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1957 Uniform system of accounts for railroad companies. Prescribed by the Interstate Commerce Commission in accordance with section 20 of the Interstate commerce act. Issue of 1957, as amended to January 1, 1957 United States. Interstate Commerce Commission

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Recommended Citation United States. Interstate Commerce Commission, "Uniform system of accounts for railroad companies. Prescribed by the Interstate Commerce Commission in accordance with section 20 of the Interstate commerce act. Issue of 1957, as amended to January 1, 1957" (1957). Federal Publications. 51. https://egrove.olemiss.edu/acct_fed/51

This Book is brought to you for free and open access by the Accounting Archive at eGrove. It has been accepted for inclusion in Federal Publications by an authorized administrator of eGrove. For more information, please contact [email protected]. UNIFORM SYSTEM OF ACCOUNTS FOR RAILROAD COMPANIES

PRESCRIBED BY THE INTERSTATE COMMERCE COMMISSION in accordance with Section 20 of the Interstate Commerce Act

ISSUE OF 1957

AS AM ENDED TO JANUARY 1, 1957 UNIFORM SYSTEM OF ACCOUNTS

FOR RAILROAD COMPANIES

PRESCRIBED BY THE INTERSTATE COMMERCE COMMISSION in accordance with Section 20 of the Interstate Commerce Act

ISSUE OF 1957

AS AM ENDED TO JANUARY 1, 1957

UNITED STATES GOVERNMENT PRINTING OFFICE WASHINGTON : 1957

For sale by the Superintendent of Documents, U. S. Government Printing Office, Washington 25, D. C. - Price 60 cents CONTENTS

P a g e Order of the Commission______iv Index to Code of Federal Regulations references______1 Note explaining Code numbering______5 Accounting instructions: Investment in road and equipment______5 Operating revenues and operating expenses______14 Operating revenues—Special instructions______15 Operating expenses—Special instructions______16 Income, retained income, and general balance sheet______24 Income—Special instructions______25 Retained income—Special instructions______25 General balance sheet—Special instructions______25 Property accounts: Road______28 Equipment______40 General expenditures______43 Revenue accounts: Transportation______45 Incidental______48 Joint facility______50 Expense accounts: Maintenance of roadway______50 Maintenance of equipment______61 Traffic______67 Transportation______70 Miscellaneous______85 General______87 Accounts for small carriers—Class II______90 Income accounts______93 Form of income statement______100 Retained income accounts______102 General balance sheet accounts______103 Form of general balance sheet statement______117 Classification of mileage accounts: Train miles______118 Locomotive miles______119 Car miles______121

III ORDER At a session of the Interstate Commerce Commission, division 2, held at its office in Washington, D. C., on the 11th day of June A. D. 1957. The matter of accounting regulations prescribed for railroad companies, which are not independently operated as electric lines, being under consideration pursuant to provisions of section 20 of the Interstate Commerce Act, as amended; and, It appearing, That by an order entered August 15, 1952, the Uniform System of Accounts for Railroad Companies, Issue of 1952, was prescribed but has since been variously modified by subsequent orders, and it is deemed necessary for proper refer­ ence that the regulations and the several modifications should be consolidated and published in revised form: It is ordered, That the regulations prescribed by the order of August 15, 1952, including modifications thereof to December 31, 1956, which regulations so modified are hereby referred to and made a part hereof, be, and they are hereby, published in revised form to be cited as the Uniform System of Accounts for Railroad Companies, Issue of 1957; and, It is further ordered, That notice of this order shall be given to railroad companies subject to its provisions and to the general public by depositing a copy thereof, with the attached regulations in revised form, in the office of the Secretary of the Commission at Washington, D. C., and by filing it with the Director of the Division of the Federal Register.

By the Commission, division 2.

[s e a l ] H arold D. M cCoy, Secretary.

IV TITLE 49— TRANSPORTATION Sec. 10.04- 18 Insurance. Chapter I—Interstate Commerce 10.04- 19 Equalization of maintenance ex­ Commission penses. 10.04- 20 Accruals of expenses. P art 10— U n if o r m S y s t e m o f A c c o u n t s 10.04- 22 Interpretation of item lists. f o r R ailroa d C o m p a n ie s 10.04- 23 Delayed items. 10.04- 24 Depreciation accounting; equip­ Sec. ment. 10.00 Regulations prescribed INCOME, RETAINED INCOME, AND GENERAL A c c o u n t i n g I nstructions BALANCE SHEET INVESTMENT IN ROAD AND EQUIPMENT 10.05 General instructions. 10.01 General Instructions. 10.05- 1 General ledger accounts. 10.01-1 Accounts for investment in road 10.05- 2 Leased road and equipment; de­ and equipment. preciation. 10.01-2 Items to be charged 10.05- 3 Closing general ledger. 10.01-3 Basis of charges. Income 10.01- 4 Cost of construction. 10.01- 5Excavated material. 10.06 Special instructions. 10.01- 6 Items to be credited. 10.06- 1 Income accounts defined. 10.01- 7 Road property retired. 10.06- 2 Delayed items. 10.01- 8 Property changes. 10.06- 3 Unaudited items. 10.01- 9 Equipment retired. Retained Income 10.01- 10Land retired. 10.01-11 Adjustment for converted prop­ 10.07 Special instructions. erty. 10.01-12 Expenses in connection with addi­ General Balance Sheet tions and betterments. 10.08 Special instructions. 10.01- 13Interpretation of item lists. 10.08-1 Balance sheet accounts. 10.01- 14Submission of questions. 10.08-2 Discount, premium, and assess­ 10.01- 15List of accounting units of prop­ ment on capital stock. erty for railroads. 10.08-3 Discount, expense, and premium on funded debt. OPERATING REVENUES AND OPERATING EXPENSES 10.08-4 Contingent assets and liabilities. 10.02 General instructions. 10.08-5 Book value of securities owned. 10.02-1 Operating accounts. 10.08-6 Income from sinking fund assets. 10.02-2 Unaudited items affecting operat­ 10.08-7 Current assets. ing accounts. 10.08-8 Joint liabilities. 10.02-3 Delayed items. 10.02-4 Miscellaneous operations. P roperty Accounts 10.02-5 Submission of questions. road 10.02-6 Stockyards. 10.0 Road. Operating Revenues 10.1 Engineering. 10.2 Land for transportation purposes. 10.03 Special instructions. 10.2½ Other right-of-way expenditures. 10.03-1 Accounts for operating revenues. 10.3 Grading. 10.03-2 Interpretation of item lists. 10.5 Tunnels and subways. 10.03-3 Accruals of revenues. 10.6 Bridges, trestles, and culverts. 10.03-5 Delayed items. 10.7 Elevated structures. 10.8 Ties. Operating Expenses 10.9 Rails. 10.04 Special instructions. 10.10 Other track material. 10.04-1 Accounts for operating expenses. 10.11 Ballast. 10.04-2 Maintenance expenses. 10.12 Track laying and surfacing. 10.04-3 Cost of repairs. 10.13 Fences, snowsheds, and signs. 10.04-4 Royalties on appliances. 10.16 Station and office buildings. 10.04-5 Road property retired. 10.17 Roadway buildings. 10.04-6 Distribution of charges for nonde­ 10.18 Water stations. preciable road property retired. 10.19 Fuel stations. 10.04-7 Adjustment for converted property. 10.20 Shops and enginehouses. 10.04-8 Depreciation accounting; road 10.21 Grain elevators. property. 10.22 Storage warehouses. 10.04-9 Joint facility accounts. 10.23 Wharves and docks. 10.04-10 Clearing accounts. 10.24 Coal and ore wharves. 10.04-11 Gravel and sand pits and quarries. 10.26 Communication systems. 10.04-12 Power plant operations. 10.27 Signals and interlockers. 10.04-14 Maintaining transmission and dis­ 10.29 Power plants. tribution systems. 10.31 Power-transmission systems. 10.04-15 Shop expenses. 10.35 Miscellaneous structures. 10.04-16 Material store expenses. 10.37 Roadway machines. 10.04-17 Stationery store expenses. 10.38 Roadway small tools.

1 Sec. Joint Facility 10.39 Public improvements; construc­ Sec. tion. 10.150 Joint facility. 10.40 Revenues and operating expenses 10.151 Joint facility—Cr. during construction. 10.152 Joint facility—Dr. 10.42 Reconstruction of road property acquired. EXPENSE ACCOUNTS 10.43 Other expenditures; road. 10.44 Shop machinery. Maintenance of Roadway 10.45 Power-plant machinery. 10.200 Maintenance of way and struc­ 10.47 Unapplied construction material tures. and supplies. 10.201 Superintendence. 10.202 Roadway maintenance. EQUIPMENT 10.206 Tunnels and subways. 10.50 Equipment. 10.208 Bridges, trestles, and culverts. 10.51 Steam locomotives. 10.210 Elevated structures. 10.52 Other locomotives. 10.212 Ties. 10.53 Freight-train cars. 10.214 Rails. 10.54 Passenger-train cars. 10.216 Other track material. 10.56 Floating equipment. 10.218 Ballast. 10.220 Track laying and surfacing. 10.57 Work equipment. 10.221 Fences, snowsheds, and signs. 10.58 Miscellaneous equipment. 10.227 Station and office buildings. 10.59 Unapplied material and supplies; 10.229 Roadway buildings. equipment. 10.231 Water stations. GENERAL EXPENDITURES 10.233 Fuel stations. 10.235 Shops and enginehouses. 10.70 General expenditures. 10.237 Grain elevators. 10.71 Organization expenses. 10.239 Storage warehouses. 10.72 General officers and clerks. 10.241 Wharves and docks. 10.73 Law. 10.243 Coal and ore wharves. 10.74 Stationery and printing. 10.247 Communication systems. 10.75 Taxes. 10.249 Signals and interlockers. 10.76 Interest during construction. 10.253 Power plants. 10.77 Other expenditures; general. 10.257 Power-transmission systems. 10.265 Miscellaneous structures. Operating R evenu es and Operating E x pen ses 10.266 Road property; depreciation. 10.267 Retirements; road. REVENUE ACCOUNTS 10.269 Roadway machines. Transportation 10.270 Dismantling retired road property. 10.271 Small tools and supplies. 10.272 Removing snow, ice, and sand. 10.100 Transportation; rail line. 10.273 Public improvements; mainte­ 10.101 Freight. nance. 10.102 Passenger. 10.274 Injuries to persons. 10.103 Baggage. 10.275 insurance. 10.104 Sleeping car. 10.276 Stationery and printing. 10.105 Parlor and chair car 10.277 Other expenses. 10.106 Mail. 10.107 Express. 10.278 Maintaining joint tracks, yards, 10.108 Other passenger-train and other facilities—Dr. 10.109 Milk. 10.279 Maintaining joint tracks, yards. 10.110 Switching. and other facilities—Cr. 10.113 Water transfers; freight. 10.280 Equalization; way and structures. 10.114 Water transfers; passenger. 10.281 Right-of-way expenses. 10.115 Water transfers; vehicles and live­ Maintenance of Equipment stock. 10.300 Maintenance of equipment. 10.116 Water transfers; other. 10.301 Superintendence. Incidental 10.302 Shop machinery. 10.304 Power-plant machinery. 10.130 Incidental. 10.305 Shop and power-plant machinery; 10.131 Dining and buffet. depreciation. 10.132 Hotel and restaurant. 10.306 Dismantling retired shop and 10.133 Station, train, and boat privileges power-plant machinery. 10.134 Parcel room. 10.308 Steam locomotives; repairs. 10.135 Storage; freight. 10.311 Other locomotives; repairs. 10.136 Storage; baggage 10.314 Freight-train cars; repairs. 10.137 Demurrage. 10.317 Passenger-train cars; repairs. 10.138 Communication. 10.323 Floating equipment; repairs. 10.139 Grain elevator. 10.326 Work equipment; repairs. 10.141 Power. 10.328 Miscellaneous equipment; repairs. 10.142 Rents of buildings and other prop­ 10.329 Dismantling retired equipment. erty. 10.330 Retirements; equipment. 10.143 Miscellaneous. 10.331 Equipment; depreciation.

2 S ec. Sec. 10.332 Injuries to persons. 10.415 Clearing wrecks. 10.333 Insurance. 10.416 Damage to property. 10.334 Stationery and printing. 10.417 Damage to livestock on right of 10.335 Other expenses. way. 10.336 Joint maintenance of equipment 10.418 Loss and damage; freight. expenses—Dr. 10.419 Loss and damage; baggage. 10.337 Joint maintenance of equipment 10.420 Injuries to persons. expenses—Cr. 10.338 Equalization; equipment. Miscellaneous Operations Traffic 10.440 Miscellaneous operations. 10.441 Dining and buffet service. 10.350 Traffic. 10.442 Hotels and restaurants. 10.351 Superintendence. 10.443 Grain elevators. 10.352 Outside agencies. 10.445 Producing power sold. 10.353 Advertising. 10.446 Other miscellaneous operations. 10.354 Traffic associations. 10.447 Operating joint miscellaneous fa­ 10.355 Fast freight lines. cilities—Dr. 10.356 Industrial and immigration bu­ 10.448 Operating joint miscellaneous fa­ reaus. cilities—Cr. 10.357 Insurance. 10.358 Stationery and printing. General 10.359 Other expenses. 10.450 General. Transportation 10.451 Salaries and expenses of general officers. 10.370 Transportation; rail line. 10.452 Salaries and expenses of clerks and 10.371 Superintendence. attendants. 10.372 Dispatching trains. 10.453 General office supplies and ex­ 10.373 Station employees. penses. 10.374 Weighing, inspection, and demur­ 10.454 Law expenses. rage bureaus. 10.455 Insurance. 10.375 Coal and ore wharves. 10.456 Relief department expenses. 10.376 Station supplies and expenses 10.457 Pensions and gratuities. 10.377 Yardmasters and yard clerics. 10.458 Stationery and printing. 10.378 Yard conductors and brakemen 10.459 Valuation expenses 10.379 Yard switch and signal tenders 10.460 Other expenses. 10.380 Yard enginemen. 10.461 General Joint facilities—Dr. 10.382 Yard switching fuel. 10.462 General Joint facilities—Cr. 10.383 Yard switching power produced. 10.384 Yard switching power purchased Condensed Classification of Operating 10.885 Water for yard locomotives. Expenses 10.386 Lubricants for yard locomotives. 10.480 Accounts for small carriers, Class 10.387 Other supplies for yard locomotives II. 10.388 Enginehouse expenses; yard. 10.389 Yard supplies and expenses. Inco m e Accounts 10.390 Operating joint yards and termi­ nals—Dr. credit 10.391 Operating joint yards and termi­ 10.501 Railway operating revenues. nals—Cr. 10.502 Revenues from miscellaneous op­ 10.892 Train enginemen. erations. 10.394 Train fuel. 10.503 Hire of freight cars; credit balance. 10.395 Train power produced. 10.504 Rent from locomotives. 10.396 Train power purchased. 10.505 Rent from passenger-train cars 10.397 Water for train locomotives. 10.506 Rent from floating equipment. 10.398 Lubricants for train locomotives. 10.507 Rent from work equipment. 10.399 Other supplies for train locomo­ 10.508 Joint facility rent income. tives. 10.509 Income from lease of road and 10.400 Enginehouse expenses; train. equipment. 10.401 Trainmen. 10.510 Miscellaneous rent income. 10.402 Train supplies and expenses. 10.511 Income from nonoperating prop­ 10.403 Operating sleeping cars. erty. 10.404 Signal and interlocker operation 10.512 Separately operated properties; 10.405 Crossing protection. profit. 10.406 Drawbridge operation. 10.513 Dividend Income. 10.407 Communication system operation. 10.514 Interest Income. 10.408 Operating floating equipment. 10.516 Income from sinking and other re­ 10.410 Stationery and printing. serve funds. 10.411 Other expenses. 10.517 Release of premiums on funded 10.412 Operating joint tracks and facili­ debt. ties—Dr. 10.518 Contributions from other com­ 10.413 Operating joint tracks and facili­ panies. ties—Cr. 10.519 Miscellaneous income. 10.414 Insurance. 10.520 Delayed income credits.

3 DEBIT Sec. 10.704 Loans and notes receivable. Sec. 10.705 Traffic and car-service balances—Dr. 10.531 Railway operating expenses. 10.706 Net balance receivable from agents 10.532 Railway tax accruals. and conductors. 10.534 Expenses of miscellaneous opera­ 10.707 Miscellaneous accounts receivable. tions. 10.708 Interest and dividends receivable. 10.535 Taxes on miscellaneous operating 10.709 Accrued accounts receivable. property. 10.710 Working fund advances. 10.536 Hire of freight cars; debit balance. 10.711 Prepayments. 10.537 Rent for locomotives. 10.712 Material and supplies. 10.538 Rent for passenger-train cars. 10.713 Other current assets. 10.539 Rent for floating equipment. 10.715 Sinking funds. 10.540 Rent for work equipment. 10.716 Capital and other reserve funds. 10.717 Insurance and other funds. 10.541 Joint facility rents. 10.721 Investments in affiliated companies. 10.542 Rent for leased roads and equip­ 10.722 Other investments. ment. 10.723 Reserve for adjustment of invest­ 10.543 Miscellaneous rents. ment in securities—Cr. 10.544 Miscellaneous tax accruals. 10.731 Road and equipment property. 10.545 Separately operated properties; 10.732 Improvements on leased property. loss. 10.733 Acquisition adjustment. 10.546 Interest on funded debt. 10.734 Donations and grants—Cr. 10.547 Interest on unfunded debt. 10.735 Accrued depreciation; road and 10.548 Amortization of discount on equipment. funded debt. 10.736 Amortization of defense projects; 10.549 Maintenance of Investment or­ road and equipment. ganization. 10.737 Miscellaneous physical property. 10.550 Income transferred to other com­ 10.738 Accrued depreciation; miscellaneous panies physical property. 10.551 Miscellaneous income charges. 10.741 Other assets. 10.552 Income applied to sinking and 10.742 Unamortized discount on long-term other reserve funds. debt. 10.553 Dividend appropriations of Income. 10.743 Other deferred charges. 10.554 Income appropriated for invest­ ment in physical property. credit 10.555 Stock discount extinguished 10.751 Loans and notes payable. through income. 10.752 Traffic and car-service balances—Cr. 10.556 Miscellaneous appropriations of in­ 10.753 Audited accounts and wages payable. come. 10.754 Miscellaneous accounts payable. 10.557 Delayed income debits. 10.755 Interest matured unpaid. 10.560 Form of income statement. 10.756 Dividends matured unpaid. R etained I ncome Accounts 10.757 Unmatured interest accrued. 10.758 Unmatured dividends declared. CREDIT 10.759 Accrued accounts payable. 10.601 Credit balance (at beginning of 10.760 Taxes accrued. calendar year). 10.761 Other current liabilities. 10.602 Credit balance transferred from in­ 10.765 Funded debt unmatured. come. 10.766 Equipment obligations. 10.607 Miscellaneous credits. 10.767 Receivers’ and trustees’ securities. 10.768 Debt in default. DEBIT 10.769 Amounts payable to affiliated com­ 10.611 Debit balance (at beginning of panies. calendar year). 10.771 Pension and welfare reserves. 10.612 Debit balance transferred from in­ 10.772 Insurance reserves. come. 10.773 Equalization reserves. 10.613 Retained income applied to sink­ 10.774 Casualty and other reserves. ing and other reserve funds. 10.781 Interest in default. 10.614 Dividend appropriations of re­ 10.782 Other liabilities. tained income. 10.783 Unamortized premium on long-term 10.615 Retained income appropriated for debt. investment in physical property. 10.784 Other deferred credits. 10.616 Stock discount extinguished 10.785 Accrued depreciation; leased prop­ through retained income. erty. 10618 Miscellaneous appropriations of 10.791 Capital stock issued. retained income. 10.792 Stock liability for conversion. 10.621 Miscellaneous debits. 10.793 Discount on capital stock. 10.794 Premiums and assessments on capi­ General Balance Sheet Accounts tal stock. debit 10.795 Paid-in surplus. 10.701 Cash. 10.796 Other capital surplus. 10.702 Temporary cash investments. 10.797 Retained income; appropriated. 10.703 Special deposits. 10.798 Retained income; unappropriated.

4 Sec. Act and not independently operated as 10.799 Form of general balance sheet state­ electric lines, and each lessor of such a ment. carrier, shall comply with regulations in Classification of Mileage Accounts this part which, as presented herein­ after, include all modifications thereof TRAIN MILES effective January 1, 1957, and prior 10.800 Rules and definitions. thereto. TRAIN-MILE ACCOUNTS A c c o u n t in g I nstructions Transportation Service INVESTMENT IN ROAD AND EQUIPMENT 10.801 Freight-train miles. § 10.01 General instructions. The 10.802 Passenger-train miles. carrier’s records shall be kept with suffi­ Work Service cient particularity to show fully the 10.805 Work-train miles. facts pertaining to all entries made in the accounts provided in this part for LOCOMOTIVE MILES investment in road and equipment. 10.810 Rules and definitions. Where the full information is not re­ LOCOMOTIVE-MILE ACCOUNTS corded in the general books, the entries therein shall be supported by other rec­ Transportation Service; Line ords in which the full details shall be 10.811 Freight locomotive-miles. shown. Such general book entries shall 10.812 Passenger locomotive-miles. contain sufficient reference to the detail Transportation Service; Switching records to permit ready identification, 10.815 Train switching locomotive-miles and the detail records shall be filed in 10.816 Yard switching locomotive-miles. such manner as to be readily accessible Work Service for examination by representatives of the Interstate Commerce Commission. 10.817 Work service locomotive-miles § 10.01-1 Accounts for investment in CAR M IL E S road and equipment. The accounts pre­ 10.820 Rules and definitions. scribed in this classification, except in CAR-MILE ACCOUNTS connection with the acquisition of trans­ portation property as provided in ac­ Transportation Service counts 733, “Acquisition adjustment,” 10.821 Freight-train car-miles. and 734, “Donations and grants—Cr.,” 10.822 Passenger-train car-miles are designed to show the investment of Work Service the carrier in property devoted to trans­ 10.825 Work service car-miles. portation service. The carrier’s invest­ ment in physical property other than transportation property is provided for Authority: §§ 10.00 to 10.825 issued under sec. 12, 24 Stat. 383, as amended; 49 U. S. C. in balance-sheet account 737, “Miscella­ 12. Interpret or apply sec. 20, 24 Stat. 386, as neous physical property.” “The carrier” amended; 49 U. S. C. 20. means the accounting carrier, except when otherwise specifically indicated. Note: In this part the numbers assigned to The carrier’s records shall be kept in sections thereof include as a whole num­ ber, following the decimal point, the number such form that expenditures for addi­ of the prescribed account. Where references tions and betterments may be reported throughout the regulations are to an ac­ separately from those for original road, count, as such, only the account number original equipment, and road extensions, portion of the section number is used. For and shall show separately the expendi­ example: Account 101, “Freight,” may be tures under each authorized addition mentioned in the instructions or in the text and betterment project. (See balance- of another account, and will be found as sheet account 731, “Road and equipment § 10.101 under operating revenues. Sections property,” and 732, “Improvements on devoted to instructions, as distinguished from leased property.”) When a building or the texts of the prescribed accounts, are structure is used primarily for trans­ numbered serially § 10.01 to § 10.08, inclusive, portation purposes it is not contemplated with appropriate sub-numbers following a that parts of such buildings or structures dash. rented to others will be carried in ac­ A p p l ic a t io n count 737; nor is it contemplated that § 10.00 Regulations prescribed. Pur­ irregular parcels of land acquired in suant to provisions of an order entered connection with acquisition of right-of- August 15, 1952, as subsequently way which have no value as commercial amended, carriers by railroad subject to property shall be transferred to account provisions of the Interstate Commerce 737, either for the purpose of making

5 right-of-way boundaries more or less road extensions, additions, and better­ regular or for the purpose of eliminating ments. from account 731 the cost of unoccupied "Original road” means the land and lands between tracks in yards and ter­ road property provided and arranged for minals. in the original plan for the construction of a new road. When the acquisition of § 10.01-2 Items to be charged. To any road property under the original plan these accounts shall be charged the cost Is deferred, such property when acquired, of original road, original equipment, road shall be considered an addition. Original extensions, additions, and betterments; road shall not include road property also the estimated values at time of ac­ which, under the original plans for the quisition of right of way and other road road, it is proposed to substitute at some and equipment property donated to the time subsequent to the beginning of com­ carrier, except that unless authorized by mercial operations, for the property orig­ the Commission no charges shall be made inally installed and used for transporta­ to these accounts after July 1, 1914, for tion operations, such as steel bridges sub­ donations received previously to that stituted for trestles. date. Applications to the Commission “Original equipment” means equip­ for including such items in the road and ment provided and arranged for under equipment accounts shall contain full in­ the original plan for the construction of formation concerning the source and a new road. When the acquisition of character of the donations. such equipment under the original plan (a) When the property change in­ is deferred, such equipment, when ac­ volves: (1) the acquisition of units and quired, shall be considered as additions. minor items of road property (other than “Road extensions” means the land and land or tracks) such as defined in para­ road property provided and arranged for graphs (e) and (c) of § 10.01-7 Road in the original plan for the construction property retired the cost of which is less of extensions of existing main lines, addi­ than $500.00; (2) the betterment of road tional branch lines, and extensions of property (see “Betterments” under para­ existing branch lines. When the acquisi­ graph (c) of this section), the better­ tion of any road property under the ment cost of which is less than $500.00, original plan is deferred, such property, the cost of the units and minor items of when acquired, shall be treated as an ad­ road property acquired under (1) and dition. Road extensions shall not in­ betterment costs under (2) shall be clude road property which, under the charged to operating expenses. original plan for the extensions, it is The retirement of units and minor proposed to substitute, at some time sub­ items of road property shall be accounted sequent to the beginning of commercial for in accordance with § 10.01-7 Road operations for the property originally in­ property retired. stalled and used for transportation in (b) The carrier shall not parcel ex­ connection with the commercial opera­ penditures or retirements under a gen­ tions, such as steel bridges substituted eral plan for the purpose of bringing the for trestles. accounting therefor within this rule, neither shall it combine unrelated items “Equipment” means the rolling stock, of property for the purpose of excluding boats, and highway vehicles devoted to the accounting therefor from the rule. transportation service, the cost of which (c) The carrier is permitted to adopt is includible in the equipment accounts. for the purpose of its accounting a limit “Road property” means transportation of less than the aforesaid amounts pro­ property other than equipment. vided it first files with the Commission “Additions” are additional facilities, the maximum amount which it proposes such as additional equipment, tracks (in­ to adopt and makes no subsequent change cluding timber and mine tracks), build­ in this amount except by authority of the ings, bridges, and other structures; addi­ Commission, except that when the car­ tions to such facilities, such as extensions rier adopts a limit of less than $500 in to tracks, buildings, and other structures; reporting property changes for valuation additional ties laid in existing tracks; purposes it shall adopt a like minimum and additional devices applied to facili­ for accounting purposes in order to co­ ties, such as air brakes applied to cars ordinate the original cost with the not previously thus equipped. When a physical property included in the in­ unit of property is retired from service ventory. and replaced with property of like pur­ “Construction” includes all processes pose, the newly acquired property shall, connected with the acquisition and con­ for the purpose of this classification, be struction of original road and equipment, considered as an addition, and the cost

6 thereof accounted for accordingly (See ways, spillways, drainage canals, farm § 10.01-7 Road property retired.) and other private passes, pipe lines, “Betterments” are improvements of drains and other facilities across the parts (minor items) of existing facilities carrier’s right of way; through the substitution of superior parts (iii) Construction of overhead or un­ for inferior parts replaced. The cost dergrade crossings; chargeable to the accounts of this classi­ (iv) Installation of warning signals to fication is the excess cost of new parts protect highway traffic. over the cost at current prices of new (3) Public improvement projects other parts of the kind replaced. than joint projects. In connection with “Cost” shall be actual money costs to public improvement projects which do the carrier. Where a portion of the not involve joint use by the carrier and funds expended by or for the carrier has others of the facilities after completion been obtained by grants from govern­ of the projects such as reconstruction mental agencies, or by donations from and relocation of tracks and appurtenant individuals or others, the accounting facilities at the expense of governmental shall be in accordance with paragraphs agencies, the ledger value of the property (1), (2), or (3) of this section as may be retired shall be credited and the cost of applicable. constructing the new property shall be (1) Donations from individuals or charged to the appropriate accounts of others. The entire cost of constructing this classification. The sum contributed transportation property to which the by the governmental agencies unless con­ carrier acquires exclusive title and exclu­ tract specifies otherwise shall be applied sive right of use shall be included in these first to reduce or cancel the amount that accounts without deduction on account otherwise would be charged to operating of contributions received from others. expenses or depreciation reserve in ac­ The money value of donations shall be counting for the retirements, and the re­ credited to account 734, “Donations and mainder, if any, representing cost of rail­ grants—Cr.” road property only, shall be credited to account 734, "Donations and grants-- N o t e : Amounts billed against a lessee Cr.” The projects here referred to are company for a proportion of the cost of con­ those such as occur in connection with structing facilities under a contract which covers the joint use of such facilities but does the carrying out of flood control, recla­ not transfer title, shall be credited by the mation and other public projects where it owning company to account 608, “Joint facu­ becomes necessary to abandon a part of lty rent income,” and charged by the lessee the line of road and relocate it. to account 541, “Joint faculty rents.” The § 10.01-3 Basis of charges. The entire cost of the faculties shall be charged by the owning company to the appropriate charges to the accounts of this classifi­ accounts of this classification. cation shall be based upon the cost of the property acquired. When the con­ (2) Joint projects. Contributions by sideration given for the purchase or the governmental agencies, or individuals improvement of property the cost of toward construction of projects involving which is chargeable to the accounts of joint use of facilities by the carrier and this classification is other than money, others after completion of the project the money value of the consideration at shall not be considered donations and the time of the transaction shall be only the cost borne by the carrier in con­ charged to these accounts, and the ac­ nection with the construction of these tual consideration shall be described in projects shall be included in these ac­ the record in sufficient detail to identify counts. In accounting for the cost to it. The carrier shall be prepared to fur­ the carrier of projects involving joint nish the Commission, upon demand, the use of facilities by the carrier and others, particulars of its determination of the such costs shall be first applied to the actual cash value of the consideration, cost of construction of railway facilities if other than money. includible in accounts other than 2½, “Other right-of-way expenditures,” or § 10.01-4 Cost of construction. It is in­ 39, “Public improvements—Construc­ tended that the accounts for road prop­ tion,” any remaining balance to be in­ erty and equipment shall include the cost cluded in account 2½, or account 39, as of construction of such property. The appropriate. cost of construction shall include the Illustrations of joint projects referred cost of labor, materials and supplies, to are: work-train service, special machine serv­ (i) Jointly owned tracks, interlockers, ice, transportation, contract work, pro­ etc.; tection from casualties, injuries and (ii) Construction or widening of high- damages, privileges, and other analogous

