HF 
 
 /-90& 
 
 CUMI 
 DEPT. 
 
 UC-NRLF 
 
 SB 175 
 
 
GIFT OF 
 
 DOCUMENTS 
 
STATE OF NEW YORK 
 
 Public Service Commission 
 
 SECOND DISTRICT 
 
 
 Uniform System of Accounts for 
 Gas Corporations 
 
 ADOPTED OCTOBER 21, J908 
 
 ALBANY 
 J. B. LYON COMPANY, STATE PRINTERS 
 
 1908 
 
. 
 
 STATE OF NEW YORK 
 
 PUBLIC SERVICE COMMISSION 
 
 SECOND DISTRICT 
 
 ALBANY, December 9, 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 OF NEW YORK, 
 fficc ot tbe public Service Commission 
 
 SECOND DISTRICT 
 
 88.: 
 
 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. 
 
 my hand and the Seal of Office of the Public Ser- 
 vice Commission, Second District, at the City of 
 
 Albany, this ninth day of December, one thousand 
 nine hundred and eight. 
 
 Secretary. 
 
 274658 
 
STATE OF NEW YORK, 
 PUBLIC SERVICE COMMISSION, SECOND DISTRICT. 
 
 At a session of the Public Service Commission, Second 
 District, held 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 gas 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 gas corporation 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 gas cor- 
 poration, 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 gas corporation shall keep 
 upon its books the accounts prescribed or defined in the hereto annexe*! 
 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 such temporary, 
 experimental, or divisional account, the said corporation shall file with the 
 Public Service Commission, at least ten days in advance of the time when 
 
 [3] 
 
PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 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 is 
 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 ease 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 9% 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. 
 
 BALANCE SHEET OR INDICANT ACCOUNTS. 
 
 1. Gas Corporations and Gas Operations defined. Section 2 of the Public 
 Service Commissions Law defines gas corporation as follows: 
 
 2. ... The term " gas corporation "... includes every corpora- 
 tion, company, association, joint stock association, partnership and person, their 
 lessees, trustees or receivers appointed by any court whatsoever, owning, operating, 
 managing or controlling any plant or property for manufacturing and distributing 
 and selling for distribution or distributing illuminating gas (natural or manufac- 
 tured) for light, heat or power. 
 
 Gas operations, as the term is hereinafter used, include all acts and 
 transactions directly connected with the operation of a plant for the pro- 
 duction of gas (whether natural or manufactured), the transmission thereof 
 and the supply thereof to consumers for light, heat, or power, and all 
 operations incident thereto, including 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, ty 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 
 email portable tools liable to be lost or stolen 1 ) 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 uses of two or more classes 
 of operations, while departmental capital is that assigned solely or principally 
 to a single class of operations. 
 
 1 Hand and other small 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 they shall be charged to the appropriate expense account. 
 1'ortable 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 SEEVICE COMMISSION, SECOND DISTRICT 
 
 7. Landed Capital and Non-landed 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 called 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 the 
 operating expenses. 1 
 
 9. Further Classification of Capital. Capital is also divisible into original 
 capital, additions, betterments, and reneioals 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. 
 
 n. 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. When 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 sub- 
 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. 
 
 1 Hand and other small 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 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. 
 
ACCOUNTS FOR GAS CORPORATIONS 7 
 
 1 6. 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 of construction, and tin- first 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 011 or after January 1, 1909, shall be the actual 
 money cost of the tilings 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 IN 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. 
 
 18. 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. 
 
 19. Costs of labor, materials, and supplies. Cost of labor (employed in 
 construction) includes not only wages, salaries, and fees paid employees, but 
 also such persoiril expenses of employes a- are borne by the corporation. 
 Cost of materials 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. \Ylien 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 originally 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, 11)00, shall show whether the thing 
 in respect of which the charge is made is original capital, or an addition, 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 
 
8 PUBLIC SEEVICE COMMISSION", SECOND DISTRICT 
 
 enlarged or improved. If the thing to which any charge hereafter made 
 relates 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, re- 
 newed, or replaced, that fact shall be stated in the entry describing the 
 betterment, renewal, or replacement, and the original cost of such thing to 
 the corporation 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 bettered 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 building, 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 Gas Capital," and the 
 appraised values of the constituent elements shall be charged to the appro- 
 priate accounts as designated in the 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 shall 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 fixed 
 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 possession or control of the grantor relating to 
 the construction and improverr.ent of such plant, and to preserve such records, 
 memoranda, and accounts until authorized by law to destroy or otherwise 
 dispose of them. 
 
ACCOUNTS FOR GAS 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: 
 
 G100. FIXED CAPITAL, DECEMBER 31, 1908. 
 
 Charge to this account all the Fixed Capital of the accounting person or 
 corporation devoted to gas 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 tact 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 books 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: 
 
 G110. LAND DEVOTED TO GAS OPERATIONS. 
 
 Charge to this account the cost of the accounting corporation's landed 
 capital which is devoted to gas operations as hereinbefore defined. This 
 includes land occupied by gas works and their appurtenances and rights 
 of way for transmission and distribution lines and other pipe lines, 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 pur- 
 chaser in its oion behalf, cost of registration of title, cost of examination of 
 titlr, 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 con- 
 sents 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 
 corpurat ion to its ^;is operations, and the contract of acquisition does not de- 
 termine (lie price of such improvements, they shall he appraised at their fair cash 
 value for use in such operations, and such appraised value shall be charged to the 
 structures account, and excluded from the account "Land Devoted to 
 
10 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 Gas Operations ". If such improvements are not devoted to gas operations 
 but 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 Gas Opera- 
 tions ". The entries in this account must be made in such wise as to enable the 
 corporation to show in its annual report to the Public Service Commission the 
 subdivision of the cost of its land devoted to gas operations into the following : 
 
 Land Occupied by Gas Works. 
 
 Land Occupied by Outside Holder Stations. 
 
 Water Rights. 
 
 Other Land Devoted to Gas Operations. 
 
 10L ORGANIZATION. 
 
 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 other 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 
 issuing 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 shall be classed as a renewal. This account 
 shall not include any discounts upon stocks or other securities issued, nor 
 shall it include any costs incident to negotiating loans or selling bonds or 
 other evidence of indebtedness. 
 
 G102. FRANCHISES (GAS). 
 
 To this account shall be charged " the amount (exclusive of any tax or an- 
 nual charge) actually paid to the State or to a political subdivision thereof 
 as the consideration for the grant of such franchise or right" (section 69 
 of the Public Service Commissions Law) as is necessary to the conduct of 
 the corporation's gas operations. If any such franchise is acquired by 
 mesne assignment, the charge 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 quoted. 
 Any excess of the amount actually paid by the corporation over the amount 
 specified in the statute shall be charged to the account " Other Intangible 
 Gas 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 this 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 a 
 franchise shall be classed as renewals. Those made as a consideration for 
 franchises or extensions thereof covering additional territory to be operated 
 
ACCOUNTS FOE GAS CORPORATIONS 11 
 
 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 shall 
 be classed as original. 
 
 NOTE. Annual or more frequent payments in respect of franchises must not be 
 charged to this account but to the appropriate tax or operating expense account. 
 
 G103. PATENT-RIGHTS (GAS). 
 
 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 gas 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 use 
 in an existing system and necessary to the economical operation thereof shall 
 be classed as an addition. 
 
 G104. OTHER INTANGIBLE GAS CAPITAL. 
 
 Charge to this account the cost of all other property coming within the 
 definition of intangible capital and devoted to gas 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 
 principal from whom acquired and all agents representing such principal in 
 the transaction; also the term of life of such property, estimated if not 
 known, and if estimated, the facts upon which the estimate is based. 
 
 G121. 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 gas 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 include-, 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 arc- constructed, and to outlast the first ma- 
 chinery or apparatus mounted thereon. 
 
 NOTE A. Among such buildings may be mentioned general office buildings, gen- 
 eral shop buildings, general storehouses, general stable buildings, etc. Where 
 general offices, shops, storehouses, stables, etc., are in buildings includible in a 
 departmental account, as c. y.. in a retort house, 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 incidentally for furnishing steam for 
 heating a general building and operating tin- 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 " Ccnenil Structures". 
 
 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. 
 
12 PUBLIC SEEVICE COMMISSION, SECOND DISTRICT 
 
 G122. GENERAL EQUIPMENT. 
 
 Charge to this account 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, draft- 
 ing-room equipment, and other like office appliances and equipment; also 
 engineering instruments. 
 
 b. General Shop Equipment: This includes the cost of all equipment 
 specially provided for general shops, such as furnaces, boilers, gas producers, 
 engines, electric generators, and other power apparatus used in operating 
 machinery in such shops; machine tools, cranes, hoists, shafting, belts, and the 
 like shop equipment; also such smithing equipment in general shops as is 
 used principally for other general purposes than shoeing horses and repairing 
 vehicles. 
 
 NOTE. 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 persons 
 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 like which are permanently attached to the 
 structure shall be charged to account No. G121, " 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 shops, harness repair shops, vehicle re- 
 pair shops, etc. 
 
 221. WORKS AND STATION STRUCTURES. 
 
 Charge to this account the cost of all structures at works devoted to the 
 production of gas, including purification and all other processes performed 
 upon such gas antecedent to its entrance into the station holder; also of 
 all buildings and other structures at outlying holder stations, except the 
 holders and their appurtenances as provided in the following account, 
 " Holders ". Such structures include retort houses, generator houses, purifier 
 houses, engine houses, boiler houses, meter houses, coal sheds, coke sheds, 
 tar houses, oil tanks, tar wells, and other structures for storage of fuel 
 to be consumed or carbonized in the production of gas and the operations 
 auxiliary thereto; structures for residuals and byproducts; appurtenant 
 walks, fences, drives, tramways, trestles, etc., and all fixtures permanently 
 attached to such structures and made a part thereof. 
 
 NOTE. Such piers and other ' foundations for machinery and apparatus as are 
 designed to be permanent and to outlast the first machinery or apparatus mounted 
 thereon shall also be charged to this account ; but short lived, temporary, or 
 specially provided foundations and settings for furnaces and boilers, steam engines, 
 gas engines, pumps, generators, benches, condensers, washers, scrubbers, purifiers, 
 etc., shall go with the machinery and apparatus to which they are related. Gas 
 holders are not includible in this account. 
 
ACCOUNTS FOE GAS COBPOKATIONS 13 
 
 222. HOLDERS. 
 
 Charge to this account the cost of all holders at works and outlying sta- 
 tions, including tanks, foundations, holders, frame work, guides, pulleys, etc., 
 and inlet and outlet valves of such holders. 
 
 NOTE. Holder housings shall be charged to account No. 221, " Works and Sta- 
 tion Structures ". 
 
