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30 III - Present-Day Costs - represent original cost in place | at date installed and increased by the ratio of that original cost to the cost as represented by the average price level for the three-year period 1947 to 1949 in­clusive. Land has been included at present-day costs as under the original cost it©©. Tables A, B, C and 0, in the Appendix, present in summary form the development of the capital accounts. These summary tables show the following fixed capital amounts for the year 1949* Classification Production Facilities (LA&SLRECo. i Water Utility (LVL&WCo.) Total Amoui 1 - Investment Cost: Land # 34,986 # - ? 34,986 Improvements 765,397 7X2,045 1,477,442 Water Eights ..J0.0Q0 - 30.000 Total w 630,34*3 1712,045 $1,542,428 II- Original Cost Land $ 75,900 — f 75,900 improvements 779,254 805,525 1,584,779 Water Eights 30.000 — 30.000 Total w 685,154 # 805,525 $1,6961679 III- Present-Day Cost: Land # 75,900 # - 1 75,900 Improvements 1,120,900 1,076,788 2,197,688 Water Eights 30,000 e* 30.000 Total $ ,1,226,800 $1,076,788 #2,303,586 The significance of the above capital figures may now be briefly reviewed. Land: There is a total of 1230.74 acres of land classified by the (Footnote continued from page 29) This method is in contrast to that employed by the Public Service Commission of Mev&da which is evidently that of the national Asso­ciation of Railroad and Utility Commissioners and provides for the full capital change (increase or decrease} upon the replacement of a plant unit, whether there is a betterment or not. Under the latter method, which is spoken of as "retirement accounting", there will generally be an increase in the capital charges through re­placement of plant if there has been a general rise in the price index.