettered. — If any
betterment involves the partial destruction or partial reconstruction of the
thing bettered, only such portion of the cost of the change shall be charged
as a betterment as will when added to the original cost (estimated if not
known) of the thing betjtered give the cost of reconstruction or replacement
of the thing as bettered, and the remainder of the cost of the change (account
being taken of any salvage) shall be charged to the appropriate repair
account.
E. g., a biilldinK, original cost unknown but estimated to be $15,000, Is bettered
by the construction of an elevator shaft, and its stairways are modified so as to be
fireproof ; the actual expenditure for these changes is .$.3.000 ; the estimated cost
of replacement of the building (as modified) with one equally serviceable and with
an equal expectation of life Is $16,000; the charge to capital account as a better-
ment should be $1,000, and the remainder ($2,000) of the expenditure should be
charged to the appropriate repairs account.
23. Plant and equipment and other capital purchased. — When any fixed
capital in the form of a going or completed plant is purchased, an appraisal
of such capital so acquired shall be made, and the different constituent ele-
ments of the plant (and equipment, if any) or other capital acquired shall
be appraised at their structural value; that is to say, at the estimated cost
of replacement or reproduction less deterioration to the then existing condi-
tion through wear and tear, obsolescence, and inadequacy. If the actual
money value of the consideration given for the plant or other capital was
at the time of the acquisition in excess of such appraised value, the excess
shall be charged to the account " Other Intangible Electric Capital," and the
appraised values of the constituent elements shall be charged to the appro-
priate accounts as designated in tlic following definitions of accounts for fixed
capital. If the actual money value of the consideration given was not in
excess of such appraised value, such actual money value sliall be distributed
through the said accounts in proportion to the said appraised value of the
constituent elements appropriate to the respective accounts. Full report of
the contract of acquisition, the consideration given therefor, the determina-
tion of the actual money value of such consideration, the appraisal, and the
amounts charged to the respective accounts for each plant or other such fi.xed
capital purchased, will be required to be made to the Public Service Commis-
sion, and the purchaser will be required to procure in connection with the
acquisition of any such plant or other fixed capital all existing records, memo-
randa, and accounts in the posst^ssion or control of the grantor relating to
the construction and improvement of sut-h plant, and to preserve such records,
memoranda, and accounts until authorized by law to destroy or otherwi84
dispose of them.
Accounts fob Electrical Corporations 9
24. Definitions of Fixed Capital accounts. — In the following definitions of
accounts the letters and numbers prefixed to the titles are inserted solely for
convenience of reference and are no part of the titles or of the definitions:
ElOO. Fixed Capital, December 31, 1908.
Charge to this account all the Fixed Capital of the accounting person or
corporation devoted to electric operations as such capital stood at' the
close of December 31, 1908. Such charges shall be made at the figures at
which such capital was carried on the books of the said person or corporation
on that date. When any capital included in such account is retired from
service, the amount at which it is charged therein shall be credited to this
account; the amount of depreciation or other amortization thereon appli-
cable to the period subsequent to December 31, 1908, shall be charged to
account No. 374, "Accrued Amortization of Capital," proper account shall be
taken of any salvage, and the remainder of the amount originally charged
to capital shall be concurrently charged to the Corporate Surplus or Deficit
account (or equivalent account carried on the books on December 31, 1908),
unless there was carried on the books at that date a reserve to cover retire-
ment of capital from service, in which case the said concurrent charge shall
be made to such retirement reserve account. If the amount at which the said
capital in service on December 31, 1908, and subsequently retired from service,
was included in the said account is not disclosed on the books and records
of the accounting person or corporation and is not within the knowledge of
such person or corporation or officers or other employees thereof, it shall be
estimated, and such estimated amount shall be treated as is above directed for
the actual amount, the fact of estimation being stated in the entry.
Note. — Corporations will be required to carry as sub-accounts of the account
" Fixed Capital, December 31, 1908," the several accounts on their hooks on that
date which are combined to make up the said account, and to furnish information
concerning such sub-accounts in their annual reports.
The following capital accounts are prescribed for transactions subsequent
to December 31, 1908:
EllO. Land Devoted to Electric Operations.
Charge to this account the cost of the accounting corporation's landed
capital which is devoted to electric operations as hereinbefore defined. This
includes land occupied by generating stations and their appurtenances, rigl/ts
of way for transmission and distribution lines and other electric operations;
also those for canal and pipe lines, water rights, and rights of pondage, flow-
age, and submersion, where such rights have lives in excess of one year from
the date when such land is placed in service. Such cost includes, when
assumed or paid by the purchaser in its own behalf, cost of registration of
title, cost of examination of title, conveyancer's and notary's fees, purchasing
agent's commissions or fees, or proportion of purchasing agent's salary, taxes
accrued to date of transfer of title, and all liens upon the title acquired;
also costs of obtaining consents and payments for abutting damages.
Note A. — Cost of buildings and other improvements must not be included in this
account.
Note B. — If at the time of acquisition of an Interest in lands It extends to
buildings or other Improvements thereon, which improvements are devoted by the
corporation to its electric operations, and the contract of acquisition does not de-
termine the price of such improvements, they shall be appraised at their fair cash
value for use in such operations, and such appraised value shall be charged to the
10 Public Service Commission, Second Distkict
appropriate structures account, and excluded from the account " Land Devoted to
i:i»*ctiic Operations ". If such Improvements are not devoted to electric opcratlono
l>ut are devoted to other operations or held as Investments, the cost (or appraised
value If the cost is not determined In the contract of acquisition) shall be charged
to the appropriate investment account or capital account for other operations. If
the improvements are removed or wrecked, the salvage (less the cost of removal
or wreckage) shall be excluded from the account " Land Devoted to Electric Opera-
tions ". The entries in this account must be made In such wise as to enable th»»
corporation to show in its annual report to the Public Service Commission the
subdivision of the cost of its land devoted to electric operations Into the following.
Land Occupied by Generating Stations.
Land Occupied by Outside Substations.
Water Rights.
Other Land Devoted to Electric Operations.
101. Okoanization.
Charge to this account all fees paid to governments for the privilege of
incorporation, and all office and other expenditure incident to organizing the
corporation or other enterprise and putting it in readiness to do business.
This includes cost of preparing and distributing prospectuses, cost of solicit-
ing subscriptions for stock (but not for loans nor for the purchase of bonds
or otlier evidence of indebtedness), cash fees paid to promoters, and the actual
cash value at the time of organization of securities paid to promoters for their
services in organizing the enterprise, counsel fees, cost of preparing and issu-
ing certificates of stock, and cost of procuring certificates of necessity from
state authorities, and other like costs. Like costs incident to preparing and
filing certificates of authorization of increase of capital stock, and to the
negotiation and issue of stock thereunder, shall be classed as additions. Cost
of preparing and filing certificates of amendment of articles of incorporation
shall be classed as a betterment. Cost of preparing and filing papers in con-
nection with the extension of the term of incorporation or with reincorporation
consequent upon reorganization sliall be classed as a renewal. This account
sliall not include any discounts upon stocks or other securities i.ssued, nor
sliall it include any costs incident to negotiating loans or selling bonds or
other evidence of indebtedness.
E102. Fbanciiises (Electric).
To this account shall be charged "the amount (exclusive of any tax or an-
nua/ charge) actually paid to the State or to a political subdivision thereof
as the consideration for the grant of such franchise or riglit " (section C9
of tiie Public Service Commissions Law) as is necessary to the conduct of
the corporation's electric operations. If any such franchise is acquired
by mesne assignment, the ciiarge to this account in respect thereof must
not exceed the amount actually paid therefor by the corporation to its as
signor, nor shall it exceed the amount specified in the statute above quotetl.
Any excess of the amount actually paid by the corporation over the amount
specified in the statute shall be cliarged to the account " Other Intangibl.-
Electric Capital ". If any such franchise has a life of not more than one year
after the date when it is placed in service, it shall not be charged to thif. ac-
count but to the appropriate accounts in " Operating Expenses," and in " Pre-
payments " if extending beyond the fiscal year.
Payments made to the State or to some subdivision thereof as a considera-
tion for granting an extension for more than one year of the life period of it
franchise shall be classed as renewals. Those made as a consideration for
Accounts for Ei.ectuical Coi:i'01{ations 11
franchises or extensions thereof covering adrlitioiial territory to be operate^!
as a part of an existing system shall be classed as betterments. If the fran-
chises cover separate and distinct new enterprises, the payments therefor snail
be classed as original.
Note. — Annual or more frequent paj-ments in respect of franchises must not be
charged to this account but to the appropriate tax or operating expense account.
E103. Patent-rights (Electric).
Charge to this account the cost of all rights (having a life of more than
one year from the date when placed in service) acquired by the corporation
in or under valid patents granted by the United States to inventors for in-
ventions and discoveries which are necessary to the economical conduct of the
corporation's electric operations. If any such right is extended to cover a
further period of time than that covered by the original grant, the cost of
such extension shall be classed as a renewal. A patent-right acquired for usu
in an existing system and necessary to the economical operation thereof shall
be classed as an addition.
El 04. Other Intangible Electric Capital.
Charge to this account the cost of all other property coming within the
definition of intangible capital and devoted to electric operations. All entries
of charges to this account shall describe the acquired property with sufficient
particularity clearly to identify it, and shall also show specifically the
j)rincipal from whom acquired and all agents representing such principal in
the transaction; also th3 term of life of such property, estimated if not
known, and if estimated, the facts upon which the estimate is based.
E121. General Structures.
Charge to this account the cost of all buildings and other structures of a
permanent character devoted to general corporate purposes, not restricted
to electric operations and not includible in any of the departmental accounts;
also of all fixtures permanently attached thereto and made a part thereof,
such as water pipes and fixtures, steam pipes and fixtures for warming and
ventilating, gas pipes and fixtures for lighting, etc., electric wiring and fix-
tures for lighting, signaling, etc.; elevators, etc., and the engines and motors
specially provided for operating them; furnaces, boilers, etc., specially pro-
vided for producing steam for such engines and for heating ; electric gen-
erators specially provided for producing current for lighting such buildings,
etc. This account includes such piers and other foundations for machinery
and apparatus as are designed to be as permanent as the buildings in (or in
connection with) which they are constructed, and to outlast the first ma-
chinery or apparatus mounted thereon.
Note A. — Among such l)uildings may be mentioned general office buildings, gen-
eral shop buildings, general storehouses, general stable buildings, etc. AVliere
general offices, shops, storehouses, stables, etc., are in buildings includible i:i «
departmental account, as e. g., in a power station building, no part of the cost of
such building shall be charged to this account. This account is provided for struc-
tures of a general or miscellaneous character not assignable to any particular
department.
Note B. — When furnaces and boilers are used primarily for furnishing steam
for some particular department and only incidontaily for furnishing steam for
heating a general building and operating the equipment therein, the entire cost of
such furnaces and boilers shall be charged to the appropriate departmental capital
account, and no part to the account " General Structures ".
12 Public Service Commission, Second District
Note C. — The cost of specially provided foundations, not expected to outlast
the machinery or apparatus mounted thereon, should be charged to the same
account as is the cost of the machinery or apparatus for which they are
provided.
E122. General Equipment.
Charge to this accoimt the cost of all equipment of general structures, as
provided under the following heads:
a. General Office Equipment : This includes the cost of all equipment of
general offices, such as desks, chairs, tables, movable safes, filing cases, drafting
room equipment, and other like ollice appliances and equipment; also engi-
neering instruments.
b. (jleneral Shop Equipment: This includes the cost of all equipment
specially provided for general sliops, such as furnaces, boilers, gas producers,
engines, electric generators, and other power apparatus used in operating
machinery in such shops; machine tools, cianes, hoists, shafting, belts, and
the like shop equipment; also such smithing equipment in general shops aa is
used principally for other general purposes than shoeing horses and repairing
vehicles.
NoTK. — Hand and other small portable tools liable to be lost or stolen shall not
be included herein, but portable tools and apparatus of special value may be
charged to this account and remain herein so long as record is kept of the person*
to whom such tools and apparatus are issued and such persons are made respon-
sible therefor.
c. General Store Equipment: This includes the cost of all equipment of
general store structures, such as movable counters, movable shelving and
other movable equipment of like nature, carts, barrows, trucks, etc., and other
apparatus and appliances used in handling materials and supplies.
Note. — Counters, shelving and the lilce which are permanently attached to the
structure shall be charged to account No. E121, "General Structures," and not to this
account.
d. General Stable Equipment : This includes the cost of all equipment of
general stables, including horses, harness, drays, wagons, automobiles and
other vehicles, equipment of shoeing sliops,. harness repair shops, vehicle re-
pair shops, etc.
E131. Dams, Canals, and Pipe Lines.
Charge to this account the cost of all dams, canals, aqueducts, and pipe
lines devoted to the utilization of water power and the delivery of the water
to the headgate of the turbine or water-wheel ; also that of all wasteways
from the outlet of the draft-tube to the point of final discharge. This in-
cludes all gates, valves, and other accessories of such dams ; also wasteways,
sluices, forebays, grids, walls, fences, etc., for the protection of such canals
and pipe lines, and all trestles and other supporting structures; also all
viaducts, bridges, foot-bridges, etc., over and accessory to or necessitated by
such canals, aqueducts, and pipe lines.
E132. PowEB Plant Buildings.
Charge to this account the coat of material used and labor expended in
erecting buildings to be used for housing power generating plants. This ac-
count includes cost of excavations, permanent foundations, drainage, gas and
water pipes and connections, grading grounds, and furniture and fi.Ktures
when permanently attached to and made a part of the building; also the
cost of architects' plans, and of auperintendence of construction.
Accounts fob Electeical Cokpokations 13
E141a. FuBNACEs, Boilees, and Accessories.
Charge to this account the cost of all furnaces, boilers, and boiler apparatus
and accessories devoted to the production of steam for use in generating
electric energy. This includes boilers and valves thereto attached, appurtenant
furnaces and grates, and flues leading to smokestacks and chimneys, and the
specially provided foundations and settings of such boilers and appurtenances;
also iron smokestacks. It also includes mechanical stokers and other like
apparatus for regulating the supply of fuel, etc., feed and hot water heaters
and economizers, injectors, filters, feed pumps, blower engines, coal conveyors,
ash conveyors, water pipes, steam traps, drains, and separators, and pipes for
conducting steam from the boiler to the engine or to the gas producers, ex-
haust pipes, etc. It does not include steam pipes whose primary purpose is
the heating of buildings.
E141b. Steam Engines.
Charge to this account the cost of all steam engines devoted to the produc-
tion of electric energy. This includes the specially provided foundations and
settings of such engines. The engine, whether reciprocating or rotary (such
as steam turbines), shall be considered to include the throttle or inlet valve
and the governor; also condensers, air and circulating pumps, lubricating
systems, etc., but not the steam pipe leading from the boiler, nor the exhaust
pipe. Where the electric rot(>r is mounted on the engine shaft, the shaft shall
be considered a part of the steam engine and the electric rotor thereon shall
be considered a part of the electric equipment.
E142. Turbines ani? Wateb-wheels.
Charge to this account the cost of all turbines and water-wheels devoted to
the conversion of water power into mechanical power for the production of
electric energy. This includes the specially provided foundations and settings
of such engines, also tlieir governors and all other appurtenant apparatus
attached thereto from and inclusive of the headgates and governors to (but
exclusive of) the wasteway. Where the electric rotor is mounted on (not
merely coupled to) the shaft of the hydraulic engine, the shaft shall be con-
sidered a part of the hydraulic engine and the electric rotor thereon shall be
considered a part of the electric equipment.
E143a. Gas Pboducers and Accessories.
Charge to this account the cost of producers and accessories devoted to the
production of gas for the purpose of operating electric generators, including
the cost of specially provided foundations and settings for such producers
and accessories. This account includes producers, economizers, regenerators,
vaporizers, steam injectors, scrubbers, exhauster outfits, seals, specially pro-
vided boilers and pumps, flues and piping, blower engines, pipes for the con-
duction of gas fiom such producers to holders and to gas engines, holders
for producer gas, exhaust pipes from gas engines, etc. It does not include
pipfes whose primary purpose' is the warming of buildings; nor does it in-
clude power transmission apparatus, or water pipes, steam pipes, water pumps,
or inspirators.
El 43b. Gas Engines.
Charge to this account the cost of all gas engines devoted to the produc-
tion of electric energy, including the specially provided foundations and set-
tings of such engines. The engine includes the inlet valve, governor, and
ignition and starting apparatus, but not the pipe leading from the gas holder,
14: Public Service Commission, Second District
nor the exhaust pipe. Where the electric rotor is mounted on the engine
shaft, the shaft shall be considered a part of the engine and the electric rotor
thereon shall be considered a part of the electric equipment.
El 44a. Electric Generators.
Charge to this account the cost of all electric generating apparatus driven
by engines operated by steam, water, or gas; and rotaries and motor generat-
ing sets, exciters, etc., when not installed in connection with transmission sys-
tems. This includes the specially provided foundations and settings of sucV.
apparatus. Where the electric rotor of such apparatus is mounted on the
sliaft of the steam, hydraulic, or gas engine, the rotor is to be included
Iierein, but not the shaft. Belts, countershafts, and other like interniipdiaries
between such engines and the generators are also to be excluded herefrom.
Note. — Regarding transmission and distribution, see the note to account No.
I01O3, "Transmission System". (See page 15.)
E144b. Accessory Electric Power Equipment.