 G141a. FURNACES, BOILERS, 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 producing gas 
 and in furnishing motive power in gas works and stations. This includes 
 boilers and valves thereto attached, appurtenant furnaces and grates, and 
 flues leading to smokestacks and chimneys, and the specially provided founda- 
 tions 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, to condensers, or to the gas generators, exhaust 
 pipes, etc. It does not include steam pipes whose primary purpose is the 
 heating of buildings. 
 
 G141b. STEAM ENGINES. 
 
 Charge to this account the cost of all steam engines devoted to use as 
 prime movers in gas works. This includes the specially provided founda- 
 tions 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 and air pumps, but not the 
 steam pipe leading from the boiler, nor the exhaust pipe. 
 
 G143b. GAS ENGINES. 
 
 Charge to this account the cost of all gas engines devoted to use as 
 prime movers in gas works and stations. This includes the specially provided 
 foundations and settings of such engines. The engine includes the inlet valve 
 and governor, and ignition an.l starting apparatus, but not the pipe lead- 
 ing from the gas holder, nor the exhaust pipe. 
 
 G145. MISCELLANEOUS POWER PLANT EQUIPMENT. 
 
 Charge to this account the cost of all miscellaneous power plant equipment 
 at gas works which is not includible in any of the foregoing accounts. This 
 includes such mechanical apparatus as belts, pulleys, hangers, countershafts, 
 and other apparatus intermediary between the prime mover and the apparatus 
 operated, cranes, hoists, etc., and machine tools and such other tools at 
 power plants as are proper to be capitalized, etc. 
 
 223. BENCHES AND RETORTS. 
 
 Charge to this account the cost of all benches and retorts devoted to the 
 production of coal gas. This includes the cost of specially provided foundations 
 and settings and auxiliary piping, including foul and hydraulic mains. 
 
 G143a. WATER GAS SETS AND ACCESSORIES. 
 
 Charge to this account the cost of sets and accessories devoted to the pro- 
 duction of water gas, including the cost of specially provided foundations and 
 iettings for such sets. This account includes not only generators, carbureter!, 
 
14 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 superheaters, seals, and piping connected therewith, etc., but also blast appa- 
 ratus, oil and steam supplying apparatus, oil heaters, etc. It does not include 
 pipes whose primary purpose is the warming of buildings. 
 
 224. PURIFICATION APPARATUS. 
 
 Charge to this account the cost of all purification apparatus, such as 
 condensers, washers, scrubbers, purifiers, tar extractors, etc., and their ancil- 
 lary apparatus and piping, including the cost of specially provided foundations 
 and settings. 
 
 225. ACCESSORY EQUIPMENT AT WORKS. 
 
 Charge to this account the cost of all equipment at works and holder 
 stations which is not includible under any of the foregoing accounts. This 
 includes exhausters, station meters, governors, etc.; apparatus for charging 
 retorts; conveyors for disposing of coke and other products and residuals; 
 tar and ammonia apparatus, pumps, pipes, tanks, etc. 
 
 231. TRUNK LINES AND MAINS. 
 
 Charge to this account the cost of all trunk lines and mains in place. 
 This includes all pipe lines from the yard connections to district holders, and 
 from the works governor to the beginnings of services, including the cost of 
 all trenching, etc., necessary to the placing of the pipe, and the cost of filling 
 trenches and restoring the surface to its former condition or to that re- 
 quired by the municipal authorities at the time the line is installed. 
 
 232. GAS SERVICES. 
 
 Charge to this account the cost of the corporation's property in service 
 pipes and appurtenances in or leading to consumers' premises. This in- 
 cludes the cost of material in place, cost of trenching for placing services, 
 and of filling trenches and restoring surface to proper condition. 
 
 NOTE A. When consumers are required to pay some or all of the cost of services, 
 only that portion of the cost not chargeable to the consumer is chargeable to this 
 account ; in all cases where only a portion of the cost of the service is charge- 
 able to this account the entry in this account shall show the entire cost of the 
 service as well as the amount charged to this account. 
 
 NOTE B. Where services extending only from main to curb (or to lot line) are 
 placed before actually required for the purpose of supplying consumers, the entry of 
 cost must show that fact. Such services will be required to be separately reported 
 in the annual reports of corporations to the Public Service Commission. 
 
 NOTE C. Cost of renewing or modifj" ing services shall not be charged to this 
 account. 
 
 233. GAS METERS. 
 
 Charge to this account the cost of the corporation's property in all meters 
 and appurtenances used in measuring the gas delivered to consumers. 
 
 NOTE A. This account does not include the cost of the corporation's meters at 
 the works ; such cost shall be charged to account No. 225, "Accessory Equipment at 
 Works," or to a sub-account thereunder. 
 
 NOTE B. Cost of setting, removing, or re-setting such meters shall not be charged 
 to this account. 
 
 NOTE C. 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. 
 
 234. GAS METER INSTALLATION. 
 
 Charge to this account the labor and materials cost (exclusive of cock and 
 connections) of the first setting of meters for determining the amount of 
 gas delivered to consumers, in case it is the policy of the corporation to 
 capitalize the cost of such setting. 
 
ACCOUNTS FOE GAS CORPORATIONS 15 
 
 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. 634a, " Gas 
 Metor and Installation Work ". (See page 38.) 
 
 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. 
 
 235. MUNICIPAL STREET LIGHTING FIXTURES (GAS). 
 
 Charge to this account the cost of the corporation's property in the lamps, 
 posts, and ancillary apparatus and appliances used in lighting streets for a 
 municipal corporation. Such cost includes not only cost of material but also 
 cost of first setting and coupling up. It does not include cost of removal 
 or change of position. 
 
 NOTE. 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. 
 
 236. GAS ENGINES AND APPLIANCES. 
 
 Charge to this account the cost of the corporation's property in gas engines 
 leased to consumers (including municipal corporations), but not of those held 
 for purposes of sale. Such engines include all appliances for the production 
 of mechanical motion through the consumption of gas. Also charge to 
 this account the cost of the corporation's property in all gas stoves and 
 other heating appliances leased to consumers, but not of those held for pur- 
 poses of sale. This includes stoves, ranges, heaters, hot plates, sadirons, 
 tailors' irons and gooses, and other like devices and appliances consuming 
 gas for the direct production of heat. 
 
 NOTE A. The cost of setting and connecting such engines and heating appliances 
 on the premises of consumers and the cost of re-setting or of removal shall not be 
 charged to this account. 
 
 NOTE B. Upon filing with the Public Service Commission a notice thereof, the ac- 
 counting corporation may also include in this account the cost of such gas engines 
 and appliances temporarily withdrawn from service. 
 
 237. GAS TOOLS AND IMPLEMENTS. 
 
 Charge to this account the cost of all tools and implements coming within 
 the scope of the definition of fixed capital (see paragraph 4, page 5, ante) 
 and not covered by any of the foregoing equipment accounts. 
 
 238. GAS LABORATORY EQUIPMENT. 
 
 Charge to this account the cost of all physical and chemical apparatus 
 used in testing and other technological work, and of all equipment in 
 laboratories used for technological work, such as calorimetry, photometry, 
 chemical analysis, and the like; also all equipment for testing building and 
 other materials used in the engineering operations of the company. 
 
 NOTE. This account does not include the cost of any chemicals or other supplies, 
 such being chargeable to the appropriate sub-account in the account " Materials and 
 Supplies " ; as consumed they shall be charged thence to the appropriate expense 
 accounts. 
 
 239. OTHER TANGIBLE GAS CAPITAL. 
 
 Charge to this account the cost of all miscellaneous tangible gas capital 
 not elsewhere provided for. 
 
 G281. ENGINEERING AND SUPERINTENDENCE. 
 
 Charge to this account all expenditures for services of engineers, drafts- 
 men, and superintendents employed on preliminary and construction work, 
 
16 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 md all expenses incident to the work, when such disbursements can not be 
 assigned to specific construction. 
 
 NOTE. When employees enumerated above are engaged in work not chargeable to 
 construction, their pay and expenses shall be charged to the specific work oh which 
 engaged. 
 
 G282. LAW EXPENDITURES DURING CONSTRUCTION. 
 
 Charge to this account general expenditures of the following nature in- 
 curred in connection with the construction of a gas plant: namely, the pay 
 and expenses of all counsel, solicitors, and attorneys, their clerks and 
 attendants, and expenses of their offices; 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 wit- 
 ness fees; 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 
 account. Expenditures in connection with the acquisition of the right of 
 way or other land shall be charged to account No. G110, "Land Devoted 
 to Gas Operations ". Law expenditures in connection with the organization 
 of the corporation shall be charged to account No. 101, "Organization". 
 
 G283. INJURIES DURING CONSTRUCTION. 
 
 Charge to this account all expenditures incident to injurious to persons 
 when caused directly in connection with construction of gas plant and 
 equipment ; proportion of salaries and expenses of physicians and surgeons ; 
 nursing and hospital attendance, medical and surgical supplies, artificial 
 limbs, railroad and carriage fares for conveying injured persons and at- 
 tendants; funeral expenses (including payments to undertakers) ; proportion 
 of pay and expenses of claim adjusters and their clerks, and pay and ex- 
 penses of employees and others called in consultation in relation to the ad- 
 justment of claims coming under this head; also witness fees and amount 
 of final judgments. 
 
 G284. TAXES DURING CONSTRUCTION. 
 
 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, guttering, 
 paving, sidewalks, etc., which shall be charged to the account to which the 
 property benefited is charged. 
 
 G285. MISCELLANEOUS CONSTRUCTION EXPENDITURES. 
 
 Charge to this account the salaries and expenses of executive and general 
 officers of a gas plant under construction; clerks in general offices engaged 
 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 be 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. 
 
ACCOUNTS FOR GAS CORPORATIONS 17 
 
 G28G. 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. 
 
 0110. 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. 1 
 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, and all 
 liens upon the title acquired. If at the time of acquisition of such interest 
 in lands it extends to buildings or other improvements thereon, which im- 
 provements are devoted by the 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 the appropriate accounts 
 and excluded from the account " Land in Other Departments ". If such im- 
 provements are 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 ". 
 
 0102. 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. 
 
 0103. 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. 
 
 1 NOTE. ELECTRIC CAPITAL, RAILROAD CAPITAL, AXD STREET RAILROAD CAPITAL. 
 For the accounts to which shall be charged the cost of capital devoted to electric 
 operations, see the Uniform System of Accounts for Electrical Corporations ; for 
 stejun railroad operations, see the Uniform System of Accounts for Expenditures 
 for Hoad and Equipment, etc., as established for Steam Railroad Corporations by 
 the Public Service Commission ; and for electric railroad and street railroad opera- 
 tions, see the Uniform System of Accounts for Street Railroad Corporations. 
 
18 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 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. 
 
