Wood Craft; A Journal of Woodworking, with Which Is Incorporated the Patternmaker. Volume 9
This historic book may have numerous typos and missing text. Purchasers can usually download a free scanned copy of the original book (without typos) from the publisher. Not indexed. Not illustrated. 1908 edition. Excerpt: ...cover both. Any concern which docs not lay aside, at least 5 per cent of the total of its plant if new, and apply the same at intervals toward the renewal and improvements, will find itself at the end of twenty years in a position not able to compete with success with modern equipped concerns, and it will be necessary to make radical changes at great-expense calling for new capital. When Depreciation Begins It is often stated that there is no depreciation during the first year of running; that the machinery will do better work after it is limbered up and adjusted than when it is set to work. As a matter of fact, depreciation does begin immediately although it may not be perceptible. After the first year, depreciation is charged sometimes at a uniform rate of 5 per cent over all the machinery, due allowance being made for any removal of parts outside of ordinary repairs. This view lias been presented to me by a member of the American Society of Mechanical Engineers, that after the first year the depreciation should be marked off 5 to 10 per cent a year until the value is brought down to one-half the original cost; then to maintain its value about level for a while until it becomes apparent that it would soon be profitable to replace the machinery, when the depreciation goes on at a more rapid rate. Permanence and Profit This method may be profitable for a mill to pursue in its own bookkeeping, but it is not quite definite enough in making up a valuation for purchase, etc. It is sometimes the case that some of the machinery is older than these rates would allow them to be in existence, but they may be still there, perhaps for the same reason that the bridge remained which the engineer had figured could not hold tip its load. When asked how...
- 189 x 246 x 9mm | 304g
- 13 Sep 2013
- United States
- black & white illustrations