Charge to this account the cost of all electric equipment of generating
stations not includible in the last foregoing account. This account includes
bus-bars, regulators, station switchboards and equipment, such as circuit-
breakers, switches, ammeters, voltmeters, wattmeters, and the like, and their
foundations and settings; also headgate motors, pump motors, air com-
pressor motors, etc., and special high-tension transmission equipment at
power stations, such as high-tension bus-bars, high-tension switchboards,
high-tension switches, high-tension current transformers, high-tension light-
ning arresters, high-tension potential transformers, high-tension reactive coils,
high-tension choke coils, high-tension grounding devices and resistances, high-
tension raising and lowering transformers, etc.
E145. Miscellaneous Power Plant Equipment.
Charge to this account the cost of all miscellaneous equipment at power
plants which is not includible in any of the foregoing accounts. This includes
such mechanical apparatus as belts, pulleys, hangers, countershafts, and otlier
apparatus intermediary between the prime mover and the electric generator,
cranes, hoists, etc., and machine tools and such other tools at power plantsi
as are proper to be capitalized, etc.
Note. — This account should not include any sub-station equipment.
E151. Sub-station Buildings.
Charge to this account the cost of material used and labor expended in
erecting buildings to be used for power sub-station purposes, including ex-
cavations, permanent foundations, drainage, gas and water pipes and connec-
tions, grading grounds, and furniture and fixtures when permanently attached
to and made a part of the building; also the cost of architects' plans, and of
superintendence of construction.
XoTE. — No charge should bo made to this account in respect of a power plant
building, even though such building also contnlns sub-station apparatus.
El 52. Sub-station Equipment.
Charge to this account the cost of all equipment of sub-stations. Such
equipment includes not only electric machinery and apparatus, including
storage batteries, in sub-stations, but also all other fiirniture and equipment,
such as furnaces, boilers, stoves, elevators, etc., permanently assigned to such
stations but not affixed to the structures thereof. It does not include labora-
tory instruments and apparatus not permanently assigned thereto, nor dues
it include tools only temporarily assigned to such stations.
Accounts for Electrical Cokfokatioj^s 15
E161. Poles and Fixtures.
Charge to this account the cost of towers, structures, poles, cross-arms. muI
insulator pins; braces, brackets, and other pole fixtures; gujs and oilier siij*
ports for holding the towers, structures, and poles in position; and all labor
expended in connection with the construction of pole lines or structures for
carrying the transmission and distribution systems.
E162. Undergboukd Conduits.
Charge to this account the cost of conduits required for underground wires
and cables, including manholes, ducts and pipes, sewer connections, sewer
traps, and all material necessary for the completion of the underground con-
duit system devoted to the protection of the transmission and distribution
systems.
E163. Transmission System.
Charge to this account the cost of the transmission system, including cables,
wires, insulators, and insulating material.
Note. — When the electric current generated (or received from another corpo-
ration) is conducted, eitlier at tlie voltage of generation (or receipt) or at a
higher voltage, to a point where it is (a) lowered in voltage by means of step-
down transformers, or changed as to kind or frequency by means of (b) motor
generator sets, (c) rotary converters, or (d) frequency changers, that portion of
the outside line or conductor system antecedent to the said stepdown transformers,
motor generator sets, rotary converters, or frequency changers, shall be classed as
the Transmission System ; except, however, that primary wiring in lighting systems
at not to exceed 4,400 volts, 4-wire, 3-p'.iase, shall be classed as a part of the
Distribution System. Tie-lines between generating stations and sub-stations shall
follow the same rule. Line transformei-s are not included among the " stepdown
transformers " above mentioned.
El 64. Distribution System.
Charge to this account the cost of all distribution main conductors and
feeders, including the cost (in place) of all cables, wires, insulators, and
insulating material.
This account shall be subdivided so as to show separately the following:
a. Overhead Distribution System;
b. Edison Tube ISystem, including the cost in place of all the Edison tube
system material, such as junction boxes, tubing material and conductors,
coupling boxes, etc.;
c. Other U nderyround Distribution System.
NoTH A. — The amounts charged to the subdivisions above stated will be required
to be separately reported in the annual reports of the corporation to the Public
Service Commission.
Note B. — For the distinction batween the transmission system and the distribu-
tion system, see the note to account No. E1G3, •' Transmission System ".
ElGo. Line TiJANSFOrmeus and Devices.
Charge to this account the cost of all line transformers (both overhead and
underground), pole, line lightning arresters, transformer cut-out boxes, line
cut-out switches, etc., in the distribution system.
NoTK. — Upon tiling with the Public Service Commission a notice thereof, the
accounting corporation may also include in this account the cost of line trans-
formers and devices temporaiUu withdrawn from service.
El 66. Electric Services.
Charge to this account the cost of all conductors (and appurtenant in-
sulation, ducts, and supports) connecting the distribution mains with electric
apparatus and appliiuces in the possession of consumers.
Note. — Cost of renewing or modifying services shall not be charged to this
account.
IG Public Service Commission, Second District
El 67a. Electric Meters.
Charge to this account the cost of meters used in determining the amount
of electric energy delivered to the several consumers to whom it is supplied.
Note A. — Cost of setting, removiag, or re-setting such meters shall not be charged
to this account.
Note B. — Upon filing with the Public Service Commission a notice thereof, the
accounting corporation may also include in this account the cost of consumers'
meters temporarily withdrawn from service.
El 67b. Elect«ic Meter Installation.
Charge to this account the cost of the first setting of meters for determining
the amount of electric energy delivered upon the premises of consumers, in
case it is the policy of the corporation to capitalize the cost of such setting.
Note A. — Cost of removing such meters and of setting other meters substituted
for them shall not be charged to this account but to account No. E533, " Setting and
Removing Meters and Transformers". (See page 41).
Note B. — This account must not Include at any time the cost of Installation of
a greater number of consumers' meters than are actually in service.
E171. Municipal Street Lighting System (Electric).
Charge to this account the cost (in place) of all property of the company
in poles, cross-arms, pins, braces, insulators, etc., arc circuits, lamps, and out-
fits and suspensions, specially provided for the municipal street lighting
system. Such cost includes cost of material, transportation, setting poles,
etc., and restoring the surface of the street to the condition required by the
municipality. This account does not include any part of the general dis-
tribution system, but only things in the utilization plant beyond the service
and devoted to the municipal service.
Note A. — Where the municipality requires for its special benefit the extension of
mains and services for street lighting, such extensions may, so long as used solely
for street lighting, be charged to this account, provided a full description of the
extensions so charged and the amounts charged in respect thereof be filed with
the Public Service Commission on or before the date when the entry thereof Is
made upon the books of the corporation.
Note B. — If the corporation uses in its street lighting system the same type
of arc lamps that it uses in its commercial lighting system, and uses them inter*
changeably, it will be permitted, upon filing with the Public Service Commission
a notice thereof, to charge the cost of all arc lamps in its street lighting system
to account No. EI72, " Commercial Arc Lamps ".
E172. Commercial Arc Lamps.
Charge to this account the cost of all property of the company in commer-
cial arc lamps supplied to consumers (including municipal buildings) where
such lamps have an expectancy of life in service of more than one year.
Note A. — Meters supplied to consumers are provided for in a foregoing account
and should not be Included herein.
Note B. — Upon filing with the Public Service Commission a notice thereof, the
accounting corporation mny also include in this account the cost of arc lamps
temporarUy withdrawn from service.
E173. Glower Lamps.
Charge to this account the cost of all property of the company in electric
glower lamps supplied to -consumers (including municipal buildings) where
such lamps have an expectancy of life in service of more than one year.
Note A. — Meters supplied to consumers are provided for In a foregoing account
and should not be Included herein.
Note B.— This account is restricted to long-life Incandescent, or glower lampi
such as the Nerust. and does not Include the ordinary carbon filamont Incandesceut
tampa. Short-life incandescent lamps (i. e., those having aa expectancy of life of
ACCOUKTS FOK ELECTltiCAL CoKPOBATIONS 17
not more than one year) shall be charged to the appropriate operating expense
account when issued for use, and prior to that time they shall be carried iu the
appropriate •'Materials and Supplies" account.
Note C. — L'pon filing with the Public Service Commission a notice thereof, the
accounting corporation may also include in this account the cost of long-life in-
candescent lamps temporarily withdrawn from service.
E174. Electric Motoes and Heaters.
Charge to this account the cost of all property of the company in electric
motors and heaters leased to consumers (including municipalities), and of all
appurtenances thereof, such as fans, etc.
NoTi:. — Upon filing with the Public Service Commission a notice thereof, the ac-
counting corporation may also Include in this account the cost of electric motors
and heaters temporarily withdrawn from service.
E175. Electric Tools and Implements.
Charge to this account the cost of all tools and implements coming within
the scope of the definition (see note, page 5) of electric fixed capital and
not covsred by any of the foregoing equipment accounts,
E176. Electric Laroratory Equipment.
Charge to this account the cost of all testing apparatus and laboratory
equipment not elsewhere provided for.
Xdtk. — This account includes all electric testing apparatus and equipment in
laboratories. It does not include such instruments as are permanently assigned to
generating stations, sub-stations, and the like, such as station ammeters, volt-
meters, and wattmeters, etc.
E177. Other Tangible Electric Capital.
Charge to this account tlie cost of all tangible electric capital not elsewhere
provided for.
E281. Engineering and Superintendence.
Charge to this account all expenditures for services of engineers, drafts-
men, and superintendents employed on preliminary and construction work,
and all expenses incident to tlie work, when such disbursements can not be
assigned to specific construction.
Note. — When employees enumerated above are engaged m work not chargeable
to constriictlon, their pay and expenses shall be charged to the specific work on
which engaged.
E2S2. Law Expenditures During Construction.
Charge to this account general expenditures of the following nature, in-
curred in connection with the construction of an electric plant, namely: the
pay ond expenses of all counsel, solicitors, and attorneys, their clerks and
attendants, and expenses of their oflice5= ; printing briefs, legal forms, testi-
mony, reports, etc.; payments to arbitrators for the settlement of disputed
questions; costs of suit and payments of special fees, notarial fees, and witness
tees; and expenses connected with taking depositions; also all legal and court
expenses.
When any of the expenditures above enumerated can be charged directly to
the account for which incurred, they shall be so charged and not to this ac-
count. Expenditures in connection with the acquisition of the right of way
or other land shall be charged to account No. EllO, "Land Devoted to
Electric Operations ". Law expenditures in connection with the organization
of the corporation shall be charged to account No. 101, " Organization ".
E283. Injuries During Construction.
Charge to this account all expenditures incident to injuries to persons when
caused directly in connection with construction of electric plant and equip
18 Public Service Commission, Second Distkiot
ment ; proportion of salaries and expenses of physicians and surgeons ; nursing
and hospital attendance, medical and surgical supplies, artificial limbs, rail-
road and carnage fares for conveying injured persons and attendants; funeral
expenses (including payments to undertakers) ; proportion of pay and ex-
penses of claim adjusters and their clerks, and pay and expenses of employees
and others called in consultation in relation to the adjustment of claims
coming under this head; also witness fees and amount of final judgments.
E284. Taxes During Constbuction.
Charge to this account all taxes and assessments levied and paid on prop-
erty belonging to the corporation while under construction and before the
plant is opened for commercial operation, except special taxes assessed for
street and other improvements, such as grading, sewering, curbing, gutterin<;.
paving, sidewalks, etc., which shall be charged to the account to which the
property benefited is charged.
E285. Miscellaneous Construction Expenditures.
Charge to this account the salaries and expenses of executive and general
officers of an electric plant under construction; clerks in general offices en-
gaged on construction accounts or work; rent and repair of general offices
when rented, with the office expenses; insurance during construction; also all
construction and equipment items of a special and incidental nature which
can not properly bo charged to any other account in this classification.
Note A. — This account may include a suitable proportion of store expenses when
such expenses are not assignable to specific materials.
Note B. — This account shall not include any costs of organization, or any costs
or discounts connected with the issue and disposal of stocks, funded debt, or other
securities, and commercial paper.
E286. Interest During Construction.
Charge to this account the interest accrued upon all moneys (and credits
available upon demand) acquired for use in connection with the construction
and equipment of the property from the time of such acquisition until the
construction is ready for use. Interest receivable accrued upon such moneys
and credits shall be credited to this account. To this account shall also be
credited discounts realized through prompt payment of bills for materials
and supplies used in construction unless such discounts are credited to the
particular bills.
Olio. Land in Other Departments.
Charge to this account the cost of the corporation's interests in land
(exclusive of improvements thereon) devoted to operations other than electric
operations, gas operations, railroad operations, and street railroad operations.'
Such cost includes, when assumed or when paid by the purchaser in its own
behalf, cost of registration of title, cost of examination of title, conveyancer's
and notary's fees, purchasing agent's commissions or fees, or proportion of
purchasing agent's salary, taxes accrued to date of transfer of title, ai:d all
liens upon the title acquired. If at the time of acquisition of such interest
> Note. — Gas Capital, Railroad Capital, and Street Railroad Capital. — For
the accounts to which shall be charged the cost of capital devoted to gas operations,
see the Uniform System of Accounts for Gas Corporations ; for steam railroad
operations, see the Uniform System of Accounts for Expenditures for Uoad and
Equipment, etc., as established for Steam Railroad Corporations by the Public
Service Commission ; and for electric railroad and street railroad operations, set
the Uniform System of Accounts for Street Railroad Corporations.
Accounts for Electric ai. Corporations 19
in lands it extends to b*iildings or other improvements thereon, which im-
provements are devoted by tlie corporation to operations other than the four
classes above mentioned, and the contract of acquisition does not determine
the price of such improvements, they shall be appraised at their fair cash
value, and such appraised value shall be charged to tiie appropriate accounts
and excluded from the account " Land in Other Departments ". If such im-
provements ar"^ held as investments, the cost (or appraised value at time of
acquisition of title if the cost to the corporation is not determined in the
contract of acquisition) shall be charged to the appropriate investment ac-
count. If the improvements are removed or wrecked, the salvage (less the
cost of removal or wreckage) shall be excluded from the account " Land in
Other Departments ".
O102. Franchises in Other Departments.
Charge to this account "the amount (exclusive of any tax or annual
charge) actually paid to the State or to a political subdivision thereof as
the consideration for the grant of such franchise or right " as is necessary
to the conduct of the corporation's operations other than electric, gas, rail-
road, and street railroad.
O103. Patent-rights in Other Departments.
Charge to this account the cost of all rights (having a life of more than
one year from the date when placed in service) acquired by the corporation
in or under valid patents granted by the United States to inventors for in-
ventions and discoveries which are necessary to the economical conduct of
the corporation's operations other than electric, gas, railroad, and street rail-
road.
O104. Other Intangible Capital in Other Departments.
Charge to this account the cost of all property of the corporation coming
within the definition of intangible capital devoted to its operations other
than electric, gas, railroad, and street railroad, and not includible under
any of the foregoing accounts.
O120. Tangible Capital in Other Departments.
Charge to this account the cost of all property of the corporation coming
within the definition of tangible capital devoted to its operations other than
electric, gas, railroad, and street railroad.
25. Floating Capital divided into two groups. — Floating capital is divided
into two great groups, of which the first is herein called "Materials and Sup-
plies," and the second, " Current Assets ".
26. Definitions of Floating Capital accounts. — In the following definitions
the letters and figures prefixed to the titles of the accounts are no part of
the titles and are inserted merely for convenience of reference:
ElO. Materials and Supplies.
Charge to this account the cost (including transportation) of all materials
and supplies acquired by the corporation, regardless of whetiier the same
are intended to be consumed in constryction or in operation, or later to be
sold. Where discounts recovered through prompt payment are not credited
to the particular bills, the cost at which such materials and supplies shall
be charged shall be the invoice cost, and any discounts recovered throu<»h
prompt payment of bills for such materials and supplies shall be credited to
20 Public Seevice Commission, Second Distsict
account No. E28G, " Interest During Construction," or to account No. E852,
•' Undistributed Adjustments — Balance," according as such materials and
supplies are intended for construction or for operation.
The scrap value of things retired from service shall be charged to an appro-
priate sub-account in this account while such things remain the property of
the corporation. If such scrap value is not known and can not readily be
determined it shall be estimated, and errors in such estimates when deter-
mined shall be adjusted through the accounts involved if during the year in
whJch the estimates were made; if later, then through the " Corporate Surplus
or Deficit " account.
Inventories of materials and supplies shall be taken at least annually, and
any shortages or overages disclosed by such inventories shall be credited or
debited to this account and debited or credited to the operating expense ac-
count No. E852, "Undistributed Adjustments — Balance," in case thoy can
not be assigned to specific accounts. Shortages may, however, be chargetl
tlirectly to " Corporate Surplus or Deficit ". Where such materials and sup
plies have been used in construction, a suitable proportion of such shortage.*
or overages may be debited or credited to account No. E285, " Miscellaneous
Construction Expenditures ".
XoTK. — It is not required that the transportation element of cost shall be
iissiKDod with a greater degree of accuracy than to the nearest cent per unit of
iii.n ferial or supply. Where a single transportation Item covers a multitude of
tilings the portion of the expense not assigned to specific things should be charged
to the same account that store expenses are charged to.
1. Cash.
Charge to this account all money coming into the possession of the corpora-
tion and in which the corporation has the beneficial interest. This includes
coin of the United States, United States treasury notes, gold and silver cer-
tificates and greenbacks, and bank bills payable to bearer. Also charge to it
all bank credits, checks and drafts receivable, subject to satisfaction or .
transfer upon demand (whether payable to bearer or to order). Credit thi?
account with all cash ^disbursements of the corporation.