 0120. 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: 
 
 G10. MATERIALS AND SUPPLIES. 
 
 Charge to this account the cost (including transportation) of all materials 
 and supplies acquired by the corporation, regardless of whether the same 
 are intended to be consumed in construction or in operation, or later to be 
 sold. Where discounts recovered through prompt payment are not credite-1 
 to the particular bills, the cost at which such materials and supplies shall 
 be charged shall be the invoice cost, and any discounts recovered through 
 prompt payment of bills for such materials and supplies shall be credited to 
 account No. G286, " Interest During Construction," or to account No. G852, 
 " 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 
 which 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. G852, v ' Undistributed Adjustments Balance," in case they can 
 not be assigned to specific accounts. Shortages may, however, be charged 
 directly to " Corporate Surplus or Deficit ". Where such materials and sup- 
 plies have been used in construction, a suitable proportion of such shortages 
 or overages may be debited or credited to account No. G285, " Miscellaneous 
 Construction Expenditures ". 
 
 NOTE. It is not required that the transportation element of cost shall be 
 assigned 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 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 
 
ACCOUNTS FOR GAS CORPORATIONS 19 
 
 coin of the Tnited States, Unit-eel 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 this 
 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 sec below) ; 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 judgments 
 against solvent concerns where the judgment is not appealal le or suspended 
 through appeal. This account does not include negotiable^. 
 
 4. INTEREST AND DIVIDENDS RKCKIVABLE. 
 
 \\ henever the income account is stated the appropriate sub-account therein 
 shall be credited and this account shall he charged with all accrued but 
 not yet collected interest upon all commercial paper and accounts considered 
 collectible held by or for the benefit of the corporation; also all dividends 
 declared or guaranteed by solvent concerns but not yet collected, the right to 
 which is^in the corporation. 
 
 5. OTHER CURRENT ASSETS. 
 
 Charge to this account the cost of all current assets of the rorp:rati<m 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 denned. By Inrcstmenls, 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 bound investments are meant those 
 held subject to a lien of some character; by free investments are meant those 
 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 ". 
 
 NOTK. In the annual reports to be made to the Public Service Commission by 
 the corporations and other persons engaged in gas 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," aud " Other Bound 
 
20 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 Investments ". Each of these three classes, and the class " Free Investments," 
 will be required to be subdivided into the following : Funded Debt of Controlling 
 Corporations, Funded Debt of Affiliated Corporations, Funded Debt of Controlled 
 Corporations, Stocks of Controlling Corporations, Stocks of Affiliated Corporations, 
 Stocks of Controlled Corporations, Advances to Controlled Corporations, Funded 
 Debt of Other Corporations, Stocks of Other Corporations, Land, Improvements 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 or 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 supporting 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. 
 
 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 payments 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 considered), regardless of the actual times when the rent matures; 
 $50 should thus (if the rent has been prepaid) be credited each mouth to the 
 account " Prepaid Rents," and concurrently charged to the appropriate account 
 in the " Income " account. Similarly in the case of other prepayments. 
 
ACCOUNTS FOE GAS CORPORATIONS 21 
 
 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 the account " Other 
 Prepayments ". 
 
 322. PREPAID INSURANCE. 
 
 When premiums on insurance policies are paid in advance of their accrual, 
 the amount 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 rent* UK- 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 
 jiajer) 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 ; 
 and as the purpose of the prepayment is satisfied, proportionate amounts shall 
 be credited monthly 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. 
 
 NOTK. By " amortization " of any charge or credit is meant its gradual ex- 
 tinction. The word is broader than the word " depreciation," since the latter id 
 restricted ordinarily to tangible 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, 
 nm 1 . because provision is necessary for the gradual extinction of certain charges 
 (such ;is those for some kinds of capital, those for extraordinary casualties, for 
 discount on 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 asjpremiums 
 on debt outstanding. 
 
 S.'il. UNAMOBTIZED DEBT DISCOUNT AND EXPENSE. 
 
 Wlirn funded debt, -ecurities and other evidences of indebtedness are dis- 
 posed of for a consideration whose cash value is less than the sum of the par 
 
22 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 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 consideration 
 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 to ac- 
 count No. 928, "Amortization of Debt Discount and Expense," in " Income " 
 account. Such discount 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, 
 to 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 uncertain. This will include all such 
 matters as expense of preliminary surveys, plans, investigations, etc., made 
 for determining the feasibility of projects under contemplation. Should any 
 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 ". 
 
 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, whether funded debt or stocks, have been actually issued 
 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. 
 
ACCOUNTS FOR GAS CORPORATIONS 23 
 
 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 each such class of funded debt, and no two amounts of debt not agreeing 
 in respect of all four of the characteristics above named shall 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, 
 1928," which means funded debt secured by the company's first mortgage, 
 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 
 eacli year, principal maturing August 10, 1928. 
 
 Where any portion of the funded debt rests only on the general credit < f 
 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 mortgage 
 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 which 
 issued, and shall make intelligible reference to the book, page, and account 
 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 show 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 this 
 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. 
 
24 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 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 shall show the court, the 
 term thereof, the parties, and the character of the action or suit. Interest 
 accruing upon any such judgment shall be credited monthly to this account. 
 
 NOTE. In case of appeal and affirmance in whole or in part from which judg- 
 ,ment of affirmance a further appeal lies, the same rule shall apply as upon entry 
 of original judgment. 
 
 354. INTEREST ACCRUED. 
 
 Credit to this account at the close of each month the interest accrued 
 during the month upon indebtedness of the corporation. When such 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 the 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 ". When 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. 
 
 355. DIVIDENDS DECLARED. 
 
 When any dividend is declared it shall be 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 after assumption by the 
 corporation of primary liability thereon, is issued or assumed, the par value 
 thereof shall be credited to this account, and when it is paid it shall be 
 charged to this account and credited to " Cash " or other suitable account. 
 
 G357a. CONSUMERS' DEPOSITS GAS. 
 
 Credit to this account, as such deposits are made, all cash deposited with the 
 corporation by consumers as security for the payment of gas bills. De- 
 posits refunded shall be charged to this account and credited to " Cash ". 
 Deposits applicable to uncollectible or worthless gas 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". 
 
ACCOUNTS FOR GAS CORPORATIONS 25 
 
 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 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 the 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. 
 
 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 denned. By Temporary Reserves are meant those 
 that are not intended to remain intact during the life of the corporation. 
 Temporary Reserves shall be classified, as Contractual Reserves and Non-con- 
 tractual Reserves. 
 
 40. Contractual Reserves defined. Contractual Reserves are reserves neces- 
 sitated by contracts of the 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 
 in full in the first entry in such account. 
 
 41. Non-contractual Reserves defined. Xon-coniracliml AY.srrrr.v are such 
 temporary reserves as are raised without l>eing required under any contract. 
 Non-contractual reserves are divided into Required and Optional. 
 
26 PUBLIC SEEVICE COMMISSION, SECOND DISTRICT 
 
 42. Required Reserve accounts. Required reserves are provided for in lli<> 
 following accounts: 
 
 374. ACCRUED AMORTIZATION OF CAPITAL. 
 
 Credit to this account such amounts as are charged from time to time to 
 " 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), less salvage, shall (except as provided in ac- 
 count No. G100, "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. UNAMORTIZED 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 in- 
 terest thereon accrued at the time the transfer takes place, the excess of 
 the cash value of such consideration received over the sum of the par value 
 of the securities or other evidences of indebtedness and the accrued interest 
 shall be credited to this account. At monthly intervals thereafter a propor- 
 tion of such premium based upon the life of the security or other evidence of 
 indebtedness 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 
 applicable to the period covered by the then current income account shall 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. OTHER REQUIRED 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 
 which is solely within the discretion of the corporation. For such reserves 
 the following two accounts are provided: 
 
 381. CASUALTIES AND INSURANCE RESERVE. 
 
 When any admitted liability arises because of loss or damage to the prop- 
 erty of oth-ers, or O'f injuries to employees 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 ascertained promptly after the liability 
 arises, it may be estimated as accurately as practicable for the purpose of 
 determining the immediate charge to the expense or other appropriate account, 
 
ACCOUNTS FOR GAS CORPORATIONS 27 
 
 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 corpo- 
 ration, 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 charged to the operating expense account " Insurance " 
 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 and the first entry therein shall express 
 in full such purpose. 
 
 44. Stocks denned. By stock.* of a corporation, as the term is here used, 
 are meant those securities which represent permanent interests in the corpo- 
 ration or interests which, if terminable, are so only at the option of the cor- 
 poration. 
 
 45. Stocks classified. Stocks are classsified as 
 Debenture Stocks, 
 
 First Preferred Stocks, 
 
 Second Preferred Stocks, etc., and 
 
 Co in in on Stocks. 
 
 46. Debenture Stocks defined. Debenture Stocks are those issued under a 
 contract to pay absolutely thereon at specified intervals a specified return. 
 
 47. First Preferred Stocks denned. First Preferred Stocks are those which 
 have the first claim upon such dividends as may be distributed. They may be 
 cumulative or noncumulative, participating or nonpar! iripat ing. Jf cuniu- 
 Ititirc, the amount by which the dividend at any dividend period fails to reach 
 tin- stipulated rate is carried forward to continue as a claim upon dividends 
 until satisfied; if n<>ii<-uninl<itirr. such amount lapses. If a first preferred 
 stock is participating, it is not limited to the stipulated rate in the amount 
 of dividends which it iray 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 first 
 preferred stocks. These stocks may also be cumulative or noncumulative, par- 
 ticipating or nonpar! icipating. 
 
 49. Common Stocks defined. Common N/or/r.s are those whose claims in the 
 distribution of dividends are subordinate to the claims of all other stocks. 
 
 50. Voting Powers. Slocks 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 
 issued, and no two stocks shall be considered of the same class unless they 
 
28 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 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 sufficient par- 
 ticularly 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 shall 
 in his account of the disposition thereof show the like details concerning the 
 consideration realized thereon, which account when accepted by the corpo- 
 ration shall be preserved as a corporate record. If the fair cash value of 
 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 through the accounts. 
 The group of accounts just dfliiH-d 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 
 may 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 undergoes. Such group of accounts brings together 
 or accumulates the account 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 of 
 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 In- 
 come Deduction accounts, and the Appropriation accounts. 
 
 3. Revenues defined. By Revenues, as the word is used herein, are meant 
 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. Non-operating Revenues are those de- 
 rived 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, 
 Taxes, and Uncollectible Bills. 
 
 7. Expenses defined. Expenses are those outgoes (including capital con- 
 sumed) necessary to the production of the commodities sold and the services 
 rendered, and to the collection of the revenues. They are divided into Operat- 
 ing Expenses and Non-operating Expenses. Operating Expenses are those 
 incident to the operating revenues. 
 