7 elements in connection with such work. maintaining the carrier’s own equipment The several items of cost here referred used in construction service. However, to are defined as follows: no rent or return upon the investment in (a) “Cost of labor” includes the such equipment shall be included as a amount paid for labor expended by the part of the cost of work-train service. carrier's own employees, including the (d) “Cost of special machine service” cost of labor expended for preliminary includes the cost of labor expended and work, such as sinking test holes or mak­ of materials and supplies consumed in ing soundings for tunnels, grading, build­ maintaining and operating steam shov­ ings, and other structures; and cost of els, scrapers, rail unloaders, ballast un­ labor expended in laying and taking up loaders, pile drivers, dredges, ditchers, tracks for temporary use in construction, weed burners, and other labor-saving except the cost of labor expended on machines; also rents paid for use of such tracks provided for the protection of machines. (See Note A under account traffic during the progress of addition 37, “Roadway machines,” and tenth par­ and betterment work. Office expenses agraph of general account 50, “Equip­ and traveling and other personal ex­ ment.”) penses of employees, when borne by the (e) “Cost of transportation” includes carrier, shall be considered a part of the the amounts paid to other companies or cost of the labor, as shall also the cost individuals for the transportation of men, of fidelity bonds and employers’ liability materials and supplies, special machine insurance premiums. When officers or outfits, appliances, and tools in connec­ employees are specially assigned to con­ tion with construction. Freight charges struction work, their pay and their trav­ paid foreign lines for the transportation eling and incidental expenses while thus of construction material to the carrier’s engaged shall be included in the cost of line shall be included, so far as practi­ the work. No charge shall be made cable, as a part of the cost of the material. against road and equipment accounts for (f) “Cost of contract work” includes the pay of officers and employees who amounts paid for work performed under merely render services incidentally in contract by other companies, firms, or connection with extensions, additions, or individuals, and costs incident to the betterments, although traveling and in­ award of the contract. cidental expenses incurred by such offi­ (g) “Cost of protection from casual­ cers and employees solely on account of ties” includes expenditures for protection such work shall be included in the ac­ against fire, such as payments for discov­ count to which the cost of the work is ery or extinguishment of fires, cost of chargeable. detecting and prosecuting incendiaries, (b) “Cost of materials and supplies” witness fees in relation thereto, amounts includes the purchase price of materials paid to municipal corporations and oth­ and supplies, including small tools, at ers for fire protection, and other analo­ the point of free delivery, plus the cost gous items of expenditure in connection of inspection and loading assumed by with construction work. the carrier; also a suitable proportion of (h) “Cost of injuries and damages” in­ store expenses. (See § 10.04-16 Material cludes expenditures on account of in­ store expenses and § 10.04-17 Stationery juries to persons or damage to property store expenses.) In calculating the cost when incident to construction projects, of materials used, proper allowance shall and shall be included in the cost of the be made for the value of unused por­ work in connection with which the injury tions and of cuttings, turnings, borings, or damage occurs. It also includes that etc.; for the value of the material recov­ portion of premiums paid for insuring ered from temporary tracks, scaffolding, property applicable to the period prior to cofferdams, and other temporary struc­ the completion or coming into service of tures used in construction; and for the the property insured. Insurance recov­ value of small tools recovered and used ered on account of compensation paid for for other purposes. injuries to persons incident to construc­ (c) “Cost of work-train service” in­ tion shall be credited to the accounts to cludes amounts paid to others for rent which such compensation is charged, and and maintenance of equipment used; insurance recovered on account of dam­ cost of labor of enginemen, trainmen, ages to property incident to construction and enginehousemen, including wages of shall be credited to the accounts charge­ engine crews and train crews held in able with the expenditures necessary for readiness for such service; and cost of restoring the damaged property. The fuel and other supplies consumed in con­ cost of injuries and damages incident to nection with the operation of work the removal of old structures, or parts trains. It shall also include the cost of thereof, shall be charged to operating

8 expenses, except that such costs in con­ shall be charged to account 270, “Dis­ nection with the removal of old struc­ mantling retired road property,” or ac­ tures which are incumbrances on newly count 306, "Dismantling retired shop and acquired lands shall be included in ac­ power plant machinery,” as may be count 2, "Land for transportation pur­ appropriate. poses," or 3, "Grading," as may be Note: When property included in the de­ appropriate. (See § 10.01-7 Road prop­ preciable accounts but excluded from the erty retired.) depreciation base is retired, the service value (i) "Cost of privileges” includes com­ (including engineering expenditures assign­ pensation for temporary privileges, such able to the retired property but not included as the use of public property or streets, in the depreciation base) shall be charged in connection with the construction of to operating expenses. the property of the carrier. (2) For nondepreciable property. The § 10.01-5 Excavated material. The service value (ledger value less value of cost of disposing of material excavated in salvage) shall be charged to account 267, connection with construction shall be "Retirements; Road.” The cost of dis­ mantling or demolishing the property, if considered as a part of the cost of the borne by the carrier, shall be charged work, except that when such material is to account 270, "Dismantling retired used for filling, the cost of removal and road property.” The charge for the sal­ dumping shall be equitably apportioned vage shall be in accordance with the between the work in connection with disposition of the material recovered. which the removal occurs and the work An equitable proportion of any bal­ in connection with which the material is used. ances carried in accounts 72 to 77, inclu­ sive, applicable to the road property § 10.01-6 Items to be credited. To retired, shall be credited thereto concur­ these accounts shall be credited the rently and charged to account 267, "Re­ ledger value of property retired. tirements; Road.” “Ledger value of property” is the value at which the property is carried in the Note: For parts (minor items) of road property investment account in the gen­ property retired and replaced for both de­ eral ledger of the carrier. In case the preciable and nondepreciable accounts the cost of replacement including cost of re­ value of any item of property is not moval, shall be charged to the accounts in shown separately in the ledger the operating expenses appropriate for the cost ledger value of that item shall be its of repairing such property. proportionate share of the value of the (b) The term "service value” as ap­ entire group in which the particular plied to road property means the ledger property is included. value thereof less the value of the sal­ "Property retired” means a unit of vage recovered therefrom. property whether replaced or not and a (c) The term "minor item” as applied minor item not replaced, which is sold, to road property means the associated abandoned, demolished, dismantled, or parts of which units of road property otherwise withdrawn from transporta­ are composed. tion service. (d) The term “value of salvage” means § 10.01-7 Road property retired. (a) the amount received for property retired, When a unit of road property, other or for the material salvaged therefrom than land, is retired from service, or a if sold; or if retained, the value at which minor item is retired and not replaced, the property or the material salvaged the ledger value of the unit or minor therefrom is chargeable to account 712, Item shall be credited to the appropriate "Material and supplies,” or other ac­ road accounts of this classification at the counts of this system of accounts. When time of retirement from service. The such material is retained and again used amount of this credit shall be charged by the carrier, the value shall be deter­ concurrently as follows: mined by deducting a fair allowance for (1) For depreciable property. The depreciation from current prices of the service value (ledger value less value of material as new. If the retired property salvage) shall be charged, and insur­ is held without being torn down the esti­ ance recovered, if any, shall be credited mated value of the salvage therefrom to account 735, “Accrued depreciation— shall be included in account 741, “Other Road and equipment.” The charge for assets,” until the salvage is recovered. the salvage shall be in accordance with (e) The term "unit of road property” the disposition of the material recovered. means those items of road property that The cost of dismantling or demolishing are listed in § 10.01-15 List of accounting the property, if borne by the carrier, units of property for railroads.

9 (f) Leased property. When a unit of though the tracks may be dismantled in road property used but not owned, other the process, but resulting track exten­ than land, the rent for which is includi­ sions or reductions shall be accounted for ble in account 542 “Rent for leased as additions or retirements, as appropri­ roads and equipment,” is retired from ate, and the betterment cost of improved service, or a minor item is retired and parts applied shall be charged to prop­ not replaced, the service value of non­ erty accounts. depreciable property shall be charged (b) Relocation of yard tracks. The to account 267, “Retirements; Road,” by cost of shifting or rearranging tracks the lessee and the service value of de­ within a yard shall be charged to oper­ preciable property shall be charged to ating expenses, even though the tracks the depreciation reserve account by may be dismantled in the process, but either the lessee or lessor, as appropri­ resulting increases or decreases in grad­ ate. If under terms of the lease the ing, ballast, or track length shall be ac­ lessor is obligated to reimburse the lessee counted for as additions or retirements for additions and betterments and is as appropriate, and the betterment cost credited with the ledger value of retired of improved parts applied shall be property, the lessor shall credit the charged to the property accounts. How­ ledger value of the retired property to ever, dismantled tracks which are account 731, “Road and equipment prop­ replaced by other tracks outside the ex­ erty.” If under terms of the lease the isting yard shall be retired from the lessee bears the cost of additions and property accounts. In that case the re­ betterments without reimbursement and placement tracks plus any net increase is not obligated to reimburse the lessor in trackage due to the yard reconstruc­ for the ledger value of retired property, tion shall be accounted for as additions. the lessee shall credit the ledger value to (c) Major renewals. (l) When the account 732, “Improvements on leased cost of renewals of a unit of road prop­ property.” The salvage shall be ac­ erty, or of a unit of equipment, exclusive counted for by the company that has of the expense of dismantling and of re­ title thereto and charged in accordance pairs of old parts reused exceeds fifty with the disposition of the material percent of the replacement cost new of recovered. the kind and class as rebuilt at the time When the lessee makes settlement with of rebuilding, the unit shall be con­ the lessor currently for retirements of sidered as rebuilt. This rule does not property leased, the lessee shall credit apply to renewal of a unit of roadway to account 721, “Investments in affiliated property the replacement cost new of companies,” or 722, “Other investments,” which does not exceed $35,000. as applicable, the service value of non­ (2) The rebuilt unit shall be accounted depreciable property charged to account for as an addition and the old unit 267, “Retirements; Road,” and the les­ accounted for as retired from service. sor shall make corresponding charge to The term “cost of renewals” means the account 769, “Amounts payable to affili­ cost of material (other than second­ ated companies,” or other liability ac­ hand parts remaining in the rebuilt counts, as may be appropriate. unit) plus the cost of labor used in the The lessee shall furnish the lessor such rebuilding process, exclusive of the ex­ information as is required to perform pense of dismantling and repairing old the necessary accountings parts reused. § 10.01-8 Property changes—(a) (3) The charge to the appropriate Changes in line of road. When changes road and equipment account for the re­ are made in a line of road for the pur­ built units shall be the sum of (i) the pose of reducing curves or grades, or to value of the reused parts determined by eliminate bridges, tunnels, or other deducting a fair allowance for deprecia­ physical features, the part of the line so tion from current prices of new material, changed shall be considered property and (ii) the cost of labor and additional retired and its ledger value credited to material applied; both exclusive of the the property accounts. The new line of expense of dismantling and repairing old road, including land, grading, ballast, parts reused. track elements, and other transportation facilities serving it, shall be considered § 10.01-9 Equipment retired. The in­ an addition and its cost charged to the structions for accounting for equipment property accounts. The cost of such retired are contained in the text of gen­ track changes which do not involve eral account 50, “Equipment.” change in the existing roadbed shall be § 10.01-10 Land retired. When any charged to operating expenses, even land, the cost of which is included in

10 the accounts of this classification, is re­ Note: The procedure outlined in the fore­ going with regard to the transfer of equip­ tired, the ledger value shall be credited ment from one class of service to another to account 2, “Land for transportation shall be followed in accounting for fixed purposes." If the land is retained by property when by its transfer from one class the carrier, its estimated value shall be of service to another it becomes includible charged to balance-sheet account 737, in a primary investment account other than “Miscellaneous physical property,” the that in which it has been carried. necessary adjustment of the difference § 10.01-12 Expenses in connection between the ledger value and the esti­ with additions and betterments. The mated value on acount of the loss in the cost of removing old material from property due to its retirement from equipment and from buildings, bridges, transportation service shall be made wharves, tracks, and other fixed im­ through account 621, “Miscellaneous provements, shall be charged to the ap­ debits". If sold, the difference between propriate operating expense accounts. the ledger value credited to account 2 Such charges shall include the cost of re­ and the amount received for the land moving old foundations and filling old shall be adjusted through accounts 607 excavations, and restoring condition of “Miscellaneous credits,” or 621. “Miscel­ grounds after addition and betterment laneous debits,” as appropriate. work; and maintaining or protecting § 10.01-11 Adjustment for converted traffic during the progress of addition property. If a unit of equipment by its and betterment work, including the cost transfer from one class of service to of constructing, maintaining, and re­ another, v/ith or without physical con­ moving temporary tracks required for version, becomes includible in a primary maintaining traffic during the progress investment account other than that in of the work. which it has been carried, it shall be § 10.01-13 Interpretation of item lists. accounted for as retired. (See the text Lists of “items,” “details,” etc., have of general account 50, “Equipment.") been given as a part of this classification In accounting for the retirement of for the purpose of clearly indicating the such a unit the retirement accounting application of the accounting rules in should be on a basis consistent with the specific cases. The lists in every case are accounting which would be proper if the to be considered as merely representa­ carrier were to make no further use of it. tive, and not as excluding from any ac­ as in the case of demolition or sale. Fol­ count analogous items which happen to lowing this principle, the salvage value be omitted from the list appended. On to be used in arriving at the service value the other hand, the appearance of an shall be the ledger value of the unit less item in a list warrants the inclusion of an allowance to reflect consumed, expired the item in the account concerned only or lost usefulness and in no case shall it when the text of the account also indi­ be less than the estimated value of the cates inclusion, inasmuch as the same scrap and reusable parts which would be item frequently appears in more than recovered if the unit were dismantled. one list. The item of boilers, for exam­ In arriving at this salvage value, the ple, will be found under accounts 18, 27, amount which would have been paid, had 37, 44, and 45, and the proper charge in the old unit in its second-hand condition any one instance must be determined by been purchased from another company, the text of the account. and the further use which it is contem­ plated will be made of the unit after con­ § 10.01-14 Submission of questions. version, are factors to be given consid­ To the end that uniformity of account­ eration. ing may be maintained from year to In accounting for the unit as converted, year, carriers shall submit all questions its ledger value shall be the estimated of doubtful interpretation of the ac­ salvage value used in the retirement ac­ counting rules to the Commission for counting less any salvage recovered and consideration and decision. not used in the conversion process plus § 10.01-15 List of accounting units of all expenditures for labor and material property for railroads. (a) This list of necessary to fit the unit for its future units is established for the purpose of use, but not in excess of the cost (at cur­ designating the items of property the rent market prices of labor and material) cost of which shall be written out of road of a new unit of equal capacity and equal and equipment accounts when the prop­ expectation of life in service, less a suit­ erty is retired and replaced. When able allowance on account of the second­ property is retired and not replaced the hand portions remaining therein. cost thereof shall be written out of road

11 and equipment accounts whether or not Account 16, Station and Office Buildings it constitutes a unit as established in A complete building, including attached this list. platform. (b) The cost of replacing minor items, A complete platform structurally detached i. e., the component parts of which from a building. units of property are composed, shall Each retaining wall installation. be charged to operating expenses except Each timber trestle installation. for betterments. Each coal pocket installation. Each outside steam, water, air, etc., pipe (c) The cost of additional units of line installation. property, or of additions to units of Each storm or sanitary sewer installation. property in the form of minor items, A complete fence. shall be charged to road and equip­ Paving. Each complete installation. ment accounts, except as excluded A station stockyard. Each complete in­ therefrom under the minimum rule. stallation. A track scale. (d) The units listed are to be con­ A track scale pit. sidered representative and not as ex­ An outside crane or conveying system for cluding from any account analogous handling freight. units which are omitted from the list. A motor truck. Where additional units are desired in a A motor tractor. given account, appropriate designations Any applicable units listed under other may be selected, preferably from a list accounts. in other accounts. It is contemplated Account 17, Roadway Buildings that the list of units contained herein Any applicable units listed under accounts will be revised and amended from time 16, “Station and office buildings,” and 44, to time as experience and conditions “Shop machinery.” warrant. All items listed are subject to Account 18, Water Stations the effective minimum rule. A complete water supply piping system. A dam or reservoir. Account 3, Grading A pump house. Pumping machinery. Each complete in­ A retaining wall, riprap (hand placed), stallation. a protecting dyke, a protecting crib, a wing A water tank. Each complete installation. dam, a revetment, mattress, pipe or other A complete track trough at one location. structures to provide drainage. Each entire A water crane. Complete with pit. installation. A water treating plant. Account 5, Tunnels and Subways Account 19, Fuel Stations The entire masonry, entire timber, and A trestle-type coaling station. entire metal lining of a tunnel or subway, Mechanical coaling station. Each com­ including portals and wing walls. plete installation. Drainage. Each entire installation. A complete fuel supply system, including Lighting. Each entire installation. appurtenances. Ventilation. Each entire installation. A pump house. A fuel oil storage tank (large). Account 6, Bridges, Trestles, and Culverts Account 20, Shops and Engine Houses A steel superstructure. A concrete or stone substructure. A complete building, including attached A concrete trestle, a complete bridge or platform. approach. A complete platform structurally detached A timber trestle, a complete bridge or ap­ from a building. proach. A turntable. Complete machinery for operating a mov­ A turntable pit. able span. A transfer table with machinery. A protecting dyke, a protecting crib (a A transfer table pit. fender), a wing dam, a complete culvert. A cinder pit. Each complete installation. Each entire installation. A sand storage and handling and drying apparatus. Outdoor bins. Each complete installation. Account 7, Elevated Structures A smoke stack not mounted on boiler. Any applicable units listed under account A lorry track system (outside). 6, “Bridges, trestles, and culverts”. A boiler washing plant. Each complete installation. Acount 13, Fences, Snowsheds, and Signs An overhead crane, outside. A complete snowshed. Each outside pipe installation, steam, air, One continuous mile of right-of-way water, etc. fence. Each sewer installation, storm or sanitary. One continuous mile of permanent sand Paving. Each complete installation. or snow fence. Each shop fence or wall installation.

12 Any applicable unit under account 16, A complete mile section or complete in­ “Station and office buildings”. stallation if less than a mile, of pole line including cross arms, wires and appurte­ Account 21, Grain Elevators nances. A complete building, including attached Each mile or complete installation if less platform. than one mile of cable with associated parts. A complete platform structually de­ Each mile or complete installation if less tached from a building. than one mile of conduit with associated A conveyor system complete. parts. An elevator system complete. Switch movement with associated parts. A blowing system complete. A complete building. For additional items see account 16, “Sta­ An interlocking plant complete (excluding machine). tion and office buildings,” and 44, “Shop An interlocking machine. machinery”. Signal bridge complete. Account 22, Storage Warehouses Each highway crossing protection installa­ tion complete. A complete building, including attached Each car retarder installation complete. platform. A traffic control or C. T. C. system in­ A complete platform structurally detached stallation complete. from a building. For additional items see account 16, “Sta­ Account 29, Power Plants tion and office buildings,” and 44, “Shop machinery”. Any applicable units listed under accounts 16, “Station and office buildings,” and 20, Account 23, Wharves and Docks “Shops and enginehouses”. A timber float bridge. A steel float bridge. Account 31, Power Transmission Systems A wharf (including pile clusters). A continuous mile, or a separate installa­ A timber incline. tion if less than a mile, of catenary com­ A bulkhead. plete including catenary hangers, trolley Jetties or breakwater. wire and appurtenances. Ferry racks (including pile clusters). A continuous mile, or a separate installa­ Float racks. tion if less than a mile, of transmission line, Each complete machinery installation. including poles, wires, transformers, switches, For additional items, see accounts 3 and other appurtenances. “Grading,” 6, “Bridges, trestles, and cul­ Each outside steam, air, etc., pipe line verts,” and 44, “Shop machinery”. installation. A manhole. Account 24, Coal and Ore Wharves Substation or switching station complete. Car dumper complete. Each mile, or installation if less than a Timber bridges. mile, of third rail. Steel bridges. A catenary bridge or support. Each complete machinery installation. A high-tension transmission tower. A loading or unloading machine complete. Any applicable units listed under accounts Each coal or ore pocket installation. 26, “Communication systems,” and 27, “Sig­ For additional items, see accounts 6, nals and interlockers”. “Bridges, trestles, and culverts,” 16, “Station and office buildings,” 20, “Shops and engine Account 35, Miscellaneous Structures houses,” 23, “Wharves and docks,” and 44, Any applicable units listed under other “Shop machinery”. accounts. Account 26, Communication Systems Account 37, Roadway Machines A complete mile section or complete in­ stallation if less than a mile of pole line in­ Each roadway machine complete includ­ cluding cross arms, wires and appurtenances. ing accessories. Each mile or complete installation of cable with associated parts. Account 39, Public Improvements— Each mile or complete installation of con­ Construction duit with associated parts. A complete tower. Any applicable units listed under other A complete installation at each location accounts. constituting a separate means of communi­ cation, such as radio, radar, carrier tele­ Account 44, Shop Machinery phone, teletype, or other communication A machine (including foundation and systems. motor, if any), such as lathes, shapers, slot­ For additional items see account 16, “Sta­ ters, boring machines. tion and office buildings”. Equipment, such as ash handling. Account 27, Signals and Interlockers A furnace. A boiler installation complete. A signal system installation complete, on A motor vehicle used in shops only. section thereof, with associated parts, in­ Testing equipment cluding masts, batteries, relays, ladder, etc. Overhead crane, complete.

436489 O -5 7 -2 13 Account 45, Power Plant Machinery other records in which the full details A power plant machine, including founda­ shall be shown. Such general book en­ tion, such as a turbine, rectifier, dynamo, tries shall contain sufficient reference to generator. the detail records to permit ready iden­ Any applicable unit listed under account tification, and the detail records shall be 44, "Shop machinery”. filed in such manner as to be readily ac­ Account 51, Steam Locomotives cessible for examination by representa­ A complete locomotive. tives of the Interstate Commerce Com­ A locomotive, exclusive of tender. mission. A tender. § 10.02-1 Operating accounts. The A locomotive booster. accounts of this classification are de­ Account 52, Other Locomotives signed to show the revenues and expenses (including the maintenance of the facili­ Diesel electric, lead or booster, i. e., “A” or “B” units. ties used) of the carrier’s railway opera­ Diesel electric. Extra or spare motors. tions, including rail-line transportation, Electric locomotive. water-line transportation, if any, and Gasoline locomotive. services incident to transportation. Gas turbine locomotive. "Transportation” includes the receipt conveyance, and delivery of traffic. Account 53, Freight-Train Cars "Rail-line transportation” includes not A complete car. only the conveyance of traffic over Motor equipment of a motor driven car. tracks, but also the necessary convey­ A propulsion motor including generator. ance by water transfers (ferriage, light­ A freight container, complete. erage, and floatage) either between track Account 54, Passenger-Train Cars terminals or between track terminals A complete car, including interior furnish­ and points not reached by tracks. ings. Carriers are at liberty to subdivide the Motor equipment of a motor driven car. general and primary accounts here given, A propulsion motor, including generator. but if this option be exercised a state­ ment of the accounts adopted shall be Account 56, Floating Equipment filed with the Interstate Commerce A complete vessel or boat, exclusive of Commission. machinery. "The carrier” means the accounting Machinery: a boiler, a motor, an engine. carrier, except when otherwise specifi­ Account 57, Work Equipment cally indicated. (a) Rail equipment: § 10.02-2 Unaudited items affecting (1) A complete car or machine. operating accounts. When it is known (2) A boiler. that a transaction has occurred which (3) An engine. (4) A motor. affects operating revenues or operating (5) Machinery equipment (with or with­ expenses, but the amount involved and out tractive machinery) such as its effect upon the accounts cannot be concrete mixer, snow plow, der­ determined with absolute accuracy, the rick, steam shovel, or pile driver. amount thereof shall be estimated and (6) A complete motor equipment. included in the appropriate operating (b) Floating equipment—Work: and balance-sheet accounts. Any such (1) A complete vessel or boat. estimate shall be revised whenever and (2) A boiler. (3) An engine. at the time a substantial change is indi­ (4) A motor. cated and shall be finally adjusted as soon as the exact amount is determined. Any applicable units listed under other The carrier is not required to anticipate accounts. items which would not appreciably affect Account 58, Miscellaneous Equipment the operating accounts. A complete vehicle. Any change in practice of accounting for accruals or any unusual accruals in­ OPERATING REVENUES AND OPERATING volving substantial amounts shall be re­ EXPENSES ported promptly to the Commission. Ac­ § 10.02 General instructions. The cruals shall not be recorded for purely carrier’s records shall be kept with suffi­ speculative items, but shall be limited to cient particularity to show fully the facts reasonable estimates on reliable infor­ pertaining to all entries made in the ac­ mation of transactions that will be con­ counts provided herein for railway oper­ summated. ations. Where the full information is § 10.02-3 Delayed items. Delayed not recorded in the general books, the items and adjustments, except adjust­ entries therein shall be supported by ments pertaining to account 735, “Ac­ 14 crued depreciation—Road and equip­ ating revenues are designed to show ment,” arising during the current year amounts of money which a carrier be­ which are applicable to prior years, shall comes entitled to receive from transpor­ be included in the same account which tation and from operations incident would have been charged or credited if thereto. the item had been taken up or adjusted in Credits to the revenue accounts shall the year to which it pertained. When the as nearly as practicable be upon the basis amount of the delayed item is relatively of accruals of revenue. so large that its inclusion in the appro­ Uncollected tariff charges on un­ priate account for the current year would claimed and refused shipments of seriously distort the revenues, expenses freight, such refused shipments having or income of the current year, the been transported in accordance with the amount of the delayed item may be cred­ contract of shipment, shall be charged to ited to account 520, “Delayed income the appropriate revenue account to which credits,” or charged to account 557, “De­ shall be credited the proceeds derived layed income debits,” as may be appro­ from the sale of such unclaimed and re­ priate. fused freight. When the amount of a delayed item The carrier’s tariff charges on lost, is relatively so large that its inclusion in destroyed, or damaged shipments, for the accounts for a single month will seri­ which charges neither consignees nor ously distort those accounts it may be consignors are liable, shall be charged to distributed in equal monthly charges to the revenue accounts previously credited. the remaining months of the calendar Except as otherwise provided in this year. section, the revenue accounts shall in­ “Delayed items” are items represent­ clude collections in excess of proper ing transactions which occurred before charges, such collections being subject the calendar year. to refund, and there shall be charged to the revenue accounts uncollectible § 10.02- 4 Miscellaneous operations. revenue charges determined after the The revenues and expenses of miscella­ service has been rendered. neous operations involving the use of such facilities as hotels, restaurants, § 10.03-2 Interpretation of item lists. grain elevators, storage warehouses, Lists of items to be credited and of items power plants, cold storage plants, etc., to be charged have been given as a part shall not be included in the accounts of of the text of this classification for the this classification unless the operation purpose of clearly indicating the appli­ of the facilities is conducted by the rail­ cation of the accounting rules. They are way companies in connection with fur­ not to be considered as comprising all nishing transportation services. the items creditable or chargeable to the several accounts, but merely as repre­ § 10.02-5 Submission of questions. To sentative of them. the end that uniformity of accounting The items contained in the lists of may be maintained from year to year, items to be charged to the respective ac­ carriers shall submit all questions of counts are chargeable only when such doubtful interpretation of the account­ items have been, through oversight, in­ ing rules to the Commission for consid­ cluded in the credits to the accounts, eration and decision. or they are items of revenue payable to § 10.02-6 Stockyards. The revenues others for service to be rendered in ac­ and expenses arising from the operation cordance with the tariff provisions appli­ of stockyards shall not be included in cable to the rates upon which the credits operating revenue or operating expense to the several accounts have been based. accounts unless the operation of the fa­ cilities is conducted in connection with § 10.03-3 Accruals of revenues. In the transportation of livestock. It is not order that operating revenue accounts intended, however, that revenues and ex­ may as nearly as practicable include the penses arising from incidental public full amount of revenues accruing to the stockyards service rendered by stock- carrier each month, the carrier shall yards primarily devoted to transporta­ accrue currently in the appropriate rev­ tion services shall be excluded from op­ enue and balance-sheet accounts esti­ erating revenues and expenses. mates of unaudited items affecting rev­ enues. If these estimates are not fully Operating Revenues adjusted in the following month, the balances in the balance-sheet accounts § 10.03 Special instructions. shall be kept separately by months until § 10.03-1 Accounts for operating rev­ each is adjusted. The carrier is not re­ enues. The accounts provided for oper­ quired to anticipate items which would

15 not appreciably affect the revenue ac­ assigned to classes, as above defined, on counts. the basis of their operating revenues known or estimated for a year; and (3) § 10.03-5 Delayed items. Cancella­ carriers shall within 60 days after the tion of entries recorded in balance-sheet close of a calendar year notify the Com­ accounts relating to operating revenues mission when a change in classification of former years shall be recorded in ac­ for accounting purposes has taken place. cordance with § 10.02-3 Delayed items. § 10.04-2 Maintenance expenses. The Operating Expenses accounts provided for maintenance of § 10.04 Special instructions. road property and of equipment are de­ signed to show the cost of repairs and § 10.04-1 Accounts for operating ex­ also the loss through depreciation of the penses. The accounts prescribed for op­ property used in operations, including all erating expenses are designed to show such expenses resulting from ordinary expenses of furnishing transportation wear and tear of service, exposure to the service including the expense of mainte­ elements, inadequacy, obsolescence, or nance and depreciation of the plant used other depreciation, or from accident, fire, in the service. The accounting shall be, flood, or other casualty. as nearly as practicable, upon the basis The cost of repairs which has been pro­ of accruals. vided for in the several repair accounts “Road property” means transportation shall include the cost of inspecting to property other than equipment. determine the repairs necessary, and of Following the texts of the primary adjusting or repairing parts, both of road operating expense accounts, there is a property and of equipment, such as the condensed grouping of the same accounts repairing of locomotives, cars, frogs, to be used by Class II carriers. For pur­ switches, rails, etc.; the cost of inspecting poses of this condensed classification, and testing after repairs have been made, carriers are divided into two general such as the testing of locomotives after classes, designated respectively Class I repairs to determine whether the repairs and Class II. Class I shall include all have been properly made, and the run­ carriers having annual operating reve­ ning of repaired locomotives light in or­ nues of $3,000,000 or more; and Class II, der to break them in for regular service; all carriers having annual operating incidental costs of repairs, such as the revenues less than $3,000,000. In apply­ construction or removal of false work in ing this grouping to any switching or connection with maintenance, cost of terminal company which is operated as demolishing retired road property and a joint facility of owning or tenant rail­ disposing of the wreckage therefrom ways, the sum of the annual railway when the property is dismantled by or operating revenues, the joint facility for the carrier; cost of maintaining or rent income, and the totals of the joint protecting traffic during the progress of facility accounts in operating expenses, construction work, including the cost of shall be used in determining its class. constructing, maintaining and removing Beginning with the calendar year 1956, temporary tracks required for maintain­ the classification of carriers for account­ ing traffic during the progress of the ing purposes shall be based on the aver­ work; cost of mowing and beautifying age annual operating revenues for the 3- grounds around buildings; repairing year period ended with the calendar year fences, sidewalks, driveways, and streets 1955; and, subsequently, if at the close within or adjacent to such grounds; cost of any calendar year the average of the of removing snow from roofs of buildings annual operating revenues for the latest (when not removed by those employed 3-year period is greater or less than the in the buildings); cost of periodical res­ amount applicable to the class in which toration of seasonal features, such as the carrier has been, its class for the gardens, shrubbery, and lawns; cost of second succeeding year shall change ac­ operating hothouses in connection with cordingly and the carrier shall remain in the work of beautifying grounds; and such class for a period of not less than cost of clearing and removing casual in­ three consecutive years; Provided that: cumbrances, such as ice, snow, and fallen (1) Carriers which have operated for a timber. period less than three calendar years Distinct maintenance accounts have shall be classified upon the basis of the been provided for expenses of a general average amount of their annual operat­ character, such as superintendence, sta­ ing revenues for the latest period of such tionery and printing, and injuries to per­ operation; (2) newly organized carriers sons, which, on account of established which commence operations for revenue practice, it is deemed advisable to subsequent to January 1, 1956, shall be segregate. 16 § 10.04-3 Cost of repairs. It is in­ individuals and specific expenses inci­ tended that the repair accounts of this dent to the award of the contract. classification shall include the cost of (g) “Cost of privileges” includes labor materials and supplies, work-train amounts paid for special privileges, such service floating equipment work service, as the temporary use of public property special machine service, contract work, or streets, in connection with the repairs, privileges, protection from casualties, of the property of the carrier. (Period­ and other analogous items of expense in ical payments for such privileges in con­ connection with the maintenance of the nection with permanent use of public- plant used in railway service. The sev­ property for railway operations shall he eral items of cost here referred to are included in the income accounts.) defined as follows: (h) “Cost of protection from casual­ (a) “Cost of labor” includes amounts ties” includes expenditures for protec­ paid for the labor of the carrier’s own tion against damage by fire, flood, etc., employees. Except where otherwise such as payments for discovery or ex­ specified in the text of the accounts the tinguishment of fires, cost of detecting cost of boarding, traveling, and other in­ and prosecuting incendiaries expense cidental expenses of employees shall be for witnesses in relation thereto, included in the accounts to which the amounts paid to municipal corporations pay of the employees is chargeable. and others for fire protection, and other analogous items of expense in connection (b) “Cost of materials and supplies” with repair work, but does not include includes the cost of materials and sup­ insurance premiums paid to assure reim­ plies, including small tools, at the point bursement for prospective losses. of free delivery plus freight charges of foreign lines, and the costs of inspection § 10.04-4 Royalties on appliances. and loading assumed by the carrier; also The royalties for patent rights on me­ a proportion of store expenses (see chanical appliances used in repairs of § 10.04-16 Material store expense). It equipment shall be included in the cost should not, however, include expenses of of the repairs. transportation over the carrier’s line. In § 10.04-5 Road property retired. The calculating the cost of materials used service value (ledger value less salvage proper allowance shall be made for the and insurance recovered, if any) of road value of unused portions and of cuttings, property retired and replaced with prop­ turnings, borings, etc., and for the value erty of like purpose, together with the of the material recovered from property cost of demolishing and removing the repaired and from temporary tracks, retired property shall be accounted for scaffolding cofferdams, and other tem­ in accordance with § 10.01-7 Road prop­ porary structures used in repair work. erty retired. (c) “Cost of work-train service” in­ cludes cost of labor of enginemen, train­ § 10.04-6 Distribution of charges for men, and enginehouse men, including nondepreciable road property retired. the wages of engine crews and train In case the amount chargeable to oper­ crews held in readiness for such service; ating expenses for nondepreciable prop­ and the cost of fuel and other supplies erty retired, as provided in § 10.01-7 consumed in connection with the opera­ Road property retired, is relatively large tion of work trains. and its inclusion would seriously distort (d) “Cost of floating equipment work the expenses for the year the carrier, service” includes cost of labor of crews, if so authorized by the Commission may including wages of crews held in readi­ charge the amount thereof to account ness for service; and the cost of fuel and 743, “Other deferred charges,” and dis­ other supplies consumed in connection tribute it thereafter in accordance with with the operation of floating equipment the provisions of that account to operat­ work service. ing expenses of the current and succeed­ (e) “Cost of special machine service” ing years. includes the cost of labor expended and § 10.04-7 Adjustment for converted of materials and supplies consumed in property. When a unit of equipment or operating steam shovels, scrapers, rail fixed property by its transfer from one unloaders, ballast unloaders, pile drivers, class of service to another, with or with­ dredges, ditchers, weed burners, and out physical conversion, becomes includ­ other labor-saving machines; also rents ible in a primary investment account paid for use of such machines. other than that in which it has been (f) “Cost of contract work” includes carried, the procedure outlined in amounts paid for work performed under § 10.01-11 Adjustment for converted contract by other companies, firms, or property shall be followed.

