CONTENTS
CHAPTER 1 Page
INTRODUCTION AND GENERAL NOTES + « + « ¢ es 00a sss sess easns I
CHAPTER 11
DEFINITIONS « » «xs a a oe Tze ss sxsw vss suns: 10
CHAPTER III
FUNDAMENTAL PRINCIPLESIE, eT es she sos cotit ss ssocesesisno 32
CHAPTER 1V
ESSENTIALS OF VALUE:
Cost of Physical Elements. . « « + + « «10s v.05 nm s.55s 820s 38
Overhead EXPenses, « . + acs sss v0 x a sien wis winin vinie uo oivie S42
Promotion EXpenses . . . «ccc «vv sions sinnsseneieniny sis Noy
Intangible Elements of Value . .........c. oie
Franchisesand Related Matters . . . . . « cc te ces ss svn n se "4
Appreciation and the Unearned Increment . . . . . «ovo v vv nn 73
CHAPTER V
ELemeNTs WHICH REDUCE VALUE:
Deductions from Value (|. . 0 alte ol a ial sieiie te xiiwiiol whale lice eeibenekic $70
The Overbuilt Plant and Property not Required for Immediate Use 80
Depreciation, Amortization, and the Replacement Requirement . . . 84
CHAPTER VI
Tae Errect oF THE NON-AGREEMENT BETWEEN AcTUAL AND PROB-ABLE
 LIFE UroN THE DETERMINATION OF DEPRECIATION ... 1I04
CHAPTER VII
Tae PURPOSE OF THE APPRAISAL:
General Statement . « oo Vala ules sine 'n a einle xe et ul olin sle le W122
Valuation for Purchase or Sale . «vv ss vas a's din vvnisla sini 124
Appraisals as a Basis for Fixing Rates . ................ 127
Appraisals for Taxation Purposes . ........ 00000... 138
Appraisals for the Purpose of Capitalization ............. 139
CHAPTER VIII
TeE FIxXing or RATES:
Public Utilities and the Regulation of Public Service ........ 140
The Rato-Base . « « « « sino = + = wie ute ielntietetti) sie sisiwie visiv: i 150

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