 [29] 
 
30 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 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. When a corporation is engaged regularly 
 in rendering to general consumers a service, or in supplying to such con- 
 sumers a commodity (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. 
 
 10. Gross Income, Income Deductions, and Net Corporate Income defined. 
 Revenues, 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 the 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 through lack of information), and certain other minor 
 matters like extraordinary 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 Gas Operating Revenue accounts. Credits to the various 
 revenue accounts shall be made upon the basis of bills rendered or of gross 
 prices. Discounts for prompt payment, corrections of overcharges, overcol- 
 lections theretofore credited and afterward corrected, authorized abatements 
 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 con- 
 venience of reference and are no part of the titles or of the definitions: 
 
 431. MUNICIPAL STREET LIGHTING GAS. 1 
 
 Credit to this account all revenues derived from lighting streets for munici- 
 pal corporations by means of gas, or from supplying gas therefor. 
 
 NOTE. In the foregoing account the word " streets " is to be interpreted to 
 include parks, plazas, and all other public places not classified as buildings. 
 
 432. LIGHTING MUNICIPAL BUILDINGS GAS. 
 
 Credit to this account all revenues derived from lighting municipal build- 
 ings by means of gas, or from gas supplied for such purposes, or for heat 
 or power in municipal buildings where such gas is supplied at lighting rates 
 and is not separately measured. 
 
 1 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. 
 
ACCOUNTS FOR GAS CORPORATIONS 31 
 
 433. MUNICIPAL HEAT AND POWER GAS. 
 
 Credit to this account all revenues derived from municipal corporations for 
 gas supplied at special beat or power rates to such corporations for the 
 production of heat and power. 
 
 434. MISCELLANEOUS GAS REVENUE MUNICIPAL. 
 
 Credit to this account all revenues derived from supplying gas to municipal 
 corporations and not provided for in the foregoing accounts; also those from 
 the letting of engines and other gas equipment to such corporations. 
 
 435. PREPAID GAS. 
 
 Credit to this account all revenue derived from the sale of prepaid gas 
 delivered through so-called " prepayment meters ". 
 
 436. COMMERCIAL METERED LIGHTING GAS. 
 
 Credit to this account all revenues derived from all consumers except 
 municipal corporations for gas measured through ordinary meters and sup- 
 plied for lighting at lighting rates. 
 
 NOTE A. Where gas flowing through any ordinary meter is used by any other 
 cocsumer than a municipal corporation for lighting and incidentally for henting or 
 power purposes, the revenues derived therefrom shall be credited to this account. 
 
 NOTI-: P.. This account does not Include gas sold or supplied to other gas cor- 
 porations for distribution; for such gas. see account No. 48S, "Other Gas Corpora- 
 tions ". 
 
 437. COMMERCIAL HEAT AND POWER GAS. 
 
 Credit to this account all revenues derived from all consumers except 
 municipal corporations for gas supplied for heat or power at special heat or 
 power rates. 
 
 NOTIO. This account does not include gas sold or supplied to other mis corpora- 
 tions for distribution ; for such gas, see account No. 438, " Other Gas Corporations ". 
 438. OTHER GAS CORPORATIONS. 
 
 Credit to this account all revenues derived from gas sold or supplied to 
 other ga<* corporations to he by them distributed through their own pipes to 
 conjurers. If any portion of such gas is incidentally consumed by siu-h cor- 
 porations for their own heiietit, whether for light, heat, or power, it shall be 
 included herein, if not separately measured, or if included under the same 
 contract with thai which is distributed by them to consumers. 
 439. COMMISSIONS ON OTHERS' GAS. 
 
 Credit to this account all revenue accruing to the corporation for distribut- 
 ing gas of other companies through its pipes and selling the same, and for all 
 other services performed in connection therewith. 
 
 NOTE In case the corporation distributes through its pipes the gas of another company, 
 the corporation shall charge "Cash" or the appropriate sub-account (or accounts) under 
 "Accounts Receivable" with the value of the gas of such other company supplied by the 
 corporation to consumers, and shall enter a, corresponding credit to a clearing account 
 'Gas Supplied by (blank) Company and distributed by this Corporation," [or,, "by 
 (blank)," naming the corporation keeping the account] which account shall be cleared 
 monthly by charging to such clearing account the amount necessary to balance, and 
 cre.liting to the account "Co emissions on Others' Gas" the corporation's proportion of 
 the total revenue, and to the account of the company supplying such gas to the cor- 
 poration that company's proportion of such total revenue. 
 
 440. RENT OF GAS APPLIANCES. 
 
 Credit to this account all revenues derived from the letting of g.is engines, 
 heating appliances, lamps, and other gas apparatus and appliances (except 
 
32 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 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. 
 
 441. GAS MERCHANDISE AND JOBBING REVENUE. 
 
 Credit to this account all receipts from the sale of gas merchandise and 
 from gas jobbing. Charge to this account the cost to the accounting cor- 
 poration of gas 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. 
 
 NOTE B. This account does not include receipts from the sale of superseded 
 equipment, or of junk or other scrap or salvage. 
 
 442. SALE OF RESIDUALS AND BYPRODUCTS. 
 
 Credit to this account all revenue derived from the sale of residuals and 
 byproducts. 
 
 This account shall be so kept as to enable the corporation to show in its 
 annual report to the Public Service Commission the amounts of revenue 
 derived from the following sources: 
 
 Sale of Gas Coke, 
 
 Sale of Coal-gas Tar, 
 
 Sale of Water-gas Tar, 
 
 Sale of Ammoniacal Liquor, 
 
 Sale of Other Residuals and Byproducts. 
 
 NOTE A. The amount of revenue from the sale of any residual or byproduct 
 shall be determined by the price received at the point of delivery to the purchaser, 
 and any expense incurred by the corporation in effecting delivery shall be charged 
 to the appropriate operating expense account. 
 
 NOTE B. Residuals and byproducts consumed by the corporation shall not be 
 credited to the account " Sale of Residuals and Byproducts ". 
 
 443. JOINT GAS RENT REVENUE. 
 
 When any corporation engages in gas 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. 
 
 444. OTHER MISCELLANEOUS GAS REVENUE. 
 
 Credit to this account all revenues derived from others than municipal cor- 
 porations for the supply of gas and from other gas operations not includible 
 in any of the foregoing accounts. 
 
ACCOUNTS FOR GAS CORPORATIONS 33 
 
 13. Revenue from Outside Operations. The detailed revenue accounts for 
 operations other than 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 term of credit. 
 
 Labor means human services of whatever character. 
 
 Cost of labor includes wages, salarie>, ;m! 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 the 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 arc 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 suita'de expense account as hereinafter provided. 
 
 Cost of repair*, when made by the accounting person or corporation, in- 
 cludes cost of labor expended and material consumed, less salvage, if any. 
 
 NOTE. It is not required that the 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 are charged to. 
 
 16. Definitions of Gas Operating Expense 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: 
 
 ( , F N KBAL ACCOUNTS. 
 
 I. Production Expenses. 
 II. Transmission and Distribution Expenses. 
 
 III. Municipal Street Lighting Expenses. 
 
 IV. Commercial Expenses. 
 
 V. General and Miscellaneous Expenses. 
 
 I. PRODUCTION EXPENSES. 
 
 No IK. In case the accounting corporation operates two or more separate and 
 distinct plants for the production of gas, it will be required to keep (with the detail 
 herein prescribed) separate accounts covering production at the several plants. In 
 case tho circumstances of any corporation make it impracticable to allocate the 
 cost of its works labor among the accounts below prescribed, it should petition the 
 o 
 
34 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 Public Service Commission for permission to consolidate two or more of them. 
 Such application must set out in full the facts which in the judgment of the peti- 
 tioner make such allocation impracticable. 
 
 60 la. WORKS SUPERINTENDENCE. 
 
 Charge to this account the cost of labor of the engineer in charge of works 
 and his assistants, also day and night foremen and station clerks. 
 
 60 Ib. BOILER HOUSE LABOR. 
 
 Charge to this account the cost of labor employed in weighing and hand- 
 ling coal, coke, and breeze from place of storage to boilers; labor employed 
 in operating boilers and engines (including such labor as that of shovellers, 
 weighers, boiler firemen and engineers, and oilers) ; and labor employed in 
 pumping oil tar from generators through separators to storage tanks, and 
 from storage tanks to boilers. Include also such labor as that of pump house 
 men. 
 
 601c. RETORT HOUSE LABOR. 
 
 Charge to this account the cost of labor employed in firing benches, 
 charging and re-charging retorts, patching and scurfing retorts, cleaning pipes 
 and lids, quenching and handling coke used under benches, and handling 
 coal from place of storage to retort house. This includes such labor as that 
 of foremen, firemen, furnacemen, retort and boiler tenders, patchers, pipemen, 
 lid cleaners, coke quenchers, guymen, riggers, shovellers, and wheelers. 
 
 601d. GENERATOR HOUSE LABOR. 
 
 Charge to this account the cost of labor employed in weighing and hand- 
 ling coal and coke from place of storage to charging floor, and in operating, 
 firing, clinkering, and cleaning generators. This includes such labor as that 
 of shovellers, weighers, pumpers, generator firemen, and runners. 
 
 601 e. PURIFIER HOUSE LABOR. 
 
 Charge to this account the cost of labor employed in changing purifier 
 boxes, revivifying oxide, and removing spent oxide to refuse pile. This 
 includes such labor as that of foremen and laborers. 
 
 601f. MISCELLANEOUS LABOR AT WORKS. 
 
 Charge to this account the cost of general labor in and about the works not 
 specifically engaged in the manufacture of gas, such as that of watchmen, 
 janitors, and messengers, laborers employed in cleaning up yards, removing 
 snow, and cleaning out refuse pile. 
 
 602. BOILER FUEL. 
 
 Charge to this account the -cost (in storage pile) of fuel used under boilers. 
 This includes cost of fuel used, freight, demurrage charges, and labor and 
 cartage in discharging and try inferring fuel from point of shipper's delivery 
 to place of storage, 
 
 NOTE. If boiler fuel is delivered from point of shipper's delivery to boilers by 
 other than boiler house labor, cost of such labor should be added to cost of fuel. 
 
 603. WATER. 
 Charge to this account the cost of water used for gas production. 
 
 604-a. FUEL UNDER RETORTS. 
 
 Charge to this account the cost (in storage pile) of fuel used under retorts. 
 This includes cost of fuel used, freight, demurrage charges, and labor and 
 
ACCOUNTS FOE GAS CORPORATIONS 35 
 
 cartage employed in discharging and transferring fuel from point of shipper's 
 delivery to storage pile. 
 
 NOTE. If fuel is delivered from storage to retort house by other than retort 
 house labor, cost of such labor should be added to cost of fuel. 
 
 604b. COAL CARBONIZED. 
 