17 § 10.04-8 Depreciation accounting; for each of the various classes of prop­ road property. (a) There shall be erty included in such account. The an­ charged monthly to operating expenses nual percentage rates when filed shall be or other appropriate accounts and cred­ accompanied by a sworn statement ited to account 735, “Accrued deprecia­ showing the bases therefor and the tion—Road and equipment,” during the methods employed in their computation. service life of depreciable road property (c) The carrier shall keep such rec­ amounts which will approximate the loss ords of depreciable property and property in service value not restored by current retirements as will reflect the service life repairs or covered by insurance. The of property which has been retired, or charges for currently accruing deprecia­ will permit the determination of service tion shall be computed in conformity life indications by mortality turnover, with the group plan by applying to the or other appropriate methods: also such original cost, or the estimated original records as will reflect the percentage of cost of the road property as found for value of the salvage for property retired valuation purposes, such percentage from each class of depreciable property. rates as will distribute the service value The carrier shall be prepared at any time, by the straight-line method in equal upon direction of the Commission, to annual charges to operating expenses or compute and submit for its approval re­ other accounts during the estimated life vised percentage rates in cases where of the property. Pending the compila­ existing rates are deemed inapplicable. tion of the original cost figures to a cur­ (d) A separate composite annual per­ rent date, the carrier shall use as a centage rate for each account covering depreciation base such figures as far as depreciable property shall be used in they have been summarized and add computing depreciation charges. Such thereto the cost for the subsequent years composite rates shall be those which are as recorded in its Order No. 3 records from time to time prescribed by the Com­ and accounts. Such adjustment of orig­ mission except, that where no rates for inal cost figures as may be necessary any class of property have previously after the original cost figures have been been prescribed for the carrier’s use by summarized by the Commission to a the Commission, the carrier’s estimate of current date shall be made at that time. composite annual percentage rates com­ Note : If a carrier submits proof that the puted in accordance with paragraph (b) actual cost to it of the depreciable road of this instruction shall be used prior to property which it owns or the actual cost the date such rates are prescribed by the to the owner of the depreciable road prop­ Commission. erty which it uses and for which deprecia­ (e) In computing monthly charges the tion accounting is required, was substan­ annual percentage rates shall be applied tially different from the original cost fig­ ures for valuation purposes, with the to the depreciation base as of the first approval of the Commission, such carrier of each month and the result divided by may use such actual cost figures as the de­ twelve. preciation base. (f) In the event annual percentage (b) As soon as the information can be rates prescribed by the Commission, in assembled the carrier shall file with the the judgment of the carrier become no Commission composite annual percent­ longer currently applicable, it shall in age rates estimated to be applicable to like manner file revised annual percent­ the original cost or estimated original age rates which in its judgment should cost of the property in each primary ac­ be established. Where property is ac­ count covering depreciable road property quired for which no rates have been pre­ owned or used by it. These percentage scribed the carrier shall immediately rates shall be based on the estimated compile and submit to the Commission service values and service lives of the appropriate estimates developed in ac­ road property developed by a study of cordance with the provisions of para­ the carrier’s history and experience and such engineering and other information graph (b) of this instruction. as may be available with respect to fu­ (g) For the purpose of the group plan ture conditions. Such percentage rates of depreciation accounting for road shall, for each primary account com­ property the following primary accounts prised of more than one class of road under § 10.0 Road, are classed as depre­ property, produce a charge for deprecia­ ciable accounts: tion based on the original cost or esti­ 1. Engineering (as appropriately assigned mated original cost of the depreciable but not distributed, to the other de­ property included in such account equal preciable accounts in arriving at the to the sum of the amounts that would amounts used as the depreciation otherwise be chargeable as depreciation base). 18 2½ . Other right-of-wav expenditures. jointly used with one or more other 3. Grading (depreciable property recorded in this account). carriers. The owning carrier shall 5. Tunnels and subways. credit and each using carrier shall 6. Bridges, trestles and culverts. charge the appropriate joint facility ac­ 7. Elevated structures. counts in operating expenses with the 13. Fences, snowsheds, and signs amounts billed by the owning carrier 16. Station and office buildings. against each using carrier for its pro­ 17. Roadway buildings. portion of the service loss on property 18. Water stations retired from service whether billed cur­ 19. Fuel stations. 20. Shops and enginehouses rently as depreciation or when retire­ 21. Grain elevators. ments occur as the loss in service value. 22. Storage warehouses. The using carriers shall be required to 23. Wharves and docks. account for depreciation or retirement 24. Coal and ore wharves. of units of road property jointly used but 26. Communication systems. not owned only to the extent of their 27. Signals and interlockers. contract liability. The same principle 29. Power plants. 31. Power-transmission systems shall apply to terminal companies and 35. Miscellaneous structures. their nonowner tenants in accounting 37. Roadway machines. for depreciation accruals or retirement 39. Public improvements—construction. charges recorded in the accounts of the 44. Shop machinery. terminal companies. 45. Power-plant machinery. (k) If the cause of the retirement of Note: With respect to accounts 2½ , 3, 5, the unit or units of road property is not and 39, carriers may confine the accruals to a recognized factor in depreciation and the depreciable property recorded therein by the loss is not covered by insurance, the applying the percentage rates to the carrier may upon proof that the charge aggregate cost of such property (omitting will result in unduly depleting the de­ nondepreciable property), in computing depreciation charges, or they may request preciation reserve, and with the approval percentage rates covering obsolescence due to of the Commission, charge all or a part the premature retirement of certain non­ of the service value of the property, less depreciable property, in which case the the estimated depreciation accrued composite percentage rates will be applied to thereon, to account 743, “Other deferred the total amount recorded in each of the charges,” and distribute it from that ac­ accounts in computing depreciation charges. count to account 267, “Retirements— (h) The accounting for depreciation Road.” on road property leased from others shall be in accordance with § 10.05-2 Leased § 10.04-9 Joint facility accounts. road and equipment; depreciation. The Accounts thus designated have been depreciation on road property includible provided for the joint users of tracks, in operating expenses by the lessee under bridges, yards, wharves, stations, and that instruction shall be computed and other facilities to indicate the proper ac­ stated under the group plan in accord­ counting for settlements which cover in­ ance with the foregoing instructions per­ come and operating expenses in connec­ taining to the carrier’s own road prop­ tion with the use of such facilities, and for settlement covering cost of yard erty. service. When the compensation for the (i) The term "group plan” means the use of facilities is a fixed amount or is plan under which depreciation charges based upon a charge per passenger, ton. are accrued upon the basis of the origi­ car, or other unit, it shall be fairly ap­ nal cost of depreciable road property for portioned by the operating company each primary road account using the among the joint facility operating ex­ service lives of the individual depreciable pense and income accounts. The cred­ units in the accounts and properly itor shall show the distribution of these weighting to determine the composite charges upon its bills, and such distri­ annual rate of depreciation. Upon the bution shall be adhered to by the debtor. retirement of a unit of property, its full Train service in connection with the service value is chargeable to account line haul of traffic, including that oper­ 735, “Accrued depreciation—Road and ated under a joint arrangement for the equipment,” whether or not the particu­ benefit of two or more carriers is not lar item has attained the average serv­ considered a joint facility operation and ice life. the settlements between carriers cover­ (j) The owning carrier shall include ing items chargeable to accounts 392 to in the depreciation accounts in operat­ 403. inclusive, shall not be included in ing expenses the charges for deprecia­ the joint facility accounts. (See Case tion on units of depreciable property 297, Accounting Bulletin No. 15.)

19 § 10.04-10 Clearing accounts. In terlockers. This latter amount shall be recognition of the fact that certain ex­ computed upon the basis of the ratio penditures incident to the construction which the monthly output bears to the and the operation of property are not total estimated yardage to be taken from chargeable directly to any particular the pit. property investment or expense account, When any portion of the product of clearing accounts have been provided for such pits or quarries is sold, the cost the purpose of securing an equitable dis­ thereof shall be credited to this clearing tribution of such items to the proper account, and the profit thereon, if any, primary accounts, as hereinafter set shall be credited to revenue account 143, forth. “Miscellaneous.” § 10.04-11 Gravel and sand pits and § 10.04-12 Power plant operations. quarries. When a gravel or sand pit or The accounting for the expenses of main­ quarry is opened for operations likely to taining and operating an electric, steam, extend over a long period, an account or other power plant (both building and shall be set up designated “Operations machinery) shall be determined by the of gravel pit at ______” or “Opera­ purpose for which the power produced tions of quarry a t ______,” as the case is used. may be. To this account shall be When the power plant is intended and charged: used for producing power solely for the (a) That part of the cost of the land carrier's own operations and the cost of in excess of its estimated value after the operating the plant is chargeable to clear­ gravel, sand, or stone has been removed, ing account “Shop expenses,” or to any the amount thus charged being concur­ one specific account for operating ex­ rently credited to the property account penses the expenses of maintenance shall in which the cost of the land is included. be charged to the appropriate mainte­ (b) Amounts paid for the right to nance accounts, and the cost of operation enter upon and remove ballast from land to the account appropriate according to not owned by the carrier. the use of the power. (c) The cost of sinking test holes. When the power from such a plant is (d) The expenses for clearing, strip­ properly chargeable to more than one ping, draining, and ditching the land, account, the expenses of maintaining and of moving and changing fences and and operating the plant shall be included buildings preparatory to opening the pit in clearing account “Power plant opera­ or quarry. tions.” The expense of maintenance (e) The cost, in excess of the estimated shall be cleared from that account to the salvage value, of rails and fastenings appropriate maintenance accounts for used in constructing tracks to and in the operating expenses. The expenses of op­ gravel pit or quarry, the estimated sal­ eration shall be apportioned to the ap­ vage being carried in an appropriate propriate accounts upon the basis of suspense account. quantity of power used for the various (f) The cost, in excess of the estimated purposes. salvage value, of ties and other material, When a part of the power produced and of labor expended on such tracks. by a power plant is sold and the remain­ (g) The cost of labor and train service der is used in the carrier’s own opera­ employed in producing, quarrying, and tions, the cost of maintaining and oper­ loading ballast, including the cost of ating the plant shall be charged to a operation, repairs, and depreciation of clearing account. The expense of main­ stationary engines, steam shovels, stone tenance shall be cleared from that ac­ crushers, and other similar machinery, count to the appropriate maintenance and the pay and expenses of watchmen. account in operating expenses. The pro­ (h) The cost of explosives and hand portion of the expenses of operation as­ tools, and miscellaneous expenses. signable to the power sold, on the basis (i) The cost of installing, operating, of ratio of quantity of power sold to total and maintaining signals and interlockers quantity of power produced, shall be at gravel pits. credited to this clearing account and Credit to these accounts shall be made charged to account 445, “Producing each month to cover the cost of ballast power sold.” The remainder of the cost material produced during the month. of operation shall be distributed to the The cost of production shall include the appropriate expense accounts for the expenses directly assignable to the carrier’s own operations, in the manner monthly output, plus a proportion of the indicated in the preceding paragraphs. expenses not directly assignable, such as When power plants are intended and cost of land, tracks, machinery, and in­ used solely for furnishing power to

20 others, the investment therein shall be of power: cost of carbon brushes, fuses, included in balance sheet account 737, lamps, picks, pokers, scuttles, shovels, “Miscellaneous physical property,” and and other small tools and supplies; and the operation shall not be included in the cost of water and power purchased. (See accounts of this classification, (See § 10.04-12 Power plant operations.) § 10.02-4 Miscellaneous operations and (c) Heating. The cost of fuel and income account 534 “Expenses of mis­ other supplies used for heating shops and cellaneous operations.”) other places at which mechanical work is done, shop offices, watchmen’s and § 10.04-14 Maintaining transmission gatekeepers’ boxes and inspectors’ shan­ and distribution systems. The account­ ties; and the pay of firemen, coal han­ ing for the maintenance of transmission dlers. and other employees engaged in systems and distribution systems shall be operating heating boilers. (See § 10.04-12 in accordance with instructions pertain­ Power plant operations.) ing to power plant operations. (d) Lighting. The cost of electric cur­ § 10.04-15 Shop expenses. A clearing rent, gas. oil. torches, lamp burners, lamp account entitled “Shop expenses” shall chimneys, lamps not permanently at­ be kept, to which shall be charged items tached to buildings, incandescent lamps of expense at shops, enginehouses, re­ and carbons, and other material used in pair tracks, and other places at which lighting shops and shop offices, repair mechanical work is done, not assignable tracks, and other places at which me­ directly to specific accounts. Such ex­ chanical work is done, and cost of ma­ penses shall be apportioned among the terial used and labor expended in oper­ various accounts affected. The basis of ating electric-light plants and repairing distribution shall be the relative propor­ electric-light and other lamps at shops. tion which the total amount of charges (See § 10.04-12 Power plant operations.) to “Shop expenses” bears to the total of (e) Switching locomotives. All ex­ the directly distributed labor. To avoid penses. including wages, fuel, and sup­ monthly fluctuations in the ratio of shop plies. of operating switching locomotives expenses to the total of distributed la­ when exclusively assigned to switching bor, carriers are permitted to make the service at shops. (The expenses of inci­ monthly apportionment on the basis of a dental switching at shops by locomotives percentage of the distributed labor, pro­ in transportation switching service shall vided the shop expense account be ad­ be charged to appropriate transportation justed and closed out at the end of each accounts.) year. The expenses assignable to this (f) Shop supplies. Fuel for forge and account are as follows: other shop work; supplies and small tools (a) General shop employees. The pay used by mechanics on miscellaneous work of general foremen in small shops, who and not durable; test-room and labora­ exercise direct supervision over all de­ tory supplies used in connection with partments unassisted by department shop work; lubricating material for shop foremen; the pay of department fore­ machinery and tools: water used at shops men, assistant department foremen, and shop offices, repair tracks, and other other supervising or directing employees, places at which mechanical work is done; and their clerks; pay of chauffeurs and and other supplies used generally in shop oilers; pay of sweepers, cleaners, rousta­ work. bouts, and other unskilled laborers em­ ployed in general work in and about shops LIST OF SUPPLIES AND SMALL TOOLS and shop grounds: pay of watchmen, Acid. Brushes, oil. gatekeepers, and policemen at shops, re­ Adzes. Brushes, paint. pair tracks, and other places at which Ammonia. Brushes, scrub. mechanical work is done; pay of em­ Auger bits. Brushes, sweeping. ployees while attending fires or fire drills; Augers. Brushes, varnish. and pay of employees while making, re­ Axes. Brushes, wall. Basins. Brushes, whitewash. pairing. or having charge of small shop Bath brick. Brushes, window. tools. Battery brushes. Buckets (b) Power. The cost of fuel used in Beeswax. Carpenter tools fur­ steam and other power plants in produc­ Bell cord. nished apprentices ing power for shops and for other places Bluestone. Casehardening com­ at which mechanical work is done: cost Bone, granulated. pound. of oil grease, waste, and other material Borax. Cement, belt. Bottles. Chalk. used in the operation of such power Braces and bits. Chalk lines. plants: pay of stationary engineers, fire­ Brooms. Chamois skins. men. electricians, coal handlers and Brushes, dust. Charcoal. other employees engaged in production Brushes, file. Chisels. 21 Clamps, hand. Oil cans. cleaning of privy vaults; cost of ice for Coal picks. Oilstones. shops; and other undistributed shop Compound for B. S Padlocks. hammers. Paint pots. expenses. Compound for grind­ Picks. § 10.04-16 Material store expenses. ing. Pipe-Joint grease. Compound for hy­ Pliers. To a clearing account called “Material draulic Jacks. Plumbago. store expenses” shall be charged expenses Compound for weld­ Polish. in connection with purchasing, handling ing. Polish, stove. and storing material in and distributing Corks. Potash. it from the company's storehouses, in­ Cosmic to prevent Prisms. cluding the pay of officers and employees rust. Rakes. in the purchasing and store departments Crayon. Rasps. and their traveling office, and other ex­ Cups. tin. Ratchet braces. Cushion beaters. Red lead. penses; also all expenses, including Dippers. Resin. wages, fuel, and supplies, of operating Disinfectants. Rope. switching locomotives when exclusively Ditching lines. Rules. assigned to the service of switching at Drill bits. Sal ammoniac. material storehouses. (Expenses of in­ Drinking cups. Sand soap. cidental switching at material yards by Drinking glasses. Sandpaper. locomotives in regular switching service Dustpans. Saw blades. shall be charged to the appropriate trans­ Emery. Saws. hand. Emery boxes. Scoops. portation accounts.) The pay and ex­ Emery cloth. Screw drivers. penses of men employed in purchasing Emery paper. Screws. or inspecting a single class of material, Faucets. Shellac. such as ties, shall be added as store ex­ File cards. Shovels. penses to the cost of that particular Files. Slate pencils. material. Fire hooks for sta­ Slates. The total amount of storehouse ex­ tionary boilers. Sledges. pense charged to this account shall be so Fire shovels for sta­ Soap. tionary boilers. Soda. distributed among the accounts to which Flags. Solder. material has been charged that the Flannel, canton. Soldering fluid. amounts thus distributed will be. for Forks. Spelter solder. each account in proportion to the value Forks, coke. Spigots for oil bar of the material issued chargeable there­ Funnels. rels. to. except that the amount representing Gimlets. Spirit-level vials. the purchasing department expenses Glue. Spirit levels. shall be apportioned on the value of the Gluepots. Sponges. material issued which was purchased by Glycerin. Sprinkling cans. Graphite. Squares. that department. To avoid monthly Grindstones. Squirts (lubricat­ fluctuations in the ratio of store ex­ Ground glass. ing). penses to the value of material pur­ Hack-saw blades. Stencil brushes. chased or issued, carriers may make a Hammers. Tacks. monthly apportionment on the basis of Hammers, babbitt. Tape lines. fair percentage rates, provided the store Hand leathers. Tapes, metallic. expense account be adjusted and closed Handles for tools. Tool steel for small out at the end of each year. Hatchets. hand tools. Hoes. Tripoli. § 10.04-17 Stationery store expenses. Keel. Trucks. A clearing account entitled “Stationery Lampblack. Twine. Lead. Washbasins. store expenses” shall be kept, to which Lye. Wheelbarrows. shall be charged expenses in connection Mallets. Whetstones. with purchasing, handling, and storing Marking brushes. White lead. stationery, and for distributing it from Marking pots. Whiting. the stationery stores, including the pay Measures, liquid. Window cloths. of officers and employees in the sta­ Mineral paste. Wire. tionery store department and their trav­ Mop handles. Wire brushes. eling, office, and other expenses. The Mops. Wrenches. Muslin. Zinc cakes. amounts charged to this account shall be Nippers. Zincs. apportioned to the accounts to which is charged stationery issued from the store, (g) Incidental expenses. Watchmen’s upon the basis of the charges to these uniforms, clocks, and call boxes; travel­ accounts for such stationery. To avoid ing expenses connected with the opera­ monthly fluctuations in the ratio of store tion of shops and not directly chargeable expenses to the value of material issued to other accounts; removal of snow and or purchased, carriers may make a ice from transfer tables and shop yards; monthly apportionment on the basis of

22 fair percentage rates, provided the sta­ the purpose of clearly indicating the ap­ tionery store expense account be ad­ plication of the accounting rules in spe­ justed and closed out at the end of each cific cases. The lists in every case are to year. be considered as merely representative § 10.04-18 Insurance. Provision has and not as excluding from any account been made in each of the general ac­ analogous items which happen to be counts for premiums paid and amounts omitted from the list appended. On the set aside for fire and other insurance. other hand, the appearance of an item Amounts of insurance recovered on ac­ in a list warrants the inclusion of such count of losses shall be credited to the item in the account concerned only when accounts to which the losses are charge­ the text of the account also indicates in­ able. clusion, inasmuch as the same item fre­ quently appears in more than one list— § 10.04-19 Equalization of mainte­ for example, the item of blank books un­ nance expenses. The cost of maintain­ der accounts 276. 334, 358, 410, and 458— ing way and structures and equipment and the proper charge in any one in­ shall be included in the appropriate pri­ stance must be determined by the text mary accounts in the month in which of the account. the expense is incurred. In case the car­ rier adopts a budget or estimate for all § 10.04-23 Delayed items Cancella­ or a part of the calendar year of ex­ tion of entries recorded in balance-sheet penses includible in one or more primary accounts relating to operating expenses maintenance accounts or for the general of former years shall be recorded in ac­ accounts 200. "Maintenance of way and cordance with § 10.02-3 Delayed items. structures,” and 300. "Maintenance of § 10.04-24 Depreciation accounting; equipment,” an equitable monthly pro­ equipment. The accounting for depre­ portion of the difference between the ciation of equipment shall be in accord­ budgeted or estimated expenses and the ance with the following: actual expenses chargeable each month (a) There shall be currently charged may be debited or credited as appropri­ to operating expenses, and other accounts ate to account 280, "Equalization—Way and credited to account 735, "Accrued and structures,” or account 338, "Equali­ depreciation—Road and equipment,” zation—Equipment,” with contra entries during the service life of equipment, in account 773, "Equalization reserves.” amounts which will approximate the loss If certain primary accounts only are in service value not restored by current budgeted the carrier’s records shall show repairs or covered by insurance. These for amounts included in the equalization charges for currently accruing deprecia­ accounts the amount of the equalization tion shall be computed at such percent­ assignable to each such primary account. age rate of the ledger value of the equip­ Amounts included in account 773, ment that the service value may be dis­ "Equalization reserves,” in accordance tributed under the straight-line method with the foregoing paragraph, shall be in equal annual charges to operating ex­ cleared therefrom at the close of each penses and other accounts during the calendar year through the equalization estimated service life of the equipment. accounts originally charged or credited. (b) All depreciation charges to oper­ § 10.04-20 Accruals of expenses. In ating expenses, and other accounts and order that operating expense accounts concurrent credits to account 735, "Ac­ may as nearly as practicable include the crued depreciation—Road and equip­ full amount of expenses incurred by the ment,” shall be made monthly in con­ carrier each month, the carrier shall formity with the group plan of account­ accrue currently in the appropriate ex­ ing for depreciation. The term "group pense and balance-sheet accounts esti­ plan” as applied to equipment deprecia­ mates of unaudited items affecting ex­ tion accounting means the plan under penses. If these estimates are not fully which "depreciation” charges are ac­ adjusted in the following month, the crued upon the basis of the ledger value balances in the balance-sheet accounts of the property included in each equip­ shall be kept separately by months until ment primary account (51 to 54 and 56 to each is adjusted. The carrier is not re­ 58, all inclusive), using the average serv­ quired to anticipate items which would ice life thereof properly weighted and, not appreciably affect the expense upon the retirement of any unit of such accounts. property, its full service value is charged to account 735, “Accrued depreciation— § 10.04-22 Interpretation of item lists. Road and equipment,” whether or not Lists of "items,” “details,” etc., have been the particular item has attained the esti­ given as a part of this classification for mated average service life. In determin­ 23 ing such monthly charges and credits the under account 50, “Equipment,” are annual percentage rates shall be applied classed as depreciable accounts: to the ledger value, as of the first of each 51. Steam locomotives. month, of the respective primary equip­ 52. Other locomotives. ment accounts and the result divided by 53. Freight-train cars. 12. 54. Passenger-train cars. 56. Floating equipment. (c) For purposes of analysis the car­ 57. Work equipment. rier shall maintain subsidiary records in 58. Miscellaneous equipment. which the reserve is broken down into (h) The accounting for the deprecia­ component parts corresponding to each tion of leased equipment shall be in ac­ equipment primary account (51 to 54 and cordance with § 10.05-2 Leased road and 56 to 58, all inclusive) showing in these equipment; depreciation. The depre­ records also in complete detail by each ciation on equipment includible in oper­ such primary account the current credits ating expenses by the lessee under that and debits to the reserve. Such detailed instruction shall be stated under the information shall be reported annually group plan in accordance with the fore­ to this Commission. going instructions pertaining to the car­ (d) In determining monthly deprecia­ rier’s owned equipment. tion charges to operating expense, and other accounts, and the corresponding INCOME, RETAINED INCOME, AND GENERAL credits to the depreciation reserve, the BALANCE SHEET annual percentage rates applied to the § 10.05 General instructions. The ledger value of the property included in carrier’s records shall be kept with suffi­ each primary equipment account (51 to cient particularity to show fully the facts 54 and 56 to 58, all inclusive) shall be pertaining to all entries made in the those which are prescribed from time to accounts provided herein for income, time by this Commission, except that retained income, and general balance where no rates previously have been pre­ sheet. Where the full information is scribed, the carrier’s estimate of the an­ not recorded in the general books, the nual percentage rates computed in ac­ entries therein shall be supported by cordance with this instruction shall be other records in which the full details used. shall be shown. Such general book en­ (e) The carrier shall keep such records tries shall contain sufficient reference to of equipment retirements, as will reflect the detail records to permit ready iden­ the service lives and value of salvage tification, and the detail records shall of each class of equipment; shall main­ be filed in such manner as to be readily tain in convenient and accessible form accessible for examination by represent­ engineering and other data bearing on atives of the Interstate Commerce Com­ prospective service lives; and shall be pre­ mission. pared at any time upon direction of this § 10.05-1 General ledger accounts. Commission to compute and submit for When the title and definition of an in­ its approval, new percentage rates to take come, retained income, or general bal­ the place of those based on service lives ance-sheet account clearly indicate that or value of salvage found to be inaccurate. it is a summary of other accounts, it is (f) If the cause of retirement of a unit not required that a special ledger of equipment is not a recognized factor account shall be kept under such a title in depreciation but is a cause against to include the balances from the which the carrier is insured the deprecia­ accounts usually kept in the ledger, but tion reserve shall be credited with the in such case the titles of the subaccounts full amount of the insurance recovered in the ledger shall give references by If the cause is not a recognized factor in numbers, titles, or both, to the income, depreciation and the loss is not covered retained income, or general balance- by insurance the carrier may upon proof sheet account prescribed herein of which that the charge will result in unduly de­ they are subdivisions. pleting the depreciation reserve and with § 10.05-2 Leased road and equipment; the approval of this Commission charge depreciation. The carrier shall include all or a part of the service value of the in operating expenses charges for depre­ unit to account 743, “Other deferred ciation on road property and equipment charges,” and distribute it from that ac­ used but not owned the rent for which is count to account 330, “Retirements— includible in account 542, “Rent for Equipment.” leased roads and equipment.’ and shall (g) For the purpose of the group plan maintain the same records of service of depreciation accounting for equip­ lives, salvage values, etc., as provided ment, the following primary accounts for owned road property and equipment.

