upr000162 31

As will be further explained, those costs under Item B have not in the past been assigned to the Las Vegas operations, although such costs have actually been incurred. The character of the services and costs that go to make up these administrative expenses are: A - Administrative Charges Arising'in Las Vegas These charges include that portion of the Salaries and expenses of the general manager, his assistant and the superintendent, whose work is assigned to the Water Utility operation. The following tabulation, covering the years 1947, 1948 and 1949, shows the recorded administrative charges for all Las Vegas operations of L.V.and W.Co. and the portion assigned to the Water Utility: 1947 1948 1949 I--------- I--------- 1 Total for all Las Vegas operations of L.V.L.& W.Co. 14,325.16 15,869.96 16,676.48 Allocation to Water Utility 76.0$ 76.0$ 88.0$ Amount reported to P.S.C.IT. 10,887.12 12,061.17 14,675.30 The basis of proration for this and other ap­portioned items in general expense accounts over the period 1931-1948 has been: Water system 76$ Rooming house 19 Lots and land 5 Total T0 O$ In view of the substantial growth in the water system and an actual decline in the activities of the other two functions, a new set of allocation percentages for ad­ministrative salaries were established for the year 1949,