 Charge to this account the cost (in storage pile) of gas coal used in retorts* 
 This includes invoice cost of coal used, freight, demurrage charges, and labor 
 and cartage employed in discharging and transferring coal from point of 
 shipper's delivery to storage pile. 
 
 NOTE. If coal is delivered from storage to retort house by other than retort 
 house labor, cost of such labor should be added to cost of coal. 
 
 605. COAL GAS EN RICHER. 
 
 Charge to this account the cost (in storage) of enricher materials used in 
 enriching coal gas. This includes cost of enricher used, freight, demurrage 
 charges, and labor and cartage employed in transferring enricher from point 
 of shipper's delivery to storage. 
 
 COG. GENERATOR FUEL. 
 
 Charge to this account the cost (in storage pile) of fuel used in generators. 
 This includes invoice cost of fuel usod, freight, demurrage charges, and labor 
 and cartage employed in discharging and transferring fuel from point of 
 shipper's delivery to storage pile. 
 
 NOTE. If generator fuel is delivered from storage to generator house by other 
 than generator house labor, cost of such labor should be added to cost of generator 
 fuel. 
 
 607. \\ ATKH GAS OIL. 
 
 Charge to this account the cost (in storage tanks) of gas oil or naphtha 
 used in making water gas. This includes invoice cost of oil used, freight, 
 demurrage charges, and labor and cartage employed in getting oil from point 
 of shipper's delivery to storage tanks. 
 
 08. PURIFICATION SUPPLIIS. 
 
 Charge to this account the cost of material used in gas purification. This 
 includes the average cost of oxide actually used (the invoice cost and freight,, 
 plus shavings, plus labor and cartage necessary to store it, plus the cost of 
 mixing it), and the invoice cost of lime actually us-d. 
 
 609. MISCELLAM OT s \YoiiKs Kxr-KxsK. 
 
 Charge to this account the cost of sundry supplies and expenses in con- 
 nection with the works not includible hi other accounts. This includes lubri- 
 cating oil, waste and packing, and other small materials of like nature used 
 in gas production; also incidental items, such as telephone, ice, brooms, mops,, 
 kerosene, soap, towel-, and similar cxp. n-es. 
 
 610. REPAIRS OF WORKS AND STATION STRUCTURES. 
 
 Charge to this account the cost of all repairs of works and station struc- 
 tures, including permanent piers and other foundations. Such structures- 
 include retort houses, generator houses, purifier houses, engine houses, boiler 
 houses, meter houses, coal sheds, coke sheds, tar houses and wells, oil tanks,, 
 and other structures for storage of fuel to be consumed or carbonized in the 
 production of gas and the operations auxiliary thereto; structures for residuals 
 and byproducts; appurtenant walks, fences, drives, tramways, trestles, etc., 
 and all fixtures permanently attached to such structures and made a part 
 
36 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 thereof; also all buildings, holder houses, and other structures at outlying 
 holder stations, except the holders and their appurtenances. 
 
 NOTE. Repairs of short-lived and specially provided foundations and settings 
 for furnaces and boilers, steam engines, gas engines, pumps, generators, benches, 
 condensers, washers, scrubbers, purifiers, etc., shall not be included herein. Such 
 foundations and settings and the apparatus and machinery to which they pertain 
 are not intended to be included under the term fixtures as above used. Nor shall 
 repairs of gas holders be included in this account. 
 
 G508.- REPAIRS OF FURNACES, BOILERS, AND ACCESSORIES. 
 Charge to this account the cost of repairing all furnaces, boilers, and boiler 
 apparatus and accessories devoted to the production of steam for use in 
 producing gas and in furnishing motive power in gas works and stations. 
 This includes boilers and valves thereto attached, appurtenant furnaces and 
 grates, and flues leading to smokestacks and chimneys, and the specially pro- 
 vided foundations and settings of such boilers and appurtenances. It also in- 
 cludes 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, to condensers, or to the gas producers, exhaust pipes, etc. It 
 does not include steam pipes whose primary purpose is the heating of buildings. 
 
 G509. REPAIRS OF STEAM ENGINES. 
 
 Charge to this account the cost of repairing all steam engines devoted to 
 use as prime movers in gas works. This includes the specially provided founda- 
 tions 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 and air pumps, but not the 
 steam pipe leading from the boiler, nor the exhaust pipe. 
 
 G511b. REPAIRS OF GAS ENGINES. 
 
 Charge to this account the cost of repairing all gas engines devoted to use 
 as prime movers in gas works and stations. This includes the specially pro- 
 vided foundations and settings of such engines. The engine includes the inlet 
 valve, governor, and ignition and starting apparatus, but not the pipe lead- 
 ing from the gas holder, nor the exhaust pipe. 
 
 Go 13. REPAIRS OF MISCELLANEOUS POWER PLANT EQUIPMENT. 
 Charge to this account the cost of repairing all miscellaneous power plant 
 equipment at gas works which is not includible in any of the foregoing ac- 
 counts. This includes such mechanical apparatus as belts, pulleys, hangers, 
 countershafts, and other apparatus intermediary between the prime mover 
 and the apparatus operated, cranes, hoists, etc., and machine tools and such 
 other tools at power plants as are proper to be capitalized, etc. 
 
 611. REPAIRS OF BENCHES AND RETORTS. 
 
 Charge to this account the cost of all repairs of benches, including the 
 retorts and their settings, and auxiliary piping, including ascension pipes, and 
 foul and hydraulic mains. 
 
 G511a. REPAIRS OF WATER GAS SETS AND ACCESSORIES. 
 
 Charge to this account the cost of repairing all water gas generators and 
 accessories devoted to the production of gas, the specially provided foundations 
 
ACCOUNTS FOE GAS CORPORATIONS 3T 
 
 and settings for such water gas sets, and the flues leading therefrom to smoke- 
 stacks and chimneys. This account includes not only generators, carbureters, 
 superheaters, seals, and piping connected therewith, but also blast apparatus, 
 oil and steam supplying apparatus, oil heaters, etc. It does not include pipes 
 whose primary purpose is the warming of buildings. 
 
 612. REPAIRS OF PURIFICATION APPARATUS. 
 
 Charge to this account the cost of all repairs of the apparatus for purifying 
 gas, including condensers, washers, scrubbers, purifiers, tar extractors, etc., 
 and their specially provided foundations and settings. 
 
 613. REPAIRS OF HOLDERS. 
 
 Charge to this account the cost of all repairs of gas holders and appur- 
 tenances at works and of those at district stations. 
 
 NOTE. Repairs of holder housings shall be charged to account No. 610, " Repairs 
 of Works and Station Structures ". 
 
 614. REPAIRS OF MISCELLANEOUS EQUIPMENT. 
 
 Charge to this account the cost of repairing all accessory equipment and 
 apparatus used in the production and storage of gas not specifically provided 
 for in the foregoing accounts. This account includes repairs of exhausters, 
 station meters^ governors, etc.; apparatus for charging retorts; conveyors for 
 disposing of coke and other products and residuals; tar and ammonia appa- 
 ratus, pumps, pipes, tanks, etc. 
 
 (ilf>. REPAIRS OF WORKS TOOLS. 
 
 Charge to this account the cost of repairing such tools and implements 
 used in the production and storage of gas as have been capitalized. 
 
 616. GAS STORAGE. 
 
 Charge to this account the cost of labor and material (except repairs) em- 
 ployed in storing and regulating the flow of gas to distributing mains by 
 holder pressure. This includes labor of firemen, engineers, valvemen, and 
 superintendents when engaged on gas storage; and cost of coal, coke, water, 
 and incidentals. 
 
 617. GAS FROM OTHER SOURCES. 
 
 Charge to this account the cash purchase price of gas bought from other 
 companies for distribution through the system of the accounting corporation; 
 also the corporation'* proportion of the cost of production (including main- 
 tenance, but not including any pure rent or return upon the value of property 
 employed) of gas produced by another concern for the use of the corpora- 
 tion under any joint arrangement for the sharing of expense upon the basis 
 of the relative amounts of benefit to the several participants. 
 
 II. TRANSMISSION AND DISTRIBUTION K.\ 1'KNSES. 
 
 631. TRANSMISSION PUMPING. 
 
 Charge to this account tli<> cost of pumping gas through mains to the dis- 
 tribution system, including inspection and regulation of booster governors. 
 
 NOTE. In gas operations, when gas is delivered to the supply system outside the 
 works at substantially works pressure, the pipe system, including mains, feeders, 
 and services (and supply pipes to outlying holders, if any), shall all be classed In 
 the distribution system. When tin- pressure is raised by means of boosters and the 
 gas is delivered to the pipes at higher than works pressure, and is later reduced in 
 pressure and delivered to the distribution system proper, that portion of the pipe 
 system used for conducting gas at the raised pressure shall be classed as the trans- 
 mission system 
 
38 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 632. DISTRIBUTION SUPERINTENDENCE. 
 
 Charge to this account the cost of all labor employed in superintending 
 the operation of the street department, fitting and repair shops, including the 
 salaries of superintendents, foremen, clerks, timekeepers, messengers, watch- 
 men, and janitors employed in the distribution department. 
 
 633. DISTRIBUTION SUPPLIES AND EXPENSES. 
 
 Charge to this account the cost of office maintenance and incidental ex- 
 penses of the street and shop departments, including light, heat, telephone, 
 water, ice, etc. 
 
 NOTE. When the distribution office is combined with the works office or com- 
 mercial office, charges like rent, light, etc., should be divided between them in a 
 fixed ratio, based upon the relative amounts of use. 
 
 634a. GAS METER AND INSTALLATION WORK. 
 
 Charge to this account the cost of labor employed and material used in 
 locking and unlocking meters, building inspection, pumping drip, cleaning 
 service or house pipe with pump; setting, removing, re-setting and changing 
 position of meters, and temporary repairs of leaks in house piping. 
 634b. WORK ON CONSUMERS' PREMISES. 
 
 Charge to this account the cost of installing gas stoves and other appli- 
 ances on the premises of consumers, and of work done for consumers in main- 
 taining the efficiency of their service, including complaint work and other 
 work done in houses beyond the end of the meter outlet connection. This in- 
 cludes the cost of adjusting or changing location of house pipes, gas burners, 
 fixtures, stoves and appliances,, and the cost of new pillars, tips, burners, or 
 devices not chargeable to repair accounts; it does not include such installa- 
 tion expense items as are provided for in the preceding account. 
 
 Credit to this account the cost element of receipts for jobbing work which 
 the accounting corporation has performed as agent under agency contracts. 
 
 NOTE A. -Any profit or commission accruing to the corporation on jobbing work per- 
 formed as agent shall be credited to account No. 44 1 "Gas Merchandise and Jobbing 
 Revenue"; to that account shall also ba credited all receipts from gas jobbing not done 
 under agency contracts. 
 