24 The amount currently to be charged to adjustments and cancellation of entries account 542, “Rent for leased roads and recorded in balance-sheet accounts re­ equipment,” is the excess of the total lating to income of former years in ac­ compensation over the amount charge­ cordance with the instructions contained able by the carrier to the depreciation in § 10.02-3 Delayed items. accounts in operating expenses If set­ § 10.06-3 Unaudited items. When tlement between the carrier and the les­ the amount of any item affecting income sor is not currently made, the amount of cannot be accurately determined in time the depreciation accrued during the pe­ for inclusion in the accounts of the riod of the lease shall be credited by the month in which the transaction occurs, carrier to account 785 “Accrued depre­ the amount of the item shall be esti­ ciation—Leased property.” The neces­ mated and in such form included in the sary adjustments of the difference be­ proper income account with contra entry tween the balance thus accrued in that to the appropriate balance-sheet ac­ account and the actual amount of set­ count. When the item is audited the tlement shall appropriately be made necessary adjustments shall be made through account 607, “Miscellaneous through the accounts in which the esti­ credits,” or account 621, “Miscellaneous mate was recorded. If, during the inter­ debits,” at the time settlement for depre­ val between the date of inclusion of the ciation on the property is made with the item in the accounts and the date on lessor. which it is audited, a substantial differ­ The carrier shall not include in the ence from the initial estimate is deter­ depreciation account in operating ex­ mined, appropriate adjustments shall be penses any charges for depreciation of made in the current accounts to cover equipment used but not owned when the such difference. The carrier is not re­ rents therefor are included in the rent for quired to anticipate items which would equipment and joint facility rent ac­ not appreciably affect the accounts. counts 503 to 508 and 536 to 541, in­ clusive. Retained Income § 10.07 Special instructions. This § 10.05-3 Closing general ledger. Ac­ group of accounts forms the connecting counts shall be written up, posted to the link between the income accounts and general ledger and balanced monthly. general balance sheet account 798, “Re­ The final entries for any month shall be tained income—Unappropriated.” They made not later than 60 days after the are designed to show the changes in last day of the month for which the ac­ retained income during each fiscal period counts are stated, except that the period as affected by the balance of the income within which the final entries for the accounts as reported for the period; by month of December shall be made may any disposition of retained income made be extended to such date in the following at the option of the carrier: and by mis­ March as shall not interfere with the cellaneous gains and losses not ac­ preparation and filing of annual reports counted for elsewhere as required by the Interstate Commerce Act. General Balance Sheet § 10.08 Special instructions. Income § 10.08-1 Balance sheet accounts. § 10.06 Special instructions Balance sheet accounts are intended to § 10.06-1 Income accounts defined. disclose the financial condition of the Income accounts are those designed to carrier as of a given date by showing show, as nearly as practicable for each the assets, liabilities, capital stock, and fiscal period, the total amount of money related items, and the retained income that a carrier becomes entitled to re­ or deficit of the carrier. ceive for services rendered, the returns § 10.08-2 Discount premium, and as­ accrued upon investments, the accrued sessment on capital stock. Separate costs paid or payable for the services ledger accounts shall be provided for rendered by it, the losses sustained by each subclass of capital stock issued or it, the amounts accrued for taxes, for use assumed by the accounting company to of moneys and for use of properties of cover discount suffered and premium others, and the appropriations made realized at the sale or resale of capital from income during the period The net stock. General levies or assessments balance of income (or loss) shall be car­ against stockholders shall be credited ried to retained income. to the appropriate ledger accounts for § 10.06-2 Delayed items The car­ the subclass of capital stock against rier shall account for delayed items and which the levy or assessment is made.

25 The total of net debit balances in these ums and assessments on capital stock,” ledger accounts shall be included in ac­ or in account 793, “Discount on capital count 793, “Discount on capital stock,” stock,” and the commissions and expense and the total of net credit balances in in connection with its reacquisition shall account 794, “Premiums and assessments be included in account 795 “Paid-in on capital stock.” surplus”: Provided, however, That the By the term “discount” is meant the excess of a debit over the amount of ac­ excess of the par value of stocks issued cumulated net gains applicable to such or assumed, plus dividends declared and subclass included in paid-in surplus shall accrued at the date of sale, over the be charged to account 621, “Miscella­ money value of the consideration re­ neous debits.” ceived at their sale. When reacquired capital stock is resold By the term “premium” is meant the the difference between the amount at excess of the money value of the consid­ which such stock is included in a partic­ eration received at the sale of stocks ular asset account and the net sale price over the sum of their par value and divi­ realized when resold shall be included in dends declared and accrued at the date account 795, “Paid-in surplus”: Pro­ of sale. vided, however, That the excess of a debit Discount on each subclass of capital over the amount of accumulated net stock may be offset or reduced by charges gains applicable to each subclass of cap­ to account 794, “Premiums and assess­ ital stock resold included in paid-in sur­ ments on capital stock,” to the extent plus shall be charged to account 621, that net gains from premiums or assess­ “Miscellaneous debits.” ments have been included therein or to In no case shall discount on capital account 795, “Paid-in surplus,” to stock be charged to or included in any the extent that net gains from reacquisi­ account as a part of the cost of acquiring tion and resale or retirement of capital property or as a part of the cost of stock applicable to such subclass have operation. been included therein. Any remaining discount may be amortized by charges to § 10.08-3 Discount, expense, and pre­ account 555, “Stock discount extin­ mium on funded debt. Ledger accounts guished through income”; account 616, shall be provided to cover the discounts, “Stock discount extinguished through expense, and premiums at the sale or retained income”; or discount may be resale of each subclass of funded debt retained and carried in account 793, and of receivers’ and trustees’ securities “Discount on capital stock, until the issued for the benefit of or assumed by stock to which the discount applies is the company. For explanation of “sub­ retired. class” see account 765, “Funded debt In case the accounting company is per­ unmatured." mitted and elects with the approval of By the term “discount” is meant the the Commission, to distribute all or any excess of the par value of funded debt part of the net balance of paid-in sur­ securities (of whatever kind) issued or plus to its stockholders, the amount thus assumed, and the accrued interest there­ distributed shall be charged to account on, over the actual cash value of the con­ 795, “Paid-in surplus.” sideration received for such securities. When an issue of capital stock, or any By the term “premium” is meant the part thereof, is reacquired either by pur­ excess of the actual cash value of the chase or through donations by sharehold­ consideration received for funded debt ers, and is not canceled or held as treas­ securities (of whatever kind) issued or ury stock, it shall be charged at its par assumed over the par value of such secu­ value or if stock without par value at the rities and the accrued interest thereon. proportionate amount at which the par­ By the term “expense” is meant all ex­ ticular class of stock is induced in ac­ pense in connection with the issue and count 791, “Capital stock issued,” to ac­ sale of evidences of debt, such as fees count 715, “Sinking funds”; 716, “Capital for drafting mortgages and trust deeds; and other reserve funds”; 717, “Insur­ fees for issuing or recording mortgages ance and other funds”, as may be appro­ and trust deeds; cost of engraving and priate. printing bonds, certificates of indebted­ The difference between the amount at ness, and other negotiable paper having which reacquired stock was recorded a life of more than one year; fees paid in account 791, “Capital stock issued,” trustees provided for in mortgages and and the amount paid by the accounting trust deeds: fees paid for legal services company for such stock, including any to trustees relative to mortgage securi­ premium or discount applicable to such ties; fees and commissions paid under­ subclass carried in account 794, “Premi­ writers and brokers for marketing such

26 evidences of debt: and other like expense construction,” no discount and expense except taxes for issuing or recording on funded debt shall be charged to or mortgages and trust deeds and for issu­ included in any account as a part of the ing bonds or other evidences of long term cost of acquiring any property, tangible debt which shall be charged to account or intangible, or as a part of the cost of 532. “Railway tax accruals.” operation. The total of the net debit balances re­ § 10.08-4 Contingent assets and lia­ maining in these several accounts should bilities. Contingent assets and liabili­ be included in account 742, “Unamortized ties shall not be included in the body of discount on long-term debt,” and the the balance-sheet statement, but shall total of the net credit balances in ac­ be shown in detail in a supplementary count 783, “Unamortized premium on statement accompanying the balance- long-term debt.” sheet statement. Contingent assets are Each fiscal period there shall be those without value to the accounting charged to income account 548. “Amor­ company until the fulfillment of condi­ tization of discount on funded debt.” a tions regarded as uncertain. Contingent proportion (based upon the ratio of such liabilities include items which may, un­ fiscal period to the remaining life of the der certain conditions, become obliga­ respective securities reckoned from the tions of the company, but are neither beginning of the period to the date of direct nor assumed obligations on the maturity of the debt to which the date of the balance sheet. charges relate) of each of the debit bal­ ances in these accounts, and corre­ § 10.08-5 Book value of securities spondingly there shall be credited to in­ owned, (a) The investment in securi­ come account 517. “Release of premiums ties other than those issued or assumed on funded debt.” a similar proportion of by the accounting company shall be re­ each of the credit balances in these ac­ corded in these accounts at the money counts. When the total discount and value, at the time of acquisition, of the expense applicable to any particular is­ consideration given therefor by the ac­ sue of securities does not exceed $25,000, counting company, but excluding carriers may charge the entire amount amounts paid for accrued interest and to account 548. “Amortization of dis­ accrued dividends. The accounting count on funded debt.” at time of issue. company shall write down the ledger When any funded debt which has been value of any securities to the extent of actually issued to bona fide holders for impairment in their value. Fluctuations value is reacquired by the accounting in market value shall not be recorded company, that proportion of the balance however. Securities shall be written remaining in the accounts containing down to reflect anticipated loss in value discount, expense, and premium on or written off entirely if there be no funded debt for the subclass of the secu­ reasonable prospect of realizing any rity reacquired applicable to the portion value whatever therefrom. Adjustments reacquired shall be credited or charged in the ledger values of securities shall thereto, as may be appropriate, and con­ not be delayed beyond the year in which currently charged or credited to retained a loss is claimed for income tax pur­ income. Such proportion shall be based poses. In accordance with paragraph upon the ratio of the par value of the (c) of this section carriers may create security reacquired to the par value of reserves to cover such reductions in all the securities of the subclass actually value. Under no circumstances shall the outstanding immediately before such investment in the securities be stated in reacquirement. these accounts at an amount in excess of their cost to the accounting company. In case, however, the premium realized (b) The amount of the adjustment or discount suffered at the prior sale of shall be charged to account 621, “Mis­ the securities reacquired has been in­ cellaneous debits.” cluded (in excess of the amount author­ ized in the text of road and equipment (c) Carriers may create reserves to account 76. “Interest during construc­ provide for depreciation in the value of tion”) in an asset account other than securities owned and recorded in ac­ the premiums and discounts account, counts 721, “Investments in affiliated such asset account shall be concurrently companies,” and 722, “Other invest­ adjusted through retained income to the ments,” by charges to account 621, “Mis­ extent of such excess of the premium or cellaneous debits.” See account 723, discount previously included therein “Reserve for adjustment of investment with respect to the securities reacquired. in securities—Cr.” Except as provided for in road and § 10.08-6 Income from sinking fund equipment account 76, “Interest during assets. Accrued interest on uninvested

27 sinking fund cash on deposit in banks are designed to show the cost of land and or trust companies, and accrued inter­ road property owned by the carrier and est and other income arising from stocks, devoted to transportation service. bonds, or other assets held in sinking § 10.1 Engineering. This account and reserve funds shall be credited to shall include the pay and expenses of account 516, “Income from sinking and engineers, assistants, and clerks engaged other reserve funds,” and when required in the survey and construction of new by the mortgage or other provision to be lines and extensions, or in making addi­ held in the funds shall be charged, ac­ tions to and betterments of the carrier’s cording to the character of the funds, road, including wharves and docks. to account 715, “Sinking funds,” or to account 717, “Insurance and other LIST OF OFFICERS AND EMPLOYEES funds,” and concurrently, if a reserve is Chief engineer. Levelmen. required, an equal amount shall be Assistant engineers Rodmen. charged to income account 552, “Income Bridge engineer. Chainmen. applied to sinking and other reserve Signal engineer. Axmen. Architects. Messengers. funds,” and credited to account 797, “Re­ Chief clerk. Cooks on business tained income—appropriated.” Draftsmen. cars. § 10.08-7 Current assets. In the Clerks. Porters on business group of accounts designated as current Transitmen. cars. assets (accounts 701 to 713, inclusive) ITEMS OF EXPENSE AND SUPPLIES shall be included cash, those assets which Atlases and maps. Plummets. are readily convertible into cash or are Axes. Printing and sta­ held for current use in operations, cur­ Barometers. tionery. rent claims against others and amounts Books for office use Protractors. accruing to the carrier which are subject Boxes for materials Provisions for busi­ to current settlement. There shall not and instruments. ness cars. be included in this group of accounts any Business car service Ranging poles. Cameras. Reading glasses. item the collection of which is not rea­ Camp equipage. Rent of offices. sonably assured by the known financial Chains for surveyors. Repairs of rented condition of the debtor. Items of cur­ Compasses. offices. rent character but of doubtful value Curves. Rods for surveyors previously credited to operating revenue, Drawing boards. Scales. operating expense or income accounts Drawing Instru­ Section liners. shall be written down or written off by ments. Sextants. Field glasses. Slide rules. charging those accounts. If there has Field notebooks. Stakes. been any impairment in value, such Furniture repairs Straightedges. items shall be included in account 741, and renewals. Tally registers. “Other assets,” at an amount not in ex­ Hatchets. Tape lines. cess of a reasonable estimate of future Heating and lighting. Tee-squares. value. If it is desired to retain a record Levels. Telegraph service. of assets written off they shall be re­ Magnets. Telephone service. Magnifiers. Telescopes. corded at a nominal value in account Marking chalk. Thermometers. 741, “Other assets.” Official train service Thumb tacks. § 10.08-8 Joint liabilities. The ac­ Oilstones. Tracing linen. counting company shall state as a lia­ Paper, blue-print. Transits. Parallel rules. Traveling expenses bility in its balance sheet the difference Periodicals and Traverse tables. between the total par value of securities newspapers. Triangles. jointly or severally issued by it and Photographic sup­ Tripods. others and the portion of such liability plies. Verniers. which, under the joint arrangement, it Plane tables. Water and ice. is expected will be liquidated by the Planimeters. other party or parties to the joint ar­ rangement. The amount of the jointly Note A: When employees designated above or severally issued securities it is ex­ are engaged in the maintenance of the road, their pay and expenses while thus employed pected will be liquidated by the other shall be charged to operating expenses. party or parties shall be shown as a con­ Note B: Expenditures for tentative or pre­ tingent liability in accordance with liminary surveys shall be carried in a sus­ § 10.08-4 Contingent assets and liabili­ pense account until it is determined whether ties. or not to continue the work. If the project Property Accounts is continued, expenditures for all surveys in road connection therewith shall then be trans­ ferred to this account, and. if abandoned, § 10.0 Road. The several primary ac­ to operating expenses, income, or retained counts included in this general account income, as may be appropriate.

28 N ote C: The cost of designing, making Note: The cost of land acquired in excess plans and specifications, and supervising the of that necessary for transportation opera­ construction of equipment shall he included tions shall be included in balance-sheet in the cost of the equipment. account 737, “Miscellaneous physical prop­ N ote D : The cost of stationery and print­ erty.” When the purchase of land acquired ing supplies used for accounting purposes in for transportation operations involves the connection with engineering work shall be purchase of land not used for such purposes included in account 74. “Stationery and the charges to this account shall be based printing,” when not directly assignable to upon the estimated cost of only that portion specific road or equipment accounts. which is used for such purposes, and the cost Note E: Pees and expenses of architects of the remaining land shall be included in specially employed for designing or supervis­ account 737, “Miscellaneous physical prop­ ing the construction of buildings shall be erty.” Only the actual cost borne by the included in the accounts appropriate for the carrier for right-of-way and other lands ac­ cost of the buildings constructed. quired through vacation of streets and high­ ways shall be included in this account. No § 10.2 Land for transportation pur­ donations should be considered as involved poses. This account shall include the cost in the acquisition of such property. of land of necessary width acquired for roadway; the cost of land for station, § 10.2½ Other right-of-way expendi­ office, shop, and other grounds; for in­ tures. This account shall include the gress to or egress from such grounds; for cost (in excess of cost of railway facilities borrow pits, waste banks, snow fences, installed, if any) actually borne by the sand fences, and other railway appurte­ carrier of improvement projects (other nances; and for storage of material ad­ than public improvement projects) such joining the right of way; the cost of land as the construction of canals, farm and for wharves and docks and the cost of other private passes, pipe lines, drains, riparian or water rights necessary there­ for; the cost of removing from the right and other facilities across the carrier’s of way and locating elsewhere the prop­ right-of-way. erty of others, and the cost of the neces­ § 10.3 Grading. This account shall sary land for relocation of the property, include the cost of clearing and grading when such costs are assumed by the ac­ the roadway, and of constructing pro­ counting carrier. tection for the roadway, tracks, embank­ The carrier’s records shall be kept in ments, and cuts. such manner as to show separately the When a part of a bridge or trestle, or cost of land purchased by it and the esti­ the entire structure, is converted by fill­ mated values at time of acquisition of ing into an earth embankment, and the lands donated. bridge is used in lieu of a temporary Proceeds from the sale of timber or of trestle for the purpose of filling, the improvements purchased with right of estimated cost of such temporary trestle way, less any cost of removal, shall be shall be included in the cost of the filling, credited to this account. and charged to this account. (See Note ITEMS OF EXPENSE Abstracts. A, under account 6, “Bridges, trestles, Appraisals. and culverts.”) Arbitrators in condemnation cases. When a tunnel is converted into an Commissions paid to others. open cut, the cost of clearing, grubbing, Condemnation expenses, including court costs and special counsel fees. and excavating shall be included in this Damages to property of others. account. Deferred payments for right of way. DETAILS OF ROADBED AND ITEMS OF EXPENSE Ditches for waterways when part of consid­ eration. Advertising for contractors’ bids. Judgments and decreed costs to clear or de­ Berm ditches. fend titles Blasting. Notarial fees. Breakwaters. Plats. Bulkheading. Premiums on condemnation bonds. Clearing land. Recording deeds. Cribbing. Payments for relinquishment of cattle passes Dikes (including those of earthern construc­ and other rights. tion which are intended to function in­ Removal and relocation of buildings and definitely). other structures not purchased. Ditches (not required by right-of-way agree­ Rent of land when part of consideration for ment) . purchase. Dressing slopes. Right-of-way agents’ compensation (engaged Excavation for conversion of tunnels into solely in acquiring right of way). open cuts. Taxes accrued and assumed at time of pur­ Filling bridges, trestles, and culverts. chase. Grading outfits.

436489 O -57 -3 29 Grubbing land. the salvage and the estimated cost of trestle Material taken from borrow pits. charged to account 3. shall be charged to New channels for streams. account 735, “Accrued depreciation—Road Operation of steam shovels. and equipment.” P a y m en ts for privilege of wasting material on Note B: The cost of bridges to carry the the property of others. carrier’s tracks over undergrade crossings, in­ Payments for waste banks off the right-of- cluding the necessary piers and abutments way. to sustain them shall be included in this Retaining walls. account. Revetments. Riprap. § 10.7 Elevated structures. This ac­ Spoil banks. count shall include the cost of elevated Temporary trestling for fills. structures and foundations of elevated Tools for grading. railway systems. Wing dams. This account is applicable to structures § 10.5 Tunnels and subways. This other than earthwork, which are for the account shall include the cost of tunnels purpose of elevating tracks above the grade of streets, and which are not prop­ and subways for the passage of trains, erly classable as bridges or trestles. including apparatus for ventilating and lighting, and safety devices therein, other No t e: The cost of stations and other structures built on elevated structures shall than signals. be accounted for according to the class of the Note A : The cost of tracks, including guard structure thus superimposed and not in this rails, in tunnels shall not be charged to this acco u n t. account. Note B : Station subways not highway § 10.8 Ties. This account shall in­ crossings are includible in account 16. “Sta­ clude the cost of cross, switch, bridge, and tion and office buildings.” other track ties used in the construction Note C: If a tunnel be converted into an of tracks for the movement or storage of open cut the accounting shall be in accord­ locomotives and cars (including tracks in ance with § 10.01-11 Adjustment for con­ shops, fuel stations, supply yards, etc.), verted property. and the cost of additional ties subse­ § 10.6 Bridges, trestles, and culverts. quently laid in such tracks; also the This account shall include the cost of the excess cost of metal ties used in repairs of track over the cost to replace in kind substructure and superstructure of wooden ties removed. bridges, trestles, and culverts which carry The cost of handling ties in general the tracks of the carrier over water­ supply and storage yards shall be in­ courses, ravines, public and private high­ cluded as store expenses apportioned to ways, and other railways. this account when the ties are used for DETAILS OF BRIDGE STRUCTURES construction purposes. Abutments. Ice breakers. Note A: The cost of labor for unloading Bridge signs. Painting (except re­ distributing, and placing the ties in tracks Cofferdams. painting) . and the cost of train service in connection Concrete and ma­ Pier protection. with the distribution of ties laid shall be sonry ends for cul­ Piers and founda­ charged to account 12, “Track laying and verts. tions. surfacing.” Cribs. Pipe culverts. Note B: The cost of ties used in the con­ Decking, including Retaining walls. struction of car floats shall be included in gravel for fire pro­ Riprap around abut­ the cost of such floating equipment, and the tection. ments. cost of ties used in the construction of tem­ Dike protection. Riprap at culvert porary tracks, such as gravel-pit and quarry Drainage systems. ends. tracks, shall be included in the appropriate Draw protection. Supports. clearing accounts. Drawbridge engines Water channels. and machinery. Waterproofing. § 10.9 Rails. This account shall in­ False work. Wing dams. clude the cost of rails used in the con­ Guard timbers. Wing walls. struction of tracks for the movement or Note A: When a part of the entire struc­ storage of locomotives and cars (includ­ ture of a bridge or trestle is converted, by ing tracks in shops, fuel stations, sup­ filling, into an earth embankment, the ledger ply yards, etc.), and the cost of the ex­ value of the structure, or of the portion cess in weight of heavier rails laid in thereof filled, shall be credited to this ac­ replacement of lighter rails. count. In case the bridge or trestle is used in lieu of a temporary trestle for the purpose The cost of handling rails in general of filling, the estimated cost of such tempo­ supply and storage yards shall be in­ rary trestle shall be charged to account 3, cluded as store expenses apportioned to “Grading.” The ledger value of the structure this account when the rails are used for or portion thereof, filled, less the value of construction purposes.

30 To this account shall be credited the used in the construction of car floats shall cost (at current prices at time of re­ be included in the cost of such floating moval) of the excess weight of heavier equipment, and the cost of such track ma­ terial used in the construction of temporary rails replaced with lighter rails. tracks, such as gravel-pit and quarry tracks, Note A: The cost of labor for unloading, shall be included in the appropriate clearing distributing, and placing the rails in tracks, accounts. and of train service in connection with the distribution of the rails, shall be charged to § 10.11 Ballast. This account shall account 12, “Track laying and surfacing.” include the cost of gravel, stone, slag, Note C The cost of rails used in the con­ cinders, sand, and like material used in struction of car floats shall be included in ballasting tracks (including tracks in the cost of such floating equipment, and the shops, fuel stations, supply yards, etc.) cost of rails used in the construction of tem­ not previously ballasted, including cost porary tracks, such as gravel-pit and quarry of work-train service and of unloading; tracks, shall be included in the appropriate cost of ballast applied in excess of ballast clearing accounts. required to restore to its maximum § 10.10 Other track material. This height and width the ballast previously account shall include the cost of material put on the roadbed; and the excess cost used in the construction of tracks for of improved ballast used in renewals over the movement or storage of locomotives the cost to replace in kind to the origi­ and cars (including tracks in shops, fuel nal height and width the ballast re­ stations, supply yards etc.), except bal­ moved. Charges to this account shall last and material chargeable to forego­ not exceed the cost of ballast applied to a ing accounts: also the excess cost of depth of 24 inches beneath the tie, unless heavier or improved “other track ma­ otherwise authorized by the Commission. terial” used in repairs of tracks over the (§ 10.04-11 Gravel and sand pits and cost of replacing in kind such material quarries applies to the accounting for pits removed. from which ballast material is obtained The cost of handling “other track ma­ either for construction work or for main­ terial” in general supply and storage tenance, or for both.) yards shall be included as store expenses Note A: The cost of ballast used in the apportioned to this account when such construction of temporary tracks, such as material is used in the construction of gravel-pit and quarry tracks, shall be in­ new tracks. cluded in the appropriate clearing accounts. Note B: Earth placed to form a crown in ITEMS OF OTHER TRACK MATERIAL the middle of the track is not to be con­ Angle bars. Rail splices. sidered as ballast. Anticreepers. Rail chairs. Note C : The cost of ballast material placed Bumping posts. Rail clips. on the decking of bridges solely for fire- Compromise Joints. Rail Joints. protection purposes shall be included in ac­ Connecting rods. Rail rests. count 6, “Bridges, trestles and culverts.” Crossings for steam Rail shims. Note D : No charge shall be made to the and electric rail­ Splice bars. accounts of this classification representing ways, includ­ Step chairs. the value of cinders accumulated by the ing foundations or Switch chairs. carrier. bases. Switch crossings. Derails. Switch lamps. § 10.12 Track laying and surfacing. Frog blocking. Switch locks and This account shall include the cost of Frogs. keys. distributing (including train service), Guard-rail blocking. Switch points. laying, and adjusting ties, rails, and Guard-rail clamps. Switch stands. other track material used in the con­ Guard-rail fasteners. Switch targets. struction of tracks for the movement or Guard rails, switch Switches. storage of locomotives or cars, including and other. Tie plates. repair tracks, but not tracks on car floats Main rods. Tie plugs. Nut locks. Tie rods. or temporary tracks the cost of which is Nuts. Track bolts. chargeable to clearing accounts. It shall Offset bars Track insulators. also include the cost of the labor ex­ Rail braces. Track spikes. pended in placing ballast in tracks not Note A : The cost of labor and train service previously ballasted. for distributing, unloading, and. applying Note A: The cost of distributing and ad­ “other track material” shall be charged to justing ties, rails, ballast, and other track account 12, “Track laying and surfacing.” material for repairs shall be charged to oper­ Note B: No entry is required in this ac­ ating expenses, both when such materials count with respect to improved “other track are replaced in kind and when replaced with material” unless installed under a definite improved and heavier material. plan of changing standards, such as increas­ Note B: The cost of work-train service in ing the weight of rail. delivering ballast and of unloading such ma­ Note C : The cost of “other track material” terial is provided for in account 11. “Ballast.”

31 § 10.13 Fences, snowsheds, and signs. Fences This account shall include: Fire-engine houses Freight cranes. (a) Fences. The cost of right-of-way Freight derricks. fences and snow and sand fences, farm Freight handling machinery gates, cattle guards, wing fences, aprons, Freight houses. and hedges, on property not previously Garages. fenced, excluding those around stock- Gas-supply systems. yards, fuel stations, station and shop General office buildings. grounds, and building sites. Grain cribs. Grain elevators. (b) Snowsheds. The cost of snow- Grain warehouses sheds, including initial cost of planting Greenhouses. trees for protecting tracks from snow. Hay houses. (c) Signs. The initial cost of signs Heating plants. other than those for identification of Hedges bridges, signals, stations, and other Hoisting engines, for handling freight. structures. Hose houses. Ice houses. SIGN ITEMS Lighting plants. Mail cranes Boundary signs. Section-limit signs. Milk stands. Bridge-caution signs Slow or stop signs. Office buildings. Crossing signs. Tunnel caution Ore-transferring machinery. Curve and elevation signs. Outhouses. markers. Water-station signs. Pavement within ground limits. Division-limit signs. Water-trough signs. Platforms, freight Mileposts. Whistle signs. Platforms, passenger, including planking be­ Monuments. Yard-limit signs. tween tracks. Safety-fi rst signs at Power distribution systems, interior. crossings. Reading rooms. Note A: The cost of fences (other than Rooms for Y. M. C. A. right-of-way boundary fences) around stock Scale houses. yards, fuel and water stations, and other Sidewalks. building sites, shall be charged to the ac­ Stables. counts appropriate for the cost of the struc­ Station footbridges (not highway crossings). tu res. Station intertrack fences. Note B: The cost of signs for identifying Station platforms. bridges, signals, stations, and other struc­ Station signs tures shall be included in the account appro­ Station stairways. priate for the cost of the structures. Station subways (not highway crossings). Note C: The cost of crossing signals, in­ Station power houses. cluding crossing gates, shall be included in Stations, freight. account 27, “Signals and interlockers.’’ Stations, passengers. Note D: It shall also include the cost of Stock pens. replacing units of such property or substan­ Storehouses. tial parts of fences or snowsheds the original Telegraph offices. cost of which were charged to this account. Telpher systems. Track scales. § 10.16 Station and office buildings. Transfer houses. This account shall include the cost of Transfer platforms. station and office structures, their fix­ Waiting rooms. tures, appurtenances, and furniture Warehouses. necessary first to equip the buildings for Washrooms. Water-supply systems. use. Yard offices. station and office structures and details Note A: Office buildings used exclusively Baggage rooms. in connection with maintenance of way shall Breakwaters for protection of buildings be included in account 17. “Roadway build­ Buildings and rooms for trainmen. ings.” Those used exclusively in connection Buildings on piers with maintenance of equipment shall be in­ Call bells. cluded in account 20. “Shops and engine- Coal bins houses.” Coal transferring machinery (not on coal and N ote B: The cost of grading and preparing ore wharves). grounds, both before and after the construc­ Coal trestles (not at fuel stations) tion of station and office buildings, and the Commissarial buildings. cost of constructing sidewalks, driveways, Drainage and sewerage systems and fences thereon, shall be included in the Dwellings. cost of the buildings, as shall also the fees Eating houses. and expenses of architects specially employed Electric wiring. for designing or supervising the construction Elevators and machinery of the buildings, but the cost of restoring the Express buildings. grounds after addition and betterment work