2. Bills Receivable. : .*
Charge to this account the cost of all bills receivable (except as below
provided) which are the property of the corporation and upon which solvent
concerns are liable or which are sufficiently secured to be considered good.
This account includes demand notes, drafts, etc., issued by others than banks,
and time notes, drafts, etc., by whomever issued. This account does not in-
clude investments (for which see page 21) ; nor does it include interest
coupons.
3. Accounts Receivable.
Charge to this account all amounts owing to the corporation upon ac-
counts with solvent concerns (other than banks) ; also the cost of all accounts
and claims upon which responsibility is acknowledged by solvent concerns or
which are sufficiently secured to be considered good, and of all judj^nientn
against solvent concerns where the judgment is not appealable or suspended
through appeal. This account does not include negotfables.
4. Intebest and Dividends Reckivable.
Whenever the income account is stated t!ie ap])ro|)riatc sub-.nccount therein
shall be credited, and this account shall be chmged witli all accrued but
Accounts fob Electrical Cokpoeations 21
not yet collected interest upon all commercial paper and accounts considered
collectible held by or for the benefit of the corporation; also all divideiuls
declared or guaranteed by solvent concerns but not yet collected, the right to
which is in the corporation.
5. Otheb Current Assets,
Charge to this account the cost of all current assets of the corporation which
are not includible under any of the last four foregoing accounts. By current
assets are meant only those things which are readily convertible into money
and which are held with the intent of being presently converted into money
and not as investments.
27. Investments defined. — By Investments, as here used, are meant all prop-
erties acquired not for use in present operations, but as a means of obtaining
or exercising control over other corporations, or for income to be derived
from them, or for a rise in value, or for devotion to future operations at a
time when it seems probable that they can not be so advantageously acquired
as at the time of actual acquisition. By hound investments are meant those
held subject to a lien of some character; by free investments are meant tnose
held free of all liens.
300. Investments.
The cost of the corporation's title to any property held as an investment
shall be charged to an account entitled " Investments ".
Note. — In the annual reports to be made to the Public Service Commission by
the corporations and other persons engaged in electric operations, investments,
whether bound or free, will be required to be classified with at least the following
detail :
Bound investments will be required to be divided into the three classes : " Mort-
gaged or Pledged Investments," " Contractual Fund Investments," and " Other
Bound Investments ". Each of these three classes, and the class " Fi'ee Invest-
ments," will be required to be subdivided into the following : Funded Debt of Con-
trolling Corporations. Funded Debt of Affiliated Corporations, Funded Debt of Con-
trolled Corporations, Stocks of Controlling Corporations, Stocks of Affiliated Cor-
porations, Stocks of Controlled Corporations, Advances to Controlled Corporations,
Funded Debt of Other Corporations, Stocks of Other Corporations, Land, Improve-
ments on Land, and Other Investments.
28. Special Deposits defined. — By Special Deposits, as here used, are meant
amounts of money and bank credits in the hands of fiscal and other agents of
the corporation for the payment of coupons, dividends, or other special
purposes. Credits at banks subject to check of the corporation or its agents
for general purposes, deposits at banks whether withdrawable at pleasure
or after a specified time, amounts of money in safety deposit vaults, etc., so
long as they are available for general purposes of the corporation, shall be
excluded herefrom.
311. Coupon Special Deposits.
Charge to this account all moneys and bank credits specially deposited in
the hands of fiscal agents or other agents of the corporation for the payment
of interest coupons when presented. Such coupons when paid from such
deposits shall be credited to this account and charged to the appropriate
matured interest account. Payments to trustees (or other agents) of the
holders of bonds or other securities of the interest accrued thereon which op-
erate under the terms of the securities (or of mortgages support in;^ such
securities) as a release of the paying corporation from further liability for
such interest shall not be charged to this account, but to the appropriate
" Interest Accrued " account.
22 Public Seevice Commission, Second Distbict
312. Dividend Special Deposits.
Charge to this account all moneys and bank credits specially deposited in
the hands of fiscal agents or other agents of the corporation for the payment
of dividends upon the corporation's stocks. Such dividends when paid from
such deposits shall be credited to this account and charged to the appropriate
dividend account.
313. Other Special Deposits.
Charge to this account all moneys and bank credits deposited in the hands
of fiscal agents or other agents of the corporation for other special purposes
than the payment of interest coupons and dividends. Charges to this account
shall specify the purpose for which the deposit is made. When such purposes
are satisfied this account shall be credited with the amount specially deposited
to provide such satisfaction.
29. Prepayments. — When pa3'ments for taxes, insurance, rents, and the like
are made in advance of the actual accrual thereof, the amount of the advance
payment shall be charged to the appropriate account in this group. As such
taxes, etc., accrue, the appropriate prepayment account shall be credited and
the appropriate expense or other income account shall be charged.
Note. — By the accrual of taxes, Insurance, rents, etc., is meant their accumula-
tion when considered as spread uniformly over the period to which they apply.
Thus, if the rent fixed by contract of lease for a certain property is $600 for a
calendar year, this accrues at the rate of $50 each month (unless it is desired to
base the accrual on days, when of course the varying lengths of the months would
require to be consioered), regardless of the actual times when the rent matures;
$50 should thus (if the rent has been prepaid) be credited each month to the
account " Prepaid Rents," and concurrently charged to the appropriate account
In the " Income " account. Similarly in the case of other prepayments.
321. Prepaid Taxes.
When taxes are paid in advance of their accrual, the amount prepaid shall
be charged to this account. As the taxes thus prepaid accrue, they shall be
credited at monthly intervals to this account and charged to the appropriate
taxes account. This account must not include any so called taxes, like water
taxes, drainage taxes, fire taxes, etc., which are payments for special benefits
received. Such payments for special benefits, where finally chargeable to
operating expenses, must, when prepaid, be charged to account No. 324, " Other
Prepayments ".
322. Prepaid Insurance.
When premiums on insurance policies are paid in advance of their accrual,
the amoimt prepaid (whether paid in cash or by the issue of notes or other
negotiable paper) shall be charged to this account. As such premiums accrue
they shall be credited at monthly intervals to this account and charged to the
appropriate expense account.
323. Prepaid Rents.
When rents are paid in advance of the enjoyment of the term, the amount
prepaid (whether paid in cash or by the issue of notes or other negotiable
paper) shall be charged to this account. As the term is consumed, this
account shall be credited at monthly intervals and the appropriate rent
account in the income account shall be charged.
324. Other Prepayments.
When prepayments are made for any other thing than taxes, insurance, and
rents, above provided for, such prepayments shall be charged to this account;
Accounts fob Electbical Cobpokations 23
and as the purpose of the prepayment is satisfied, proportionate amounts
shall be credited quarterly to this account and charged to the appropriate
• expense or income account.
30. Suspense. — When any expenditure is made, the appropriate disposition
of which is not yet determinable, or when any loss occurs which under the
rules of the Public Service Commission may be spread over a period of time,
or when any debit made for any other reason may be amortized through
charges made to expense or other income accounts at intervals over a period
of time, such expenditure, loss, or other debit shall, except as herein other-
wise directed, be charged to an appropriate account in this group of accounts.
Note. — Bj " amortization " of any charge or credit is meant its gradual ex-
tinction. Tiie word is broader than the word " depreciation," since the latter is
restricted ordinarily to taugible property. The word " depreciation " also imports
more of the idea of fluctuating value and is complicated somewhat with the question
of cost of replacement at market prices. Because it is considered unnecessary in
connection with the gradual consumption or expiration of life of capital to con-
sider the question of cost of replacement until the replacement is actually made, at
which time the cost of replacement is duly charged to the appropriate account,
and because provision is necessary for the gradual extinction of certain charges
(such as those for some Itlnds of capital, those for extraordinary casualties, for
discount ou debt, etc.), to which the term "depreciation" does not well apply, it
is considered advisable to use the term " amortization " in connection with the
extinction of such charges, and of certain corresponding credits, such as premiums
on debt outstanding.
331. Unamortized Debt Discount and Expense.
When funded debt securities and other evidences of indebtedness are dis-
posed of for a consideration whose cash value is less than the sum of the par
value of the securities or other evidences of indebtedness and the interest
thereon accrued at the time the transfer takes place, the excess of such sum
of the par value and accrued interest over the cash value of the consideratioii
received shall be charged to this account. To this account shall also be
charged all expense connected with the issue and sale of evidences of debt,
such as fees for drafting mortgages and trust deeds, fees and taxes for record
ing mortgages and trust deeds, cost of engraving and printing bonds, certifi
cates of indebtedness, and other commercial paper having a life of more than
one year, fees paid trustees provided for in mortgages and trust deeds, fees
and commissions paid underwriters and brokers for marketing such evidences
of debt, and other like expense. At or before the close of each fiscal period
thereafter, a proportion of such discount and expense based upon the life of
the security to maturity shall be credited to this account and charged t<»
account No. 928, "Amortization of Debt Discount and Expense ". Such dis-
count and expense may, if desired, be amortized more rapidly through charges
of all or any part of it, either at the time of issue or later, .o the account
" Other Deductions from Surplus ".
332. Other Suspense.
To this account shall be made all debits not elsewhere provided for and
the proper final disposition of which is imcertain. This will include all such
matters as expense of preliminary surveys, plans, investigations, etc., made
for determining the feasibility of projects under contemplation. Should ajiy
such project later be carried to completion, such amounts shall be credited
to this account and charged to the proper capital account; should it be
abandoned, such amounts shall be charged to " Corporate Surplus or Deficit ".
24 Public Service Commission, Second District
When the proper disposition of any matter charged to this account is deter-
mined, it shall be credited to this account and charged to the appropriate
account.
31. Securities Actually Issued and Later Re-acquired, — For the case of
securities actually issued by the corporation and later re-acquired by it, the
following account is provided:
340. Re-acquired Securities.
When securities, whetlier funded debt or stocks, have been actually issue<!
to bona fide holders for value (or after such issue by another corporation
have been assumed by the accounting corporation), and after, such issue (or
assumption) have been acquired by the corporation under circumstances which
require that they shall not be treated as paid or retired, they shall be
charged at face values to this account.
32. Debt defined. — The word debt, as here used, covers all absolute obliga-
tions to pay money at a definite time or times, or at a time or times which
are capable of being made definite by demand or other act of the creditor
It does not cover contingent obligations, such as obligations to pay rent for
future enjoyment of the term, liabilities of indorsers upon paper not yet
defaulted, etc.
Debt is divided into Funded Debt and Unfunded Debt.
33. Funded Debt defined. — Funded Debt comprises all debt which by the
terms of its creation does not mature until more than one year after date of
creation.
34. Unfunded Debt defined. — Unfunded Debt comprises all debt which by
the terms of its creation matures one year or less after the date of creation
or after demand.
35. Funded Debt accounts. — Funded debt shall be divided in the accounts
into classes, such classes being determined by the four characteristics: (1)
mortgage or other lien or security therefor, (2) rate of interest, (3) interest
dates, and (4) date of maturity. A separate sub-account shall be raised
for eacli such class of funded debt, and no two amounts of debt not agreeing
in respect of all four of tlie characteristics above named sliall be included in
the same sub-account. The title of each sub-account of funded debt shall
express the four characteristics above stated, that is to say: mortgage or
other lien or security, rate of interest, dates of maturity of interest, and
date of maturity of principal; as e. g., " First Mortgage 5% QF 10, Aug. 10,
1028," which means funded debt secured by the company's first mortga'»e,
bearing interest at the rate of 5 per cent, per annum, interest maturing
quarterly on February 10th, May 10th, August 10th, and November 10th of
each year, principal maturing August 10, 1928.
Where any portion of the funded debt rests only on the general credit of
the corporation and is not specially secured or supported by lien of any
character, it shall for the purposes of these accounts be known as a " deben-
ture ". " Debentures " thus include promissory notes unsecured by mortga<»e
or other lien, also those securities commonly known as " plain bonds ".
To the appropriate sub-account in " Funded Debt " shall be credited when
issued the par value of the amount of evidences of funded indebtedness issued.
The entry shall show not only the amount issued but the purpose for wli*.ch
is^^ued, and shall make intelligible reference to the book, page, and accoiii.t
Accounts for Electeical Coepokations 25
whereon are shown any discounts or premiums realized on the amount issued.
If the consideration received for the issue is anything else than money, the
entry shall sjiow further the principal to whom issued, and shall describe
with sufficient particularity to identify it the actual consideration received
for the issue. If the issue in any case is to an agent of an undisclosed prin-
cipal, the name and business address of such agent and the fact of his agency
shall be shown in the entry.
36. Unfunded Debt accounts. — The accounts for unfunded debt are defined
as follows:
351. Taxes Accrued.
Credit to this account at the close of each month the taxes accrued during
the month, and make corresponding charges to the appropriate '" Taxes
account. Credits to the account " Taxes Accrued " will necessarily be based
upon estimate until the amount of tax levied for the tax period is known ;
such estimates shall be based upon the best data available, and as soon as
the amount of tax for the period is known the account involved shall be
adjusted to conform. When any tax is paid it shall be charged to tliia
account and credited to " Cash " or other suitable account.
352. Receiver's Certificates.
When any receiver acting under the orders of a competent court is in pos-
session of the property of the corporation and under the orders of such court
issues certificates of indebtedness chargeable upon such property, the par
value of such certificates shall be credited to this account. Interest accruing
upon such certificates shall also be credited monthly to this account.
353. Judgments Unpaid.
When any judgment of indebtedness is rendered by a court of competent
jurisdiction against the corporation, or any fine or penalty requiring the
payment of money is assessed by such a court against the corporation, and no
appeal accompanied by stay of execution has been taken therefrom within
the time allowed by law for such appeal, the amount of such judgment shall
be credited to this account, and the entry shall designate the action or suit
as a consequence of which such judgment is pronounced or such fine or penalty
assessed. The designation of the action or suit sliall show the court, the
term thereof, the parties, and the ciiaracter of the action or suit. Interest
accruing upon any such judgment shall be credited monthly to this account.
Note. — In case of appeal and afflrmance in whole or In part from which Judg-
ment of afflrmance a further appeal lies, the same rule shall apply as upon entry
of original judgment.
354. Interest AccrIjed.
Credit to this account at the close of each month the interest accrued
during the month upon indebtedness of the corporation. When sucli interest
is paid it shall be charged to this account and credited to " Cash " or other
suitable account.
The account " Interest Accrued " does not include interest on judgments,
nor that upon receiver's certificates. The interest accruing on any judgment
against tiie corporation or upon any receiver's certificate shall be credited
to the account to which such judgment or receiver's certificate stands credited.
Note. — When coupon Interest matures it should be transferred from the sub-
account •' Unmatured Coupon Interest Accrued " to the sub-account " Coupon In-
terest Matured", ^^'hcn such interest is paid out of coupon special deposits the
sub-account " Coupon Interest Matured " should be charged and the account
•• Coupon Special Deposits " credited.
26 Public Service Commission, Second Disteict
355. Dividends Declared.
When any dividend is declared it shall he credited to this account and
here remain until it is paid, when it shall be charged to this account and
credited to " Cash " or other suitable account.
356. Bills Payable.
When any note, draft, or other bill payable which matures not later than
one year after date of issue (or of demand) or assumption by the corporation
of primary liability thereon is issued or assumed, the par value thereof shall
be credited to tliis account, and when it is paid it shall be charged to this
account and credited to " Cash " or other suitable account.
E357a. Consumers' Deposits — Electric.
Credit to this account, as such deposits are made, all cash deposited with the
corporation by consumers as security for the payment of electric bills. De-
posits refunded shall be charged to this account and credited to " Cash ".
Deposits applicable to uncollectible or worthless electric bills shall, at the close
of the fiscal year (or earlier, at the option of the accounting corporation),
be credited to the account of the consumer involved and debited to this
account.
357b. Other Accounts Payable.
Credit to this account when incurred all liabilities of the corporation upon
open accounts, except those provided for in the foregoing account " Con-
sumers' Deposits ".
358. Other Unfunded Debt.
Credit to this account at face value all unfunded debt upon which the
corporation is liable and which is not elsewhere provided for.
37. Reserves. — ^Reserves shall be classified as Permanent and Temporary.
38. Permanent Reserves defined. — By Permanent Reserves are meant those
that must be maintained intact during the life of the corporation. Permanent
reserves shall be classified into the two classes: Premiums on Stocks, and
Other Permanent Reserves.
371. Premiums on Stocks.
Premiums on stocks shall be sub-classified with respect to the several classes
of stocks, for definitions of which see the accounts under the head " Stocks ".
A sub-account shall be kept for each particular class of stocks, and such
sub-accounts shall be severally entitled:
Premiums on Debenture Stocks,
Premiums on First Preferred Stocks,
Premiums on Second Preferred Stocks, etc., and
Premiums on Common Stocks.
When a premium is realized upon an issue of any particular class of stock,
such premium shall be credited to the sub-account above provided for such
class of stock, and such credit shall remain in such account so long as such
stock remains outstanding. By a premium realized (as the words are above
used) is meant the excess of the actual money value (at the time of issue
of the stock) of the consideration received for such issue over the par value
of the amount of stock issued. If the stock is issued by the corporation to
its treasurer or other agent, the excess of the actual money value of the
consideration obtained by such agent in exchange for such stock over the par
value thereof shall be considered the premium realized.