 NOTE B. Credits and debits to this account must bs analyzed in annual reports to the 
 Public Service Commission. 
 
 635. REPAIRS OF GAS MAINS. 
 
 Charge to this account the cost of labor and material employed in repairing 
 mains. This includes labor of foremen, inspectors, caulkers, tappers, pavers, 
 drillers, skilled laborers, general laborers, and similar workers on street de- 
 partment payrolls, while engaged in repairing, altering, overhauling, changing 
 position of or removing street mains; protecting exposed or undermined 
 mains, searching for and repairing leaks in mains, and paving over any of 
 the above work ; also material and cartage in connection with the above work. 
 
 NOTE. This account must be so kept as to enable the corporation to show sepa- 
 rately in its annual report to the Public Service Commission the cost of repairing 
 trunk lines and mains used for transmission of gas, and the cost of repairing those 
 used for distribution. 
 
 In gas operations, when gas is delivered to the supply system outside the works 
 at substantially works pressure, the pipe system, including mains, feeders, and 
 services (and supply pipes to outlying holders, if any), shall all be classed in the 
 distribution system. When the pressure is raised by means of boosters and the gas 
 is delivered to the pipes at higher than works pressure, and is later reduced in 
 pressure and delivered to the distribution system proper, that portion of the pipe 
 system used for conducting gas at the raised pressure shall be classed as the trans- 
 mission system. 
 
ACCOUNTS FOK GAS CORPORATIONS 39 
 
 636. REPAIRS or GAS SERVICES. 
 
 Charge to this account the cost of labor and material employed in repairing 
 services. This includes the same classes of labor as shown in account No. 635, 
 *' Repairs of Gas Mains," while engaged in repairing, altering, removing, re- 
 laying, cutting off, increasing the size of and changing the position of 
 services; searching for and repairing leaks in services; and paving over any 
 of the above work; also material and cartage in connection with the work 
 shown above. 
 
 637. REPAIRS OF GAS METERS. 
 
 Charge to this account the cost of testing and repairing consumers' meters. 
 
 638. REPAIRS OF DISTRIBUTION TCOLS. 
 
 Charge to this account the cost of sharpening and repairing such tools and 
 implements as have l;c<-n charged to capital accounts, and aiv used in the 
 street department and the fitting and repair shops. 
 
 639. REPAIRS OF GAS APPLIANCES. 
 
 Charge to this account the cost of repairs of gas lamps, stoves, engines, and 
 other appliances owned by the corporation and rented to consumers. 
 
 III. MUNICIPAL STREET LIGHTING EXPENSES. 
 
 641. STREET LAMP OPERATING. 
 
 Charge to this account the cost of labor employed in cleaning and lighting 
 street lamps, and extinguishing street lights; in inspecting and supervising 
 the street lighting district; in reporting on re-lights and discontinues, and 
 watching the hours of lighting and extinguishing; and the incidental expenses 
 of street lamp operating. 
 
 642. STREET LAMP REPAIRS. 
 
 Charge to this account the cost of labor and material consumed in fitting 
 up new lamp posts, re-fitting standpipes, cleaning services, cutting off services, 
 re-caulking columns, removing posts, re-setting posts, re-fitting columns, 
 straightening posts, and all other work of a similar character necessary to 
 maintain the street lighting system to the degree of efficiency required by the 
 city; also re-paving over openings made necessary by such work. 
 
 IV. COMMERCIAL EXPENSES. 
 
 G551. COMMERCIAL ADMIMSTKATIOX GAS. 
 Charge to this account all matters provided for under the following heads: 
 
 a. Commercial Department General Labor: This head includes the cost 
 of labor of superintendents and assistants, chief clerks, stenographers, general 
 clerks, high bill clerks, switchboard operators, messengers, janitors, and 
 watchmen employed in the commercial department. 
 
 b. Commercial Department Accounting: This head includes the cost of 
 labor of bookkeepers and clerks employed on consumers' accounts. 
 
 c. Commercial Department Contracts: This head includes the cost of labor 
 of clerks and other employees in the application or contract bureau. 
 
 d. Commercial Department Collecting: This head includes the cost of 
 labor of regular and prepayment collectors. 
 
 e. Meter Reading: This head includes the cost of labor of meter readers. 
 
 f. Commercial Office Supplies and Expenses: This head includes the cost 
 <if supplies and the incidental expenses of the commercial office. 
 
40 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 G552. PROMOTION OFFICE EXPENSE GAS. 
 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 gas consumption, 
 including that portion ot the salaries and expenses of management and clerks 
 in agency and contract departments assignable to new business. 
 
 b. Demonstrations: This covers the cost of labor and expenses incurred 
 in exhibiting and demonstrating the use of gas 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. 
 
 G553. ADVERTISING GAS. 
 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. 
 
 NOTE. This account does not include the expense of advertising residuals, such 
 being chargeable to the proper residual expense account. 
 
 G554. CANVASSING AND SOLICITING GAS. 
 
 Charge to this account all expenses incurred in soliciting new business, 
 including wages, commissions, and personal expenses of canvassers, cost of 
 preparing estimates, engineering advice on gas installation, etc., and office 
 sundries in connection therewith. 
 
 V. GENERAL AND MISCELLANEOUS EXPENSES. 
 
 G823. SALARIES OF GENERAL OFFICERS. 
 
 Charge to this account the salaries of the chairman of the board, president, 
 vice president, treasurer, secretarj^, comptroller, general auditor, general man- 
 ager, assistant general manager, chief engineer, general superintendent, pur- 
 chasing agent, and all other officers whose jurisdiction extends to the entire 
 system and whose services can not be satisfactorily allocated to the several 
 departments. 
 
 G824. SALARIES OF GENERAL OFFICE CLERKS. 
 
 Charge to this account the salaries and wages of general office auditors, 
 bookkeepers, cashiers, paymasters, stenographers, clerks employed in counting 
 cash, and all other clerks employed in the general office. 
 
 NOTE. Cost of labor of clerks in the commercial department shall be charged to 
 account No. G551, "Commercial Administration Gas". (See page 39.) 
 
 G825. GENERAL OFFICE SUPPLIES AND INCIDENTAL EXPENSES. 
 
 Charge to this account the cost of office supplies, repairs of office furniture, 
 and renewals of such furniture as has not been capitalized; wages of jani- 
 tors, porters, and messengers ; rent of rooms in office buildings and repairs of 
 such rented rooms; traveling and incidental expenses of general officers and 
 other general office employees; and all other miscellaneous expenses of general 
 offices. Office expenses of departmental officers must be charged to the proper 
 departmental accounts. 
 
 NOTE A. Rents charged to this account will be required to be reported separately. 
 
 NOTE B. This account does not include cost of telegrams or of telephone service. 
 
ACCOUNTS FOR GAS CORPORATIONS 41 
 
 G83G. GENERAL LAW EXPENSES. 
 
 Charge to this account all law expenses except 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. The 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. G847b, 
 " Law Expenses Connected with Damages ". 
 
 G837. AJiscKi.LAXKors GENERAL EXPENSES. 
 
 Charge to this account the cost of telephone service, telegrams, and other 
 miscellaneous expenses connected with the general management not otherwise 
 
 provided for. 
 
 G838. 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 Public Service Commission corporations will be 
 required to report the charges made to this account for the various kinds of insur- 
 ance, and for self-insurance. 
 
 G839a. RELIEF DEPARTMENT EXPENSES. 
 
 Charge to this account all salaries and expenses incurred in connection with 
 conducting a relief department; also contribution* made to >uch department. 
 
 G839b. PENSIONS. 
 
 Charge to this account all pensions paid to retired employees, and expenses 
 in connection therewith. 
 
 G840. GAS FRANCHISE REQUIREMENTS. 
 
 Charge to this account the cost of all gas and other 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 
 corporation. Amounts charged to this account for which there is no direct 
 money outlay shall be credited to the below provided account No. G853, 
 " Duplicate Gas Charges Cr." ( SVe page 45.) 
 
 G841. RESIDUALS EXPENSE. 
 
 Charge to this account all expense specially incurred in connection with 
 the utilization and sale of residuals and byproducts, such as coke, tar. 
 ammonia, carbon, and oilier residuals and byproducts, etc. 
 
 NOTE. Charges to this account must be made in such wise as to enable the cor- 
 poration to show separately the following matters . 
 
 a. Coke expense, including the cost of all labor and supplies specially consumed 
 and expense specially incurred in the disposal of coke over and above what would 
 be necessitated by such disposition if the coke were not sold. This includes the 
 cost of any special preparation of the coke for sale and the cost of hauling such 
 coke to points of delivery. 
 
 b. Tar expense, including the cost of all labor and supplies specially consumed 
 and all expense specially incurred in the disposition of tar over and above the ex- 
 pense that would be involved if such tar were consumed by the corporation. If 
 
42 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 both coal gas and water gas are manufactured, and the resulting tars are separately 
 disposed of, the tar expense shall be stated for each. 
 
 c. Ammonia expense, including the cost of all labor and supplies specially con- 
 sumed and all expense specially incurred in the preparation and sale of ammonia or 
 ammoniacal liquor over and above what would be involved if such liquor were con- 
 sumed or wasted by the corporation. 
 
 d. Other residuals and byproducts expense, including the cost of all labor and 
 supplies specially consumed and expense specially incwred in the preparation and 
 disposition of other residuals and byproducts than those provided for under the 
 foregoing three heads, over and above, what would be involved if such residuals and 
 byproducts were consumed by the corporation or wasted. 
 
 e. Other miscellaneous expense connected with gas operations and not elsewhere 
 provided for. 
 
 G842. GENERAL AMORTIZATION GAS. 
 
 Charge to this account month 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 gas 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 charged for that month to the various repair 
 accounts in Gas Operating Expenses. The amount charged (or credited) to 
 this account shall be concurrently credited (or charged) to the reserve ac- 
 count Xo. 374, "Accrued Amortization of Capital". (See page 26.) 
 
 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 amount of gas 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 ". 
 
 NOTE 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. G100, 
 "Fixed Capital, December 31, 1908,") 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 b3irig 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 being readily individualized, charges to this account 
 must be sufficient to provide (in respect of such capital and except as provided in 
 account No. G100, "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. 
 
 G845. GAS EXPENSES TRANSFERRED CR. 
 
 Credit to this account the proportion of operating expenses (including 
 depreciation and other amortization as well as repairs) chargeable to other 
 
ACCOUNTS FOR GAS CORPORATIONS 43 
 
 coordinate departments (such as electric or street railroad) within the 
 same corporation, but defrayed in the first instance by the gas department. 
 NOTE. Do not credit to this account any allowance In the nature of rent or 
 return upon the cost or value of property. 
 