32 shall be included in the appropriate operat­ Water - treating Wells. ing expense accounts. The cost of perma­ plants. Windmills. nent water rights shall also be included in the cost of the buildings. Note A: The cost of water stations used solely for supplying water to shops, power § 10.17 Roadway buildings. This ac­ plants, stations, hotels, tenement houses, or count shall include the cost of roadway section houses shall be charged to the ap­ shops and other roadway buildings, in­ propriate accounts relating to the property so supplied. cluding drainage, water, gas, and sewer Note B: The cost of a temporary water pipes and connections; and all ma­ station established only for use during the chinery, fixtures, and furniture to equip construction period shall be included in the the building ready for use. primary accounts to which is charged the cost LIST OF ROADWAY BUILDINGS of the work in connection with which the water station is used. Bins for material. Note C: The cost of grading and preparing Blacksmith shops. grounds both before and after the construc­ Boarding houses. tion of water station buildings, and the cost Breakwaters for protection of buildings. of constructing sidewalks, driveways, and Carpenter shops. fences thereon shall be included in the cost Dwellings. of the buildings, as shall also the fees and Fire-engine houses. expenses of architects specially employed for Frog shops for repair of track material. designing or supervising the construction of Hand-car houses. the buildings, but the cost of restoring the Lighting plants. grounds after addition and betterment work Lumber sheds. shall be included in the appropriate operating Offices. expense accounts. The cost of permanent Outhouses. water rights shall also be included in the Planing mills. cost of the buildings. Rail shops for repair of track material Repair shops. § 10.19 Fuel stations. This account Scrap bins. shall include the cost of structures, facil­ Section dwelling houses. ities other than tracks, and appliances Stables. necessary to equip for service, stations Storehouses. Tool houses. for supplying fuel to locomotives and Watch houses. floating equipment. FUEL STATION STRUCTURES AND DETAILS N o t e : The cost of grading and preparing grounds both before and after the construc­ Breakwaters for pro­ Fuel-oil columns. tion of roadway buildings, and the cost of tection of build­ Fuel-oil plants. constructing sidewalks, driveways, and fences ings. Fuel-oil pumps. thereon shall be included in the cost of the Buckets. Fuel-oil sumps. buildings, as shall also the fees and expenses Buildings on piers. Fuel-oil tanks. of architects specially employed for designing Coal buckets. Fuel platforms. or supervising the construction of the build­ Coal buggies. Fuel wharves. ings, but the cost of restoring the grounds Coal hoists. Inclines. after addition and betterment work shall be Coal pockets a n d Outhouses. included in the appropriate operating ex­ chutes. Scales. pense accounts. The cost of permanent Dumping machinery. Sheds. water rights shall also be included in the Elevating machinery Stationary engines. cost of the buildings. Fences. Tipple cars. Fuel houses or sta­ Weighing apparatus. § 10.18 Water stations. This account tions. Wood racks. shall include the cost of structures, facil­ Note A: The cost of fuel stations, coal ities, and appliances necessary to equip houses, etc., used solely for supplying fuel for service, stations for supplying water. to shops, power plants, stations, hotels, tene­ The cost of analyses of water preliminary ment houses, or section houses shall be to the establishment of water stations charged to the appropriate accounts relating shall be included in this account. to the property so supplied. Note B: The cost of a temporary fuel sta­ water station structures and details tion established only for use during the con­ Boilers. Purifying plants. struction period shall be included in the Breakwaters for pro­ Reservoirs. primary accounts to which is charged the tection of build­ Settling basins. cost of the work in connection with which ings. Stationary engines. the fuel station is used. Buildings on piers. Steam pipes. Note C: The cost of grading and preparing Cisterns. Tanks and founda­ grounds both before and after the construc­ Dams. tions. tion of fuel station buildings, and the cost of Fences. Test wells. constructing sidewalks, driveways, and fences Outhouses Track tanks. thereon, shall be included in the cost of the Penstocks. Tubs. buildings, as shall also the fees and expenses Pump houses. Water cranes. of architects specially employed for design­ Pumps. Water pipe lines. ing or supervising the construction of the 33 buildings, but the cost of restoring the struction of the buildings, but the cost of grounds after addition and betterment work restoring the grounds after addition and bet­ shall be included in the appropriate operat­ terment work shall be included in the appro­ ing expense accounts The cost of permanent priate operating expense accounts. The cost water rights shall also be included in the of permanent water rights shall also be in­ cost of the buildings. cluded in the cost of the buildings. Note C: The cost of shop buildings de­ § 10.20 Shops and enginehouses. This voted solely to the maintenance of way and account shall include the cost of build­ structures shall be included in account 17. ings to be used as shops, enginehouses. "Roadway buildings ” and storehouses for material for mainte­ nance of equipment; foundations, except § 10.21 Grain elevators. This ac­ those special to particular machines and count shall include the cost of structures, other apparatus; furniture and fixtures including the cost of conveyors, machin­ other than equipment chargeable to ac­ ery, and fixtures which the railway com­ count 44. “Shop machinery”; drainage, panies operate for the transfer, treat­ sewerage, and water-supply systems; and ment, and storage of grain. plants for heat and light. The buildings referred to in this ac­ SHOP AND ENGINEHOUSE STRUCTURES AND count are not small storage elevators at DETAILS stations where grain is received for ship­ ment, etc., but large elevators in which Air - compressor Motor-crane tracks. houses. Offices, shop. grain is stored for various owners. Ash pits and pockets Oil houses. Note A: Small storage elevators at way Ash plants. Outhouses. stations are classed as station buildings. Bins for material. Paint shops. Note B: The cost of grading and prepar­ Blacksmith shops. Pipe lines, air, inte­ ing grounds both before and after the con­ Breakwaters for pro­ rior. struction of grain-elevator buildings, and the tection of build­ Pipe lines, car-heat­ cost of constructing sidewalks, driveways, ings, ing. and fences thereon, shall be included in the Buildings on piers. Pipe lines, gas. inte­ cost of the buildings, as shall also the fees Car sheds. rior. and expenses of architects specially employed Car shops. Planing mills. for designing or supervising the construction Carpenter shops Platforms, shop and of the buildings, but the cost of restoring the Cinder pits. yard. grounds after addition and betterment work Cinder pockets. Repair shops. shall be included in the appropriate operat­ Drop pits. Sand houses. ing expense accounts. The cost of perma­ Dry houses. Scale houses. nent water rights shall also be included in Electric - power dis­ Scrap bins. the cost of the buildings. tribution systems Sidewalks Note C: The cost of grain elevators leased within buildings. Stables. to noncarriers shall be included in account Enginehouses. Steam-distribution 737, “Miscellaneous physical property.” Fire-engine houses. systems, interior. Footbridges (not Storehouses. § 10.22 Storage warehouses. This public highways) Tanks, gas. account shall include the cost of storage Foundries. Tanks, oil. warehouses, including machinery and Gas-compressor Test rooms. houses. Tin shops. fixtures therein. Heating plants. Tool houses. The buildings herein referred to are Hose houses. Track scales. not the ordinary freight warehouses or Ice houses. Transfer tables. stations where freight is received for Laboratories. Turntables. shipment, etc., but warehouses in which Lighting plants. Upholstering shops. merchandise is stored and which the rail­ Lumber sheds. Warehouses. way companies operate as storage ware­ Machine shops. Wash rooms. Material and supply Watch houses. houses. truck tracks. Note A: The cost of grading and prepar­ ing grounds both before and after the con­ Note A. The cost of distinct power plant struction of storage warehouse buildings, and buildings for shop purposes shall be included the cost of constructing sidewalks, driveways, in account 29. “Power plants.” The cost of and fences thereon, shall be included in the distribution systems leading from such power cost of the buildings, as shall also the fees plants to shops and enginehouses shall be in­ and expenses of architects specially employed cluded in account 31, “Power-transmission for designing or supervising the construction systems.” of the buildings, but the cost of restoring the Note B : The cost of grading and preparing grounds after addition and betterment work grounds both before and after the construc­ shall be included in the appropriate operat­ tion of shop and enginehouse buildings, and ing expense accounts The cost of perma­ the cost of constructing sidewalks, driveways, nent water rights shall also be included in and fences thereon, shall be included in the the cost of the buildings cost of the buildings, as shall also the fees N ote B : The cost of warehouses leased to and expenses of architects specially em­ noncarriers shall be charged to account 737, ployed for designing or supervising the con­ “Miscellaneous physical property.”

34 § 10 23 Wharves and docks This ac­ § 10.26 Communication systems. This count shall include the cost of wharves, account shall include the cost of tele­ docks, dry docks, slips, float bridges, and graph, telephone, radio, radar, inductive other landings for vessels, including the train communication, and other com­ cost of necessary dredging, and the cost munication systems, including terminal of float-bridge machinery: also the cost equipment. of piling, pile protection, cribs, coffer­ Details of telegraph and telephone ter­ dams, walls, and other necessary de­ minal equipment: vices and apparatus for the operation or Batteries. Fuses and mechani­ protection of wharves and docks. Cables and wires, in­ cal protectors. terior. Rectifiers. DETAILS OF WHARVES AND DOCKS Carrier terminating Rheostats. Bridge pontoons Ferry racks. equipment. Sending and receiv­ Bulkheads. Ferry slips. Conduits, interior. ing instruments. Caissons. Jetties. Connecting wires. Switchboards. Cribwork. Jetty inclines. Current - controlling Telegraph repeaters. Dry docks. Transfer-bridge ma­ instruments. Telephone repeaters. Ferry - bridge m a­ chinery. Electric generators Teletypewriters. chinery. Transfer bridges. and motors. Testing outfits. Ferry bridges. Electric meters. Transformers. Engines, stationary. Note A: The cost of coal and ore wharves and docks shall be included in account 24, Details of telegraph and telephone outside "Coal and ore wharves." plant: Note B: The cost of the land on which Aerial attachments Guy stubs. wharves are built and cost of riparian or Braces. Guy wires. water rights for wharves and docks shall be Brackets. Insulators. charged to account 2, “Land for transporta­ Cable boxes and ap­ Load coils. tion purposes." purtenances. Poles. Note C: The cost of buildings located on Cables and wires, Submarine cables wharves shall be included in the accounts aerial. and connections. appropriate for the class of buildings. Conduits and appur­ Telephone pole Note D: The cost of grading and preparing tenances. boxes. grounds both before and after the construc­ Cross arms. Towers. tion of wharves (other than coal and ore Gas and associated Underground cables wharves) and the cost of constructing side­ facilities for ca­ and connections. walks, driveways, and fences thereon, shall bles. be included in the cost of the wharves, but the cost of restoring the grounds after addi­ Details of radio, radar, and inductive train tion and betterment work shall be included communication equipment: in the appropriate operating expense ac­ Aerials or antenna, and attachments. counts. The cost of permanent water rights Buildings or towers used exclusively for shall also be included in the cost of the wireless. wharves. Control units. § 10.24 Coal and ore wharves. This Power generating, converting, or supply account shall include the cost of wharves equipment. Radar console and associated equipment. and docks for the transfer, treatment, Roadwide or office equipment for all wireless blending, or storage of coal or ore, in­ systems operated on special channels be­ cluding the cost of necessary dredging tween train and train, train and tower or and of conveyors, machinery, and fix­ office, or between ship and shore. tures. Specialized testing and repair equipment. Note A: The structures referred to in this Transmitters and receivers, including mo­ account do not include small transfer or bile units. storage trestles or wharves at stations where N ote A: Radio, radar or trainphone coal is stored or delivered, such trestles be­ equipment (except portable apparatus) ing classed as station buildings. which is permanently attached to locomo­ Note B: The cost of grading and preparing tives, cars, work equipment, or other roll­ grounds both before and after the construc­ ing stock or floating equipment shall be in­ tion of coal and ore wharves, and the cost cluded in the same accounts as the equip­ of constructing sidewalks, driveways, and ment on which installed. Wireless sets for fences thereon, shall be included in the cost instruction, advertising, or entertainment of the wharves, as shall also the fees and shall be included in the same accounts as the expenses of architects specially employed for building in which located. designing or supervising the construction of N ote B : Communication systems of lim­ the wharves, but the cost of restoring the ited extent, not connected with other sys­ grounds after addition and betterment work tems, used for special purposes and usually shall be included in the appropriate operat­ installed within a single building, group of ing expense accounts. The cost of perma­ buildings, or within the limits of a station nent water rights shall also be included in or shop layout or yard, shall be included in the cost of the wharves. the same account as the building in which 35 located or in the account appropriate for Signal bridges. the service with which associated. Signal buildings. Signal cables. ITEMS Signal-lamp brackets and connections. Buzzers, bells, dictaphones or other inter­ Signal lamps. office communication systems in an office Signal machinery. or group of buildings. Signal poles and foundations. Loud speakers, bells, or whistles in shop and Signal pulleys and foundations. other yards. Special appliances. Loud speakers, public address devices, press Station signals. button control lights, telautograph or Train-order signals. other systems in stations or on platforms. Wiring. Whistles, klaxons, or horns operated from N ote A: When signal or interlocking ap­ signal towers. paratus is located in a station building, only the cost of the signal or interlocking appa­ N ote C: Test sets shall be classified as ratus shall be charged to this account. The tools and included in the account appropri­ entire cost of the building shall be included ate for their use. in account 16. “Station and office buildings.” § 10.27 Signals and interlockers. This N ote B: The cost of track material, such account shall include the cost of inter­ as switches, special rail braces, special rods, special track fastenings, split rails, derails, locking and other signal apparatus for derail stands, and frogs, used in connection governing the movements of locomo­ with interlockers, shall be included in ac­ tives, cars, and trains, and for the pro­ count 10. "Other track material.” tection of traffic at crossings, including N ote C: When derails are arranged so as towers and other buildings furniture, to be thrown from switch stands, the cost of fixtures, and machinery in connection labor expended in the installation of the therewith; roadway installations for connections between the switch stand and derail and the devices for throwing the derail train control and remote control includ­ shall be included in account 12. “Track lay­ ing the cost of the initial tests of such ing and surfacing.” The cost of the ma­ installations; also the cost of buildings terial shall be included in account 10, “Other and machinery of power plants used track material.” primarily for the production of power for N ote D : The cost of grading and prepar­ ing grounds both before and after the con­ the operation of signals and interlockers. struction of signal and interlocker buildings, ITEMS and the cost of constructing sidewalks, Air compressors. driveways, and fences thereon, shall be in­ Automatic-train control devices other than cluded in the cost of the buildings, as shall on equipment. also the fees and expenses of architects spe­ Batteries. cially employed for designing or supervis­ Battery wells and houses. ing the construction of the buildings, but Boilers. the cost of restoring the grounds after addi­ Call-bell systems along track to call in flag­ tion and betterment work shall be included men. in the appropriate operating expense ac­ Call boxes, electric. counts. The cost of permanent water rights Car-retarder systems. shall also be included in the cost of the Centralized traffic control. buildings. Conduits for pipe and wire. Crossing flasher-light signals. § 10.29 Power plants. This account Crossing gates, highway and railway. shall include the cost of power-plant and Crossing signal bells. substation buildings (housing machinery Crossing warning signals. provided for in account 45. “Power-plant Distant signals. machinery”) ; all foundations other than Dynamos. those special to particular machines and Engines, stationary. Home signals. apparatus; and also dams, canals, pipe Impedance bonds. lines, and accessories devoted to the uti­ Interlocker buildings. lization of water for power. Gas and Interlocker machinery. sewer pipes and their connections, fix­ Interlocker mechanism. tures (including wiring) for lighting and Levers. heating, and furniture and miscellaneous Power apparatus primarily for the operation fixtures, shall be considered as a part of signals and interlockers. of the power-plant buildings. Power-distribution lines primarily for the operation of signals and interlockers. POWER-PLANT STRUCTURE ITEMS Rail bonds. Buildings. Fixtures for lighting Railway crossing signals. Coal bunkers. (including wiring) Relays. Coal pockets a n d and heating pow­ Semaphores. trestles. er-plant buildings. Signal and switch levers Pences (other than Foundations (except Signal arms. right-of-way special founda­ Signal blades. boundary fences). tions for machines

36 and other appa­ Platforms. Rail-insulating devices. ratus) . Smoke stacks and Span wires. Fuel-oil tanks. chimneys and Steam-heating pipe-lines in car yards. Furniture. their foundations Steam pipe-lines. Hose and appliances when distinct Switchboards (not at power houses and sub­ for protecting from and not rest­ stations) . buildings against ing on boilers. Third rail. fire. Water, sewer, gas, Third-rail braces. Pavement within and drainage pipes Third-rail insulation and protection ground limits. and connections. Third-rail supports. Permanent rights in Wells (but not Transformers (not at power houses and sub­ water supply. pumps). stations) . Underground power tubes DAM, CANAL, AND PIPE-LINE ITEMS POLE-LINE AND CONDUIT ITEMS Aqueducts. Grids. Braces and other supports for holding poles Bridges. Inlet valves. in position. Fences (Other than Penstocks. Brackets and other pole fixtures. right-of-way Reservoirs. Conduits for wires and cables. boundary fences). Roadways. Cross arms. Footbridges. Sluices. Cutting and trimming trees. Forebays. Valves. Guy stubs. Gates. Water rights. Guy wires. Insulator pins. Note A: The cost of power-plant machin­ Manholes. ery, including stacks resting on boilers, and Poles. special foundations for machines, shall be Sewer traps. included in account 45, “Power-plant ma­ Stenciling or painting letters or numbers chinery.” on poles. Note B: The cost of the buildings and of Towers. the power machinery and other apparatus Note A: The cost of wire and pipe-distribu­ of plants used primarily for operating signals tion systems located within shop buildings and interlockers shall be included in ac­ and in stations and office buildings shall be count 27, “Signals and interlockers.” included in the cost of the buildings, except Note C : Investment in buildings and ma­ that lateral service lines to equipment-shop chinery of detached plants for furnishing machines shall be included in account 44, power both for operating purposes and for “Shop machinery.” The cost of distribution sale shall be included in this account and in systems used primarily for operating signals account 45. “Power-plant machinery,” re­ and interlockers shall be included in account spectively When plants are intended and 27, “Signals and interlockers.” used primarily for generating power for sale Note B : The cost of conduits and of poles to other than common carriers, the invest­ and fixtures for telegraph and telephone, or ment shall be included in account 737, “Mis­ signal lines shall be included in account 26, cellaneous physical property." “Communication systems,” or account 27, “Signals and interlockers,” as appropriate. § 10.31 Power-transmission systems. The cost of poles and conduits used for tele­ This account shall include the cost of graph and telephone or signal lines and for systems for conveying electricity, steam, power-distribution lines shall be included in and compressed air from producing the account appropriate according to their plants to place or building where used; predominant use. also the cost of conduits and of poles, § 10.35 Miscellaneous structures. This cross arms, insulator pins, brackets, and account shall include the cost of all per­ other pole fixtures, and of other struc­ manent structures not provided for else­ tures for power-transmission and distri­ where, including all fixtures and furni­ bution systems, including those for elec­ ture to equip them for use. tric railway operation, and lighting sys­ tems for general lighting purposes. § 10.37 Roadway machines. This ac­ count shall include the cost of the initial POWER-TRANSMISSION SYSTEM ITEMS outfit of roadway machines provided for Air pipe-lines in car yards. the maintenance of roadway and struc­ Cables. Compressed air pipe-lines. tures at the time the road is opened for Compressed air storage tanks (not at power commercial traffic, and the cost of addi­ houses or shops) tional roadway machines acquired sub­ Cut-outs (not at power houses and sub­ sequently. stations) Feed wires. LIST OF ROADWAY MACHINES Guard wires Boilers, portable. Cars, push. Insulators and connections. Cars, hand. Cars (small), crane, Overhead trolley wires. Cars, lever. for supply yards Rail-bond plugs. Cars, motor inspec­ and general use. Rail bonds. tion. Concrete mixers.

37 Ditching machines. Pile drivers. Pike poles. Squares. Dredging machines. Plows, unloading. Post-hole diggers. Straightening ma­ Engines, portable. Rail unloaders. Post-hole tampers. chines. Grading outfits. Rock crushers. Punches. Tape lines. Hydraulic outfits. Steam rollers. Rail benders. Thermometers fo r Jacks, hydraulic. Timber trucks. Rail tongs. laying rail. Log loaders. Velocipedes. Rakes Tongs. Rope. Tool boxes. N ote A: When an important addition and betterment project or the construction of a Saws, crosscut. Torches. new line necessitates the purchase of road­ Saws, hand. Track gauges. way machines to be used exclusively thereon, Scrap boxes. Track levels. the cost shall be included in the accounts Scythes. Vises. to which the cost of the work is charged. Shovels. Weed spuds. The amount realized from any subsequent Sickles. Wheelbarrows. sale, or the appraised value of the machines Sledges. Whetstones. retained after the completion of the special Spades. Wood mallets. work for which they were purchased, shall be Spike mauls. Wrenches, monkey. credited to the accounts charged with the Spike pullers. Wrenches, track. cost thereof. The appraised value of such Spot boards. machines retained shall be debited to this ac­ N ote : The cost of roadway and track small count and thereafter considered as the cost tools of which no specific record is kept shall of such property be charged when acquired to an appropriate N ote B: The cost of machines for the materials and supplies account, from which equipment of roadway shops shall be in­ they shall be charged as issued to the appro­ cluded in account 17. “Roadway buildings," priate road and equipment, operating ex­ as provided for therein pense. or other accounts. When such tools are used both for construction and mainte­ Note C: The cost of roadway machines, nance work the cost shall be equitably appor­ such as pile drivers, log loaders, hoist engines, tioned among the accounts provided for the and concrete mixers, when permanently two classes of work. mounted for movement on the carrier’s tracks, shall be included in account 57. “Work § 10.39 Public improvements; con­ equipment ” struction. This account shall include amounts assessed on carrier property by § 10.38 Roadway small tools. This ac­ governmental authority (by mutual count shall include the cost of the initial agreement or otherwise) to cover the outfit of roadway and track small tools cost of constructing public improve­ provided for the maintenance of way and ments, when such assessments are made structures at the time the road is opened against property within defined areas of for commercial traffic; also the initial taxing districts. It shall also include the outfit of such tools provided for the cost borne by the carrier of public im­ provements constructed by it under gov­ maintenance of extensions of such road. ernmental requirements. The entire amount of each assessment LIST OF ROADWAY TOOLS for public improvements shall be in­ Adzes. Flags, signal. cluded in this account as soon as it is Anvils. Furnaces, portable Augers. Grindstones. determined. Axes. Hammers, napping. ITEMS Ballast forks Hammers, paving. Cost of land outside carrier’s right-of-way Bars, claw. Hammers, spiking. to provide for the relocation of streets or Bars. crow. Handles for tools highways or providing slopes therefor. Bars, lining. Hatchets. Cost of removal and relocation of buildings Bars, pinch. Hoes. and other structures in connection with Bars, raising. Jack levers. the construction of streets and highways. Bars, tamping. Jacks, ratchet. Curbing streets and highways. Braces and bits. Jacks, screw. Damage to property of others when inciden­ Brooms. Jacks, track. tal to highway construction. Brush hooks. Kegs, water. Drainage systems. Cable stretchers Ladders. Engineering—When such costs apply to items Cables. Lanterns and fix­ chargeable to this account. Cans, oil. tures. Flood protection. Cans, water. Lawn mowers. Grading streets and highways Cant hooks Levels Guttering streets and highways. Chains. Lines for ditching. Irrigation systems. Chisels, track Nippers. Levees. Chisels, wood. Oilstones. Overhead highway bridges, including ap­ Curbing hooks. Padlocks. proaches. Dippers. Pails, water. Paving streets and highways. including such Drawing knives. Paint brushes. pavings at crossings. Drill bits. Picks, clay. Planking, highway crossings. Drills, portable. Picks, tamping. Sewer systems. 38 Sidewalks. it is necessary to substantially rebuild Street-lighting systems. the road in order to bring it up to the Water works. standard required by the carrier, the ac­ Note A: The cost of railway facilities in­ counting for such reconstruction includ­ stalled in connection with Joint public im­ ing retirements in connection therewith provement projects if not in excess of total shall be presented to the Commission for costs borne by the carrier shall be Included in accounts other than account 39, “Public approval before being entered in the improvements—Construction," appropriate accounts. for the class of property installed. Any costs borne by the carrier in excess of the cost of No t e : A comprehensive statement of th e railway facilities shall be charged to this estimated amount necessary to reconstruct account. a road in accordance with the above provi­ Note B: The cost to the carrier of main­ sion shall be made to the Commission as taining public improvements shall be in­ soon as the estimate is made. cluded in Operating Expenses. § 10.43 Other expenditures; road. N ote C : Any portion of the cost of public improvements which is included in the gen­ This account shall include items which eral tax levy for a regular taxing district shall can not properly be included in any of be Included in the account appropriate for the foregoing accounts as a part of the taxes. cost of any specific work, amounts paid N ote D : The amount of the deferred pay­ for rent and repairs of equipment and ments of assessments for public improve­ for injuries to persons incident to and ments if payments are to be made within one in connection with original road, road year, shall be included in account 761, “Other current liabilities.” If the payments are extensions, or additions and better­ spread over a longer period they shall be ments; and analogous items. When as­ credited to account 782, “Other liabilities.” signable, such expenditures shall be in­ The interest paid on such assessments shall cluded in the cost of the property in be included in account 547, “Interest on un­ connection with which the expenditure funded debt.” occurs. Note E: Interest and penalties imposed, on basis of monthly or annual percentage No t e: Rents paid for and repairs made rates, for failure to pay assessments within to equipment used in commercial operations the allotted time shall be charged to account during the period before the regular opera­ 547, “Interest on unfunded debt.” tion of revenue trains shall be charged to Note F : Assessments on noncarrier prop­ account 40, “Revenues and operating ex­ erty for the cost of constructing public im­ penses during construction." provements shall be charged to account 737, § 10.44 Shop machinery. This ac­ “Miscellaneous physical property.” count shall include the cost of machinery § 10.40 Revenues and operating ex­ and other apparatus in shops and en­ penses during construction. This ac­ gine houses, including the cost of special count shall include the cost of operating foundations and installation, and cost a piece of road during the period before of small hand tools necessary first to the regular operation of revenue trains, equip a shop. including rent and repairs of equipment LIST OF SHOP MACHINERY used in commercial service during such Air compressors. Metal chimneys. period. It includes the cost of running Ash conveyors. Milling machines. construction trains over such section of Belting. Motors. road when the cost of operating such Blowers. Pipe cutting and trains can not properly be charged to any Boilers for furnish­ threading m a ­ specific account. ing power. chines. Boring machines. Planers. To this account shall be credited Cars, motor. Pneumatic hammers. amounts collected for rents of buildings Cars. push. Power equipment. and other properties and for the trans­ Cranes. Punches. portation of commercial freight or of Drill presses. Riveters. passengers on construction trains; also Drilling machines. Saws. the net profits from boarding and com­ Drop tables. Shafting. missarial outfits, and other sources of Forges. Shapers. Framing machines. Slotters. operating revenue. Furnaces. Stationary engines. Carriers which wish to subdivide this Grinding and polish­ Steam hammers. account shall use appropriate subac­ ing machines. Vises. counts corresponding to accounts pre­ Hoists. Welding machines. scribed for operating revenue, operating Hydraulic jacks. Woodworking m a ­ expense, or income accounts. Lathes. chines. Lifting magnets. § 10.42 Reconstruction of road prop­ Note A: The cost of power p la n t m a ­ erty acquired. When road property ac­ chinery and other apparatus for shop pur­ quired is in such physical condition that poses. when located in distinct b u ild in g s, 39 shall be included in account 45, “Power-plant Note D: The cost of foundations other machinery.” than those special to particular machines Note B: The cost of foundations other and other apparatus shall be included in the than those special to particular machines cost of the building and not in this account. and other apparatus shall be included in the Note E: The cost of machinery and build­ cost of the building, and not in this acco u n t. ings of detached plants for producing power both for operating purposes and for sale shall § 10.45 Power-plant machinery. This be included in this account and in account account shall include the cost of ma­ 29 “Power plants,” respectively When chinery and other apparatus in power plants are intended and used primarily for plants and substations for generating generating power for sale to non-carriers the and transforming power used for the investment shall be included in account 737, operation of trains and cars or to fur­ “Miscellaneous physical property.” nish power, heat, and light for stations, § 10.47 Unapplied construction ma­ shops, and general purposes, and also the terial and supplies. This account shall cost of foundations special to particular include the cost of material and supplies machines or other apparatus including located at the point of use which have the cost of installation. been purchased for projected new roads and road extensions. ITEMS The purpose of this account is to ex­ Air compressors. Mechanical stokers. clude from the current assets the cost of Ammeters. Metal stacks on supplies and unapplied material which Ash-conveying ma­ boilers. are located for use on projected new chinery. Piping. roads and road extensions, under the Batteries. Pumps. condition that the material will not be Battery-charging ap­ Purifiers. used for other purposes. paratus. Refrigerating - m a­ Belting. chinery and appa­ Note A: Material and supplies designed for Boiler-room appli­ ratus. projected new roads and road extensions ances and tools. Rheostats. which are carried in storehouses and store Boilers and fittings. Rotary convertors. yards and included in the general stock of Boosters. Sewer connections an operating company shall be included in Cables, interior. for machinery. balance-sheet account 712, “Material and Circuit breakers Shafting. supplies.” Clutches. Special foundations N ote B : The cost of unapplied materials Coal-conveying ma­ for machines. and supplies on hand at the completion of chinery. Stationary engines. construction work shall be transferred to Steam - distribution balance-sheet account 712, “Material and Condensers. supplies.” Conductors. systems within the EQUIPMENT Cranes. plant. Cut-outs. Steam fittings. § 10.50 Equipment. The several pri­ Draft machinery. Switchboards. mary accounts included in this general Dynamos. Switches. account are designed to show the cost of Economizers. Tanks. the several classes of equipment owned Engine-room appli­ Tractors, trailers, by the carrier, or held under equipment ances and tools. and trucks, perma­ Feed water heaters. nently assigned to trust agreements for purchase. Furnaces. power plants. To the appropriate primary accounts Generators. Transformers. in this general account shall be charged Hangers. Turbines. the cost of all equipment, such as steam Hoists. Voltmeters. locomotives, electric locomotives, passen­ Ice - manufacturing Water meters. ger-train cars, freight-train cars, work machinery and ap­ Waterwheels. equipment, floating equipment, and the paratus. Well pumps. necessary appurtenances, furniture, and Insulators. Wires from genera­ Lubricating devices tors or transform­ fixtures first to equip for service, includ­ Machinery. ers to switchboard. ing the cost of inspection, setting up, and trying out, and transportation over Note A: The cost of power machinery a n d foreign lines; also the cost of additions, other apparatus installed in a shop as part such as headlights, mechanical stokers, of the shop equipment shall be included in power brakes, vestibules, machinery for account 44. “Shop machinery.’ self-propulsion, heating and lighting ap­ Note B: The cost of power machinery and paratus, and the like; and the excess cost other apparatus installed in station and office of betterments, such as improved appli­ buildings shall be included in account 16, ances, parts, or appurtenances, over the “Station and office buildings ” cost at current prices (as new) of the N ote C: The cost of the buildings and the power machinery and other apparatus of appliances, parts, or appurtenances re­ plants used primarily for operating signals moved The cost of removing the old and interlockers shall be included in account appliances and applying the improved 27, "Signals and interlockers.” shall be charged to operating expenses.