Accounts for Electrical Cori-okations 27
372. Other Permanent Reserves.
Credit to this account all reserves not above provided for created to remain
intact until the dissolution of the corporation. A separate sub-account shall
be created for each particular purpose for which a reserve is raised, and
the purpose of the reserve shall be designated in the title of the account
thereof and shall be expressed in full in the first entry in such account.
39. Temporary Reserves defined. — By Temporary Reserves are meant thosp
that are not intended to remain intact during the life of the corporation.
Temporary reserves shall be classified as Contractual Reserves and Xon-cov.-
tractual Reserves.
40. Contractual Reserves defined. — Contractual Reserves are reserves neces-
sitated by contracts of tlie corporation, as e. g., reserves to cover sinking
funds provided for in mortgages, etc. A separate sub-account shall be raised
for each particular contractual reserve, and to such account shall be credited
all appropriations and accumulations made in accordance with the contract
provisions under which such reserve is created. The purpose of the reserve
shall be designated in the title of the account thereof and shall be expressed
'IT,
in full in the first entry in such account.
41. Non-contractual Reserves defined. — Non-contractual Reserves are such
temporary reserves as are raised without being required under any contract.
Non-contractual reserves are divided into Required and Optional.
42. Required Reserve accounts. — Required reserves are provided for in the
following accounts:
374. Accrued Amortization of Capital.
Credit to this account such amounts as are charged from time to time t/O
" Operating Expenses," or other accounts to cover depreciation of plant and
equipment, and other amortization of capital. When any capital is retired
from service, the original money cost thereof (estimated if not known, and
where estimated, that fact and the facts upon which the estimate is based
shall be stated in the entry), lass salvage, shall (except as provided in
account No. ElOO, "Fixed Capital, December 31, 1908,") be charged to this
account. The amount originally entered or contained in the charges to any
capital account in respect of such capital so going out of service shall be
credited to such capital account, and any necessary adjusting entry made
to the appropriate sub-account under the account " Corporate Surplus or
Deficit ".
375. UnamortizEl- Premium on Debt.
When funded debt securities or other evidences of indebtedness are dis-
posed of for a consideration whose cash value is greater than the sum of the
par value of such securities or other evidences of indebtedness and the interest
thereon accrued at the time the transfer takes place, the excess of the casli
value of such consideration received over the sum of the par value of the
securities or other evidence of indebtedness and the accrued interest shall be
credited to this account. At monthly intervals thereafter a proportion of
such premium based upon the life of the security or other evidence of in-
debtedness to maturity shall be charged to this account and credited to
"Amortization of Premium on Debt" in "Income" account; or at the option
of the corporation the charge to this account may be delayed to a time not
later than the date of maturity of the debt, in which case the proportion ap-
28 Public Service Commission, Secoxd District
plicable to the period covered by the then current income account shnl! be
credited to the account "Amortization of Premium on Debt," and the re-
mainder of the credit shall be to the account " Other Additions to Surplus ".
376. Otheb Rfquired Reserves.
Credit to this account all required reserves not elsewhere provided for. The
first entry of a credit to this account with respect to any particular reserve
shall show the purpose of the reserve, and every subsequent entry with
respect to that reserve shall designate the reserve to which it relates.
43. Optional Reserve accounts. — Optional Reserves are those the creation of
whicli is solely within tlie discretion of the corporation. For such reserves
the following two accounts are provided:
381. CAsuAr.TiK.s A.\n Insurance Reserve.
When any admitted liability arises because of loss or damage to the prop-
ert}' of others, or of injuries to emi)loyees or other persons, the amount of
the liability may (if not previously provided for by insurance or self-insur-
ance) be charged to the appropriate operating expense or other accounts and
credited to this account, against which (in such case) the actual cost of satis-
faction of the liability shall be charged when the matter is determined. If
the extent of the liability can not be ascertajncd promptly after the lia-
bility arises, it may be estimated as accurately as practicable for the purpose
of determining the immediate charge to the expense or other appropriate
account, in which case the matter shall be adjusted when the extent of the
liability is definitely ascertained. If the loss is of such character that it is
in whole or in part indemnifiable under any contract of insurance carried by
the corporation, the indemnifiable portion of the loss shall be charged to the
insurer and credited to " Casualties and Insurance Reserve ". Also credit to
this account the amounts eliargerl to the operating expense account " Insur-
ance " to cover self-carried risks.
382. Other Optional Reserves.
A sub-account shall be raised for each particular reserve, and its title shall
designate the purpose of such reserve arid the first entry tlicrcin shall express
in full such purpose.
44. Stocks defined. — By Stocks of a corporation, as the term is here used,
are meant those securities which represent permanent interests in tiie corpora-
tion or interests which, if terminable, are so only at the option of the cor-
poration.
45. Stocks classified. — Stocks are classified as —
Debenture Stocks,
First Preferred Stocks,
Second Preferred Stocks, etc., and
Common Stocks.
46. Debenture Stocks defined. — Debenture Slocks are those issued under a
contract to pay absolutely thereon at specified intervals a specified return.
47. First Prcisrred Stocks defined. — First Preferred Stocks are those which
have the first claim upon such dividends as may Ik; distributed. They may be
cumulative or nonciimulative, participating or nonparticipating. If cumu-
lative, the amount by which the dividend at any dividend period fails to reach
the stipulated rate is carried forward to continue as a claim upon dividends
Accounts for Electrical Corporations 29
until satisfied; if noncumulatifc, such amount lapses. If a first preferred stock
is participating, it is not limited to the stipulated rate in the amount of divi-
dends which it may receive, but is entitled to participate, in accordance with
the terms of the contract under which it is issued, in further dividends; if
nonparticipating, it is limited to the stipulated rate.
48. Second Preferred Stocks defined. — Second Preferred Stocks are those
whose claims in the distribution of dividends are next after those of ih^t
preferred stocks. These stocks may also be cumulative or noncumulative, par-
ticipating or nonparticipating.
49. Common Stocks defined. — Common Stocks are those whose claims in the
distribution of dividends are subordinate to the claims of all other stocks.
50. Voting Powers. — iStocks differ also in regard to the voting powers inci-
dent to ownership of them.
51. Retirement of Stocks. — Stocks are sometimes issued under contracts
wherein the issuing corporation reserves to itself the right to retire them at
its option, either absolute or subject to conditions expressed in the contracts
whereunder the stocks are issued.
52. Separate account required for each class of stocks. — In the accounts of
stocks outstanding, a separate account shall be raised for each class of stock
issiied, and no two stocks shall be considered of the same class unless they
are equal in their interest or dividend rights, their voting rights, and the
conditions under which they may be retired. The characteristics of any class
of stocks in these three regards shall be designated in the title of the account
raised to cover such stocks and shall be clearly expressed in the first entry
in such account. To the account for any class of stocks shall be credited
when issued the par value of the amount of stock of that class issued. If
such issue is for money, that fact shall be stated; and if for any other con-
sideration than money, the person to whom issued shall be designated, and
the consideration for which issued shall be described with sulEcient par-
ticularity to identify it; if such issue is to the treasurer, or other agent of
the corporation, to be by him disposed of for the benefit of the corporation,
that fact and the name of such agent shall be shown; and such agent shai'
in his account of the disposition thereof show the like details concerning ihv
consideration realized thereon, which account when accepted by the corpo
ration shall be preserved as a corporate record. If the fair cash value ot
the consideration realized upon the issue of any amount of stock is greater
than the par value of such stock, the excess shall be credited to the account
"Premiums on Stocks," and corresponding reference thereto shall be con
tained in the entry relating to such stock in the stock account.
SCHEDULE B.
INCOME ACCOUNT.
1. Income and Indicant accounts compared. — A comparison of the balances
in the foregoing accounts (Schedule A) at any particular moment will, if the
accounts have been properly kept, show the then existing condition of a cor-
poration's affairs so far as such condition can be shown tiirough tlio accounts.
The group of accounts just defined is sometimes called the Balance Sheet or
Indicant accounts. Their balances indicate the condition of the corporation
at any particular time. These accounts with their subsidiary accounts are
all that are necessary prior to the time when the corporation becomes what
maj' be called a " going concern ".
When a corporation begins operations it requires an additional group of
accounts in which to classify in convenient form the accounting history of
the various changes it undergoe-^. Such group of accounts brings together
or accumulates the ?.ccount of the various incidents of the corporation's his-
tory. This group of accounts may be called the Income account. They are
made up usually on a yearly basis and are closed into one grand account
called " Corporate Surplus or Deficit," which ties together this group ot
accounts and the preceding group.
2. Divisions of Income account. — The principal divisions of this group of
accounts are the Revenue accounts, the Revenue Deduction accounts, the
Income Deduction accounts, and the Appropriation accounts.
3. Revenues defined. — By Revenues, as the word is used herein, are mean*
all amounts of money which the corporation receives or becomes lawfully en
titled to recover for services rendered, for products sold, as gross profits on
merchandise sold, or as a return upon its property (or interests in property).
Revenues are classified as Operating Revenues and Non-operating Revenues.
4. Operating Revenues defined. — Operating Revenues are those derived from
the sale of products and merchandise, from services rendered, and from return
on property used by the person or corporation in its own operations.
5. Non-operating Revenues defined. — 'Son-opera ling Revenues are those
derived as a return upon the property of the corporation in the hands of
others or from its interests in property in the hands of others. They may be
sub-classified as Rents, Interest, Dividends, and Miscellaneous.
6. Revenue Deductions defined. — Revenue Deductions include Expenses,
'J axes, and Uncollectible Bills.
7. Expenses defined. — Expenses are those outgoes (including capital con-
sumed) necessary to the production of the commodities sold and the servicoa
rendered, and to the collection of the revenues. Tiny arc divided into Opcrat
ing Expenses and \on-operaiing Expenses. Operating Expenses are those
incident to the operating revenues.
[30]
Accounts fob. Electkical Cokpokations 31
8. Taxes defined. — Taxes are those annual or other payments exacted by
governments for the purpose of raising funds for public uses.
9. Uncollectible Bills defined. — \\ lien a corporation is engaged regularly
in rendering to general consumers a service, or in supplying to such con-
sumers a commoditj' (as e. g., electric energy or gas for light, heat, or
power), current accounts or claims against such consumers for such service
rendered or commodity supplied which are incapable of collection by the exer-
cise of reasonable diligence are included under the name Uncollectible Bills.
xo. Gross Inccme, Income Deductions, and Net Corporate Income defined. —
llevenues, diminished by expenses, taxes, • and uncollectible bills, give an
amount called Gross Income, which is applicable to corporate and leased
properties. Gross income is subject to several compulsory deductions, mostly
contractual, like rent, interest, etc, and the remainder after these are made
is called Net Corporate Income, which being subject only to the discretion of
the corporation is most conveniently carried directly to the corporate sur-
plus. The accounts covering the compulsory deductions from gross income, as
above defined, are called tlie Income Deduction accounts.
11. Appropriation accounts defined. — The accounts covering the yearly
changes in the corporate surplus are called the Appropriation accounts, since
practically all of the matters covered by them are within the discretion of the
corporation, although they also include certain adjustments made because
of facts of previous years imperfectly accounted for at the time (whether
through error or througli lack of information), and certain other minor
matters like extraordinarj' expenses not chargeable as deductions from reve-
nues; also such matters as profits on the sale of capital, and profits and
losses on the sale of investments.
12. Definitions of Electric Operating Revenue accounts. — Credits to the
various revenue accounts siiall be made upon the basis of bills rendered or
of gross prices. Discounts for prompt payment, corrections of overcharges,
overcollections tlieretofore credited and afterward corrected, authorized abate-
ments and allowances, and other corrections and deductions shall be charged
to the revenue account to which they relate. In the following definitions of
accounts the letters and numbers prefixed to the titles are inserted solely for
convenience of reference and are no part of the titles or of the definitions:
401. Municipal Stbeet Lighting — Akc'
Credit to this account all revenues derived from lighting streets for munici-
pal corporations by means of arc lamps.
402. iluMCTPAL Street Lighting — Incandescent.
Credit to this account all revenues derived from lighting streets for munici-
pal corporations by means of incandescent electric lamps.
Note. — In the foregoing two accounts the word " streets " is to be interpreted
to Include parks, plazas, and all other public places not classified as buildings.
403. Lighting Municipal Buildings — Electric.
Credit to this account all revenues derived from lighting municipal build-
ings by means of electric lamps, and from electric energy supplied for such
* Charges to this and the following revenue accounts must be made in such wise
as to permit their classification In the annual report of the corporation to the
Public Service Commission.
32 Public Service Commission, Second District
purposes, or for heat or power in municipal buildings where such energy is
supplied at lighting rates and is not separately measured .
404. Municipal Heat and Power — Electric.
Credit to this account all revenues derived from municipal corporations for
electric energy supplied at special heat or power rates to such corporations
for the production of heat and power.
405. Miscellaneous Electric Revenue — Municipal.
Credit to this account all revenues derived from supplying electric energy
to municipal corporations and not provided for in the foregoing accounts;
also those from the letting of maters, motors, and other electric equipment
to such corporations.
406. Commercial Flat Rate Lighting.
Credit to this account all revenues derived from consumers other than
municipal corporations for electric lighting at flat rates per year, per month,
per night, per hour, or other time unit, or on any basis independent of the
quantity of energy supplied.
407. Commercial Flat Rate Poweb.
Credit to this account all revenues derived from all consumers, except
municipal, railroad, and other electrical corporations, for electric energy
supplied for heat or power at special flat rates per year, per month, per niglit,
per hour, or otlier time unit, or on any basis independent of the quantity of
energy supplied.
408. Commercial Metered Lighting.
Credit to this account all revenues derived from all consumers, except
municipal corporations, for measured electric energy supplied for electric
lighting where the total receipt is dependent on the quantity of energy
supplied.
XoTK. — Where electric energy flowins through any meter Is used by nny other
consumer than a municipal corporation foi- lioth arc and incandescent lighting, or
for arc and Incandescent lighting and incidentally for power purposes such as
running fans, sewing machines, etc., the revenues derived therefrom shall be credited
to this account
409. Commercial Metered Power.
Credit to this account all revenues derived from all consumers, except
municipal, railroad, and other electrical corporations, for measured electric
energy supplied for heat or power at special heat or power rates, where
the total receipt is dependent on the quantity of energy supplied.
410. Railroad Corporations.
Credit to this account all revenues derived from electric energy sold to
street and other railroad corporations for the propulsion of their cars, for
lunning their shops, and for other power, and for heating purposes. If such
energy is incidentally used for lighting also, but the portion used for lighting
is not separately measured, the revenue therefrom shall be included in this
account.
411. Other Electrical Corpoeations.
Credit to this account all revenues derived from electric energy sold to
other electrical corporations to be by them distributed over their own lines to
.consumers. If any portion of such energy is incidentally consumed by such
corporations for their own benefit, whether for light, beat, or power, it shall
AccoujJTS FOR Electrical Corporations '6'6
be included herein, if not separate!}^ measured, or if included under the sam*-
contract with that which is distributed by them to consumers,
421. Rent of Electric Meters.
Credit to this account all revenues derived from the letting of electrir
meters to others than municipal corporations.
422. Rent of Electric Appliances.
Credit to this account all revenues derived from the letting of elecir'r
motors, fans, heating appliances, batteries, lamps, and other electric appanitii-
and appliances (except meters) to others than municipal corporations.
Where the contract of letting names only a single consideration for both the
• letting and the maintenance of the appliances so let, the entire revenue shall
be included in this account.
423. Electric Merchandise and Jobi^ing Revenue.
Credit to this account all receipts from the sale of electric merchandise and
from electric jobbing. Charge to this account the cost to the accounting
corporation of electric merchandise sold, such cost including transportation
charges paid on such goods.
Credit also to this account the profit or commission accruing to the cor-
poration on all jobbing work performed by it as agent under agency contracts,
whereunder it undertakes to do jobbing work for another for a stipulated
profit or commission upon its actual expense for labor, materials, and supplies.
Note A. — In its annual reports to the Public Service Commission the reporting
corporation will be required to analyze the credits and debits to this account.
NoTF. B. — This account does not include receipts from the sale of superseded
equipment, or of junk or other scrap or salvage.
424. Sale of Byproducts.
Credit to this account all revenue derived from tho sale of ashes, cinders,
chemical waste, gas producer residuals, and other byproducts of electric
operations.
425. Joint Electric Rent Revenue.
When any corporation engages in electric operations for the production of
some of its product for the benefit of another or others under an arrangement
for apportioning the expense upon the basis of the relative amounts of benefit
to the several participants in the arrangement, if such arrangement provides
for the receipt by the corporation of any profit or return upon its property,
such profit or return upon property shall, as it accrues, be credited month
by month to this account. Such profit or return must be over and above any
provision for wear and tear and depreciation of plant involved in the said
production, and the amount thereof must be as provided in the arrangement
under which the joint production occurs.
426. Bbeak-down Service.
Credit to this account all revenues derived from the insurance of a supply
of electric energy to a stipulated amount to concerns ordinarily producing
their own or procuring it from sources other than the corporation acting as
insurer.
427. Other Miscellaneous Electric Revenue.
Credit to this account all revenues derived from others than municipal cor-
porations for the supply of electric energy and service and from other electric
operations not includible in any of the foregoing accounts,
2
34 Public Service Commission, Second District
13. Revenue from Outside Operations. — The detailed revenue accounts for
operations other thp.n the above mentioned will be provided for elsewhere.