 G846. JOINT OPERATING EXPENSE CB. 
 
 When any plant or equipment is maintained or operated by the accounting 
 corporation for the joint benefit of itself and others under an arrangement 
 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. 443, "Joint Gas Rent Revenue". (See page 32.) 
 
 NOTE B. In the case of the production of gas 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 credited to the appropriate revenue account covering the sale of gai. 
 <See account No. 438, " Other Gas Corporations," page 31.) 
 
 G847a. ACCIDENTS AND DAMAGES. 
 
 Charge to this account all expenses (other than law expenses provided for 
 in the succeeding account) on account of persons killed or injured and prop- 
 erty damaged in connection with the operation of the plant, as enumerated 
 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 investiga- 
 tion 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 settlement 
 of claims of employees for injuries arising in the course of their employment; 
 also wages paid to disabled employees while off duty. 
 
 ']. Other ]'rrfmtiul Injuries ot.ti J'rvpcrty Dam<t(je: 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, and 
 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 
 injuries and 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. 
 
 <;S471>. LAW KXPKNSKS CONMX r i I:D WITH DAMAGES. 
 
 Charge to this account all law expenses in connection with the defense or 
 -I i lament of damage claims, including 
 
 a. Salaries and Expenses of Athini'-i/x: A proper proportion of the 
 salary and expenses of the general solicitor or counsel, and salaries, fees, 
 and expenses of attonu-ys engaged in this work. 
 
44 PUBLIC SEEVICE COMMISSION, SECOND DISTRICT 
 
 b. Court Costs and Expenses: Fees of court stenographers, expenses 
 connected with taking depositions, and other court expenses. 
 
 c. Law Printing: Cost of law books, and cost of printing briefs, court 
 records, and similar papers. 
 
 NOTE A. In their annual reports to the Public Service Commission corporations 
 will be required to classify the charges to this account under the three heads, (a), 
 (6), and (c), above given. 
 
 NOTE B. The compensation of the general solicitor or counsel and other attor- 
 neys 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. G836, " 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. 
 
 G848. GENERAL STATIONERY AND PRINTING. 
 
 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. G836, " General Law Expenses," or G847b, " Law Expenses Con- 
 nected 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. G553, "Advertising Gas". 
 
 The cost of such mechanical calculators, typewriters, duplicating machines, 
 and other office appliances as are not properly capitalized, shall, if for use in 
 general offices, be charged to account No. G825, " General Office Supplies and 
 Incidental Expenses"; or if for the use of departmental officers, to the proper 
 departmental accounts. 
 
 G850. STORE EXPENSES. 
 
 Charge to this account all salaries and expenses in connection with store- 
 rooms, including cost of sending materials and supplies from general store- 
 rooms to branch storerooms, and the collection of scrap material. 
 
 G851. STABLE 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 charged to 
 account No. G122, " General Equipment ". 
 
 G852. UNDISTRIBUTED ADJUSTMENTS BALANCE. 
 
 At least once a year an inventory of materials and supplies shall be taken, 
 and the difference (in respect of any particular class of materials and sup- 
 plies) between the ledger and inventory balances debited or credited to this 
 account in case it can not be assigned 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. G285, " Miscellaneous Con- 
 struction Expenditures ". 
 
ACCOUNTS FOE GAS CORPORATIONS 45 
 
 G853. DUPLICATE GAS CHARGES CR. 
 
 Credit to this account all charges made to any accounts in gas operating 
 expenses in respect of any gas or other product of gas operations of the 
 corporation consumed therein. 
 
 17. Expenses of Outside Operations. The detailed expense accounts for 
 other than gas operations will be elsewhere provided for. 
 
 18. 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 
 e. g., "Taxes Assignable to Gas Operations," " Taxes ' Assignable to Xon- 
 operating Revenues," etc. ) , and shall be so kept as to show separately the 
 following: 
 
 State Franchise Tax on Capital Stock, 
 
 State Franchise Tax on (iroxx J-^iniings, 
 
 Special Franchise Ta.r. 
 
 Taxes on Land (exclusive of improvements), 
 
 Taxes on Improvements on Lands, 
 
 Taxes on Personal Property, 
 
 Other Ta&cs (showing in detail). 
 
 To each tax account there shall be charged monthly the amount of ta\<-- 
 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, 
 wln'ro tho 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 tin- ln-ginniug 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 amount of the levy 
 becomes known. If during, say the fifth 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 apportioned 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. 
 
 19. Uncollectible Bills. For uncollectible gas bills the following account is 
 provided : 
 
 G870. UNCOLLECTIBLE GAS BILLS. 
 
 When, after a reasonably diligent effort to collect, any account stated for 
 gas 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: 
 
46 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 G901b. RENT ACCRUED FBOM LEASE OF GAS PLANT. 
 
 Credit to this account monthly as they accrue all revenues flowing to the 
 corporation from its interests in gas plant or equipment held by others under 
 some form of lease whereby it surrenders 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. 
 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 the lessor's tax accounts, nor to any of its expense accounts. 
 
 G901d. 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 
 gas plant and equipment. Such revenues shall be classified as follows: 
 
 Leasehold Revenues: 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 tenant in possession and charged 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 the lessor's tax accounts, nor to any of 
 its expense accounts. 
 
 Other Rent 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 sub-account contemplates that the taxes on prop- 
 erty of this character shall be paid by the landlord and charged to the appro- 
 priate 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 by month to this account aa 
 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. 
 
 902. INTEREST REVENUES. 
 
 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 bound 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 herein- 
 before 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 
 other 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. 
 
ACCOUNTS FOR GAS CORPORATIONS 47 
 
 903. 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 
 investments. 
 
 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 in 
 the annual reports to the Public Service Commission. 
 
 904. 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 
 should be credited to account No. 903, " Dividend Revenues ''. 
 
 905. MISCELLANEOUS NON-OPERATING 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. 
 
 12. 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 : 
 
 a. 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 
 leaseholds. 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 mainte- 
 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 Rent 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. 
 
 6. 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 payment, 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; 
 also all expense incurred in the investigation of the affairs of the corporations 
 whose stocks are held, whether for the purpose of detecting mismanagement 
 
48 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 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. OTHERS' OPERATIONS EXPENSE: This sub-account includes the cost of 
 negotiating contracts whereunder the corporation is to participate in profits 
 resulting from the operations of others; also all expense of collecting the cor- 
 poration's proportion of such profits, and all expense connected with procuring 
 the 'modification or the dissolution of any such contract. 
 
 e. MISCELLANEOUS NON-OPERATING EXPENSE: This sub-account includes all 
 non-operating expense (as hereinbefore defined) which is not provided for in 
 the foregoing sub-accounts. 
 
 /. NON-OPERATING TAXES : This sub-account includes all taxes accruing upon 
 non-operating property and all assignable to non-operating revenues. 
 
 g. UNCOLLECTIBLE NON-OPERATING REVENUES: When any non-operating 
 revenues are judged by the corporation to be uncollectible, the amount thereof 
 shall be credited to the account in which theretofore charged, and charged 
 to the account " Non-operating Revenue Deductions " under the head of " Un- 
 collectible Non-operating Revenues ". 
 
 NOTE. 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 Deduction 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 corporation. 
 
 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's Certificates: This head includes all interest 
 accruing on receiver's certificates which are liens upon the property of the 
 corporation or any part of it. 
 
 Interest Accrued on Other Unfunded Debt: This head includes all interest 
 accruing on all unfunded debt of the corporation except receiver's certificates. 
 
ACCOUNTS FOR GAS CORPORATIONS 49 
 
 Interest Accrued on Debenture Stocks: This head includes all 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. 
 
 922b. RENT FOR LEASE OF OTHER GAS PLANT. 
 
 Charge to this account monthly all amounts accrued against the account- 
 ing corporation for rent of gas plant and equipment which it holds under some 
 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 corporation in 
 possession. 
 
 922. OTHER RENT DEDUCTIONS. 
 
 Charge to this account the matters provided for in the following sub- 
 accounts : 
 
 /. 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. 
 
 NOTE. This should be read in connection with revenue account No. 443, "Joint 
 Gas Rent Revenue". (See page 32.) 
 
 g. MISCELLANEOUS RENT DEDUCTIONS : This sub-account includes all mis- 
 cellaneous rents payable not elsewhere provided for. 
 
 NOTE 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 this 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 whereby the corporation has guaranteed the annual or more fre- 
 quent periodic payment of money or performance of other obligation on the 
 
50 PUBLIC SEKVICE COMMISSION", SECOND DISTRICT 
 
 part of another corporation or person, and because of the default of such 
 other corporation or person 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 
 has protected itself through taking ample security. If insufficient security 
 has been taken in respect of such annual or more frequent payments, the 
 unsecured portion thereof shall be charged to this account. 
 
 925. Loss ON OPERATIONS OF OTHERS. 
 
 Whenever in accordance with the terms of any contract the 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. OTHER 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. AMORTIZATION OF LANDED CAPITAL. 
 
 Charge to this account at the close of any fiscal period such proportion 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 such 
 period. 
 
 NOTE A. The amounts charged to this account shall be concurrently credited to 
 account No. 374, "Accrued Amortization of Capital ". (See page 26.) 
 
 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 any) 
 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 Jbe 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 therewith. 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 CR. 
 
 Credit to this account at or after the close of any fiscal period the propor- 
 tion of the premium at which outstanding debt was issued which is applicable 
 to the period. This proportion shall be determined according to a rule, the 
 uniform application of which during the interval between the issue and the 
 
ACCOUNTS FOR GAS CORPORATIONS 51 
 
 maturity of any debt will completely amortize or wipe out the premium at 
 which such debt was issued. Such amortization may at the option of the 
 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. 
 
 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 sub- 
 stantially all of them are subject only to the discretion of the corporation. 
 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 : 
 
 93 la. 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. 
 
 93 Ib. 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., fines levied on 
 directors, officers, and other employees and assumed by the corporation, dona- 
 tions 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 actual 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. 
 
52 PUBLIC SEEVICE COMMISSION, SECOND DISTRICT 
 
 934. AMORTIZATION ELSEWHERE UNPROVIDED FOR. 
 
 Charge to this account such amortization as is not elsewhere provided for. 
 This account provides for all optional amortization, such as that of discount 
 on stocks outstanding, abandoned property, etc. 
 
 935. APPROPRIATIONS TO RESERVES. 
 Charge to this account all optional appropriations to reserves. 
 
 936. GIFTS TO CONTROLLED CORPORATIONS. 
 
 Charge to this account all gifts made by the corporation to its controlled 
 corporations, 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 elsewhere provided for. 
 