40 The ledger value of each unit of equip­ quired by the carrier, the cost of such ment shall be credited to the appropri­ repairs shall be included in the account ate equipment account when it is per­ appropriate for the cost of the equip­ manently retired from service. (See Note ment. A comprehensive statement of the A which follows.) amount estimated to be necessary to re­ The service value (see Note B which build second-hand equipment in accord­ follows) of the unit shall be charged to ance with the above provision shall be account 735, “Accrued depreciation— furnished to the Commission as soon as Road and equipment.” An equitable the estimate is made. proportion of any balances carried in ac­ The accounting for leased equipment counts 72 to 77, inclusive, applicable to retired shall be in accordance with pro­ the equipment retired, shall be credited visions in § 10.01-7 Road property re­ thereto concurrently and charged to ac­ tired relating to leased road property re­ count 330, “Retirements—Equipment.” tired. The value of the salvage (see Note C Note A: The term “retired from service” which follows) from the unit shall be as applied to equipment means equipment charged to account 712, “Material and which has been permanently withdrawn supplies,” or to other account appropriate from transportation service. (See also according to the disposition thereof. In § 10.01-8 (c) Major renewals.) case the retired equipment is held with­ Note B: The term “service value” as ap­ plied to equipment means the ledger value out being torn down, the estimated value thereof less the value of the salvage there­ of the salvage therefrom shall be in­ from. cluded in account 741, “Other assets,” Note C : The term “value of salvage” means until the salvage is recovered. the amount received for property retired, or The cost of tearing down the retired for the material salvaged therefrom, if sold; unit and recovering the salvage shall be or if retained, the value at which the prop­ charged to account 329, “Dismantling re­ erty or the material salvaged therefrom is tired equipment.” chargeable to account 712, “Material and The ledger value (estimated if not supplies,” or other account of this system of known) of all parts of equipment retired accounts. and not replaced shall be credited to the Units of equipment, the ledger value property investment account and the of which shall be credited to the equip­ service value thereof charged to account ment accounts at the time of retirement, 735, “Accrued depreciation—Road and are designated in § 10.01-15. equipment.” When equipment of one class is con­ § 10.51 Steam locomotives. This ac­ verted so as to be includible in another count shall include the cost of steam class, the accounting shall be as provided locomotives and tenders, purchased or in § 10.01-11 Adjustment for converted built by the carrier, and of appurte­ property. nances. furniture, and fixtures necessary When an important addition and bet­ to equip them for service, including the terment project or the construction of cost of inspection, setting up, and trying new lines necessitates the purchase of out after receipt from builders, and equipment to be used exclusively therein, transportation charges to the carrier's the cost of such equipment shall be in­ line. cluded in the accounts representing the LIST OF APPURTENANCES TO LOCOMOTIVES cost of the work, and no charge shall be Air-brake equipment Metallic packing. made to operating expenses for deprecia­ and hose. Pneumatic sanding tion on such equipment while the cost re­ Arm rests. equipment. mains so charged. The amount realized Awnings. Seat boxes. from any subsequent sale, or the ap­ Brake fixtures. Signal lamps. Cab cushions. Speed recorders. praised value of the equipment retained Cab lamps. Steam-gauge lamps. after the completion of the special work Clocks. Steam-heat equip­ for which it was purchased, shall be cred­ Coal boards. ment and hose. ited to the accounts charged with its cost. Fire - extinguishing Storm doors. The appraised value of such equipment apparatus. Tool boxes. Gongs. Train-signal equip­ retained shall be debited to the appropri­ Head lamps. ment and hose. ate primary account herein, and there­ after, for the purposes of accounting, § 10.52 Other locomotives. This ac­ such appraised value shall be considered count shall include the cost of locomo­ as the cost of the equipment. tives other than steam, purchased or When second-hand equipment ac­ built by the carrier, and of appurte­ quired is in such physical condition that nances, furniture, and fixtures necessary it is necessary to make extensive repairs to equip them for service, including in­ to it to bring it up to the standard re­ spection, setting up, and trying out after 41 receipt from builders, and transportation LIST OF APPURTENANCES TO PASSENGER-TRAIN CAR charges to the carrier's line. Air-brake equip­ Lighting equipment Note: Cars with motor equipment are not ment, including Mail catchers. to be classed as locomotives. hose. Parcel racks. Bedding. Ranges and boilers. § 10.53 Freight-train cars. This ac­ Chairs. Seats. count shall include the cost of freight- Coat hooks. Speed recorders. train cars of all classes, including motor- Curtains and fix­ Steam-heat hose. driven cars, purchased or built by the tures. Table china. Cushions. Table glassware. carrier including all appurtenances, fur­ Electric bells. Table linen. niture. and fixtures necessary to equip Floor coverings. Table silver. them for service, and the cost of inspec­ Heating equipment Toilet equipment. tion and transportation charges to the Ice boxes. Train-signal equip­ carrier’s line. Ice tanks ment. including Kitchen equipment hose. LIST OF FREIGHT-TRAIN CARS and utensils. Water tanks. Ballast (commer­ Gun truck. cial). Hay. § 10.56 Floating equipment. This ac­ Beer. Lime. count shall include the cost of marine or Box. Logging. floating equipment of all kinds except Cabin. Oil tank. work equipment, purchased or built by Caboose. Ore. Charcoal. Platform. the carrier, including all appurtenances, Coal. Poling. furniture, and fixtures necessary to equip Coke: Poultry. it for service, and cost of inspection and Dump (commercial) Produce. transportation charges to the carrier’s Flat. Rack. Fruit. Refrigerator. line. Furniture. Stock. LIST OF FLOATING EQUIPMENT Gondola. Tank and water Barges. Power lighters. Gondola (hopper) (when used as Canal boats. Scows. Gondola (long). commercial cars). Car and other floats. Steamboats. Ferryboats. Steamships. LIST OF APPURTENANCES TO FREIGHT-TRAIN CARS Lighters. Transfer boats Power launches. Tugboats. Air-brake equip­ Lamps and fixtures. m e n t, including Seats. LIST OF APPURTENANCES TO FLOATING EQUIPMENT hose. Speed recorders. Anchors. Linen. Cooking equipment Train-signal equip­ Axes. Lines. and utensils. m ent, including Barometers. Logs. Cushions. hose. Beds and bedding. Machinery and foun­ Heating equipment. Water tanks. Binnacle lamps. dations. Ice boxes. Blocks and tackle. Masts. Boilers and founda­ Oil cans. § 10.54 Passenger-train cars. This tions. Pianos and other Cables. musical instru­ account shall include the cost of passen­ Capstan bars. ments. ger-train cars of all classes, including Carpets. Pumps. motor-driven cars, purchased or built by Charts. Racks. the carrier, including all appurtenances, China, crockery, and Railings. glassware. Rakes. furniture, and fixtures necessary to Chronometers. Rigging. equip them for service, and cost of in­ Clocks. Safes. spection and transportation charges to Compasses. Sails. the carrier’s line. Counters. Scales. Desks. Seats, chairs, and LIST OF PASSENGER-TRAIN CARS Engines and founda­ cushions. tions. Shovels. Baggage. Mail. Fire buckets. Slice bars and pokers. Baggage-express. Milk. Fire extinguishers. Spyglasses. Baggage-mail. Observation. Floor coverings. Steam distribution Baggage-mail-ex­ Parlor. Flue cleaners. systems. press. Parlor-baggage. Furniture. Steering equipment Buffet. Passenger. Gangplanks. Telescopes. Café. Passenger-baggage. Hatchets. Ticket cases. Chair. Passenger - baggage­ Heating equipment. Tool boxes. Club. man. Hoisting equipment Tools, miscellaneous. Colonist. Postal. Hooks. Tracks on car floats. Dining. Refrigerator-express. Keys. Ventilating equip­ Express. Sleeping. Kitchen equipment. ment. Immigrant. Smoking. Life preservers. Wrenches. Library. Tourist. Lighting equipment.

42 § 10.57 Work equipment. This ac­ plies: equipment. This account shall in­ count shall include the cost of work clude the cost of unapplied material and equipment. including motor-driven supplies located at the point of use which equipment, purchased or built by the car­ have been purchased specifically for the rier; cost of appurtenances, furniture, construction of new railroad equipment. and fixtures necessary to equip it for serv­ N ote A: If material and supplies designated ice, and cost of inspection and transpor­ for new railroad equipment are carried in tation charges to the carrier’s line. storehouses and storeyards as part of the general stock of the company, their cost shall LIST OF RAIL WORK EQUIPMENT be included in balance sheet account 712, “Material and supplies.” Air-brake instruction Painters’ cars. Note B : The cost of unapplied material cars. Pay cars. and supplies on hand at the completion of Ballast cars. Pile drivers (mount­ construction work shall be transferred to Ballast unloader cars. ed). balance sheet account 712, “Material and Boarding cars. Rail saws (mounted). supplies.” Bridge cars. Salt cars. Business cars. Sanding cars. GENERAL EXPENDITURES Camp cars. Scale test cars. Cinder cars. Scraper cars. § 10.70 General expenditures. The Concrete mixers Snow dozers. primary accounts of this general account (mounted). Snow drags. are designed to include expenditures Derrick cars. Snow plows (moved made in connection with the acquisition Dirt spreaders by but not at­ and construction of original road and (mounted). tached to locomo­ equipment, and with extensions, addi­ Ditching cars. tives) . tions, and betterments to road and equip­ Dump cars. Sprinkling cars. ment property, when such expenditures Dynamometer cars. Steam shovels. Gas tank cars. Steam wrecking der­ can not properly be included in any of Grading cars. ricks. the foregoing accounts as a part of the Gravel cars. Supply cars. cost of any specific work. When assign­ Indicator cars. Sweeper cars. able, such expenditures shall be included Locomotive tanks Tool cars. in the cost of the property in connection used permanently Tool and block cars. with which the expenditures occur. as water cars. Water cars. Locomotives. Weed burners § 10.71 Organization expenses. This Officers’ cars. (mounted). account shall include all fees paid to gov­ Outfit cars. Wrecking cars. ernments for the privilege of incorpora­ tion, and office and other expenditures LIST OF FLOATING WORK EQUIPMENT incident to organizing the corporation Derricks. Pile drivers. and putting it in readiness to do business; Dredges. cost of preparing and distributing pro­ APPURTENANCES TO FLOATING WORK EQUIPMENT spectuses; costs of soliciting subscriptions for stock; cash fees paid to promoters, Anchors. Hooks. Axes. Keys. and the actual cash value (at the time of Barometers. Life preservers. the organization) of securities paid to Beds and bedding. Lighting equipment. promoters for their services in organizing Blocks and tackle. Linen. the enterprise; special counsel fees; cost Boilers and founda­ Lines. of preparing and issuing certificates of tions. Machinery and foun­ stock; cost of procuring the necessary Cables. dations. certificates from State authorities; and China, crockery, and Masts. other like costs. glassware. Oil cans. Compasses. Pumps. Note: Cost of soliciting for loans or for the Cushions. Rakes. sale of bonds or other evidences of indebted­ Desks. Rigging. ness shall be charged to balance-sheet ac­ Engines and foun­ Sails. count 742, “Unamortized discount on long­ dations. Seats and chairs. term debt.” Fire extinguishers. Shovels. Fire buckets. Slice bars and pokers. § 10.72 General officers and clerks. Floor coverings. Steam distribution This account shall include the pay and Flue cleaners. systems. expenses of executive and general officers Gangplanks. Steering equipment. and of general office clerks engaged ex­ Hatchets. Tool boxes. clusively in connection with the construc­ Heating equipment. Tools, miscellaneous. tion of new road and extensions. Hoisting equipment. Wrenches. Note: The salaries and expenses of execu­ § 10.58 Miscellaneous equipment. This tive and general officers and of general account shall include the cost of horses office clerks engaged in connection with the and harness; and cost of wagons, auto­ conduct of commercial operations during the mobiles. and other highway vehicles. period before the regular operation of revenue § 10.59 Unapplied material and sup­ trains shall be included in account 40, 43 “Revenues and operating expenses during Glass pens. Punches (not con­ construction.” Hectographs. ductors’ or bag­ Indexes. gagemen’s). § 10.73 Law. This account shall in­ Ink for writing and Rubber bands. clude specific and distinct expenditures, drawing. Rubber stamps. not provided for elsewhere, for law serv­ Inkstands. Rulers. ice in connection with the acquisition of Invoice books. Ruling pens. new road, road extensions, additions, and Legal cap paper. Scrapbooks. Letter paper. Sealing wax. betterments, such as pay and expenses of Manifold paper. Seals. counsel, solicitors, and attorneys, their Manifold pens. Shears. clerks and attendants, and expenses of Mimeographs. Shipping tags. their offices. Mucilage. Shorthand note­ ITEMS OF EXPENSES Mucilage brushes. books. Neostyles. Sponge cups. Arbitrators’ services in settlement of disputed Note paper. Sponges. questions. Notices. Stamps, impression. Cost of taking depositions. Numbering stamps Stylographs. Cost of testimony. Oil paper. Tablets, blank and Costs of suits. Paper. printed. Court bonds. Paper baskets. Tape. Court expenses. Paper clips. Telegraph blanks. Express charges. Paper cutters. Time-tables. Fees and retainers of attorneys not regularly Paper fasteners. Tissue (impression) employed. Paper files. paper. Law books. Paper weights. Tracing cloth. Legal forms. Papyrographs. Tracing paper. Legal reports. Parchment paper. Twine. Notarial fees not provided for elsewhere Pencil sharpeners. Typewriters and rib­ Office expenses. Pencils for writing bons. Printing of briefs, testimony, etc. and drawing. Wage tables. Rent of offices. Penholders. Wastebaskets. Special fees. Penracks. Water colors. Telegraph service. Pens for writing and Water holders. Telephone service. drawing. Waybills. Traveling expenses. Phonographs and Wrapping paper. Witness fees not provided for elsewhere. records. Wringers for copying Note. Court costs and special counsel fees Pins. presses. in connection with the acquisition of land Postage. for transportation operations shall be in­ Note A: The cost of printing bonds, etc., cluded in account 2, “Land for transportation in connection with the carrier’s funded debt purposes.” shall be included in balance-sheet account 742, “Unamortized discount on long-term § 10.74 Stationery and printing. This debt.” account shall include the cost of station­ Note B : The cost of stationery and print­ ery, stationery supplies, postage, office ing, when assignable, shall be included in devices, and printed matter used by any the cost of the property in connection with class of employees in connection with the acquirement or construction of which construction and not provided for else­ the expenditure occurs. where. § 10.75 Taxes. This account shall in­ clude State, county, township, city, ITEMS OF STATIONERY AND PRINTING school, road, annual franchise, and all Adding machines. Copying presses. other taxes and assessments levied and Addressographs and Crayons. paid on property belonging to the car­ supplies. Cross-section books. Arm rests. Cross-section paper. rier during construction and before the Binders. Cyclostyles. facilities are used for commercial opera­ Blank books. Dating stamps and tions, except special assessments for Blotters. ribbons. street and other improvements charge­ Blotting paper. Dictaphones. able to account 39, “Public improve­ Bristol board. Dictographs. ments—Construction. ” Calculating Drawing paper. machines. Duplicators. No t e : Taxes during construction, w hen Calendars. Electric pens. assignable, shall be included in the cost of Carbon paper. Envelopes. the property acquired or constructed. Cardboard. Erasers, rubber and § 10.76 Interest during construction. Cards, blank a n d steel. When any bonds, notes, or other evi­ printed. Eyelet punches. Circulars. Eyelets. dences of indebtedness are sold, or any Computing tables. Pile boxes. interest-bearing debt is incurred for Copy (impression) Forms, blank and acquisition and construction of original books. printed. road and equipment, extensions, addi­ Copying brushes. Fuel tickets. tions, and betterments, the interest ac­ 44 cruing on the part of the debt represent­ interest, premium, or discount shall be ing the cost of property chargeable to charged directly to the specific accounts to road and equipment accounts (less inter­ which it is related. Note E: This account shall not include est, if any, allowed by depositaries on interest during the construction period on unexpended balances) after such funds the carrier’s own funds expended in connec­ become available for use and before the tion with the acquisition or construction of receipt or the completion or coming into original road and equipment, extensions, service of the property so acquired shall additions, and betterments. be charged to this account. § 10.77 Other expenditures; general. When such securities are sold at a This account shall include all expendi­ premium the proportion of such pre­ tures of a special and incidental nature mium assignable to the time between in connection with the acquisition and the date of the actual issuance of the construction of original road and equip­ securities and the time when the prop­ ment. road extensions, additions, and erty acquired or the improvement made betterments which cannot properly be becomes available for service shall be included in any other account in this credited to this account. This account shall also include such classification. proportion of the discount and expense on funded debt issued for the acquisition O p e r a t in g R e v e n u e s and O p e r a t in g of original road, original equipment, E x p e n s e s road extensions, additions, and better­ REVENUE ACCOUNTS ments, as is equitably assignable to the period between the date of the actual Transportation issuance of securities and the time when § 10.100 Transportation; rail line. the property acquired or the improve­ The primary accounts included in this ment made becomes available for the general account are designed to show service for which it is intended. The amounts of money which the carrier be­ proportion of discount and expense thus comes entitled to receive or which accrue chargeable shall be determined by the to its benefit from service rendered in ratio between the period prior to the transporting property or persons by rail completion or coming into service of the facilities or improvements acquired line. and the period of the entire life of the § 10.101 Freight. This account shall securities issued. include revenue from the transportation of freight and from transit, stop, and Note A: Interest on bonds, notes, or other evidences of indebtedness accruing before reconsigning privileges, upon the basis the proceeds from the sale of the securities of lawful tariff rates. become available for use shall not be in­ ITEMS TO BE CREDITED cluded in this account, nor shall there be included any interest accruing after the (a) Revenue upon the basis of local freight property with respect to which the proceeds tariff rates, regardless of class of train are expended is received or becomes avail­ in which the freight is transported. able for use in connection with commercial (b) The carrier’s proportion of revenue upon service. the basis of through freight tariff Note B: If any securities which have been rates, regardless of class of train on issued or assumed by the carrier are sold or which the freight is transported. exchanged by or for the carrier for a con­ (c) Revenue from transportation of mail sideration the actual money value of which matter, and empty mail pouches, at at the time of such sale or exchange is less freight tariff rates. than the value of the securities at par and (d) Revenue from transportation of freight the accrued interest thereon, if any, the dif­ on special trains at rates based on ference between the money value of the con­ weights of shipments. sideration received and the par value of the (e) Revenue on basis of classifications and securities plus the accrued interest shall be freight tariffs from transportation of deemed a discount. In no case (except as caretakers of freight shipments. provided in the third paragraph of this (f) Revenue from reconsigning privileges. account) shall discounts be included as part (g) Revenue from stop privileges. of the cost of anything charged to any ac­ (h) Revenue from transit privileges. count prescribed in this classification. (1) Revenue upon the basis of arbitraries N ote C: For definition of securities actu­ out of freight rates for water transfers ally issued, see Note B. under general bal­ (ferriage, lighterage, and floatage). ance-sheet account 765, “Funded debt unmatured.” ITEMS TO BE CHARGED Note D : Whenever interest, premium, or Amounts paid as bridge and ferry arbitraries discount assignable to the construction on freight. period is incurred in connection with an Amounts paid for completing a haul. expenditure covered by some specific road Amounts paid for elevation of freight. and equipment account or accounts, such Amounts paid for switching services, in con-

436489 O -57 -4 45 nection with the transportation of freight, to shippers and consignees, for terminal col­ on the basis of switching tariffs, and allow­ lection and delivery services when performed ances out of through rates, including in connection with line haul transportation amounts paid for switching empty cars in of freight on the basis of freight tariff rates; connection with a freight revenue move­ also (d) payments for switching services ment. when performed in connection with line haul Amounts paid for transferring freight be­ transportation of freight on the basis of tween stations. switching tariffs and allowances out of Arbitraries and allowances to others for light­ freight rates, including the switching of erage and wharfage. empty cars in connection with a revenue The carrier’s proportion of overcharges re­ movement, and (e) payments on basis of sulting from the use of erroneous rates, tariff rates for loading and unloading live­ weights, classifications or computations. stock. The carrier’s proportion of refunds on ac­ count of errors in routing and billing. § 10.102 Passenger. This account The carrier’s proportion of uncollected rev­ shall include the revenue from trans­ enue on freight lost or destroyed in portation of passengers at passenger transit. tariff fares; from the transportation of The carrier’s proportion of uncollected tariff passengers at special fares as provided charges on damaged shipments for which charges neither shipper nor consignee is by law, and from incidental charges in liable connection therewith. Amounts paid on basis of tariff rates for load­ ITEMS TO BE CREDITED ing and unloading livestock. (a) Revenue from local passenger fares. Note A: Amounts paid for switching empty (b) The carriers’ proportion of revenue from cars otherwise than in connection with interline passenger fares. loaded movements shall be charged to oper­ (c) Revenue from extra fares. ating expense account 411, “Other expenses.” (d) Revenue from additional fares or charges except that amounts paid for switching for exclusive use of a passenger car, equipment for repairs shall be included in drawing room, compartment, bedroom, the appropriate equipment repair accounts. etc. Note B: Other carriers’ proportion of (e) Revenue from mileage and scrip coupons revenue and of uncollectible undercharges honored for all services covered by paid by the carrier on account of its errors this account. in routing and billing shall be charged to (f) Revenue from transportation of passen­ operating expense account 411. "Other ex­ gers in special cars or on special trains penses.” when charge is based on passenger Note C: Other carriers’ proportion of fare per capita, regardless of the num­ revenue paid by the carrier on freight lost, ber of passengers actually transported. destroyed, or damaged in transit, for which (g) Revenue from a guaranteed minimum neither consignees nor consignors are liable amount not based on per capita fare, shall be charged to operating expense ac­ for transportation of passengers on count 418, “Loss and damage—Freight.” special or chartered trains. Note D: When a lessee company transports (h) Cash fare penalty collections freight over the tracks of another carrier or. (i) Unclaimed collections and deposits for the basis of a proportion of revenues under transportation of passengers. a joint arrangement, it shall include the en­ (j) Passenger fare overcharges. (k) Revenue from transportation of corpses, tire compensation in its revenues and sta­ based on passenger fares. tistics, charging the appropriate Joint facility (l ) Revenue from water transfers (ferri­ expense and rental accounts with the age), bridge tolls, and transfers be­ amounts paid the lessor company, and the tween railway stations or between rail­ lessor company shall credit the corresponding way stations and docks, received as accounts. arbitraries in division of passenger The accounting in connection with trans­ fares. portation train service operated under a joint arrangement for the benefit of two or more ITEMS TO BE CHARGED carriers shall be as provided in the second paragraph of § 10.04-9 Joint facility accounts. (a) Amounts paid as bridge tolls, and also for ferry, depot to depot and depot Note B: The accrued revenue derived from the transportation of cream, sweet milk, etc., to dock passenger transfer service. on a basis of lawful tariffs at rates per (b) Amounts paid for switching in complet­ package, regardless of weights, shall be in­ ing a passenger transportation move­ cluded in account 109, “Milk.” ment. N ote F : Revenue from the transportation (c) Amounts paid for switching empty pas. of caretakers of freight shipments, when not senger-train cars in connection with included as a part of the freight charges on transportation of passengers. (See the waybill covering the freight shipments, Note C.) shall be credited to account 102, “Passenger." (d) Redemptions of unused and partially Note G : This account shall be maintained unused local tickets and redemptions so as to show separately payments and allow­ of carrier’s proportions of unused and ances (a) to railway express agencies, (b) to partially unused interline tickets. motor truck companies and others, and (c) (e) Refund of extra fares, cash fare penalty

46 collections, and overcharges in excess (i) Amounts received specifically to cover of tariff fares. movement of special or chartered bag­ (f) Uncollectible undercharges. gage cars including transportation of Note A: Gross receipts from the sale of attendants regardless of whether the mileage tickets, and scrip books shall be charge is based upon passenger tariff credited to a suspense account. The sus­ fares, a stated minimum, or any other pense account shall be charged and this ac­ basis. This includes box cars when count credited with the value of coupons as used for baggage service. honored, in connection with any of the serv­ (j) Revenue from issuing duplicate baggage ices provided for in “Items To Be Credited." checks. Note B: When a lessee company trans­ ports passengers over the tracks of another Note A: Revenue derived from transporta­ company under a Joint arrangement upon tion of shipments of silk, fish, etc., in passen­ the basis of a proportion of the passenger ger trains at freight rates, shall be included in revenue, it shall include the entire compen­ account 101, "Freight.” sation in its passenger revenue and statis­ Note B : Amounts of refunds, uncollectible tics, charging the appropriate Joint facility undercharges etc., involved in these credits, expense and rental accounts with the shall be charged to this account. amounts paid the lessor company and the Note C: Gross receipts from the sale of lessor company shall credit the correspond­ baggage scrip books shall be credited to a ing Joint facility accounts. suspense account. The suspense account The accounting in connection with trans­ shall be charged and this account credited portation train service operating under a with the value of the coupons as honored fo r Joint arrangement for the benefit of two or any of the services covered by this account. more carriers shall be as provided in the second paragraph of § 10.04-9 Joint facility § 10.104 Sleeping car. This account accounts. shall include the revenue from berth and N ote C: Amounts paid for switching seat accommodations furnished in sleep­ empty passenger-train cars otherwise than ing cars on the basis of berth or seat rates in connection with loaded movements, shall for the space occupied. be charged to account 411, “Other expenses," except that when switched for repairs, the § 10.105 Parlor and chair car. This amounts paid shall be included in account account shall include the revenue from 317 “Passenger-train cars—Repairs." seat accommodations furnished in par­ Note D: Revenue from the transportation lor, observation, chair, and other special of automobiles, with or without trailers, in passenger cars when operated in pas­ freight service, in connection with the trans­ senger-train service or in special-train portation of passengers, also revenue from service at seat rates for space occupied. loading and unloading automobiles at point of origin, destination, or enroute, shall be § 10.106 Mail. This account shall in­ credited to account 101, “Freight." clude the revenue from the transporta­ § 10.103 Baggage. This account shall tion of mail at established rates for include the revenue from the transporta­ specified routes; from the use of railway tion of baggage, packages, baby car­ post-office cars when in carrier’s service riages. bicycles, household pets, dogs, etc., transporting mails; from the use of on passenger trains at other than freight special mail facilities; and from bonuses or express tariff rates. for special mail transportation. list o r item s To this account shall be charged fines and penalties imposed by the Govern­ (a) Revenue from transportation of baggage in excess of free allowances. ment when not collected from agents or (b) Revenue from transportation of pack­ employees. ages. baby carriages, bicycles, house­ Note: The revenue from the transporta­ hold pets, dogs, etc., at baggage tariff tion of mail matter and empty mail pouches rates. on freight trains at freight tariff rates shall (c) Revenue from transportation of baggage be included in account 101, “Freight.” or other articles based upon excess value § 10.107 Express. This account shall (d) Revenue from transportation of baggage include the revenue from transportation when passenger does not make corre­ of express matters and from use of fa­ sponding trip. cilities on trains and at stations incident (e) Revenue from excess weight of corpses to such transportation. based on baggage tariff charges and When a railway company transacts an from special charges for transferring corpses between depots. express business through its regular rail­ (f) Revenue from scrip coupons honored for way organization, the revenue therefrom any of the above-mentioned services. shall be credited to this account. (See Note B.) Note: When contracts for express priv­ (g) Overcharges on baggage transactions. ileges provide specific amounts for the rent (h) Revenue from transportation of emer­ of facilities at stations, such amounts shall gency shipments and articles based on be included in revenue account 142, “Rents double gross weight, etc. of buildings and other property."

47 § 10 108 Other passenger-train. This out of rates for transportation involving rail account shall include the revenue de­ lin e h a u l. rived from the operation of passenger § 10.114 Water transfers; passenger. trains not provided for elsewhere. This account shall include the revenue LIST OF ITEMS from the transfer of passengers by water (a) The carrier’s proportion of contract transfers (ferriage) upon the basis of revenue derived from the operation lawful tariff rates for local service. over its line of sleeping, parlor, chair, N o t e : N o revenue shall be included in observation, and other special passen­ this account upon the basis of arbitraries ger-train cars, owned and operated by out of rates for transportation involving rail companies other than The Pullman line conveyance. Company. (b) Value of portions of mileage tickets or § 10.115 Water transfers; vehicles coupons, scrip books or coupons, in­ and livestock. This account shall in­ cluding baggage, circus and show scrip, clude the revenue from the transfer by unpresented and unredeemed. water transfers upon the basis of lawful (c) Revenue from transportation of news­ local tariff rates, of vehicles of all classes; papers at local tariff rates or at propor­ horses, cattle, and other animals; and tions of interline tariff rates. Government artillery and equipment. § 10.109 Milk. This account shall in­ No t e: No revenue shall be included in clude the revenue from the transporta­ this account upon the basis of arbitraries tion of cream, sweet milk, skim milk, out of rates for transportation involving rail sour milk, buttermilk, condensed milk, lin e h a u l. butterfat, and smearcase or pot cheese, § 10.116 Water transfers; other. This upon the basis of lawful tariffs at rates account shall include the revenue from per package, regardless of weights. water transfers not otherwise provided Note: The revenue from the transporta­ for, such as the revenue from towing be­ tion of milk upon the basis of lawful tariffs at rates per specified weights shall be in­ yond lighterage limits and all other tow­ cluded in revenue account 101, “Freight.” ing for which an extra charge is made; insurance of freight afloat when billed § 10.110 Switching. This account out at other than cost; storage of freight shall include the revenue from switching afloat; grain overage in boats; pumping service upon the basis of lawful tariff performed for outside parties; and from rates. other similar sources. To this account shall be credited the To this account shall be charged carrier’s revenue upon the basis of tariff amounts payable to other companies or rates, or the carrier’s allowance out of individuals for extra lighterage, extra through rates, from the switching of towing, and for all other service when cars of all kinds, loaded or empty, either such payments represent revenue col­ locally at a station or within a switching lected and credited to this account and district, between connecting lines, be­ not a direct expense. tween local industries, or between con­ necting lines and local industries; reve­ Incidental nue upon the basis of distinct tariff rates § 10.130 Incidental. The primary ac­ for “trap-car” and “ferry-car” service counts included in this general account and for spotting cars; also the revenue are designed to show the amounts which from interwork switching at industrial the carrier becomes entitled to receive plants, and the revenue from “penalty from services rendered incidentally with switching” incident to the improper de­ rail-line and water-line transportation, livery of cars by other carriers. for the use of facilities of which the ex­ To this account shall be charged penses for operation and maintenance amounts paid others for switching when are not separable from railway expenses, such switching service is provided for in and from incidental sources not provided the switching rate charged by the carrier. for elsewhere. No t e : “Penalty switching” charges p aid by the carrier shall be included in expense § 10.131 Dining and buffet. This ac­ account 411. “Other expenses.” count shall include the revenue from dining and buffet service on trains and § 10.113 Water transfers; freight. transfer boats. This account shall include the revenue from the transfer of freight by water ITEMS TO BE CREDITED transfers (ferriage, lighterage, and float­ (a) Revenue from lunches furnished. age) upon the basis of lawful tariff rates (b) Revenue from meals furnished. (c) Revenue from liquors furnished. for local service. (d) Revenue from tobacco furnished. No t e : No revenue shall be included in (e) Revenue from cigars and cigarettes fur­ this account upon the basis of arbitraries n ish e d .

48 § 10.132 Hotel and restaurant. This commercial operation of telegraph, tele­ account shall include the revenue from phone, radio, and all other forms of hotels, restaurants, and station lunch communication systems. It shall also counters. include amounts received from commer­ cial operators of such systems, whether ITEMS TO BE CREDITED as a proportion of earnings or otherwise, (a) Revenue from the rent of rooms. for the privilege of transacting business (b) Revenue from the use of baths. (c) Revenue from the use of billiard tables. in offices along the carrier’s lines, but (d) Revenue from the use of bowling alleys. only when the carrier furnishes some (e) Revenue from lunches furnished. service of employees whose pay is in­ (f) Revenue from meals furnished. cluded in its operating expenses. (g) Revenue from liquors furnished. N o t e : When a commercial operator rents (h) Revenue from tobacco furnished. a communication system belonging to the (i) Revenue from cigars furnished. (j ) Revenue from cigarettes furnished. carrier and pays all expenses incident to its (k) Revenue from newspapers furnished. maintenance and operation, the rent so re­ (l ) Revenue from periodicals furnished. ceived shall be credited to income account (m) Revenue from tonsorial service. 510, “Miscellaneous rent income.” (n) Revenue from laundry work. § 10.139 Grain elevator. This account N o t e : This account shall not include the shall include the revenue from the opera­ revenues from hotels and restaurants which tion of grain elevators. are entirely distinct from the carrier’s trans­ ITEMS TO BE CREDITED portation plant and the cost of which is (a) Revenue from the elevation of grain. included in balance-sheet account 737, “Mis­ (b) Revenue from the storage of grain. cellaneous physical property.” (c) Revenue from bagging grain. § 10.133 Station, train, and boat priv­ (d) Revenue from screening grain. ileges. This account shall include rev­ (e) Revenue from blowing grain. enue from weighing, vending, and other (f) Revenue from cooling grain. (g) Revenue from clipping grain. automatic machines located at stations; (h) Revenue from cleaning grain. from advertising at stations and on (i) Revenue from mixing grain. trains and on transfer boats; from the (j ) Revenue from transferring grain in ele­ privilege of operating news stands at vators. stations and selling papers, periodicals, (k) Revenue from loading grain into and fruit, etc., on trains and on transfer unloading grain from boats not cov­ boats; from telephone companies for the ered by elevation charges. privilege of installing and operating (l) Revenue from trimming grain in boats when performed by elevator employees. commercial telephones at stations; from (m) Revenue from the sale of screenings and the operation of eating houses and din­ sweepings. ing and buffet service on trains and (n) Revenue from inspecting grain in ele­ transfer boats when such operation is vators. conducted by individuals or companies other than railway companies and when § 10.141 Power. This account shall the expenses incurred by the carrier in include the revenue from the sale of elec­ connection therewith are not separable tric current and other power from its regular operating expenses; and § 10.142 Rents of buildings and other from similar sources. property. This account shall include the revenue from the exclusive use of build­ § 10.134 Parcel room. This account ings and other property or portions shall include the revenue from the oper­ thereof, such as depot and station ation of parcel rooms. grounds and buildings, general and other § 10.135 Storage; freight. This ac­ offices, wharves, ferry landings, elevators, count shall include the revenue from the stockyards, fuel yards, enginehouses, re­ storage of freight. pair shops, and section and other houses, when the property is operated and main­ § 10.136 Storage; baggage. This ac­ tained in connection with the property count shall include the revenue from the used in the carrier’s transportation oper­ storage of baggage. ations and the expenses of maintaining § 10.137 Demurrage. This account and operating the rented portion can­ shall include the revenue from the de­ not be separated from the expenses of tention of cars incident to loading, un­ that portion used by the carrier. loading, reconsigning, and stops in tran­ Note: When the expenses of maintaining sit upon the basis of lawful tariffs for and those of operating property rented to demurrage. others are separable, the rents received shall be credited and the expenses of maintenance § 10.138 Communication. This ac­ and operation shall be charged to appropri­ count shall include the revenue from ate income accounts.