14. Operating Expenses defined. — By the operating expenses of a corpora-
tion are meant such expenses as are necessary to the maintenance of the
corporate organization, the rendering of services required or authorized by
law, the sale of merchandise, the production (including herein capital con-
sumed) and disposition of the commodities produced, and to the collection
of the revenues therefor. Expenses directly incident to the collection of non-
operating revenues and the maintenance of the property from which non-
operating revenues are derived are excluded from operating expenses.
15. Definitions of certain terms used in connection with expense accounts. —
Except where some other meaning is clearly specified in the definitions of the
accounts, the following words, wherever used hereunder, have the meanings
below stated:
Cost means cash or money cost, and not price based on a terra of credit.
Labor means human services of whatever character.
Cost of labor includes wages, salaries, and fees paid to persons for their
services.
Cost of materials and supplies includes all specifically assignable transporta-
tion charges incurred in obtaining the delivery of such materials and sup-
plies upon tlie premises of the purchaser, and cost of any special tests made
thereon prior to their acceptance; and in case the accounting person or cor-
poration desires, it may include a suitable proportion of store expenses (when
the materials and supplies are passed through stores) and the cost of further
transportation to the place of consumption, and a suitable proportion of the
expenses of the purchasing department, in which case a corresponding credit
shall be made to the suitable expense account as hereinafter provided.
Cost of repairs, when made by the accounting person or corporation, includes
cost of labor expended and material consumed, less salvage, if any.
Note. — It is not required that tlie transportation element of cost shall be as-
signed with a greater degree of accuracy than to the nearest cent per unit of
material or supply. Where a single transportation item covers a multitude of
things the portion of the expense not assigned to specific things should be charged
to the same account that store expenses arc charged to.
16. Definitions of Electric Operating Expense accounts. — In the following
definitions of accounts the letters and numbers prefixed to the titles are
inserted solely for convenience of reference and are no part of the titles or
of the definitions:
GENERAL ACCOUNTS.
I. Production Expenses.
II. Transmission Expenses.
III. Electric Storage Expenses.
' IV. Distribution Expenses.
• • V. Utilization Expenses. • • • ••
••* • VI. Commercial Expenses.
VII. General and Miscellaneous Expenses.
I. PRODUCTION EXPENSES.
Note. — In case the accounting corporation operates two or more separate and
distlnrt plants • for the production of electric energy. It will he rpquiipd to keep
(with the detail herein prescribed) separate accounts covering producilon at the
Accounts foe Electeical Coeporations 35
several plants. In case the circumstances of any corporation make it impracticable
to allocate the cost of its station labor among the accounts below prescribed, it
should petition the Public Service Commission for permission to consolidate two or
more of them. Such application must set out in full the facts which in the judg-
ment of the petitioner make such allocation impracticable.
E501a. Station Supeeintendence and Care.
Charge to this account salaries and personal expenses of superintendents
and assistants, chemists, clerks, janitors, watchmen, elevatormen, and also
that portion of the salaries and expenses of the engineering staff assign-
able to the generating plant.
E501b. Boiler Labor.
Charge to this account the cost of labor in boiler room and elsewhere in
and about the premises having to do with making steam. This includes such
labor as that of fire room engineers and assistants, water tenders, firemen,
coal handlers, ash handlers, boiler cleaners, and feed-pump men.
E501c. Producer Labor.
Charge to this account the cost of all labor in and about the premises hav-
ing to do with the production of power gas.
E501d. Engine Labor.
Charge to this account the cost of labor on prime movers of all kinds.
This includes such labor as that of chief engineers and assistants, engineers,
oilers, wipers, and machinists.
E501e. Electric Labor.
Charge to this account the cost of all labor in connection with the electric
generating apparatus and devices, beginning with the generators direct con-
nected or belted to the prime movers, and including the switchboard, feeder
terminal board, and to where the electric current leaves the station for the
transmission or distribution system. This includes such labor as that of
system operators or load dispatchers; foreman over regulators, regulators,
and assistants; switchboard men, brushmen, wipers, and wiremen.
E502a. Fuel for Steam.
Charge to this account the cost of fuel, wliether coal or oil, used under the
boilers for electric generation, at the cost delivered in the bunkers or tanks;
also any special expense incurred in disposing of ashes.
Note. — No portion of the cost of boiler room labor shall be charged to this
account.
E502b. Fuel fob Producer Gas.
Charge to this account the cost of fuel used for generating producer gas.
E503a. Water for Steam Power and Gas.
Charge to this account the cost of feed water and of water for condensers;
also the cost of boiler compound. Water used for general station purposes is
not to be included. .....
E503b. Water for Hydraulic Power. "•"•
Charge to this account the cost of all water purchased for the purpose of
operating hydraulic power plants in the electric department.
E504. Lubricants for Power.
Charge to this account the cost of lubricants for machinery in the gener-
ating station; but not oil' for transformers, grease for wagons, or oil for
lanterns, • " •
36 Public JSekvice Commission', Skcon'd District
E505a. Pro:)ictiox Supplies.
Charge to this account the cost of all supplies, tools, etc., used in the
generating plant which are consumed in the operating process, the replace-
ment of which does not constitute a repair or renewal ; also tiie cost of
repairs of such tools. This includes such matters as waste, packing, wipers,
gauge glasses, gauge washers, manhole gaskets, handhole gaskets, lire room
tools, steam and air hose, bolts, screws, nails, tools, dynamo brushes, etc.
E505b. Station Expense.
Charge to this account the general and miscellaneous expenses in the
generating plant not specifically chargeable to other accounts, including such
matters as lighting, heating, and cleaning systems; fire protection system;
janitors' supplies; ice and water; telephone and toilet services at station;
and care of streets, yards, and sidings.
E507. Repairs of Power Plant Buildings.
Charge to this account the cost of repairs of buildings and structures used
for power station purposes ; cost of repairs of fixtures therein ; cost of main-
taining walks, drivewaj's, and grounds connected with such buildings; cost of
delivering material, including freight charges, if any; and all incidental
expenses connected with the maintenance of such buildings and structures.
The term " buildings and structures," in addition to embracing the build-
ings proper, shall be understood to include fixtures when immovable and
built in as a part of the structure; permanent foundations and piers; pipes
for gas, water, sewerage, and drainage; apparatus tor heating, lighting, and
ventilating; freight and passenger elevators with fixtures and appurtenances;
platforms; appliances for protecting buildings against fires; fences, walls,
sidewalks, and pavements within the limits of grounds immediately adjacent
to such buildings.
Note. — The cost of replacement of a building or structure, when In excess of
$100, shall be treated through the appropriate capital account ; when less than
$100, It may be charged directly to this account or a sub-account hereunder.
E508a. Repairs of Furnaces and Boilers.
Charge to this account the cost of repairing boilers and furnaces, including
specially provided foundations and settings, iron smokestacks, and such mat-
ters as brick work, bridge wall, arches, jambs, grate bars, stoker bars and
webs, furnaces, valves, superheaters, damper regulators, and tubes.
E508b. Repairs of Boiler Apparatus.
Charge to this account the cost of repairing feed water, coal and ash
handling systems, and auxiliary apparatus in the fire room; including such
matters as feed pumps, blower engines, coal conveyor, digger, trolley and
cable tower, crusher and belt links, brackets, wheels, chutes and gates; ash
conveyor cars, winches, motors, buckets, shaft, chain, and wheels; filters,
boiler compound injector and pump; heaters, primary and secondary; econo-
itsizers, and water meters.
E508c. Repairs of Steam Accessories.
Charge to this account the cost of repairing the piping system in connec-
tion with the making of steam and delivery thereof to the prime movers;
including such matters as water feed piping, cold main, hot main, water
auction, valves, joints, jackets, ash pit drains and ash pocket syphons, oil
drains from engine crank pits, receiving tanks, filter pumps to engine valve,
steam and exhaust line systems, sewer cotmectiooB, and air line.
Accounts foe Electrical, Cokporatioks o7
E509a. Repairs of Reciprocating Engines.
Charge to tnis account the cost of repairing reciprocating steam engines
used in tha power plant.
E509b. Repairs of Steam Turbines.
Charge to this account the cost of repairing steam turbines used in the power
plant.
EoO'Jc. Repairs of Other Steam Engine Equipment.
Charge to this account the cost of repairing apparatus auxiliary to the
prime movers, including such matters as condensers, packing tubes, renew-
ing tubes, heads and doors, and miscellaneous; and pumps, air and circu-
lating, wet vacuum, dry vacuum, and oil systems, but excluding the power
conveying apparatus.
E510a. Repairs of Dams, Canals, and Pipe Lines.
Charge to this account the cost of repairing hydraulic structures. Such
structures include dams, embankments, etc., for impounding water, and all
appurtenant gates, valves, weirs, wasteways, canals, conduits and other chan-
nels (including riprap, lining walls, etc.), pipe lines, aqueducts, and support-
ing trestles, etc., forebays and appurtenant sieves and grids, wasteways, etc.,
and all viaducts, bridges, foot-bridges, etc., over and accessory to or neces-
sitated by such canals, aqueducts, and pipe lines; also the wastewrys con-
ducting water from the outlet of the draft-tube to the point of final discharge.
EolOb. Repairs of Turbines and Wateb-wiieels.
Charge to this account the cost of repairing wheel-gates, turbines, and
other hydraulic apparatus from the inlet valve to and including the wheel
governor and to the outlet of the draft-tube.
Eolla. Repairs of Gas Producers and Accessories.
Charge to this account the cost of repairing apparatus devoted to the
generation of producer gas to be consumed in gas engines in the electric
generating station ; also the cost of repairing gas conductor and exhaust
pipes and other auxiliary gas power apparatus. This includes producers,
economizers, regenerators, vaporizers, steam injectors, scrubbers, exhauster
outfits, seals, specially provided boilers and pumps, flues and piping, blower
engines, holders', etc. Power conveying apparatus is not included herein.
Eollb. Repairs of Gas Engines.
Charge to this account the cost of repairing gas engines devoted to the
production of electric energy, including inlet valves, governors, and ignition
and starting apparatus.
E512a. Repairs of Electric Generators.
Charge to this account the cost of re])aiiing dynamos, alternators, and
other electric generating appaiatus driven by steam, water, or gas "power;
and rotaries and motor generating sets, exciters, etc., when not installed in
3onnection witii transmission systems.
E512b. Repairs of Accessory Electric Equipment.
Charge to this account the cost of repairing the electric generating appa-
ratus not includible in the foregoing account. This includes bus-bars, regu-
lators, station cables, station switchboards and equipment, such as circuit-
breakers, switches, anmieters, voltmeters, wattmeters, etc. (and their specially
provided foundations and settings), and the station terminal board; also head-
38 Public Seevice Commission, Second District
gate motors, pump motors, air compressor motors, etc., and special high-
tension transmission equipment at power stations, such as high-tension bus-
bars, high-tension switchboards, high-tension switches, high-tension current
transformers, high-tension lightning arresters, high-tension potential trans-
formers, high-tension reactive coils, high-tension choke coils, high-tension
grounding devices and resistances, high-tension raising and lowering trans-
formers, etc., but not wiring for lighting the station.
E513a. Repairs of Station Tools akp Jmpi-kments.
Charge to this account the cost of repairing station tools and implements
that have been capitalized (except fire tools, elsewhere provided for). Among
the principal items in this account are blacksmiths', machinists', and pipe
titters' tools, pump room tools, engine tools, and cutting tools.
E513b. Repaibs of Miscellaneous Station Equipment.
Charge to this account the cost of repairing station apparatus not in-
cludible in the foregoing repair accounts, particularly the power transmission
equipment, such as shafting, belting, and clutches; motors, hoists, and
cranes, etc.
E514. Steam from Other Sources.
Charge to this accoimt the cost of all purchased or jointly produced steam
consumed in the power plant of the electric department.
Note. — In case such steam is jointly produced, i. e., produced by another person
or corporation under a joint arrangement for sharing the cost of production In pro-
portion to the benefits to the several participants, the charge to this account may
include a proportion to cover depreciation of plant employed as well as the propor-
tion of direct expense, but It must not include any allowance or return upon the
cost or value of the plant. Such allowance or return upon property must be
charged to account No. 922f, " Other Rent Deductions ". (See page 53.)
E515. Power Gas from Other Sources.
Charge to this account the cost of all gas consumed in the gas power plants
of electric generating stations, but not produced in the electric department;
this includes the cost of gas produced for the corporation by another corpo-
ration under any joint arrangement for the sharing of expense (upon the
basis of the relative amounts of benefit to the several participants), in-
clusive of provision in such expense for depreciation of plant, but exclusive
of allowance for profit or return upon the value of property used in such
production.
E516. Electric Energy from Other Sources.
Charge to this account the cost, at the point of delivery to the corporation,
of all electric energy purchased or produced for the corporation by another
corporation under any joint arrangement for the sharing of expense (upon the
basis of the relative amounts of benefit to the several participants), inclusive
of provision in such expense for depreciation of plant, but exclusive of allow-
ance for profit or return upon the value of property used in such production.
II. TRAl^SMISSION EXPENSES.
E521a. Transmission Subway Rent.
Charge to this account the rents payable accruing for ducts leased from
other corporations or from a municipal corporation.
Note. — .In case the rented subway is used for distribution as well as for trans-
mission, the rent should be apportioned between this account and account No. E521b,
" Distribution Subway Rent ".
Accounts for Electrical Corporations 39
E522a. Transmission Pole and Fixture Eepaibs.
Charge to this account the cost of repairing and renewing poles, cross-arms,
and insulator pins; braces, brackets, and other pole fixtures; guys and other
supports for holding the poles, towers, and other structures in position; also
repairs of towers and other structures maintained primarily for supporting
the overhead transmission system.
This account does not include insulators.
Note A. — The cost of repairing and renewing poles and fixtures which carry both
transmission and distribution conductors should be apportioned between this ac-
count and account No. E522b, " Distribution Pole and Fixture Repairs ".
Note B. — The cost of replacement of towers and other structures maintained
primarily for supporting the overhead electric construction shall, when the in-
dividual costs of the same equal or exceed $100, be treated through the appropriate
capital accounts. When the Individual cost is less than $100, the replacement may
be charged directly to this account.
E523a. Transmission Underground Conduit Repairs.
Charge to this account the cost of patrolling and inspecting as well as
repairing transmission underground conduits, including renewing ducts and
pipes, enlarging and repairing manholes, re-paving streets over such structures,
etc. This account does not include any repairs of conductors or of the in-
sulation thereof.
Note. — The cost of maintaining underground conduits which carry both trans-
mission and distribution conductors should be apportioned between this account
and account No. E523b, " Distribution Underground Conduit Repairs ".
E524a. Overhead Transmission System Repairs.
Charge to this account the cost of repairing and maintaining overhead
trunk lines between generating and sub-stations, including patrolling and
testing, and all repairs.
Note A. — Tliis account does not include the cost of repairing poles and fixtures,
for which see account No. Eo22a, " Transmission Pole and Fixture Repairs ".
NoTK B. — When the electric current generated (or received from another corpo-
ration) Is conducted, either at the voltage of generation (or receipt) or at a
higher voltage, to a point where it is (a) lowered in voltage by means of step-
down transformers, or changed as to kind or frequency by means of (b) motor
generator sets, (c) rotary converters, or (d) frequency changers, that portion of
the outside line or conductor system antecedent to the said stepdown trans-
formers, motor generator sets, rotary converters, or frequency changers, shall
be classed as the Transmission System ; exo&pt, however, that primary wiring in
lighting systems at not to exceed 4,400 volts, 4-wire, 3-phase, shall be classed as
a part of the Distribution System. Tie-lines between generating stations and
sub-stations shall follow the same rule. Line transformers are not included
among the " stepdown transformers " above mentioned.
E524b. Underground Transmission System Repairs.
Charge to this account the cost of inspecting and repairing underground
transmission cables.
E525. Sub-station Labor.
Charge to this account the cost of all labor employed in superintending and
operating sub-stations, including not only that of regulators, brushmen, and
others engaged in operating the electric apparatus, but also that of clerks,
janitors, watchmen, etc.
E526. Sub-station Supplies and Expenses.
Charge to this account the cost of supplies consumed and expenses incurred
in connection with the operation of sub-stations, such as telephone rents, light,
heat, etc.
40 Public Service Commission, Second District
E527. Repairs of Sub-station Buildings.
Charge to this account the cost of repairing sub-station buildings and per-
manent fixtures therein, including grounds and adjacent streets, vaults, sheds,
pits, sidewalks, etc.
E528. Repairs of Sub-station Equipment.
Charge to this account the cost of repairing apparatus in sub-stations, in-
cluding sub-station cables, switchboards and instruments, station terminal
board, etc.
Note. — This account should not Include the cost of repairing any storage battery
equipment, for which see account No. E529d, " Repairs of Storage Battery
Accessories ".
III. ELECTRIC STORAGE EXPENSES.
Note. — In case any electrical corporation desires to keep fewer accounts cover-
ing its electric storage expenses, it will, untii otherwise ordered, be allowed to con-
solidate any two or more of the four accounts here prescribed. In such case, the
corporation must (before consolidating) file with the Public Service Commission a
notice of such consolidation, specifying the accounts to be consolidated. Such
notice must be in the form prescribed iu the order covering these accounts.
E529a. Storage Battery Labor.
Charge to this account the salaries and personal expenses of superintendent,
clerks, and batterymen, including inspectors and testers.
E529b. Storage Battery Supplies.
