$
AMORTIZATION ALLOWANCE AND REPLACEMENT REQUIREMENTS. NUMEROUS ARTICLES.
PROBABLE LIFE 10 YEARS. INTEREST 6 PER CENT. =
, - TF - ——— TT = a
be | +
S814— :
3 =
g 13 .
5 2
5 12} —
A 1}
a)
| 10
: §
| oF
i
8k
a —— oie ae 1
‘ No. L.—Replacement requirements. +i.uy . 1+ __owth. Hailures as shown in Fig. «
No. 2~Replacement requirements, Plant made up ot uniform annual additions. }
Failures as shown in Fig. 1 t=
No. 3~Replacement requirements. Plant of full growth, Failures estimated by the -
law of probabilities. =
No. 4 =Replacement requirements. Plant made up of uniform annual additions. CL m
Failures estimated by the law of probabilities. fa
No. 5~Amortization allowance. By the Straight-Line Method. T—
No. 6—Amortization allowance. By the Equal-Annual-Payment Method. All articles of
) the same age and renewals assumed to be made at the end of the probable life term. :
%, 'No. T—=Amortization allowance. By the Equal-Annual-Payment Method. Plant made ° :
up of uniform annual additions.
1 ES SS = =r = ;
, Jv. Cr de— eh : So u;
ve . 5 + 5 6 7.8 007 B13 14 151617 18 19 20 21 22 2 2 2 2% 5 8 HD =
Years
FIG. 2.