49 § 10.143 Miscellaneous. This ac­ power, and other miscellaneous opera­ count shall include the revenue from rail­ tions. way operations not provided for else­ Note A: The purpose of this account is to where. show the amounts of revenue from the opera­ LIST OF ITEMS tion of joint tracks, yards, terminals, and other facilities operated by other companies, (a) Amounts received for privilege of cutting which under existing contracts or agreements hay along the right of way. are credited by the operating company to the (b) Commissions received for collecting pre­ tenant companies which participate therein. miums on insurance policies from em­ The bill rendered by any creditor company ployees and installment payments for against a debtor company for the latter’s books, watches, etc., sold by dealers to proportion of the expense of maintenance employees. and operation of joint facilities, which in­ (c) Profit from jobbing and installing electric cludes also a credit covering a proportion of power lines for others. the revenue to be paid over, shall show the (d) Revenue from boat demurrage. distribution of the credit for such proportion (e) Revenue from freight and passenger of the revenue separately from the distribu­ privileges over a carrier’s wharves and tion of the expense of operation. docks. Note B: No credits shall be made to this (f) Revenue from garnishee fees. account representing amounts creditable by (g) Revenue from operation of coal and ore the operating company to primary accounts wharves, cold-storage plants, coal- 101 to 109, 113 to 116, and 131. (See how­ storage plants, cotton-compress plants, ever, Case 297, Accounting Bulletin No. 15.) and wood-preserving plants. (h) Revenue from privilege of mooring and § 10.152 Joint facility—Dr. This ac­ anchoring boats at wharves and docks. count shall include that proportion of (i) Revenue from the sale of cinders pro­ revenue from the operation of joint duced by carrier. tracks, yards, terminals, and other fa­ (j ) Revenue from use of carrier’s bridges by cilities, which is creditable to other com­ pedestrians, streetcar lines, vehicles, etc. panies, including revenue from hotels, (k) Revenue from temporary use of carrier's restaurants, grain elevators, sale of tracks for detouring trains, etc. power, and other miscellaneous opera­ (l) Revenue from use of tracks incident to tions. delays in loading or removing freight. Note A: The purpose of this account is to (m) Revenue from water furnished boats show the amount of revenue from operation from water stations operated by the of a terminal company or other carrier which, carrier. under the terms of existing contracts or (n) Revenue from weighing cars. agreements covering the joint use of tracks, (o) The carrier's proportion of gross revenue yards, and other facilities, is credited to other from operation of clergy bureaus. carriers that participate in the benefits from (p) The carrier’s proportion of gross revenue such Joint use. The bill rendered by a from operation of ticket validation creditor company against a debtor company agencies. for the latter’s proportion of expense of main­ (q) Collections made by station ushers (Red taining and operating joint facilities, which Caps) for the handling of passengers’ includes a credit covering the debtor com­ baggage. pany’s proportion of the revenues from opera­ (r) Revenue from loading and unloading tion of such joint facilities shall indicate livestock in transit by railroad, and separately the proper distribution of both the from feeding, watering, bedding, revenues and the expenses included in the shearing, dipping, inspecting, and oth­ bill, and such distribution shall be adhered erwise caring for such stock. to by the debtor. Note B: No debits shall be made to this N o t e : When a bridge of one carrier is Jointly used by itself and another carrier and account representing amounts creditable by such use is paid for on the basis of flat rent or the operating company to primary accounts charge per train-mile or toll per passenger, 101 to 109, 113 to 116, and 131. (See how­ per ton, or per car, the compensation there­ ever, Case 297, Accounting Bulletin No. 15.) for shall be credited to the appropriate Joint EXPENSE ACCOUNTS facility, operating expense, and income accounts. Maintenance of Roadway § 10.200 Maintenance of way and Joint Facility structures. The primary accounts in­ § 10.150 Joint facility. cluded in this general account are designed to show the expenses of main­ 5 10.151 Joint facility—Cr. This ac­ taining road property devoted to railway count shall include the carrier’s propor­ operations, with the exception of shop tion of revenue collected by others in machinery, power plant machinery, and connection with the operation of joint power plant apparatus, the expenses of tracks, yards, terminals, and other fa­ maintaining which are includible in gen­ cilities, including revenue from hotels, eral account 300, “Maintenance of restaurants, grain elevators, sale of equipment.”

50 The accounts for maintenance of way Business car service. and structures shall be kept in such man­ Fees and dues in associations. ner as to show separately, by primary Furniture repairs and renewals Heating. accounts, the expenses directly assigna­ Lighting. ble to sleeping car operations, dining and Official train service. buffet service, hotels and restaurants, Periodicals and newspapers. grain elevators, stockyards, producing Power. power sold, and other miscellaneous Provisions for business cars. operations. Rent of offices. Repairs of rented offices. § 10.201 Superintendence. This ac­ Telegraph service. count shall include: Telephone service. (a) Pay of officers. The pay of officers Traveling expenses. directly in charge of or engaged in the Water and ice. maintenance of roadway and structures. SUPPLIES FOR TECHNICAL ASSISTANTS LIST OF OFFICERS Barometers. Planimeters. Vice president. Books and maps. Plummets. Assistant vice president. Boxes for materials Protractors. General manager. and instruments. Ranging poles. Assistant general manager. Cameras. Reading glasses. General superintendent. Camp equipage. Rods for surveyors. Assistant general superintendent. Chains for surveyors. Scales. Chief engineer. Compasses. Section liners. Engineer. Curves. Sextants. Division engineer. Drafting boards. Slide rules. Bridge engineer. Drafting Instru­ Stakes. Chief signal engineer. ments. Straightedges. Assistant engineers. Field glasses. Tally registers. Architect. Field notebooks. Tape lines. Roadmaster. Hatchets. Tee-squares. Assistant roadmaster. Levels. Telescopes. Master carpenter. Magnets. Thermometers. Assistant master carpenter. Magnifiers. Thumb tacks. Master mason. Marking chalk. Tracing linens. Superintendent of roadway structures. Oilstones. Transits. Superintendent of scales. Paper, blue-print. Traverse tables Inspector of maintenance. Parallel rules. Triangles. Building inspector. Photographic sup­ Tripods. Inspector of roadway stores. plies. Verniers. Supervisor. Plane tables. Assistant supervisor. Note A: When employees designated above Fire Chief. are specifically assigned to construction work, Fire inspector. their pay and expenses while thus employed Sanitary inspector. shall be charged to the work upon which engaged. (b) Pay of clerks and attendants. The Note B: When officers designated above pay of clerks and other employees in the have supervision over more than one depart­ offices and on the business cars of officers ment, their salaries, the pay of their clerks whose pay is chargeable to this account. and attendants and their office and other ex­ penses shall be apportioned equitably among LIST OF EMPLOYEES the departments over which they have Juris­ Chief clerk. Chainmen. diction. Draftsmen. Axmen. Note C: No part of the pay and expenses Clerks. Janitors. of the officers and employees designated above Stenographers. Messengers. shall be charged to other primary accounts Transitmen. Cooks. under account 200, “Maintenance of way and Levelmen. Porters. structures.” Note D : The cost of stationery for mainte­ Rodmen. nance of way and structures offices is charge­ (c) Office and other expenses. Office able to account 276, “Stationery and print­ expenses and other expenses of officers ing.” and employees whose pay is chargeable § 10.202 Roadway maintenance. This to this account: also amounts paid de­ account shall include: tective agencies and others for investiga­ (a) Care of roadbed. The cost of re­ tions in connection with maintenance pairing roadbed. of way and structures. ITEMS OF ROADWAY EXPENSE ITEMS OF EXPENSE AND SUPPLIES Blasting rocks. Atlases and maps. Building temporary tracks around slides and Books for office use. washouts.

5 1 Repairing and cleaning tile ditches, open N ote D : Tools and supplies used by repair ditches, and drains. men and watchmen in roadway maintenance Crowning track ties with retaining earth. service shall be charged to account 271, Filling borrow and cattle pits. “Small tools and supplies.” Keeping tracks clear and repairing sub-grade in case of washouts. § 10.206 Tunnels and subways. This Landscape gardening along roadway account shall include the cost of repair­ Oiling roadbed. ing, ventilating, lighting, and watching Post driving and pressure grouting to pro­ mote stability of roadbed. tunnels and subways for the passage of Removing temporary tracks around slides trains, and the cost of special tools and and washouts. supplies furnished in connection with Repairing roadbed damaged by washouts. the work. Removing dangerous rocks. Removing slides. Note: The cost of repairs to signals and Restoring roadbed, cuts, fills, and embank­ to roadway and tracks in tunnels shall be ments to standard width. charged to the appropriate maintenance of Sloping cuts. way accounts and not to this account. Sodding roadway. § 10.208 Bridges, trestles, and culverts. Note A: The cost of drains or sewers laid This account shall include the cost of under tracks shall be included in account 208, “Bridges, trestles, and culverts.” The repairing (including fuel and supplies cost of landscape gardening within the lim­ used) and watching bridges, trestles, and its of the grounds around buildings shall be culverts, including altering and bracing included in the appropriate repair accounts during process of filling, dredging and for buildings cleaning water channels for protection, (b) General cleaning. The cost of and cleaning culverts. cutting, removing, and disposing of The bridges, trestles, and culverts re­ brush, grass, and weeds from the right of ferred to in this account include only way; plowing and digging fireguards; structures which carry the carrier’s own dressing ballast and cutting sod lines; tracks. removing miscellaneous scrap, drift, cin­ DETAILS OF BRIDGE STRUCTURES ders, dirt, and other material from right Abutments. Ice breakers. of way and from road and terminal Bridge signs. Painting. tracks (including tracks at stations, en­ Cofferdams. Pier protection. gine yards, and car yards); and cleaning Concrete and ma­ Piers and founda­ sonry ends for cul­ tions. streets used as roadways. verts. Pipe culverts. Note B: Loading ashes at engine-yard Cribs. Retaining walls. tracks shall be charged to the engine-house Decking, including Riprap around abut­ expense accounts. gravel for fire pro­ ments. tection. Riprap at culvert (c) Watching roadway. The cost of Dike protection. ends. extinguishing fires on right of way and Drainage systems. Supports. adjacent thereto, and of walking, watch­ Draw protection. Water channels. ing, and patrolling tracks and right of Drawbridge engines Waterproofing. way. and machinery. Wing dams. False work. Wing walls. Note C: The cost of watching and patrol­ Guard timbers. ling bridges, buildings, and miscellaneous property is provided for in accounts specifi­ No t e : When a part of the entire struc­ cally relating to such property. ture of a bridge or trestle is converted, by filling into an earth embankment the ledger (d) Bank protection. The cost of re­ value of the structure, or of the portion pairs to riprap, piling, dikes, piers, break­ thereof filled, shall be credited to road and waters. revetments and retaining walls, equipment account 6. “Bridges, trestles, and which were placed or constructed for culverts.” In case the bridge is used in lieu bank protection. of a temporary trestle for the purpose of filling, the estimated cost of such a temporary (e) Train service. The cost of work- trestle shall be charged to road and equip­ train service in connection with work ment account 3. "Grading.” The ledger value pertaining to roadway maintenance. of the structure, or portion thereof, filled, (f) Track changes. The cost of road­ less the value of the salvage and the esti­ mated cost of trestle charged to road and way work in connection with taking up equipment account 3, “Grading.” shall be and relocating tracks. charged to account 735, “Accrued deprecia­ (g) Other expenses. The cost of road­ tion—Road and equipment.” way work not provided for elsewhere, § 10.210 Elevated structures. This ac­ such as official roadway inspection train count shall include the cost of repairing service and premiums in connection with elevated structures and foundations of roadway maintenance. elevated railway systems.

52 Tie plugs. Track insulators. § 10.212 Ties. This account shall in ­ Tie-rods. Track spikes. clude the cost of cross, switch, bridge, Track bolts. and other track ties used in the repairs of tracks. Note A: The cost of labor and train service for distributing, unloading, and applying Note A: The cost of labor for unloading, “other track material” used, and the cost of distributing, and putting ties in tracks, th e picking up and concentrating the material cost of work-train service in connection w ith released shall be charged to account 220, the distribution of the ties laid, and th e “Track laying and surfacing.” cost of picking up and concentrating or dis­ Note B: The excess cost of improved or posing of the ties released shall be charged heavier track material applied for repairs of to account 220. “Track laying and surfacing.” tracks, under a definite plan of changing Note B : The excess cost of metal ties a p ­ standards, over the cost, at current prices, of plied in place of wooden ties over the c o st material of the same weight and quality as at current prices of replacing in kind the that released, shall be charged to road and wooden ties removed shall be charged to ro a d equipment account 10, “Other track mate­ and equipment account 8, “Ties.” rial." Note C: The cost of ties used for repairs Note C: The cost of “other track mate­ of tracks in quarries and ballast pits shall be rial” used for repairs of tracks in quarries included in the appropriate clearing ac­ and ballast pits shall be included in the counts. and of ties used for repairs of tracks appropriate clearing accounts, and of such on car floats in account 323, “Floating equip­ track materia] used for repairs of tracks on ment—Repairs.” car floats in account 323, “Floating equip­ § 10.214 Rails. This account shall in­ ment—Repairs.” clude the cost (less salvage) of rails used § 10.218 Ballast. This account shall in the repairs of tracks; also the cost (at include the cost of gravel, stone, slag, current prices at time of removal) of the cinders, sand, and like ballast material excess in weight of heavy rails removed used in the repairs of tracks, including and lighter rails applied in repairs of the cost of work-train service and of tracks. unloading the material. Note A: The cost of labor for unloading, When the ballast taken from a pit is distributing, and putting rails in tracks, th e not sufficient to justify the opening of a cost of work-train service in connection w ith the distribution of the rails laid, and th e clearing account, the cost of gravel and cost of picking up and concentrating th e quarry rights and cost of sinking test rails released shall be charged to account 220, holes shall be included in this account. “Track laying and surfacing.” Note A: The cost of loading cinders at ash Note B : The cost of the excess weight of pits shall be charged to account 388. “En­ heavier rails applied in repairs of tracks in ginehouse expenses—Yard,” or to account 400, replacement of lighter rails shall be included “Enginehouse expenses—Train.” No charge in account 9, "Rails.” to cover the value of cinders accumulated Note C: The cost of rails used for repairs by the carrier shall be included in this of track in quarries and ballast pits shall account be included in the appropriate clearing ac­ Note B : The cost of labor putting ballast counts, and of rails used for repairs of tracks in tracks shall be included in account 220, on car floats to account 323, “Floating “Track laying and surfacing.” equipment—Repairs.” Note C: The excess cost of ballasting tracks over the cost of replacing in kind to its § 10.216 Other track material. This maximum height and width the ballast pre­ account shall include the cost (less viously put in the roadbed shall be charged salvage) of all track material used in to road and equipment account 11, “Ballast.” the repairs of tracks, other than ballast, Note D: Earth placed to form a crown in ties, and rails. the middle of the track is not to be con­ sidered as ballast. ITEMS OF OTHER TRACK MATERIAL Note E : The cost of ballast used for repairs Angle bars. Rail joints. of temporary tracks, such as gravel pit or Anticreepers. Rail rests. quarry tracks, shall be included in the ap­ Connecting rods. Rail shims. propriate clearing accounts. Derails. Rail splices. Frog and guard-rail Splice bars. § 10.220 Track laying and surfacing. blocking Step chairs. This account shall include: Frogs. Switch chairs. (a) Applying ballast. The cost of Guard-rail clamps. Switch crossings. labor expended in preparing the road­ Guard-rail fasteners Switch lamps. bed, and applying ballast for repairs of Guard rails. Switch locks and tracks. Main rods. keys. (b) Applying ties. The cost of labor Nut locks. Switch points. Nuts. Switch stands. expended in unloading, distributing and Offset bars. Switch-stand bolts. applying ties for repairs of tracks; in Rail braces. Switch targets. gathering up and disposing of the ties Rail chairs. Switches. released; and in respacing ties. Rail clips. Tie plates. (c) Applying rails. The cost of labor

53 expended in unloading, distributing, count appropriate for the cost of repairs of cutting, slotting, drilling, adzing for, and the structures. laying rails for repairs of tracks; in Note C : The cost of repairing crossing sig­ gathering up and loading rails released; nals, including crossing gates, shall be in­ and in adjusting for expansion and con­ cluded in account 249, “Signals and inter- traction of rails. lockers.” (d) Applying other track material. § 10.227 Station and office buildings. The cost of labor expended in unloading, This account shall include the cost of distributing, and applying other track repairing station and office buildings, fix­ material for repairs of tracks; and the tures, and appurtenances (including cost of gathering up and loading the those for heating and lighting), used by material released. the carrier in its operations; also the cost (e) Track maintenance. The cost of of maintaining grounds appurtenant to labor expended in alining, surfacing, such buildings. gauging, and shimming tracks; in STATION AND OFFICE STRUCTURES AND DETAILS tightening track bolts and track spikes; Baggage rooms. in restoring rails, ties, and ballast in case Breakwaters for protection of buildings. of washouts, derailments, and wrecks; Buildings and rooms for trainmen. and in taking up tracks. Buildings on piers. (f) Train service. The cost of work- Call bells. train service (except work trains distrib­ Coal b in s. uting ballast material) in connection Coal-transferring machinery (not on coal and with work pertaining to track laying and ore wharves). surfacing. Coal trestles (not at fuel stations) Commissarial buildings. (g) Track changes. The cost of track Drainage and sewer systems work (exclusive of the cost of track ma­ Dwellings. terial) in taking up and relocating Eating houses. tracks. Electric wiring. (h) Other expenses. The cost of Elevators and machinery. track laying and surfacing work not pro­ Express buildings. vided for elsewhere, and expenses, such Fences. as repairing and replacing rail rests, of­ Fire-engine houses. Freight cranes. ficial track inspection train service, and Freight derricks. premiums in connection with track Freight handling machinery. repairs. Freight houses. No t e : Tools and supplies used by track Oarages. repair men and watchmen shall be charged Gas-supply systems. to account 271, “Small tools and supplies.” General office buildings. Grain cribs. § 10.221 Fences snowsheds. and signs. Grain elevators. This account shall include: Grain warehouses. (a) Fences. The cost of repairing Greenhouses. right-of-way fences and snow and sand Hay houses. Heating plants. fences, farm gates, cattle guards, wing Hedges. fences, aprons, and hedges, excluding Hoisting engines, for handling freight. those around stockyards, fuel stations, Hose houses. station and shop grounds, and building Ice houses. sites. Lighting plants (b) Snowsheds. The cost of repair­ Mail cranes. ing snowsheds, including cost of replac­ Milk stands. ing trees for protecting tracks from snow. Office buildings. Ore transferring machinery (not on coal and (c) Signs. The cost of repairing signs ore wharves). other than those for identification of Outhouses. bridges, signals, stations, and other struc­ Pavement in ground limits. tures. (For items of signs see account Platforms, freight. Platform, passenger, including planking be­ 13, “Fences, snowsheds, and signs.”) tween tracks. Note A: The cost of repairing fences (other Power distribution systems. interior than right-of-way boundary fences) around Beading rooms. stockyards, fuel and water stations, and Booms for Y. M. C. A. other building sites, shall be charged to the Scale houses. accounts appropriate for the cost of repairs Sidewalks. of the structures Stables. Note B: The cost of repairing signs for Station footbridges (not highway crossings) identifying bridges, signals, stations, and Station intertrack fences. other structures shall be included in the ac­ Station platforms.

54 Station signs. the cost of maintaining the grounds ap­ Station stairways. purtenant to such stations. Station subways (not highway crossings) WATER STATION STRUCTURES AND DETAILS Station powerhouses. Stations, freight. Boilers. Settling basins. Stations, passenger. Breakwaters for pro­ Stationary engines. tection of build­ Steam pipes. Stock pens. ings. Tanks and founda­ Stockyards. Buildings on piers. tions. Storehouses. Cisterns. Track tanks. Telegraph offices. Dams. Tubs. Telpher systems. Fences. Water cranes. Track scales. Outhouses. Water-pipe lines. Transfer houses. Penstocks. Water - treating Transfer platforms. Pump houses. plants. Waiting rooms. Pumps. Wells. Warehouses. Purifying plants. Windmills. Washrooms. Reservoirs. Water-supply systems. N o t e : Incidental cleaning, including the Not e : Incidental cleaning, including the cost of cleaning snow from roofs, when done cost of cleaning snow from roofs, when done by water station employees, shall not be in­ by station or office employees, shall not be cluded in this account. included in this account. § 10.233 Fuel stations. This account § 10.229 Roadway buildings. This ac­ shall include the cost of repairing fuel count shall include the cost of repairing stations, fixtures, and appurtenances roadway shops and other roadway used by the carrier in its operations, and buildings, including drainage, water, gas, the cost of maintaining the grounds ap­ and sewer pipes and their connections, purtenant to such stations. machinery and other apparatus, fixtures, FUEL STATION STRUCTURES AND DETAILS and furniture in the buildings; also the Breakwaters for pro­ Fuel-oil plants. cost of maintaining the grounds appur­ tection of build­ Fuel-oil pumps. tenant to such buildings. ings. Fuel-oil sumps. LIST OF ROADWAY STRUCTURES Buckets. Fuel-oil tanks. Buildings on piers Fuel platforms. Bins for material. Coal buggies. Fuel wharves. Blacksmith shops. Coal hoists. Inclines. Boarding houses. Coal pockets and Outhouses. Breakwaters for protection of buildings. chutes. Scales. Carpenter shops. Dumping machinery Sheds. Dwellings for roadway employees. Elevating machinery Stationary engines Fire-engine houses. Fences. Tipple cars. Frog shops used solely for repairs of track Fuel houses. Weighing apparatus. material. Fuel-oil columns. Wood racks. Hand-car houses. Lumber sheds. N o t e : Incidental cleaning, including the Offices. cost of cleaning snow from roofs, when done Outhouses. by fuel station employees, shall not be in­ Planing mills. cluded in this account. Rail shops used solely for repairs of track material. § 10.235 Shops and enginehouses. This Repair shops. account shall include the cost of repair­ Scrap bins. ing shop and enginehouse buildings, fix­ Section dwelling houses. tures, and appurtenances used by the Stables. carrier in repairing and preparing equip­ Storehouses. ment, and the cost of maintaining the Tool houses. grounds appurtenant to such buildings. Watch houses. sh o p and enginehouse structures and Note A: The cost of repairing signal and interlocker buildings and their appurte­ details nances shall be included in account 249, Air - compressor Car shops. “Signals and interlockers.” houses. Carpenter shops. N o t e B Incidental cleaning, including the Ash pits and pockets. Cinder pits. cost of cleaning snow from roofs, when done Ash plants. Cinder pockets. by employees regularly working in the build­ Bins for material. Drop pits. ings, shall not be included in this account. Blacksmith shops. Dry houses. Breakwaters for pro­ Electric power distri­ § 10.231 Water stations. This account tection of build­ bution systems shall include the cost of repairing water ings. within buildings. stations, fixtures, and appurtenances Buildings on piers. Enginehouses. used by the carrier in its operations, and Car sheds. Fire-engine houses.

55 Footbridges (not Planing mills. by storage warehouse employees, shall not be public highways) Platforms, shop and included in this account. Foundries. yard. § 10.241 Wharves and docks. This ac­ Gas-compressor Repair shops. houses. Sand houses. count shall include the cost of repairing Heating plants. Scale houses. wharves located at marine, lake, or river Hose houses. Scrap bins. docks; dredging waterways to approaches Ice houses. Sidewalks. and around such structures, including Laboratories. Stables. removal of dredged-out material; and Lighting plants. Steam distribution cutting ice in and around docks and Lumber sheds. systems, interior. wharves to prevent damage; also cost of Machine shops. Storehouses. repairs of cribwork, racks, or caissons Material and supply Tanks, gas. for preserving the depth of water in truck tracks. Tanks, oil. Motor-crane tracks. Test rooms. docks; and cost of repairs of guards, pil­ Offices, shop. Tin shops. ing, and other protection against damage Oil houses. Tool houses. by drift or ice. Outhouses. Track scales. DETAILS OF WHARVES AND DOCKS Paint shops. Transfer tables. Pipe lines, air, inte­ Turntables. Bridge pontoons. Ferry bridges. rior. Upholstering shops. Bulkheads. Ferry racks. Warehouses. Caissons. Ferry slips. Pipe lines, car-heat­ Cribwork. Jetties and inclines. ing. Wash rooms. Watch houses. Drydocks. Transfer-bridge ma­ Pipe lines, gas inte­ Ferry-b ridge ma­ chinery. rior. chinery. Transfer bridges. Note A: The cost of repairing machinery Note A: The cost of repairing buildings, and other apparatus, including special foun­ tracks, and machinery (not bridge machin­ dations in shops for maintenance of equip­ ery) on wharves and piers shall be charged ment shall be included in account 302, “Shop to the appropriate expense accounts. machinery.” Note B: The cost of repairing coal and ore Note B: Incidental cleaning, including the wharves shall be charged to account 243, cost of cleaning snow from roofs, when done “Coal and ore wharves.” by shop employees, shall not be included in N ote C: Incidental cleaning, when done by this account. regular wharf employees, shall not be in­ § 10.237 Grain elevators. This ac­ cluded in this account. count shall include the cost of repairing § 10.243 Coal and ore wharves. This structures for the transfer treatment, account shall include the cost of repair­ and storage of grain, including conveyors, ing wharves and docks, including the machinery and fixtures; also the cost of cost of repairing conveyors, machinery, maintaining the grounds appurtenant to and fixtures for the transfer, treatment, such buildings. blending, or storage of coal or ore. The buildings referred to in this ac­ Note A: The structures referred to in this count are large elevators in which a regu­ account do not include small transfer or lar grain business is handled or grain is storage trestles at stations where coal is stored for various owners. stored or delivered, such trestles being classed as station buildings. Note A : Small storage elevators at way sta­ tions, where the freight is received for ship­ Note B: Incidental cleaning, including the ment, etc., are classed as station buildings. cost of cleaning snow from roofs, when done Note B: Incidental cleaning, including the by coal and ore wharf employees, shall not cost of cleaning snow from roofs, when done be included in this account. by grain elevator employees shall not be in­ § 10.247 Communication systems cluded in this account. This account shall include the cost of re­ § 10.239 Storage warehouses. This pairing telegraph, telephone, radio, account shall include the cost of repair­ radar, inductive train communication, ing storage warehouses, including ma­ and other communication systems, in­ chinery and fixtures therein; also the cluding terminal equipment. cost of maintaining the grounds appur­ DETAILS OF TELEGRAPH AND TELEPHONE tenant to such warehouses. TERMINAL EQUIPMENT The buildings referred to in this sec­ Batteries. tion are not the ordinary freight ware­ Cables and wires, interior. houses or stations where freight is Carrier terminating equipment. received for shipment, etc., but are ware­ Conduits interior. Connecting wires. houses in which merchandise is stored Current-controlling instruments. and which the carrier operates as storage Electric generators and motors. warehouses. Electric meters. No t e : Incidental cleaning, including the Engines, stationary. cost of cleaning snow from roofs, when done Fuses and mechanical protectors.

56 Rectifiers. tween this account and account 407, “Com­ Rheostats. munication system operation.” Sending and receiving instruments. Switchboards. ITEMS Telegraph repeaters. Buzzers, bells, dictaphones, or other inter­ Telephone repeaters. office communication systems in an office Teletypewriters. or group of buildings. Testing outfits. Loud speakers, bells, or whistles in shop and Transformers. other yards. DETAILS OF TELEGRAPH AND TELEPHONE OUTSIDE Loud speakers, public address devices, press PLANT button control lights, telautograph, or other systems in stations or on platforms. Aerial attachments. Whistles, klaxons, or horns operated from Braces. signal towers. Brackets Cable boxes and appurtenances. § 10.249 Signals and interlockers. Cables and wires, aerial. This account shall include the cost of re­ Conduits and appurtenances. pairing signals and interlockers govern­ Cross arms. Gas and associated facilities for cables. ing the movements of locomotives and Guy stubs. trains, and for the protection of traffic at Guy wires. crossings, including towers and other Insulators. buildings, furniture, fixtures, and ma­ Load coils. chinery in connection therewith; also the Poles. cost of repairing buildings and machin­ Submarine cables and connections. ery of power plants used primarily for Telephone pole boxes. the production of power for the operation Towers of signals and interlockers. Underground cables and connections. For list of items see account 27, “Sig­ DETAILS OF RADIO, RADAR, AND INDUCTIVE TRAIN nals and interlockers.” COMMUNICATION EQUIPMENT Note A: The pay and expenses of employees Aerials or antenna, and attachments. engaged both in maintaining and operating Buildings or towers used exclusively for signals and interlockers shall be apportioned wireless. equitably between this account and account Control units. 404. “Signal and interlocker operation." Power generating, converting, or supply Note B: When signal or interlocking ap­ equipment. paratus is located in station buildings, only Radar console and associated equipment. the cost of repairing the signal or interlock­ Roadside or office equipment for all wire­ ing apparatus shall be charged to this ac­ less systems operated on special channels count The cost of repairing the building between train and train, train and tower shall be included in account 227, “Station and or office, or between ship and shore. office buildings." Specialized testing and repair equipment. Note C: The cost of repairs of track mate­ Transmitters and receivers, including mo­ rial such as special rail braces, special rods, bile units. switches, special track fastenings, split rails, derails, derail stands, and frogs, used in con­ N ote A. Repairs of radio, radar, or train- phone equipment (except portable appara­ nection with interlockers shall be included in tus) which is permanently attached to lo­ account 216, “Other track material." comotives, cars, work equipment, or other Note D: When derails are arranged so as to rolling stock or floating equipment shall be be thrown from switch stands, the cost of included in the same account as repairs of labor expended for repairs of the connections the equipment on which installed. Repairs between the switch stands and the derail and of wireless sets for instructions, advertising, devices for throwing the derail, shall be in­ or entertainment shall be included in the cluded in account 220. “Track laying and same account as repairs of the building in surfacing." which located. Note E : The salaries, office expenses, and traveling expenses of supervisors or inspectors Note B: Repairs of communications sys­ tems of limited extent, not connected with when engaged in maintaining both telegraph other systems, used for special purposes and and telephone lines and signals and inter­ usually installed within a single building, lockers shall be equitably apportioned be­ group of buildings, or within the limits of a tween this account and account 247, “Com­ station or shop layout or yards, shall be in ­ munication systems." cluded in the same account as repairs of the § 10.253 Power plants. This account building in which located or in the account shall include the cost of repairing power- appropriate for the service with which associated. plant and substation buildings, including N ote C : The pay, rent, other office ex­ all foundations other than those special penses, and traveling expenses of officers, to particular machines and apparatus; their clerks and attendants, who supervise, and also dams, canals, pipe lines, and ac­ or are engaged both in maintenance and cessories devoted to the utilization of operation, shall be apportioned equally be­ water for power. Gas and sewer pipes

57 and their connections, fixtures (including Note B: Incidental cleaning, including wiring) for lighting and heating, and the cost of cleaning snow from roofs, when miscellaneous fixtures, shall be consid­ done by employees regularly working in mis­ ered as a part of the power-plant cellaneous buildings, shall not be included buildings. in this account. The power-plant buildings here re­ § 10.266 Road property; depreciation. ferred to are those in which power is pro­ This account shall include the amount of duced for the operation of trains and depreciation charges applicable to the cars and for general purposes. accounting period for all classes of de­ For list of items see road and equip­ preciable road property listed in para­ ment account 29, “Power plants.” graph (g) of § 10.04-8 Depreciation ac­ Note A: The cost of repairing power-plant counting; road property, with the ex­ machinery, including small stacks resting on ception of shop machinery and power- boilers, and special foundations for machines, plant machinery. shall be included in account 304, “Power- Note: Depreciation charges applicable to plant machinery.” shop machinery and power-plant machinery Note B: The cost of repairing the buildings shall be included in account 305, “Shop and and the power machinery and other apparatus power-plant machinery—Depreciation." of plants used primarily for operating signals § 10.267 Retirements; road. This and interlockers shall be included in account account shall include charges for the 249, “Signals and interlockers.” service value (ledger value less value of § 10.257 Power-transmission systems. salvage) of nondepreciable road property This account shall include the cost of retired, excluding rail, ties, and other repairing systems for conveying elec­ track material, and ballast used in re­ tricity, steam, and compressed air from pairs, as defined in this classification. producing plants to place or building This account shall also include the pro­ where used; including the cost of con­ portion of the service value of nonde­ duits and poles, cross arms, insulator preciable and depreciable road property pins, brackets and other pole fixtures, retired carried in account 743, “Other used in repairs, and of repairing other deferred charges,” which by specific au­ structures for power-transmission and thority of the Commission shall be distribution systems, including those for charged to current operating expenses. electric railway operation, and lighting When road property previously subject systems for general lighting purposes. to amortization accounting under section For list of items see account 31, “Power- 124, “Amortization deductions,” of the transmission systems.” Internal Revenue Code is retired, the dif­ Not e A: The cost of repairing the portions ference between the service value (ledger of distribution systems located within shop value less value of salvage and insurance buildings and station and office buildings recovered) thereof, and the balance in shall be included in the accounts provided account 736, “Amortization of defense for the cost of maintaining the buildings. projects—Road and equipment,” with The cost of repairing distribution systems in plants used primarily for operating signals respect to the specific facility retired, and interlockers shall be included in account after appropriate adjustment for any 249. “Signals and interlockers.” depreciation accrued thereon, shall be N o t e B : The cost of repairing conduits and included in this account. poles and fixtures for telegraph and tele­ This account shall also be charged with phone lines shall be included in account 247, such amounts as are concurrently cred­ “Communication systems.” If poles and ited to accounts 72 to 77, inclusive, in conduits are used both for telegraph and telephone lines, and for power-distribution accounting for the retirement of road lines, the cost of repairs thereof shall be property. included in the account appropriate accord­ Note : The cost of dismantling or demolish­ ing to their predominant use. ing the property, if borne by the carrier, shall be charged to account 270. “Disman­ § 10.265 Miscellaneous structures. tling retired road property," or account 306, This account shall include the cost of “Dismantling retired shop, and power-plant repairing permanent structures, not pro­ machinery," as may be appropriate. vided for elsewhere, including the cost of repairing all furniture and fixtures to § 10.269 Roadway machines. This ac­ equip them for use. It shall also include count shall include the cost of repairing the cost of maintenance of the grounds roadway machines which are used for the appurtenant to such structures. repairs of roadway and structures. N o t e A: When separable the cost of main­ LIST OF ROADWAY MACHINES taining structures which are rented to other companies or individuals shall be charged to Boilers, portable. Cars, motor inspec­ the income account in which is included the Cars, hand. tion. rent received for use of the structures. Cars, lever. Cars, push.