Charge to this account the cost of acid and distilled water in cells, soda,
sponges, brooms, mops, waste, rags, hj'drometers, thermometers, automatic
cell fillers, rubber hose, gloves, shoes, paint, etc., and brushes for boosters
and compensators.
E529c. Storage Battery Renewals.
Charge to this account the cost of renewing worn-out cells, including dia-
phragms, negative and positive plates, lead in strip, spelter, pails, candles, dry
boards, tank bands, sheet lead, glass plates, glass covers, hydrogen generators,
jumpers, clamps, lampblack, etc.
E529d. Repairs of Storage Battery Accessories.
Charge to this account the cost of repairing tanks, battery room floor,
switches, regulating apparatus, boosters, and compensators.
IV. DISTRIBUTION EXPENSES.
E531. Electric Distribution Superintendence.
Charge to this account the salaries and personal expenses of superintendents
and clerks, and also that portion of the salaries of the engineering staff
of the company which is assignable to distribution.
E532a. Electric Distribution Maps and Records.
Charge to this account the cost of maps and records of overhead and under-
ground lines, including salaries and personal expenses of mappers and drafts-
men, cost of drawing material, etc.
E532b. Electric Distribution Office Expense.
Charge to this account the cost of all other supplies and expenses of the
office of the superintendent of the distribution department.
Accounts for Electeical Corporations 41
E533. Setting and Removing Mj^teks and Transformers.
Charge to this account the cost of all supplies consumed and all expenses
incurred in connection with the operation of service transformers and coa-
Bumers' meters. This includes such matters as setting and removing such
transformers and meters, connecting and disconnecting services, and the like.
Note. — In case it is the policy of the accounting corporation to charge the cost
of the first setting of consumers' meters to capital, such charge should be made to
account No. E167b, " Electric Meter Installation ".
E521b. Distribution Sudway Rent.
Charge to this account the rents payable accruing for underground con-
duits used f«r distribution conductors.
Note. — In case the rented subway Is used for transmission as well as for dis-
tribution, the rent should be apportioned between this account and account No.
E521a, " Transmission Subway Rent ".
E522b. Distribution Pole and Fixture Repairs.
Charge to this account the coat of repairing and renewing poles, cros^-
arms, and insulator pins ; braces, brackets, and other pole fixtures ; guys and
other supports for holding the poles, towers, and other structures in position;
also repairs of towers and otiier slructtires maintained primarily for support-
ing the overhead distribution system.
This account does not include insulators.
Note A.^ Tlie cost of repairing poles and fixtures that carry both transmission
and distribution conductors should be apportioned between this account and account
No. E522a, " Transmission I'ole and Fixture Repairs ".
Note B.— The cost of replacement of towers and other structures maintained
primarily for supporting the overhead electric construction shall, when the indi-
vidual costs of the same equal or exceed $100, be treated through the appropriate
capital accounts. When the Individual cost is less than $100, the replacement
may be charged directly to this account.
E523b. Distribution Underground Conduit Repairs.
Charge to tins account the cost of maintaining subways and underground
conduits, including repairs of the tube, of manholes, of paving over such
subways and of all ducts and conduits, but not any repairs of conductors or
of the insulation thereof.
Note. — ^ The cost of maintaining (Including patrolling and inspecting) under-
ground conduits and subways which carry both transmission and distribution con-
ductors should be apportioned between this account and account No. E523a, " Trans-
mission Underground Conduit Uepairs ".
E534a. Overhead Distkiiiution System Repairs.
Charge to this account the cost of patrolling, testing, and repairing the
overhead conductors in the distribution system.
E534b. Edison Tube System Repairs.
Charge to this account the cost of inspecting, testing, and repairing tb«»
Edison tube system, including junction boxes, tubing and conductors, coupling
boxes, etc.
E534c. Other Underground Distribution System Repairs.
Charge to this account the salaries and expenses of patrolmen, testers, etc.,
as well as the cost of repairing damaged subway distribution conductors.
E535a. Repairs of Electric Services.
Charge to this accoiuit the cost of repairing underground and overhead
services leading from the mains to the consumers' premises.
42 Public Service Commission, Second District
E535b. Repairs of Tbansfobmers.
Charge to this account the cost of labor and mat'Crial consvimpd in main
taining transformers, including renewing oil, re-painting, re-winding, removal
and replacing; also repairs of such switches and cut-outs as are the property
of the corporation in consumers' premises.
E536a. Electric Meter Operation.
■Charge to this account the salaries and expenses of superintendents and
clerks in the meter bureau, and also that portion of the salaries of the
engineering staff of the corporation assignable to this account ; also the cost
of light, heat, ice, water, and other supplias and expenses in connection with
the meter-testing bureau; and the cost of testing meters on consumers'
premises or in meter shops.
E536b. Electric Meter Repairs.
Charge to thjs account the cost of repairing meters in the distribution
service, including new parts, new jewels, cleaning, and painting.
V. UTILIZATION EXPENSES.
541a. Commercial Arc Labor.
Charge to this account the cost of labor employed in trimming and in-
specting arc lamps on private consumers' premises and in municipal buildings.
541b. COMMKRCIAL ArC SUPPLIES.
Charge to this account the cost of all supplies (such as carbons, globes,
etc.) for arc lamps on private consumers' premises,
542. Commercial Arc Repairs.
Charge to this account the cost of keeping in repair private consumers' arc
lamps and those in municipal buildings; including such matters as setting
and removing lamps, repairing parts, changing for repairs and adjustment,
ajid testing during adjustment and after repairs.
543a. Commercial Incandescent Installation.
Charge to this account the cost of the first installation of incandescent
lamps on consumers' premises (including cartage and delivery expenses)
unless consumer is charged for the first installation, or unless it is proper
to charge such first installation to capital. (See account No. E173, page 16.)
543b. Commerci.vl Incandescent Renewals.
Charge to this account the cost of renewing incandescent lamps on con-
sumers' premises (including cartage and delivery expense) and cost of
photometer! ng incandescent lamps. Credit to this account any rebate re-
ceived for the return of stubs, or allowances relating thereto.
544a. Inspection of Consumers' Premises.
Charge to this account the cost of inspection of consumers' premises, includ-
ing such matters as the charge for municipal certificates, charge for Board
of Fire Underwriters' inspection certificates, and that portion of the salaries
and expenses of the engineering staff or of other departments than the dis-
tribution department engaged in technical work properly assignable to this
account,
544b. Repairs of Consumers' Installations.
Charge to this account the cost of all labor and material furnished to
consumers for inside work without special charge, including such matters a»
Accounts for Electrical Corporations 43
attention to complaints or to improving the character of service, replacinj? or
repairing wiring fixtures or electric appliances, moving appliances from
place to place in houses and re-connecting the same, etc.
545a. Municipal Street Arc Labor.
Charge to this account the cost of labor employed in trimming and in-
specting the arc lamps of the municipal street lighting system.
545b. Municipal Street Abo Supplies.
Charge to this account the cost of carbons, globes, etc., for the arc lamps
of the municipal street lighting system.
546. Municipal Street Arc Repairs.
Charge to this account the cost of changing location of lamp posts, chang-
ing lamps for repairs and adjustments, renewals, repairs of mast arms,
hangers, poles, ropes, etc., and painting poles; also that portion of the are
lamp shop expense assignable thereto.
547a. Municipal Street Incandescent Installation.
Charge to this account the cost of the first installation of incandescent
lamps in the municipal street lighting system, unless it is paid by the
municipal corporation, or the lamps are of such character that it is proper
to charge to capital. (See account No. E173, "'Glower Lamps," page 16.)
547b. Municipal Street Incandescent Renewals.
Charge to this account the cost of renewing incandescent lamps in the
municipal street lighting system.
548. Municipal Street Incandescent Repairs.
Charge to this account the cost of repairing municipal incandescent street
lamps and fixtures.
Note. — This does not include items chargeable to maintenance of poles and
their fixtures, oi" of subways, or conductors.
VI. COMMERCIAL EXPENSES.
E551. Commercial Administration — Electric.
Charge to this account the matters prescribed under the following heads:
a. Commercial Department Indexing: This covers the cost of indexing
meters, including indexers' lamps.
b. Commercial Department Collecting : This covers the expense of the col-
lection bureau, including collectors' salaries or commissions, badges, car
fares, and delivering bills.
c. Commercial Department Contracts : This covers such part of the cost
of the contract department as is not assignable to the Promotion Ofiioe, in-
cluding attention to bill questions.
d. Commercial Department Accounting: This covers the cost of keeping
the accounts of consumers, being a proportion of the salaries and expenses
of general officer and assistants in charge of the commercial department,
and salaries of bookkeepers and all clerks in the accounting department
having to do with consumers' accounts.
e. Commercial Department Miscellaneous: This covers all expenses in-
curred in selling electric power and products, in determining the amount
of such sales, in making collections, and in keeping account of such sales
44 Public Service Commission, Second District
and collections as are not includible in the accounts of the indexing, account-
ing, collection, and contract divisions, or in the following accounts for pro-
motion expenses.
E552. Pbomotion Office Expense — Electbio.
Charge to this account the matters prescribed under the following heads:
a. Promotion Management : This covers the cost of administration of
the department maintained for the promotion or development of electric con-
sumption, including that portion of the salaries and expenses of manage-
ment and clerks in agency and contract departments assignable to new
business.
b. Demonstrations : This covers the cost of labor and expenses incurred
in demonstrating the use of electric lamps and appliances for the purpose
of obtaining new business.
c. Other Promotion Office Expense: This covers the office expenses of the
promotion or new business department.
E553. Advertising — Electbic.
Charge to this account the matters prescribed under the following heads:
a. Advertising Salaries and Expenses: This covers the salaries and per-
sonal expenses of the advertising manager and clerks.
b. Advertising Sundries: This covers the cost of commercial advertising
sundries, including booklets, dodgers, newspaper advertisements, posters,
bulletins, and all related items.
E554. Canvassing and Soliciting — Electbic.
Charge to this account all expenses incurred in soliciting new business,
including wages, commissions, and personal expanses of canvassers, cost of
preparing estimates, engineering advice on wiring, etc., and office sundries
in connection therewith.
E555. Promotion Wibing and Devices.
Charge to this account the matters prescribed under the following heads:
a. Promotion Wiring: This covers the cost of wiring in consumers' prem-
ises furnished without special charge in order to induce new business.
b. Promotion Signs and Devices: This covers the cost of electric signs and
other devices (including delivery and connection charges, and expenses in
connection therewitli) supplied to consumers without special charge in order
to develop new business.
VII. GENERAL AND MISCELLANEOUS EXPENSES.
E833. Saijvries and Expenses of General Officers.
Charge to this account the salaries and traveling and incidental expenses
of tlie chairman of the board, president, vice-president, treasurer, secretary,
comptroller, general auditor, general manager, assistant general manager,
chief engineer, general superintendent, purchasing agent, and all other officers
whose jurisdiction extends to the entire system and whose services can not
be satisfactorily allocated to the several departments.
E834. Salaries and Expenses of General Office Clerks.
Charge to this account the salaries and traveling and incidental expenses
of general office auditors, bookkeepers, cashiers, paymasters, stenographers.
Accounts foe ELECxracAL Cokpokations 45
clerks employed in counting; cash, and all other clerks employed in the gen-
eral office.
NoTK. — Cost of labor of clerks in the commercial department shall be charged
to account No. E.5r>l, ''Commercial Administration — Electric". (See page 43.)
ES3.5. (JE^EKAL Office Supplies and Expenses.
Charge to this account the cost of office supplies, repairs of office furniture,
and renewals of suoh furniture as has not been capitalized; wages of jani-
tors, porters, and messengers; rent of rooms in office buildings, repairs of
such rented rooms, and all other miscellaneous expenses of general offices.
Office expenses of departmental officers must be charged to the proper depart-
mental accounts.
NoTK. — Rents charged to this account will be required to be reported separately.
E836. General Law Expenses.
Charge to this account all law expenses excejjt those incurred in the de-
fense and settlement of damage claims. This includes salaries and expenses
of all counsel, solicitors, and attorneys, their clerks and attendants, and
expenses of their offices; cost of law books, printing briefs, legal forms,
testimony, reports, etc.; fees and retainers for services of attorneys not regu-
lar employees; court costs and payments of special, notarial, and witness
fees not provided for elsewhere; expenses connected with taking depositions,
and all law and court expenses not provided for elsewhere.
Note. — Tlie compensation of the general solicitor or counsel or other attorneys
engaged partly in the defense or settlement of damage suits and partly in other
legal work, should be properly apportioned between this account and account
No. E847b, " Law Expenses Connected with Damages ".
E837. Miscellaneous General Expenses.
Charge to this account the cost of telephone service, telegrams, and other
miscellaneous expenses (including all expense specially incurred in connection
with the utilization and sale of byproducts, such as battery and other chem-
ical waste, etc.) connected with the general management not otherwise pro-
vided for.
E838. Insurance.
Charge to this account premiums paid to insurance companies for fire,
fidelity, boiler, casualty, burglar, and all other insurance; also amounts set
aside as an insurance reserve.
Note. — In their reports to the I'ublic Service Commission corporations will be re-
quired to report the charges made to this account for the various kinds of insur-
ance, and for self -insurance.
ES39a. Relief Department Expenses.
Charge to this account all salaries and e.xpenses incurred in connection
with conducting a relief department; also contributions made to such de-
partment.
E839^b. Pensions.
Charge to this account all pensions paid to retired employees, and expenses
in connection therewith.
E840. Electric Franchise Requirements.
Charge to this account the cost of all energy and materials and supplies
furnished to municipal corporations in compliance with franchise require-
ments and for which no payment is received by the corporation; also of all
direct expense, such as paving and other like matters, incurred in compliance
with such requirements and for which no reimbursement is received by the
46 Public Service Commission, Second District
corporation. Amounts charged to this account for which there is no direct
mosey outlay shall be credited to the below provided account, Xo. E853,
"Duplicate Electric Charges — Cr." (See page 48.)
E842. General Amortization — Electric.
Charge to this account montli by month the amount estimated to be neces-
sary to cover such wear and tear and obsolescence and inadequacy as have
accrued during the month in the tangible electric capital of the corporation,
such portion of the life of intangible fixed capital as has expired or been
consumed during the month, and the amount estimated to be necessary to
provide a reserve to cover the cost of property destroyed by extraordinary
casualties; less the amounts chargad for that month to the various repair
accounts in Electric Operating Expenses. The amount charged (or credited)
to this account shall be concurrently credited (or charged) to the reserve
account No. 374, "Accrued Amortization of Capital "'. (See page 27.)
Note A. — Until otherwise ordered, the " amount estimated to be necessary to
cover such wear and tear and obsolescence and inadequacy as have accrued dur-
ing " any month shall be based on a rule determined by the accounting corporation.
Such rule may be derived from a consideration of the said corporation's history
and experience during the preceding five years, and the accrual may be on the
basis of kilowatt-hours sold. Amortization of intangible capital shall likewise be
based on rule. Whatever may be its basis, such rules and a sworn statement of
the facts and expert opinions and estimates upon which they are based shall be
filed with the Public Service Commission on or before January 1, 1909; each
amendment of any such rule and a sworn statement of the facts and expert opinions
and estimates upon which such amendment is based shall be filed with the Public
Service Commission before it is used by the accounting corporation, and shall show
the date when it is to be effective. Such rules and statements shall be filed upon
sheets 9% inches by 12 inches and shall be entitled " Rule of the (here naming the
accounting corporation) concerning Amortization of Capital".
NoTK B. — When any capital is retired from service, the amount (estimated if
not known) originally charged to a capital account in respect thereof shall be
credited to such capital account, and (except as provided in account No. ElOO,
" Fixed Capital, December 31, 190S,") the original money cost of such capital, less
salvage, if any, shall be charged to the reserve account, "Accrued Amortization of
Capital," any necessary adjusting entry being made in the proper account under
'• Corporate Surplus or Deficit ". Where capital Is substantially continuous and
can not be satisfactorily Individualized, it shall be kept in efficient operating con-
dition through repair, and the renewals and replacements of parts thereof shall be
considered repairs. In the case of buildings, towers, bridges, trestles, and other
separate structures capable of l>eing readily individualized, charges to this account
must be sufficient to provide (In respect of such capital and except as provided in
account No. ElOO, " Fixed Capital, December 31, 1908,") in the account "Accrued
Amortization of Capital " by the time such structures go out of service a reserve
equal to the original money cost thereof, less salvage, to which account such
original cost, less salvage, shall be charged.
E845. Electric Expenses Transferred — Or.
Credit to this account the proportion of operating expenses (including
depreciation and other amortization as well as repairs) chargeable to other
coordinate departments (such as gas or street railroad) within the same
corporation, but defrayed in the first instance by the electric department.
NoTK. — Do not credit to this account any allowance in the nature of rent or
return upon the cost or value of property.
E84G. Joint Operating Expense — Cr.
When any plant or equipment is maintained or operated by the accounting
corporation for the joint benefit of itself and others under an arrangement
Accounts foe Electbicai. Coepoeations 47
for apportioning (on the basis of the relative amounts of benefit to the
several participants) the operating expenses, the portion of such expenses
chargeable to others under the arrangement shall be credited to this account.
The portion so credited must not include any allowance for profit or return
upon the value of such property.
Note A. — The foregoing should be read in connection with the definition of
revenue account No. 425, "Joint Electric Rent Uevenue ". (See page 33.)