 NOTE. 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 " account 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 
 
 G100. Fixed Capital, December 31, 1908 . . '. 9 
 
 G110. Land Devoted to Gas Operations 9 
 
 101. Organization 10 
 
 G102. Franchises (Gas) 10 
 
 G103. Patent-rights (Gas) 11 
 
 G104. Other Intangible Gas Capital 11 
 
 G121. General Structures 11 
 
 G122. General Equipment 12 
 
 221. Works and Station Structures 12 
 
 222. Holders 13 
 
 G141a. Furnaces, Boilers, and Accessories 13 
 
 G141b. Steam Engines 13 
 
 G143b. Gas Engines 13 
 
 G145. Miscellaneous Power Plant Equipment 13 
 
 223. Benches and Retorts 13 
 
 G143a. Water Gas Sets and Accessories 13 
 
 224. Purification Apparatus 14 
 
 225. Accessory Equipment at Works 14 
 
 231. Trunk Lines and Mains 14 
 
 232. Gas Services 14 
 
 233. Gas Meters 14 
 
 234. Gas Meter Installation 14 
 
 235. Municipal Street Lighting Fixtures (Gas) 15 
 
 236. Gas Engines and Appliances 15 
 
 237. Gas Tools and Implements 15 
 
 238. Gas Laboratory Equipment 15 
 
 239. Other Tangible Gas Capital 15 
 
 G281. Engineering and Superintendence 15 
 
 G282. Law Expenditures During Construction 16 
 
 G283. Injuries During Construction 16 
 
 G284. Taxes During Construction 16 
 
 G285. Miscellaneous Construction Expenditures 16 
 
 G286. Interest During Construction 17 
 
 OHO. Land in Other Departments 17 
 
 0102. Franchises in Other Departments 17 
 
 0103. Patent-rights in Other Departments 17 
 
 0104. Other Intangible Capital in Other Departments 18 
 
 O120. Tangible Capital in Other Departments 18 
 
 FLOATING CAPITAL. 
 
 G10. Materials and Supplies 18 
 
 1. Cash 18 
 
 2. Bills Receivable 19 
 
 3. Accounts Receivable 19 
 
 4. Interest and Dividends Receivable 19 
 
 5. Other Current Assets 19 
 
 INVESTMENTS. 
 
 300. Investments 19 
 
 SPECIAL DEPOSITS. 
 
 311 Coupon Special Deposits 20 
 
 312. Dividend Special Deposits 20 
 
 313. Other Special Deposits 20 
 
 [53] 
 
54 PUBLIC SERVICE COMMISSION, SECOND DISTRICT 
 
 PREPAYMENTS. PAGE 
 
 321. Prepaid Taxes 21 
 
 322. Prepaid Insurance 21 
 
 323. Prepaid Rents v 21 
 
 324. Other Prepayments 21 
 
 SUSPENSE ACCOUNTS. 
 
 331. Unamortized Debt Discount and Expense 21 
 
 332. Other Suspense 22 
 
 RE-ACQUIRED SECURITIES. 
 
 340. Re-acquired Securities 22 
 
 DEBT. 
 
 360. Funded 23 
 
 Unfunded 23 
 
 351. Taxes Accrued 23 
 
 352. Receiver's Certificates 23 
 
 353. Judgments Unpaid 24 
 
 354. Interest Accrued 24 
 
 355. Dividends Declared 24 
 
 356. Bills Payable 24 
 
 G357a. Consumers' Deposits Gas 24 
 
 357b. Other Accounts Payable 24 
 
 358. Other Unfunded Debt 25 
 
 RESERVES. 
 
 Permanent 25 
 
 371. Premiums on Stocks 25 
 
 372. Other Permanent Reserves 25 
 
 Temporary 25 
 
 373. Contractual '. 25 
 
 Non-contractual 25 
 
 Required 26 
 
 374. Accrued Amortization of Capital 26 
 
 375. Unamortized Premium on Debt 26 
 
 376. Other Required Reserves 26 
 
 Optional 26 
 
 381. Casualties and Insurance Reserve 26 
 
 382. Other Optional Reserves 27 
 
 STOCKS. 
 
 390. Stocks 27 
 
 SCHEDULE B: INCOME ACCOUNT. 
 
 OPERATING REVENUES. 
 
 431. Municipal Street Lighting Gas 30 
 
 432. Lighting Municipal Buildings Gas 30 
 
 433. Municipal Heat and Power Gas 31 
 
 434. Miscellaneous Gas Revenue Municipal 31 
 
 435. Prepaid Gas 31 
 
 436. Commercial Metered Lighting Gas 31 
 
 437. Commercial Heat and Power Gas 31 
 
 438. Other Gas Corporations 31 
 
 439. Commissions on Others' Gas 31 
 
 440. Rent of Gas Appliances 31 
 
 441. Gas, Merchandise, and Jobbing Revenue 32 
 
 442. Sale of Residuals and Byproducts 32 
 
 443. Joint Gas Rent Revenue 32 
 
 444. Other Miscellaneous Gas Revenue 32 
 
 OPERATING EXPENSES. 
 
 /. Production Expenses. 
 
 601a. Works Superintendence 34 
 
 601b. Boiler House Labor. . . 34 
 
LIST OF A'efcotJNTS- " J *%:*::/% 55 
 
 PAGE 
 
 601c. Retort House Labor 34 
 
 601d. Generator House Labor 34 
 
 601e. Purifier House Labor 34 
 
 601f. Miscellaneous Labor at Works 34 
 
 602. Boiler Fuel 34 
 
 603. Water 34 
 
 604a. Fuel Under Retorts 34 
 
 604b. Coal Carbonized 35 
 
 605. Coal Gas Enricher 35 
 
 606. Generator Fuel 35 
 
 607. Water Gas Oil 35 
 
 608. Purification Supplies 35 
 
 609. Miscellaneous Works Expense 35 
 
 610. Repairs of Works and Station Structures 35 
 
 G508. Repairs of Furnaces, Boilers, and Accessories 36 
 
 G509. Repairs of Steam Engines 36 
 
 G511b. Repairs of Gas Engines 36 
 
 G513. Repairs of Miscellaneous Power Plant Equipment 36 
 
 611. Repairs of Benches and Retorts 36 
 
 G511a. Repairs of Water Gas Sets and Accessories 36 
 
 612. Repairs of Purification Apparatus 37 
 
 613. Repairs of Holders 37 
 
 614. Repairs of Miscellaneous Equipment 37 
 
 615. Repairs of Works Tools 37 
 
 616. Gas Storage 37 
 
 617. Gas from Other Sources 37 
 
 II. Transmission and Distribution Expenses. 
 
 631. Transmission Pumping 37 
 
 632. Distribution Superintendence 38 
 
 ' 633. Distribution Supplies and Expenses 38 
 
 634a. Gas Meter and Installation Work 38 
 
 634b. Work on Consumers' Premises 38 
 
 635. Repairs of Gas Mains 38 
 
 636. Repairs of Gas Services 39 
 
 637. Repairs of Gas Meters 39 
 
 638. Repairs of Distribution Tools 39 
 
 639. Repairs of Gas Appliances 39 
 
 ///. Municipal Street Lighting Expenses. 
 
 641. Street Lamp Operating 39 
 
 642. Street Lamp Repairs 39 
 
 IV. Commercial Expenses. 
 
 O551. Commercial Administration Gas 39 
 
 G552. Promotion Office Expense Gas 40 
 
 <3553. Advertising Gas 40 
 
 G554. Canvassing and Soliciting Gas 40 
 
 V. General and Miscellaneous Expenses. 
 
 G823. Salaries of General Officers 40 
 
 G824. Salaries of General Office Clerks 40 
 
 G825. General Office Supplies and Incidental Expenses 40 
 
 G836. General Law Expenses 41 
 
 G837. Miscellaneous General Expenses 41 
 
 G838. Insurance 41 
 
 <J839a. Relief Department Expenses 41 
 
 G839b. Pensions 41 
 
 G840. Gas Franchise Requirements 41 
 
 G841. Residuals Expense 41 
 
 G842. General Amortization Gas 42 
 
 G845. Gas Expenses Transferred Cr 42 
 
 G846. Joint Operating Expense 43 
 
 <3847a. Accidents and Damages 43 
 
56 Prur.rc SERVICE COMMISSION, SECOND DISTRICT 
 
 PAGE- 
 
 G847b. Law Expenses Connected with Damages 4S 
 
 G848. .General Stationery and Printing 44 
 
 G850. Store Expenses 44 
 
 G851. Stable Expenses 44 
 
 G852. Undistributed Adjustments Balance 44 
 
 G853. Duplicate Gas Charges Cr 45- 
 
 TAXES. 
 
 G860. Taxes 45 
 
 G870. Uncollectible Gas Bills 45 
 
 NON-OPERATING REVENUES. 
 
 GQOlb. Rent Accrued from Lease of Gas Plant 46- 
 
 GQOld. Miscellaneous Rent Revenues 46 
 
 902. Interest Revenues 46 
 
 903. Dividend Revenues 47 
 
 904. Profits from Operations of Others 47 
 
 905. Miscellaneous Non-operating Revenues 47 
 
 NON-OPERATING REVENUE DEDUCTIONS. 
 
 Non-operating Revenue Deductions 47 
 
 a. Rent Expense 47 
 
 b. Interest Expense 47 
 
 c. Dividend Expense 47 
 
 d. Others' Operations Expense 48 
 
 e. Miscellaneous Non-operating Expense 48 
 
 f. Non-operating Taxes 4& 
 
 g. Uncollectible Non-operating Revenues 48 
 
 INCOME DEDUCTIONS. 
 
 921. Interest Deductions 4& 
 
 922b. Rent for Lease of Other Gas Plant 49- 
 
 922. Other Rent Deductions 49 
 
 f. Joint Facility Rents 49 
 
 g. Miscellaneous Rent Deductions 49 
 
 923. Sinking Fund Accruals 49 
 
 924. Guaranties of Periodic Payments 49 
 
 925. Loss on Operations of Others 50 
 
 926. Other Contractual Deductions from Income 50 
 
 927. Amortization of Landed Capital 50 
 
 928. Amortization of Debt Discount and Expense 50 
 
 929. Amortization of Premium on Debt Cr 50 
 
 APPROPRIATION ACCOUNTS. 
 
 931a. Bad Debts Collected 51 
 
 931b. Other Additions to Surplus 51 
 
 932. Expenses Elsewhere Unprovided For 51 
 
 933. Dividends on Outstanding Stocks 51 
 
 934. Amortization Elsewhere Unprovided For 52 
 
 935. Appropriations to Reserves 52 
 
 936. Gifts to Controlled Corporations 52 
 
 937. Other Appropriations 52 
 
 938. Bad Debts Written Off 52 
 
 939. Other Deductions from Surplus 52 
 
Gaylord Bros. 
 
 Makers 
 
 Syracuse, N. Y. 
 ' PAT. JAN, 21, 1908