Full text : Valuation, depreciation and the rate base

TABLES +o /
TABLE 3:1. EXPECTANCY AND REMAINING VALUE OF ANY
ARTICLE WHOSE REPLACEMENT COST IS $100
All values in this table are based on the assumption that in a group of
many articles, no article will survive twice its probable life and that the
number of annual failures will increase at a uniform rate to a maximum
at the end of the probable life term and will thereupon decrease at a uniform
 rate.
PROBABLE LIFE 5 YEARS
5 YEARS 5 YEARS
Remaining value.
Beginning Expectancy
Ol vear. years.
4 per cent per 5 per cent per 6 per cent per 7 per cent per
annum. annum. annum. annum.
5.00 $100.00 $100.00 $100.00 $100.00
4.15 84.30 84.60 84.90 85.20
3.40 70.00 70.50 | 71.00 71.50
2.75 57.30 57.90 58.40 59.00
“ 2.23 47.40 47.90 48.50 49.10
1.85 39.30 39.80 40.30 40.90
1.55 33.00 33.50 34.00 34.50
1.25 26.80 27.20 27.60 28.00
1.00 21.60 22.00 22.40 22.80
PROBABLE LIFE 10 YEARS
10 YEARS 10 YEARS
T 10.00 100.00 100.00 100.00 100.00
9.10 92.50 92.90 93.20 93.50
8.25 85.20 | 85.80 86.40 | 87.00
7.50 78.50 79.30 80.10 81.00
6.80 72.10 73.10 74.00 75.00
: 6.10 65.60 66.70 67.70 68.80
5.50 59.90 60.90 62.00 63.10
5.00 54.90 56.10 57.20 58.40
: 4.50 49.80 51.00 52.20 53.30
10 4.10 45.90 46.90 48.10 49.20
II 3.70 41.60 42.70 43.90 45.00
12 3.35 37-90 | 39.00 40.10 41.20
1g 3.00 34.20 35.30 36.30 37.40
11 2.63 30.40 31.40 32.30 33.30
15 2.30 26.50 27.40 28.30 29.30
16 2.00 23.3008: 24.10 24.90 25.70
ry 1.63 19.50 20.20 20.90 21.60
18 1.33 15.70 | 16.30 16.90 17.50
19 1.00 11.90 12.30 12.80 12.20

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