Note B. — In the case of the production of power part of which is transferred
to another, If the arrangement under which such production occurs does not provide
for the apportionment of expenses, the entire amount charged for the portion sup-
plied is to be ci'edited to the appropriate revenue account covering the sale of
power. (See accounts Nos. 404, 407, 409, 410, and 411, page 32.)
E847a. Accidents and Damaok.s.
Charge to this account all expenses (other than law expenses provided for
in the succeeding account) on account of persons killed or injured and
property damaged in connection with the operation of the plant, as enumer-
ated under the following heads, which must be separately shown in annual
reports to the Public Service Commission:
a. Claim Department Expense: This head includes salaries and expenses
of claim agents, investigators, adjusters, and others engaged in the investi-
gation of accidents and adjustment of claims.
b. Medical Expenses: This head includes salaries, fees, and expenses of
surgeons and doctors; nursing, hospital attendance, medical and surgical
supplies; fees and expenses of coroners and undertakers; and contributions
to hospitals.
c. Injuries to Employees: This head includes amounts paid in settle-
ment of claims of employees for injuries arising in the course of their em-
ployment; also wages paid to disabled employees while off duty.
d. Other Personal Injuries and Property Damage: This head includes
amounts paid in settlement of claims of persons other than employees for
personal injuries sustained in connection with the operation of the plant;
also amounts paid in settlement of claims for damage to property not owned
by the accounting corporation.
e. Other Accident Expenses.
Note. — If It is desired that the charge to operating expenses on account of in-
juries and damages shall he upon some arbitrary basis, the amount so charged shall
be credited to account No. 381, " Casualties and Insurance Reserve," and the actual
disbursements above enumerated shall be charged against such reserve account.
E847b. Law Expenses Connected with Damages.
Charge to this account all law expenses in connection with the defense or
settlement of damage claims, including —
a. Salaries and Expenses of Attorneys: A proper proportion of the
salary and expenses of the general solicitor or counsel, and salaries, fees, and
expenses of attorneys engaged in this work.
b. Court Costs and Expenses: Fees of court stenographers, expenses con-
nected with taking depositions, and other court expenses.
c. Law Printing: Cost of law books, and cost of pr'nting briefs, court
records, and similar papeis.
Note A. — In their annual reports to the Public Service Commlssfoj corporations
will be required to classify the charges to this account under the thee heads,
(a), (b) and (c), above i;ivcn.
48 PcBLic Seuvice Commission, Second District
NoTK B. — The fomiK'Hsation of the g<'n(MMl sdlicitor or counsel and other attor-
neys engaffed partly in the defense or settlement of damase suits and partly In
other legal work should be properly apportioned between this aecount and account
No. E836, "General Law Expenses".
Note C. — If It is desired that the charge to operating expenses on account of
law expenses In connection with damages shall be upon some arbitrary basis, the
amount so charged shall be credited to account No. 381, " Casualties and Insurance
Reserve," and the actual disbursements above enumerated shall be charged against
such reserve account.
E848. Gk.nkral Stationery and Pbinting.
Charge to this account all expenses for stationery and printing, stationery
supplies, and postage, except as hereinafter provided:
The cost of printing briefs and other legal papers shall be charged to
account No. E8.3G, "General Law Expenses," or No. E847b, "Law Ex|)enses
Connected with Damages," in accordance with the purpose of the printing.
The cost of printing signs, posters, and other advertising matter shall be
charged to account No. E5o3, "Advertising — Electric".
The cost of such mechanical calculators, typewriters, duplicating machines,
and other ollice appliances as are not properlj' capitalized, shall, if for use in
general offices, be cluugi'd to account No. E835, " General Oflice Supplies and
Expenses"; or if for the use of departmental offices, to the proper depart-
mental accounts.
E850. Store ICxpenses.
Charge to this account all salaries and expenses in connection with store-
rooms, including cost of sending material and supplies from general store-
rooms to branch storerooms, and the collection of scrap material.'
E85L SxABLii Expenses.
Charge to this account the cost of feed, keep, and shoeing of horses, wages
of stablemen, hostlers, veterinary expenses, and all other expenses of stabling
horses; also the cost of repairing harness and vehicles.
Note. — The cost of horses purchased to replace others should be cha:y:cd to
account No. El 22, " General Equipment ".
E852. Undistributed Adjustments — Balance.
At least once a year an inventory of materials and supplies shall be taken,
and the diff'erence (in respect of any particular class of materials and sup-
plies) between the ledger and inventory balances debited or credited to thii
account in case it can not be a.ssigne<l to a specific account. Credit to this
account all discounts recovered through the prompt payment of bills for
materials and supplies consumed in operation, unless such discounts are
applied to the particular bills.
Note. — Where materials and supplies have been used In construction as well as
In operation, a suitable proportion of the shortages or overages disclosed by the
inventory may be debited or credited to account No. E285, " Miscellaneous Con-
struction Expenditures ".
E853. Duplicate Electric Charges — Cr.
Credit to this account all charges made to any accounts in electric operating
expenses in respect of any electric power or other product of electric opera-
tions of t^he corporation consumed therein.
17. Expenses of Outside Operations. — The detailed expense accounts for
other than ekctric optrations will be elsewhere provided for.
Accounts fok Electrical Coeporations 49
i8. Tax accounts. — An account shall be kept of the taxes chargeable against
each particular class of operations, and one for those chargeable against non-
operating revenues. Each tax account shall be appropriately entitled (as
f. g., " Taxes Assignable to Electric Operations," " Taxes Assignable to Nou-
operating Revenues," etc.), and shall be so kept as to show separately the
following:
State Franchise Tax on Capital IStock,
Slate Franchise Tax on Gross Earnings,
Special Franchise Tax,
Taxes on Land (exclusive of improvamenta).
Taxes on Improvements on Lands,
Taxes on Personal Property,
Other Taxes (showing in detail).
To each tax account there shall be charged monthly '"-he amount of taxes
accruing during the month, and such amount shall be concurrently credited
to the account " Taxes Accrued " ( or to the account " Prepaid Taxes," if such
tax is prepaid). The amount of taxes accruing during any month shall,
where the levy is unknown, be estimated as nearly as may be, and when the
levy is ascertained the matter shall be adjusted during the remainder of the
tax year. For example, if at the beginning of a tax year the taxes on a
particular class of property are estimated to be $600 for the year, the monthly
charge on account of such tax should be $50 until the amoupt of the lexy
becomes known. If during, say the tifth month, it is found that the levy
for the year is $640, there will already have been charged up four months at
$50 per month, leaving $440 to be charged during the remainder of the year,
or $55 for the fifth month and each month thereafter during the remainder of
the year.
, Such taxes as pertain to two or more classes of operations or to non-
operating revenues should be <ipportioned with regard to such operations and
non-operating revenues upon an equitable basis, which basis will be required
to be reported in the annual report of the corporation to the Public Service
Commission.
ig. Uncollectible Bills. — For uncollectible electric bills the following ac-
count is provided:
E870. L^NCOLLECTIBLE Electbic Biixs.
When, after a reasonably diligent effort to collect, any account stated for
electric energy sold has proved impracticable of collection, it shall be charged
to this account and credited to the account receivable in which theretofore
charged.
20. Definitions of Non-operating Revenue accounts. — In the following defini-
tions of accounts the letters and numbers prefixed to the titles are inserted
solely for convenience of reference and are no part, of the titles or. of the
definitions:
EDO la. Rent Accrued fbom Lease of Electric Plant.
Credit to this account monthly as they accrue all revenues flowing to the
corporation from its interests in electric plant or equipment held by others
under some form of lease whereby it surrender3 possession of such property.
This account contemplates that the taxes on property so held are payable by
the tenant in possession and charged by him to the appropriate tax account.
50 Public Service Commission, Second District
If itnder the contract of lease such taxes are payable by the lessor or its
assignee, such taxes shall be cliarged to this revenue account and not to any
of the lessor's tax accounts, nor to any of its expense accounts.
E901d. Miscellaneous Rent Revenues.
Credit to this account monthly as they accrue all miscellaneous rent reve-
nues flowing to the corporation as a return upon leased property other than
electric plant and equipment. Such revenues shall be cJassitied as follows:
Leasehold Reventies: That is to say, all revenues flowing to the corpora-
tion from its interests in property held by others under any lease the entire
term of which is greater than one year. This contemplates that the taxes
on property so held are payable by the teivant in possession and cliarged by
him to the appropriate tax account. If under the contract of lease such taxes
are payable by the lessor or its assignee, such taxes shall be charged to this
revenue account and not to any of tha lessor's tax accounts, nor to any of
its expense accounts.
Other Kent Revenues: That is to say, all revenues flowing to the corpora-
tion from its interests in property held by others under any lease or contract
for a term not to exceed one year from the beginning of the term, or held
at will or upon sufferance. This account contemplates that the taxes on prop-
erty of this character shall be paid by tJie landlord and charged to the ap-
propriate tax account. If under the contract covering the holding for terms
of one year or less, or at will, the taxes are to be paid by the tenant, the
amount of such taxes shall be credited month l^ month to this account a.-*
they accrue, and shall correspondingly be charged to the tax account covering
taxes on property of this character.
Entries in this account must be made in such wise as to show separately
the classes above indicated, which will be required to be stated separately in
the annual reports to the Public Service Commission.
E902. Intebest Re\enues.
Credit to this account monthly as it accrues all —
Interest from Bound Investments : That is to say, all interest accruing to
the corporation upon such of its interest-bearing free investments (as here-
inbefore defined) as are liabilities of solvent concerns and individuals.
Interest from Free Investments: That is to say, all interest accruing to
the corporation upon such of its interest-bearing free investments (as here-
inbefore defined) as are liabilities of solvent concerns and individuals.
Interest from Other Sources: That is to say, all interest accruing to the
corporation upon its interest-bearing current assets, special deposits, and all
ether assets not provided for under the two foregoing heads, where such
interest is a liability, actual or contingent, of solvent concerns and individuals.
Entries in this account must be made in such wise as to show separately
the classes above indicated, which will be required to be stated separately
in the annual reports to the Public Service Commission.
E903. Dividend Revenues.
Credit to this account at their cash value and as of the date when col-
lectible, all —
Dividends on Bound Investments: That is to say, all dividends declared
by solvent concerns upon stocks held by the corporation among its bound
investmenta.
Accounts fob Electrical Cokpokations 61
Dividends on Free Investments: That is to say, all dividends declared by
solvent concerns upon stocks held by the corporation among its free invest-
ments.
Entries in this account must be made in such wise as to show separately
the classes above indicated, which will be required to be stated separately iu
the annual reports to the Public Service Commission.
E904. Profits from Operations of Others.
Whenever, in accordance with the terms of any contract, the corporation
is entitled to participate in the profits resulting from the operations of others,
all revenues accruing to the corporation from such source shall be credited
to this account.
Note. — This account does not include any dividends on stocks. Such dividends
sliould be credited to account No. E903, " Dividend Revenues ".
E905. Miscellaneous Non-opebating Revenues.
To this account shall be credited all non-operating revenues accruing to the
corporation and not provided for in any of the foregoing accounts.
21. Definition of Non-operating Revenue Deductions account. — To an ac-
count entitled " Non-operating Revenue Deductions " shall be charged all mat-
ters provided for under the following sub-accounts:
o. Rent Expense: This sub-account includes all matters provided for under
the following two heads:
Leasehold Expense: That is to say, all expense arising in connection with
the procuring of revenues from leaseholds having terms greater than one year,
including the cost of negotiating contracts, advertising for tenants, fees paid
conveyancers, collector's commissions, cost of enforcing payment of rent, cost
of ousting tenants, etc., and all other expense arising in connection with such
leaseiiolds. This applies only to leases conveying the property out of the
possession of the corporation, and it includes the expense accruing while the
property is idle and awaiting an occupant. This head includes cost of maint*'-
nance of the property when such cost is borne by the corporation. Such
maintenance includes depreciation as well as reparable wear and tear. It
does not include taxes.
Other Kent Expense: This head is analogous to the preceding head " Lease-
hold Expense," and differs from that only in that this provides for expense in
connection with property let for a term of one year or less.
b. Interest Expense: This sub-account includes all expense arising in
connection with procuring interest upon investments, such as expense of col-
lection, expense of investigating delay in paj^ment, expense of enforcing pay-
ment, and the like. It does not include taxes on such investments.
c. Dividend Expense: This sub-account includes all expense arising in
connection with the collection of dividends on stocks of other corporations ;
a,lso all expense incurred in the investigation of the affairs of the corporations
whose stocks are held, whether for the purpose of detecting mismanagement
or for the purpose of inducing the declaration of dividends, and all expense
connected with enforcing payment of dividends when declared. It does not
include taxes on such investments.
d. Otiikrs' Operations Expense: This sub-account includes the cost of
neg«)Liating contracts whcreunder the corporation is to participate in profits
52 Public Service Commission, Second District
resulting from the operations of others; also all expense of collecting the cor-
poration's proportion of such profits, and all expense connected with procur-
ing the modification or the di--solution of any such contract.
e. Miscellaneous Non-opekating Expense-. This sub-account includes
all non-operating expense (as hereinbefore defined) which is not provided
for in the forgoing sub-accounts.
/. NoN-OPERATii\G TAXES: This sub-account includes all taxes accruing
upon non-operating property and all assignable to non-operating revenues.
g. Uncollectible Non-operatixg Revenues: When any non-operating
revenues are judged by the corporation to be uncollectible, the amount thereof
shall be credited to the accoimt in which theretofore charged, and charged
to the account " Non-operating Revenue Deductions " under the head of " Un-
collectible Non-operatiug Revenues ".
NoTK. — In annual reports of corporations to the Public^ Service Commission this
account will be required to be fully analyzed.
22. Income Deductions. — The sum total of the credit balances in the revenue
accounts for any particular operation at the close of a fiscal period gives
the gross revenue from that operation for that period. This gross revenue
diminished by the operating expenses, the taxes, and the uncollectible bills
assignable to such operation for the period, gives the income from that opera-
tion for the period. Similarly for the non-operating revenues, the non-operat-
ing expenses, and the non-operating taxes.
The aggregate of the incomes from the several operations and the non-
operating income is the gross income applicable to corporate and leased prop-
erties. As has before been said, the gross income is, in the usual case, subject
to various compulsory deductions, and these are hereinafter called Income
Deductions.
23. Definitions of Income Deductions accounts. — In the following definitions
the letters and numbers prefixed to the titles of the several accounts are
inserted solely for convenience of reference and are no part of the titles or
of the definitions:
921. Interest Deductions.
Charge to this account monthly (or as otherwise below directed) all mat-
ters provided for under the following five heads:
Absolute Interest Accrued on Funded Debt: This head includes all interest
accruing absolutely on the outstanding funded debt of the corjwration.
Contingent Interest Accrued on Funded Debt: This head includes when the
contingency occurs all interest accruing contingently on the outstanding funded
debt of the corporation. This includes such matters as interest on income
bonds.
Interest Accrued on Receiver'a Certificates: This head includes all interest
accruing on receiver!? certificates which are liens upon the. .property of the
corporation or any p^^rt pf. it. ....
Interest Accrued on Other. Unfunded Debt:. This head includes all interest
accruing on all imfunded debt of the corporation except receiver's certificates.
Interest Accrued on Debenture Stocks: This head includes ail interest ac-
cruing on the outstanding debenture stocks of the corporation.
Entries in the account " Interest Deductions " must be made in such wise
as to show separately the classes above indicated, which will be required to
be stated separately in the annual reports to the Public Service Commission.
Accounts fob Electrical Corporations 53
922a. Rent fob Lease of Other Electric Plant.
Charge to this account monthly all amounts accrued against the account-
ing corporation for rent of electric plant and equipment which it holds under
soma form of lease from another company or corporation and of which it has
the exclusive possession. Taxes accrued on such plant and equipment shall
not be charged to this account but to the appropriate Taxes account. If such
taxes are (under the contract of lease) payable by the lessor or reversioner,
they shall be credited to this account and charged to the appropriate Taxes
account. Such taxes, when paid by the lessor or reversioner, shall be
charged to its rent revenue account and not to its Taxes account, to the end
that taxes upon such plant and equipment shall be reported by the corpo-
ration in possession.
922. Otheb Rent Deductions.
Charge to this account the matters provided for in the following sub-
accounts :
f. Joint Facility Rents: Where any plant or equipment is maintained
or operated by another corporation for the joint benefit of the accounting cor-
poration and others under a joint arrangement for sharing the expense (on
the basis of the relative amounts of benefit to the several participants), if
such joint arrangement provides for including in the charge against the ac-
counting corporation any pure rent, profit, or return upon such plant or
equipment over and above depreciation and other expense of maintenance
and operation, such pure rent, or profit, or return upon property shall be
charged to this sub-account.
NoTK. — This should be read in connection with revenue account No. 425, " Joint
Electric Rent Revenue". (See page 33.)
g. Miscellaneous Rent Deductions: This sub-account includes all mis-
cellaneous rents payable not elsewhere provided for.
NOTK A. — Rents for furnished offices (and for office rooms In office buildings
heated and lighted by the landlord) should not be charged to this account, but to
the appropriate expense account.
Note B. — Entries in this account must be made in such wise as to permit an
analysis In the annual report of the corporation in accordance with the sub-
accounts above defined.
923. Sinking Fund Accruals.
Charge to tliis account month by month all accruals required to be made
to sinking funds in accordance with the provisions of mortgages or other
contracts requiring the establishment of sinking funds. All accruals to sink-
ing or other funds created voluntarily by the corporation and not in pursu-
ance of the provisions of any mortgage or other contract or of the require-
ments of law shall be excluded herefrom.
924. Guaranties of Periodic Payments.
Charge to this account all unsecured accruals of obligations arising under
contracts wliereby the corporation has guaranteed the annual or more fre-
Huent periodic payment of money or performance of other obligation on the
part of another corporation or person, and because ef the default of such
other corporation or pereon the liability of the present corporation has be-
come actual. This account does not include such matters as guaranties of
payment of principal of funded debt and other similar things relating to a
series of years, nor does it include any guaranties for which the corporation
54 Public Sekvicb Commission, Second Disteict
haa protected itself through taking ample security. If insufficient security
has been taken in respect of sucli annual or more frequent payments, the
unsecured portion thereof shall be charged to this account.
925. IjOSs on Opebations of Others.
Whenever in accordance with the terms of any contract tlie corporation is
bound to contribute toward reimbursement of the losses resulting from the
operations of others, all liabilities accruing to the corporation from such
source shall be charged to this account.
926. Otheb Contractual Deductions from Income.
Charge to this account month by month all contractual liabilities arising
from annual or other more frequent periodic matters and not includible in
any of the foregoing accounts. This account includes only deductions from
income and not any liabilities arising in exchange for goods or other things
purchased.
927. Amortiz.\tion of Landed Capital.
Charge to this account at the close of any fiscal period such portion of
the original money cost (estimated if not known) of landed capital as is
necessary to cover the proportion of the life thereof expired during sucli
period.
Note A. — The amounts charged to this account shall be concurrently credited to
account No. 374, "Accrued Amortization of Capital". (See page 27.)
Note B. — When any landed capital expires or is otherwise retired from service
(as e. g., through sale), the capital account or other indicant account (if anyi
originally charged therewith shall be credited with the amount originally charged,
the account "Accrued Amortization of Capital " shall be debited with all amounts
theretofore credited to such account In respect of such landed capital so going out
of service, the appropriate account shall be debited with the proceeds of sale (if
any), and any necessary adjustment shall be made through the "Corporate Surplus
or Deficit " account.
928. Amortization of Debt Discount and Expense.
Charge to this account at or before the close of any fiscal period that pro-
portion of the unamortized discount and debt expense on outstanding debt
which is applicable to the period. This proportion shall be determined ac-
cording to a rule, the uniform application of which during the interval be-
tween the issue and the maturity of any debt will completely amortize or
wipe out the discount at which such debt was issued and the debt expense
connected therewitli. Such amortization may at the option of the corporation
be earlier effected by charging all or any portion of such discount and debt
expense to account No. 939, " Other Deductions from Surplus," immediately
upon issue of the debt or thereafter.
929. Amortization of Premium on Debt — Cb.
Credit to this account at or after the close of any fiscal period the propor-
tion rf the premium at which outstanding debt was issued which is applicable
to the period. This proportion shall be determined according to a rule, the
imiform application of which during the interval between the issue and the
maturity of any debt will completely amortize or wipe out the premium at
which such debt was issued. Sucli amortization may at the option of tiie
corporation be effected by crediting all or any portion of such premium to
account No. 931b, " Other Additions to Surplus," only upon the maturity
of the debt.
Accounts for Electrical Corporations 55
24. Appropriations. — The balance resulting from closing the foregoing
Income Deduction accounts for any fiscal period into Gross Income for that
period gives the Net Corporate Income for the period. The net corporate
income being of the same nature as the corporate surplus shall be closed into
the " Corporate Surplus or Deficit " account. The group of accounts which
show for any fiscal period the changes in the "Corporate Surplus or Deficit"
account are designated the "Appropriation " accounts, for the reason that
substantially all of them are subject only to the discretion of the corpora-
tion. At the end of each fiscal period each of the "Appropriation " accounts
shall be closed into the " Corporate Surplus or Deficit " account.
25. Definitions of Appropriation accounts. — In the following definitions of
the Appropriation accounts the letters and numbers prefixed to the titles of
the accounts are inserted solely for convenience of reference and are no part
of the titles or of the definitions:
931a. Bad Debts Collected.
When any debt theretofore written off as a bad debt is collected, the amount
of the collection shall be credited to this account. Expense involved in such
collection shall be charged to this account.
931b. Other Additions to Surplus.
Credit to this account all additions to surplus because of erroneous account-
ing in prior fiscal periods, and all other additions to surplus not elsewhere
provided for.
Note. — A complete analysis of this account will be required In annual reports of
corporations to the Public Service Commission.
932. Expenses Elsewhere Unprovided For.
Charge to this account all expenses not chargeable as a part of operating
expenses or of non-operating expenses, such as fines levied on the corporation
for violation of law, for misfeasance, for non-feasance, etc., fine^ levied on
directors, officers, and other employees and assumed by the corporation, do-
nations to funds, to churches and other associations, and other like expenses
and outgoes.
933. Dividends on Outstanding Stocks.
When any dividend is declared upon any outstanding stocks of the corpo-
ration, the amount of such dividend shall thereupon be charged to this ac-
count. All entries to this account shall show the amount of stock upon which
the dividend is declared, the class of such stock, and the rate of the dividend
as well as the amount thereof; and if the dividend is payable in any other
thing than money, such thing shall be described in the entry with sufficient
particularity to identify it, and the actvial money value thereof shall be
stated as the amount of the dividend.
When any dividend is declared upon the stocks of the corporation held in
its treasury, the amount of such dividend thereon shall be credited to this
account. Entries of credits to this account shall be made with the same de-
gree of particularity as is prescribed in the preceding paragraph.
934. Amortization Elsewhere Unprovided Fob.
Charge to this account such amortization as is not elsewhere provided tor.
This account provides for all optional amortization, such as that of discount
on stocks outstanding, abandoned property, etc.
56 Public Sekvice Commission, Second Distkict
i
935. Appropriations to Reserves.
Charge to this account all optional appropriations to reserve!.
930. Gifts to Controlled Corporations.
Charge to this account all gifts made by the corporation to its controlled
<!orporation8, also such portions of all advances thereto as are not carried as
assets.
937. Other Appropriations.
Charge to this account all optional appropriations made by the corpora-
tion and not elsevi'here provided for.
NoTK. — A complete analysis of this account will be required in annual reports
of corporations to the Public Service Commission.
938. Bad Debts. Written Off.
Charge to this account the amount by which debts are written off from the
accounts of the corporation when they become stale and are placed in the
" bad debt " class.
Note. — Such •' uncollectible bills " as have been provided for In the heretofore
defined " Uncollectible Bills " accounts must not be included In this account.
939. Other Deductions from Surplus.
Charge to this account all deductions from surplus because of erroneous
accounting in prior fiscal periods, and all other deductions from surplus not
elsewhere provided for.
Note. — A complete analysis of this account will be required in annual reports
of corporations to the Public Service Commission.
LIST OF ACCOUNTS.
SCHEDULE A: BALANCE SHEET OR INDICANT ACCOUNTS.
Fixed Capital. page.
ElOO. Fixed Capital, December 31, 1908 9
EllO. Land Devoted to Electric Operations 9
101. Organization 10
E102. Franchises (Electric) 10
E103. Patent-rights (Electric) 11
E104. Other Intangible Electric Capital 11
E121. General Structures 11
E122. General Equipment 12
E131. Dams, Canals, and ripe Lines 12
E132. Power Plant Buildings 12
E141a. Furnaces, Boilers, and Accessories r 13
E141b. Steam Engines 13
E142. Turbines and Water-wheels 13
E143a. Gas Producers and Accessories 13
E143b. Gas Engines 13
E144a. Electric Generators 14
El 44b. Accessory Electric Power Equipment 14
E145. Miscellaneous Power Plant Equipment 14
E151. Sub-station Buildings 14
El 52. Sub-station Equipment 14
E161. Poles and Fixtures 15
E162. Underground Conduits 15
E163. Transmission System 15
E164. Distribution System 15
E165. Line Transformers and Devices 15
E166. Electric Services 15
E167a. Electric Meters 16
E167b. Electric Meter Installation 16
E171. Municipal Street Lighting System (Electric) 16
E172. Commercial Arc Lamps 16
E173. Glower Lamps 16
E174. Electric Motors and Heaters 17
E175. Electric Tools and Implements 17
E176. Electric Laboratory Equipment 17
E177. Other Tangible Electric Capital 17
E281. Engineering and Superintendence 17
B282. Law Expenditures During Construction 17
E283. Injuries During Construction 17
E284. Taxes During Construction 18
E285. Miscellaneous Construction Expenditures 18
E286. Interest During Construction 18
Olio. Land in Other Departments 18
0102. Franchises in Other Departments 19
0103. Patent-rights in Other Departments 19
0104. Other Intangible Capital In Other Departments 19
O120 Tangible Capital in Other Departments 19
Floating Capital.
E 10. IMaterials and Supplies 19
1. Cash 20
2. Bills Receivable 20
58 PuBuc See VICE Commission, Second District
PAGE.
8. Accounts Receivable 20
4. Interest and Dividends Receivable 20
5. Other Current Assets 21
Investments.
300. Investments 21
Special Deposits.
311. Coupon Special Deposits 21
312. Dividend Special Deposits 22
313. Other Special Deposits 22
Prepayment Accounts.
321. Prepaid Taxes 22
322. Prepaid Insurance 22
323. Prepaid Rents 22
324. Other Prepayments 22
Suspense Accounts.
331. Unamortized Debt Discount and Expense 23
332. Other Suspense 23
Re-acqdibed Securities.
840. Re-acqulred Securities 24
Debt.
360. Funded 24
Unfunded 24
351. Taxes Accrued 25
352. Receiver's Certificates 25
353. Judgments Unpaid 25
354. Interest Accrued 25
355. Dividends Declared 26
356. Bills Payable 26
E357a. Consumers' Deposits — Electric ^ . . 26
357b. Other Accounts Payable 26
358. Other Unfunded Debt 26
Reserves.
Permanent 26
871. Premiums on Stocks 26
372. Other Permanent Reserves 27
Temporary 27
Contractual 27
Required 27
374. Accrued Amortization o? Capital.. 27
375. Unamortized Premium on Dubt 27
376. Other Required Reserves 28
Optional 28
381. Casualties and Insurance Reserve 28
382. Other Optional Reserves , 28
Stocks.
390. Stocks 28
SCHEDULE B: INCOME ACCOUNT.
Operating Revenues.
401. Municipal Street Lighting — Arc 31
402. Municipal Street Lighting — Incandescent 31
403. Lighting Municipal Buildings — Electric 31
404. Municipal Ileat and Power — Electric 32
405. Miscellaneous Electric Revenue — Municipal 32
406. Commercial Flat Rate Lighting 32
407. Commercial Flat Rate Power 32
408. Commercial Metered Lighting .12
409. Commercial Metered Power 32
List of Accounts 59
PAGE.
410. Railroad Corporations 32
411. Otlier Electrical Corporations 32
421. Rent of Electric Meters 33
422. Rent of Electric Appliances 33
423. Electric Merchandise and Jobbing Revenue 33
424. Sale of Byproducts 33
425. Joint Electric Rent Revenue 33
426. Break-down Service 33
427. Otlier Miscellaneous Electric Revenue 33
Operating Expenses.
I. Production Expenses.
ESOla. Station Superintendence and Care 35
ESOlb. Boiler Labor 3r>
E501c. Producer Labor 35
E50id. Engine T^abor 35
E501e. Electric Labor 35
E502a. P\iel for Steam 35
E502b. Fuel for Producer Gas 35
E503a. Water for Steam Power and Gas 35
E503b. Water for Hydraulic Power 35
E504. Lubricants for Power 35
E505a. Production Supplies 36
E505b. Station Expense 36
E507. Repairs of Power Plant Buildings 36
E508a. Repairs of Furnaces and Boilers 36
E508b. Repairs of Boiler Apparatus 36
E508e. Repairs of Steam Accessories 36
E509a. Repairs of Reciprocating Engines 37
E509b. Repairs of Steam Turbines 37
E50f)c. Repairs of Other Steam Engine Equipment 37
E510a. Repairs of Dams, Canals, and Pipe Lines 37
E510b. Repairs of Turbines and Water-wheels 37
E511a. Repairs of Gas Producers and Accessories 37
E511b. Repairs of Gas Engines 37
IC512a. Repairs of Electric Generators 37
E512b. Repairs of Accessory Electric Equipment 37
E513a. Repairs of Station Tools and Implements 38
E513b. Repairs of Miscellaneous Station Equipment 38
E514. Steam from Other Sources 38
E515. Power Gas from Other Sources 38
E516. Electric Energy from Other Sources 38
II. Transmission Expanses.
E521a. Transmission Subway Rent 38
E522a. Transmission Pole and Fixture Repairs 39
E523a. Transmission Underground Conduit Repairs 39 "
E524a. Overhead Transmission System Repairs 39
E524b. Underground Transmission System Repairs 39
B525. Sub-station Labor 39
E526. Sub-station Supplies and Expenses 39
E527. Repairs of Sub-station Buildings 40
F528. Repairs of Sub-station Equipment 40
/// . Elei trie Storage Expert es.
E529a. Storage Battery Labor , 40
E529b. Storage Battery Supplies 40
E529c. Storage Battery Renewals 40
E529d. Repairs of Storage Battery Accessories 40
IV. Distribution, Expenses.
E531. Electric Dlstrilnition Si;perintendence 40
E532a. Electric Distribution Maps and IJecords 40
R532b. Electric Distribution Office Expense 40
60 Public See vice Commission, Second Distkict
FAOK
E533. Setting and Removing Meters and Transformers 41
E521b. Distribution Subway Rent 41
E522b. Distribution Pole and Fixture Repairs 41
E523b. Distribution Underground Conduit Repairs 41
E534a. Overhead Distribution System Repairs 41
E534b. Edison Tube System Repairs 41
E534e. Other Underground Distribution System Repairs 41
E535a. Repairs of Electric Services 41
E535b. Repairs of Transformers 42
E536a. Electric Meter Operation 42
E536b. Electric Meter Repairs 42
V. Utilization Expc: scs.
541a. Commercial Arc Labor 42
541b. Commercial Arc Supplies 42
542. Commercial Arc Repairs 42
543a. Commercial Incandescent Installation 42
543b. Commercial Incandescent Renewals 42
544a. Inspection of Consumers' Premises 42
544b. Repairs of Consumers' Installations. 42
545a. Municipal Street Arc Labor 43
545b. Municipal Street Arc Supplies 43
546. Municipal Street Arc Repairs 43
547a. Municipal Street Incandescent Installation 43
547b. Municipal Street Incandescent Renewals 43
548. Municipal Street Incandescent Repairs 43
VI. Commercial Expenses.
10551. Commercial Administration — Electric 43
F552. Promotion Office Expense — Electric 44
E553. Advertising — Electric 44
E554. Canvassing and Soliciting — Electric 4i
E555. Promotion Wiring and Devices 44
VII. General and Miscellaneous Expenses.
E833. Salaries and Expenses of General Officers 44
10834. Salaries and Expenses of General Office Clerks 44
13835. General Office Supplies and Expenses 45
E836. General Law Expenses 45
E837. Miscellaneous General Expenses 45
E838. Insurance 45
E839a. Relief Department Expenses 45
E839b. Pensions 45
E840. Electric Franchise Requirements 45
E842. General Amortization — Electric 46
E845. Electric Expenses Transferred — Cr 46
E846. Joint Operating Expense — Cr 46
E847a. Accidents and Damages 47
E847b. Law Expenses Connected with Damages 47
E848. General Stationery and Printing 48
E850. Store Expenses 48
E851. Stable Expenses 48
E852. Undistributed Adjustments — Balance 48
E853. Duplicate Electric Charges — Cr 48
Taxes.
E860. Taxes 40
E870. Uncollectible Electric Bills 4U
Non-operating Revenues.
E901a. Rent Accrued from Lease of Electric Plant 49
EOOld. Miscellaneous Rent Revenues 50
902. Interest Revenues 50
903. Dividend Revebiios 50
904. Profits from Operations of Others 51
905. Miscellaneous Non-operating Revenues 61
List OF'-Aet'o^xTs *•.■■*:*%:'•; :/.\ 61
NOX-OrERATIXG REVENUE DEDUCTIONS. PAGE.
910. Non-operatinj? Reveuiie Deductions 51
a. Kent Expense .• 51
b. Interest lOxpense 51
e. Dividend Expense 51
d. Others' Operations Expense 51
e. Miscellaneous Non-operating Expense 52
f. Non-operating Taxes 52
g. Uncollectible Non-operating Revenues 52
Income Deductions.
921. Interest Deductions 52
922a. Rent for Lease of Other Electric Plant 53
922f. Joint Facility Rents 53
022g. Miscellaneous Rent Deductions 53
923. Sinking Fund Accruals 53
924. Guaranties of Periodic Payments 53
925. Loss on Operations of Others 54
926^ Other Contractual Deductions from Income 54
927. Amortization of Landed Capital 54
928. Amortization of Debt Discount and Expense 54
929. Amortization of Premium on Debt — Cr 54
Appropriation Accounts.
931a. Bad Debts Collected '. 55
931b. Other Additions to Surplus 55
932. Expenses Elsewhere Unprovided for 55
933. Dividends on Outstanding Stocks 55
934. Amortization Elsewhere Unprovided for 55
935. Appropriations to Reserves 56
936. Gifts to Controlled Corporations 56
937. Other Appropriations 56
938. Bad Debts Written Off 56
939. Other Deductions from fe^nrplus 56
■^t,>^