58 Cars (sm all), crane, Jacks, hydraulic. Picks, clay. Spot boards. for supply yards Log loaders. Picks, tamping. Squares. and general use. Pile drivers. Pike poles. Straightening ma­ Concrete mixers. Plows, unloading. Post-hole diggers. chines. Ditching machines. Rail unloaders. Post-hole tampers. Tape lines. Dredging machines. Rock crushers. Punches. Thermometers for Engines, portable. Steam rollers. Rail benders. laying rail. Grading outfits. Timber trucks. Rail tongs. Tongs. Hydraulic outfits. Velocipedes. Rakes. Tool boxes. Rope. Torches. Note A: The cost of repairing machines in Saws, crosscut. Track gauges. the maintenance of equipment shops shall Saws, hand. Track levels. be included in account 302, “Shop machin­ Scrap boxes. Vises. ery,” as provided for therein. Scythes. Weed spuds. None B: The cost of repairing roadway ma­ Shovels. Wheelbarrows. chines. such as pile drivers, log loaders, hoist­ Sickles. Whetstones. ing engines, and concrete mixers, when per­ Sledges. Wood m allets. manently mounted for movement on car­ Spades. Wrenches, monkey. rier’s tracks, shall be included in account Spike mauls. Wrenches, track. 326, “Work equipment—Repairs.” Spike pullers. § 10.270 Dismantling retired road (b) Roadway and track supplies. The property. This account shall include the cost of supplies consumed in connection cost of dismantling retired road property with the operation of roadway machines and recovering the salvage therefrom while used in repairs of roadway and with the exception of track material re­ tracks; and cost of supplies used by covered in connection with repairs of trackwalkers, track watchmen, and road­ tracks as provided for in account 220, way and track repair men. "Track laying and surfacing,” and shop ITE M S o r ROADWAY SUPPLIES and power-plant machinery. Alcohol for hydraulic Jacks. Note: The cost of removing, gathering up, Fuel for heating tool and other section and disposing of track material in connection houses. with repairs of tracks is includible in account Fuel for portable forges used in roadway 220, "Track laying and surfacing,” and of and track work. shop and power-plant machinery in account Gasoline for motor cars. 306, “Dismantling retired shop and power- Oatmeal and ice for drinking water used by plant machinery.” roadway and track repair men. Oil and waste for hand cars, lever cars, § 10.271 Small tools and supplies. motor inspection cars, and push cars. This account shall include: Oil and wicks for lanterns used by track­ (a) Roadway and track tools. The walkers, track watchmen, and roadway and cost of roadway tools (except special track repair men. Oil and wicks for lighting tool and other tools provided for elsewhere), including section houses. the cost of repairing such tools. Torpedoes used by trackwalkers, track watch­ L IS T OF ROADWAY AND TRACK TOOLS men, and roadway and track repair men. Water for section houses. Adzes. Drills (portable). Anvils. Flags, signal. § 10.272 Removing snow, ice, and sand. Augers. Furnaces (portable). This account shall include the cost of Axes. Grindstones keeping track and roadway clear of snow, Ballast forks. Hammers, napping. ice, and sand. Bars, claw. Hammers, paving. It shall include cost of preventing ac­ Bars. crow. Hammers, spiking. Bars , lining. Handles for tools. cumulation, such as the cost of distribut­ Bars , pinch. Hatchets. ing, setting up, inspecting, taking down, Bars , raising. Hoes. and regathering portable snow and sand Bars , tamping. Jack levers. fences; and cost of tools furnished for Braces and bits. Jacks, ratchet. the purpose; also cost of storing fences. Brooms. Jacks, screw. It shall include cost of removing ac­ Brush hooks. Jacks, track. Cable stretchers. Kegs, water. cumulations of snow. ice. and sand, cost Cables. Ladders. of snow-plow and flanger service, and of Cans, oil. Lanterns and fix­ work-train service; cost of applying and Cans, water. tures. removing flangers from locomotives and Cant hooks. Lawn mowers. cars, and of slatting pilots; cost of salt Chains. Levels. to keep switches clear; and cost of meals Chisels, track. Lines for ditching. and lodging for men employed in removal Chisels, wood. Nippers. Curbing hooks. Oilstones. service. Dippers. Padlocks. § 10.273 Public improvements; main­ Drawing knives. Pails, water. tenance. (a) This account shall include Drill bits. Paint brushes. the portion borne by the carrier of the

59 expense of maintenance of public im­ Notarial fees. provements, whether done by public au­ Nursing. thority or by the carrier’s employees un­ Railway transportation. Undertakers’ services. der governmental requirement. Undertakers’ supplies. (b) By public improvements are meant Witnesses’ fees and expenses at inquests and improvements for public benefit such as lawsuits. curbing, grading, guttering, and paving of streets, overhead highway bridges, in­ Note A: Expenses incident to personal in­ jury suits, not otherwise provided for. shall cluding approaches; drainage, sewer, ir­ be included in account 454. “Law expenses.” rigation, and water systems; flood pro­ Note B : Amounts donated by a carrier to tection, parks, sidewalks, etc. hospitals shall be distributed, 25 percent For list of items see account 39, “Pub­ to account 274, “Injuries to persons”; 25 per­ lic improvements—Construction.” cent to account 332. “Injuries to persons”; and 50 percent to account 420, “Injuries to Note A: The expense of repairing paving persons.” within the grounds of buildings or other No t e C: The pay, office rent, office expenses, structures shall be charged to the accounts and other expenses of claim adjusters, claim provided for repairs of the structures. clerks and others in charge of or engaged in Note B: Assessments for maintaining pub­ connection with claim cases, when not as­ lic improvements included in the general tax signable to a distinct class of claims, shall levy for a regular taxing district shall be be apportioned equally among the several charged to the appropriate tax account in classes of claims over which they have juris­ income. diction or in connection with which they are Note C: Interest and penalties, based on monthly or annual percentage rates, for fail­ engaged. ure to pay assessments within the allotted § 10.275 Insurance. This account shall time shall be included in account 547, “In­ include premiums, except reinsurance terest on unfunded debt.” premiums, for insuring the carrier § 10.274 Injuries to persons. This ac­ against loss through injuries to persons count shall include expenses on account or damage to or destruction or loss of of injuries to persons which occur di­ property, whether caused by fire, acci­ rectly in connection with the mainte­ dent, or other cause, when such loss to nance of way and structures, including the carrier would be chargeable to main­ injuries occurring in connection with tenance of way and structures; also pre­ the operation of work trains in such serv­ miums on fidelity bonds of employees ice, and injuries caused by defective whose pay is chargeable to maintenance highways within the right of way. of way and structures. (See § 10.04-18 It shall also include expenses on ac­ Insurance.) count of injuries to employees incurred No t e : The premiums paid by the carrier while demolishing structures, the main­ to its insurance fund shall be credited to an tenance of which would be chargeable insurance reserve account, to which account to maintenance of way and structures; shall be charged the amounts of all claims for injuries to persons and damages to the services of employees and others called property covered by its insurance. To such in consultation in connection with claim account shall also be charged all reinsurance adjustments; pay and expenses of em­ premiums paid to insurance companies, and ployees while engaged as witnesses at in­ to it shall be credited all amounts recovered quests and lawsuits; and a suitable pro­ from insurance companies in reimbursement portion of donations made to hospitals. for losses under such reinsurance. This account shall also include amounts estimated to be sufficient to meet the § 10.276 Stationery and printing. This probable liability of the carrier for un­ account shall include the cost of sta­ audited expenses applicable thereto, ex­ tionery and printing used in connection cept that it is not required to anticipate with maintenance of way and structures. items which would not appreciably affect stationery and printin g item s the account. Adding machines. Cards, blank and ITEMS OF EXPENSE Addressographs and printed. supplies. Circulars. Artificial limbs. Arm rests. Computing tables. Carriage fees. Binders. Copy (impression) Claim adjusters’ and clerks’ services. Blank books. books. Claim adjusters' office expenses. Blotters. Copying brushes. Compensation for injuries or death. Blotting paper. Copying presses. Final judgments. including plaintiffs’ court Bristol board. Crayons. costs. Calculating m a­ Cross-section books. Funeral expenses. chines. Cross-section paper. Hospital attendance. Calendars. Cyclostyles. Medical and surgical services. Carbon paper. Dating stamps and Medical and surgical supplies. Cardboard. ribbons.

60 Dictaphones. Pens for writing and Note: The purpose of this account is to Dictographs. drawing. show the amounts accruing against the car­ Drawing paper. Phonographs a n d rier for its proportion of the cost of main­ Duplicators. records. taining tracks, yards, and other roadway and Electric pens. Pins. structure facilities maintained by others and Envelopes. Postage. in the Joint use of which the carrier partici­ Erasers, rubber and Profile books and pa­ pates. (See § 10.04—9 Joint facility accounts.) steel. per. Eyelet punches. Punches (not con­ § 10.279 Maintaining joint tracks, Eyelets. ductors’ or bag­ yards, and other facilities—Cr. This ac­ File boxes, paper. gagemen’s) . count shall include amounts chargeable Forms, blank and Rubber bands. to others as their proportions of the cost printed. Rubber stamps. incurred by the carrier in maintaining Glass pens. Rulers. Hectographs. Ruling pens. joint tracks, yards, terminals, and other Indexes. Scrapbooks. facilities. Ink for writing and Sealing wax. Note: The purpose of this account is to drawing. Seals. show the amounts accruing in favor of the Inkstands. Shears. carrier and against others for their propor­ Invoice books. Shipping tags. tions of the cost of maintaining tracks, yards, Legal cap paper. Shorthand note­ and other roadway and structure facilities Letter paper. books. maintained by the carrier and in the joint Manifold paper. Sponge cups. use of which others participate. (See Manifold pens. Sponges. § 10.04-9 Joint facility accounts.) Mimeographs. Stamps, impression. Mucilage. Stylographs. § 10.280 Equalization; way and struc­ Mucilage brushes. Tablets, blank and tures. This account shall include ad­ Neostyles. printed. justments of the differences between the Note paper. Tape. actual and the budgeted or authorized Notices. Telegraph blanks. Numbering stamps. Tissue (impression) maintenance of way and structures ex­ Oil paper. paper. penses. The amounts included in this Paper Tracing cloth. account shall concurrently be debited or Paper baskets. Tracing paper. credited to account 773, “Equalization re­ Paper clips. Twine. serves.” Paper cutters. Typewriters and rib­ Paper fasteners. bons. § 10.281 Right-of-way expenses. This Paper files. Wage tables. account shall include the cost to the Paper weights. Wastebaskets. carrier of maintaining structures owned Papyrographs. Water colors. by or exclusively used by others, such Pencil sharpeners. Water holders. costs having been assumed by the carrier Pencils for writing Wrapping paper. and drawing. Wringers for copying in order to acquire or to secure a less Penholders. presses. restricted use of its right of way. Penracks. The structures here referred to are Note: The cost of dictionaries, periodicals, those such as bridges above the carrier’s technical books, etc., shall be included in the tracks, tunnels, and roadways under the appropriate superintendence accounts. carrier’s tracks. § 10.277 Other expenses. This ac­ Note: The cost of maintaining public im­ count shall include all expenses in con­ provements is includible in account 273, nection with maintenance of way and “Public improvements—Maintenance.” structures not provided for elsewhere. Maintenance of Equipment IT E M S of EXPENSE § 10.300 Maintenance of equipment. Pay and expenses of maintenance of way em­ The primary accounts included in this ployees attending conferences with officers in connection with wage disputes. general account are designed to show the Fees paid arbitrators in wage disputes with expenses of maintaining the carrier’s maintenance of way employees. equipment and the carrier’s expense for Payments to maintenance of way employees the repairs of other equipment used in for time absent on account of sickness, its operations, also the cost of maintain­ when not compensation for personal in­ ing road property classified as shop and juries. power plant machinery. The repair ac­ Gratuities paid to persons for discovering counts shall include foreign roads’ defective rails, etc. freight charges for transporting the car­ § 10.278 Maintaining joint tracks, rier’s equipment to shops for repairs and yards, and other facilities—Dr. This ac­ for transporting such equipment to the count shall include the carrier’s propor­ carrier’s line after repairs have been tion of the costs incurred by others in made. No charge shall be made to these maintaining joint tracks, yards, termi­ accounts for transporting equipment in nals, and other facilities. the carrier’s transportation service trains

4 3 6 4 8 9 O - 5 7 - 5 61 to shops for repairs or from shops after Drafting instruments. repairs have been made. Drafting supplies. Engineering supplies. The accounts for maintenance of Fees and dues in technical associations. equipment shall be kept in such manner Furniture repairs and renewals. as to show separately, by primary ac­ Heating. counts, the expenses directly assignable Lighting. to sleeping car operations, dining and Official train service. buffet service, producing power sold, and Periodicals and newspapers. other miscellaneous operations. Power. § 10.301 Superintendence. This ac­ Provisions for business cars. Rent of offices. count shall include: Repair of rented offices. (a) Pay of officers. The pay of officers Telegraph service. directly in charge of or engaged in the Telephone service. maintenance of equipment. Traveling expenses. L IST Of OFFICERS Water and ice. Vice president. Note A: When employees designated above Assistant vice president. are specifically assigned to construction work, General superintendent of motive power. their pay and expenses while thus employed, Assistant general superintendent of motive shall be charged to the work upon which en­ power. gaged. Mechanical superintendent. Note B: When officers designated above Superintendent of motive power. have supervision over more than one depart­ Assistant superintendent of motive power. ment, their salaries, the pay of their clerks Mechanical engineer. and attendants and their office and other Assistant mechanical engineer. expenses shall be apportioned equitably Chief chemist. among the departments over which they General equipment inspector. have jurisdiction. Engineer of tests. Note C: The cost of stationery purchased Supervisor of car department. for maintenance of equipment offices is Electrical engineer. chargeable to account 334, “Stationery and Assistant electrical engineer. printing." Chemist and assistant chemist. Note D: The pay of general foremen in Master car builder. small shops, who exercise direct supervision Master mechanic. over all departments, unassisted by depart­ General foreman. mental foremen, shall be apportioned through Chief car inspector. clearing account “Shop expenses." Inspector of passenger-train cars. § 10.302 Shop machinery. This ac­ General car inspector. count shall include the cost of repairing Traveling boiler inspector. machinery and other apparatus, includ­ (b) Pay of clerks and attendants. The ing special foundations, in shops and pay of clerks and other employees in the enginehouses. offices and on business cars of officers whose pay is chargeable to this account. LIST OF SHOP MACHINERY LIST OF EMPLOYEES Air compressors. Milling machines. Ash conveyors. Motors. Chief motive power clerks. Belting. Pipe cutting and Chief clerks. Blowers. threading ma­ Draftsmen. Boilers for furnish­ chines. Stenographers. ing power. Planers. Motive power clerks. Boring machines. Pneumatic hammers. Shop clerks. Cars, small motor. Power machinery, Messengers. Cars, push. where no distinct Cooks. Cranes. power plant is pro­ Porters, Drill presses. vided. Drilling machines. Punches. (c) Office and other expenses. Office Drop tables. Riveters. expenses and other expenses of officers Forges. Saws. and employees whose pay is chargeable Framing machines. Shafting. to this account, and amounts paid to de­ Furnaces. Shapers. tective agencies and others for investiga­ Grinding and polish­ Slotters. tions in connection with repairs of equip­ ing machines. Stationary engines. Hoists. Steam hammers. ment. Hydraulic jacks. Vises. ITEMS O r EXPENSES AND SUPPLIES Lathes. Welding machines. Atlases and maps. Lifting magnets. Woodworking ma­ Barometers Metal chimneys. chines. Books for office use. Note A: The cost of repairing power plant Business car service. machinery for shop power when located in

62 distinct buildings shall be included in ac­ This account shall include the cost of count 304. “Power plant machinery.” repairing transportation service steam N o t e B: The cost of repairing boilers used locomotives and tenders, including all exclusively for heating shall be included in appurtenances, and the cost of small the appropriate repair accounts for buildings. hand tools used in repair work. N o t e C: The cost of small tools which are soon worn out, when used by mechanics on This account shall also include the miscellaneous work, shall be included in cost of work-train service for the trans­ clearing account “Shop expenses.” and when portation of locomotives without steam used on repairs of equipment shall be in­ to shops for repairs, including the pay cluded in the appropriate accounts for re­ and expenses of caretakers, and the pay pairs of equipment. and expenses of caretakers of locomo­ Note D: The cost of repairing machinery tives without steam which are hauled in and tools in shops used exclusively for main­ tenance of way and structures shall be in­ transportation service trains to shops for cluded in account 229, “Roadway buildings.” repairs; also notarial fees in connection with reports on conditions of locomo­ § 10.304 Power-plant machinery. This tives. account shall include the cost of repair­ ing machinery and other apparatus in­ LIST OP APPURTENANCES TO LOCOMOTIVES cluding special foundations in power Air-brake equip­ Packing (except for plants and substations for generating ment and hose. lubricating). Arm rests. Pneumatic sanding and transforming power used for the op­ Awnings. equipment. eration of trains and cars or to furnish Brake fixtures. Seat boxes. power, heat, and light for general pur­ Cab cushions. Speed recorders. poses. Cab lamps. Steam-gauge lamps For list of items see account 45, Clocks. Steam-heat equip­ “Power-plant machinery.” Coal boards. ment and hose. Fire extinguishing Storm doors. Note A: The cost of repairing power-ma­ apparatus. Tool boxes. chinery and apparatus in shop power plants Gongs. Train-signal equip­ shall be included in account 302, “Shop Head lamps. ment and hose. machinery.” Note B: The cost of repairing power-ma­ Note A: The cost of inspecting smoke­ chinery and apparatus in stations and offices stacks and ash pans of locomotives in service used primarily for station and office purposes shall be included in the appropriate engine- shall be included in account 227, “Station and house expense accounts. office buildings.” N o t e B : The cost of repairing steam loco­ N o t e C: The cost of repairing power-ma­ motives and tenders of foreign lines, way- chinery and apparatus in plants used pri­ billed as freight, and damaged in transit marily for operating signals and interlockers shall be charged to account 418, “Loss and shall be included in account 249, “Signals damage—Freight”; and the cost of repairing and interlockers.” steam locomotives and tenders of foreign N o t e D: The cost of repairing foundations, lines having trackage rights over the carrier's other than those special to particular ma­ line, damaged by collision, wreck, or other chines and other apparatus, shall be included cause, for which the carrier is liable, shall be in cost of repairing the building and not in charged to account 416, “Damage to prop­ this account. erty.” N o t e E: The cost of repairing machinery N o t e C: The cost of running locomotives in distinct plants for furnishing power both under steam to shops for repairs in connec­ for carrier purposes and for sale shall be in­ tion with transportation service shall be in­ cluded in this account. When plants are cluded in the cost of the service in connec­ used solely for generating power for sale the tion with which the movement occurs. cost of repairs shall be included in account N o t e D : The cost of repairing steam loco­ 534, “Expenses of miscellaneous operations.” motives used solely in work service in con­ nection with operations shall be included in § 10.305 Shop and power-plant ma­ account 326. “Work equipment—Repairs.” chinery; depreciation. This account The cost of repairing locomotives on account shall include the amount of depreciation of construction work shall be included in charges applicable to the accounting the cost of the work. period for all classes of property the cost § 10.311 Other locomotives; repairs. of which is includible in accounts 44, This account shall include the cost of re­ “Shop machinery” and 45, “Power-plant pairs of transportation service locomo­ machinery.” tives other than steam locomotives, anal­ § 10.306 Dismantling retired shop and ogous to those set forth for steam loco­ power-plant machinery. This account motives in account 308 “Steam locomo­ shall include the cost of dismantling re­ tives—Repairs.” tired shop and power-plant machinery § 10.314 Freight-train cars; repairs. and recovering the salvage therefrom. This account shall include the cost of § 10.308 Steam locomotives; repairs. repairing freight-train cars and appurte-

63 nances, and the cost of repairing motor LIST OF PASSENGER-TRAIN CARS equipment affixed to freight-train cars Baggage. Library. engaged in transportation service; also Baggage-express. Mail. cost of small hand tools used in repairs. Baggage-mail. Milk. This account shall also include the net Baggage - mail - ex­ Observation. loss sustained on account of the destruc­ press. Parlor. tion of foreign freight cars in the car­ Buffet. Parlor-baggage. Café. Passenger. rier’s transportation service and amounts Chair. Passenger-baggage. paid to others for repairs of freight cars Club. Passenger - baggage- for which the carrier is liable. Colonist. mall. LIST OP FREIGHT-TRAIN CARS Combination passen­ Postal. ger and baggage. Refrigerator -express. Ballast (c o m m e r ­ Lime. Dining. Sleeping. cial). Logging. Express. Smoking. Beer. Oil tank. Immigrant. Tourist. Box. Ore. Cabin. Platform. LIST OF APPURTENANCES TO PASSENGER-TRAIN Caboose. Poling. CARS Charcoal. Poultry. Air -brake equip­ Lighting equipment. Coal. Produce m e n t , including Mail catchers. Coke. Rack. hose. Parcel racks. Dump (commercial) Refrigerator Bedding. Ranges and boilers. Flat. Stock. Chairs. Seats. Fruit. Tank (in commer­ Coat hooks. Speed recorders. Furniture. cial service) Curtains and fix­ Steam heat hose. Gondola. Water (in commer­ tures. Table china. Gondola (hopper) cial service) Cushions. Table glassware. Gondola (long) Work (in commer­ Electric bells. Table linen. Gun truck. cial service). Floor coverings. Table silver. Hay. Heating equipment Toilet equipment. and steam - heat Train-signal equip­ LIST OF APPURTENANCES TO FREIGHT-TRAIN CARS hose. ment, Including Air-brake equipment, including hose Ice boxes. hose. Cooking equipment and utensils. Ice tanks. Water tanks. Cushions Kitchen equipment Heating equipment. and utensils. Ice boxes N ote A; The cost of candles, wicks, and Lamps and fixtures. lamp chimneys, and of globes and shades for Seats. electric and other lights in passenger-train Speed recorders. cars shall be charged to account 402, “Train Train-signal equipment, including hose supplies and expenses.” Water tanks. N ote B: The cost of repairing passenger- Note A. The cost of candles, wicks, lamp train cars of foreign lines, which are way­ chimneys, globes, and shades for oil or other billed as freight and have been damaged in lamps in freight-train cars shall be charged transit, shall be charged to account 418. “Loss to account 402. “Train supplies and ex­ and damage—Freight,” and the cost of re­ penses ” pairing passenger-train cars of foreign lines N ote B. The cost of repairing freight-train having trackage rights over the carrier’s line, cars of foreign lines waybilled as freight and when damaged by collision, wreck, or other­ damaged in transit shall be charged to ac­ wise. for which the carrier is liable, shall be count 418. “Loss and damage—Freight”; and charged to account 416, “Damage to prop­ the cost of repairing freight-train cars of erty.” foreign, lines having trackage rights over the § 10.323 Floating equipment; re­ carrier’s line, when damaged by collision, wreck, or other cause, for which the carrier pairs. This account shall include the is liable, shall be charged to account 416 cost of repairing floating equipment "Damage to property.” (other than work equipment), including § 10.317 Passenger-train cars; re­ appurtenances, and cost of small hand pairs. This account shall include the tools used in repairs. cost of repairing passenger-train cars The pay and expenses of captains and and appurtenances and the cost of re­ engineers and of boat employees, while pairing motor equipment affixed to pas­ engaged on maintenance of floating senger-train cars used in transportation equipment, shall be included in this service; small hand tools used in repairs; account. the net loss sustained on account of the LIST OF FLOATING EQUIPMENT destruction of foreign passenger-train Barges. Power lighters. Canal boats. Scows. cars in the carrier’s transportation serv­ Car and other floats. Steamboats. ice, and amounts paid others for repairs Ferryboats. Steamships. of passenger-train cars for which the Lighters. Transfer boats. carrier is liable. Power launches. Tugboats.

64 LIST OF APPURTENANCES, TOOL EQUIPMENT, Officers' cars. moved by locomo­ AND FURNITURE Outfit cars. tives). Anchors. Lines. Painters’ care. Sprinkling cars. Axes. Logs. Pay care. Steam shovels. Barometers. Pile drivers (mount­ Steam wrecking der­ Beds and bedding. Machinery and ed). ricks. Binnacle lamps. foundations. Rail saws (mounted) Supply cars . Blocks and tackle. Masts. Salt care. Sweeper care. Office furniture. Sanding care. Tool and block care. Boilers and founda­ Oil cans. Scale test care. Tool cars. tions. Pianos and other Scraper cars. Water care. Cables. musical instru­ Snow dozers. Weed burners Capstan bars. ments. Snow drags. (mounted) Carpets. Pumps. Snow plows (not Wrecking cars. Charts. Racks. attached to hut China, crockery, and Railings. glassware. Rakes. APPURTENANCES TO WORK EQUIPMENT— RAIL Chronometers Rigging. Air- brake equip­ Jacks. Clocks. Safes. ment. Kitchen utensils. Compasses. Sails. Beds and bedding. Lighting equipment Counters. Scales. Blocking. Linen. Desks. Seats, chairs, and Blocks and tackle. Lines. Engines and founda­ cushions. Boilers on cars. Machinery on care. tions. Shovels. Bunks, seats, and Oil cans. Fire buckets. Slice bars and chairs. Rakes. Fire extinguishers pokers. Chains. Ranges. Floor coverings. Spyglasses. China, crockery, and Shovels. Flue cleaners. Steam distribution glassware. Slice bars and pokers. Furniture. systems. Cushions. Tool boxes. Gangplanks. Steering equipment Engines on care. Tools, miscellaneous. Hatchets. Telescopes. Flue cleaners. Train-signal equip­ Heating equipment. Ticket cases. Hatchets. ment. Hoisting equipment. Tool boxes. Heating equipment. Wrecking trucks. Hooks. Tools, miscellaneous. Hooks. Wrenches. Keys. Tracks on car floats. LIST OF WORK EQUIPMENT— FLOATING Kitchen equipment. Ventilating equip­ Life preservers. ment. Derricks. Pile drivers. Lighting equipment. Wrenches. Dredges. Linen. APPURTENANCES TO WORK EQUIPMENT— FLOATING § 10.326 Work equipment; repairs. Anchors. Hooks. This account shall include the cost of Axes. Keys. repairing rail and floating work equip­ Barometers. Life preservers. ment, including appurtenances, and cost Beds and bedding. Lighting equipment. of small hand tools used in repairs. Blocks and tackle. Linen. The cost of fitting up commercial cars Boilers and founda­ Lines. tions. Machinery and foun­ for work service in connection with main­ Cables. dations. tenance and operation: the cost of re­ China, crockery, and Masts. fitting them for commercial service; the glassware. Oil cans. cost of repairs to locomotives while in Compasses. Pumps. service for repairs of road and equip­ Cushions. Rakes. ment; and the cost of repairs to foreign Desks. Rigging. cars damaged while in such service shall Engines and founda­ Sails. tions. Seats and chairs. be included in this account; also amounts Fire extinguishers. Shovels. paid in settlement for such cars destroyed Fire buckets. Slice bars and pokers. in such service. Floor coverings. Steam distribution Flue cleaners. systems. LIST OF WORK EQUIPMENT— RAIL Gangplanks. Steering equipment. Hatchets. Tool boxes. Air-brake instruction Dirt spreaders Heating equipment. Tools, miscellaneous. cars. (mounted). Hoisting equipment. Wrenches. Ballast cars. Ditching cars. Ballast unloader cars. Dump cars. N ote : The cost of repairs to work equip­ Boarding cars. Dynamometer cars. ment on account of construction work shall Bridge cars. Gas-tank cars. be included in the cost of the construction Business cars. Grading cars. work on which it is used. Camp cars. Gravel cars. Cinder cars. Indicator cars § 10.328 Miscellaneous equipment; re­ Concrete mixers Locomotive tanks pairs. This account shall include the (mounted). used as water cars cost of repairing miscellaneous equip­ Derrick cars. Locomotives. ment, such as wagons, automobiles, and

65 other highway vehicles, and harness. Claim adjusters' and clerks' services. Claim adjusters’ office expenses. § 10.329 Dismantling retired equip­ Compensation for injuries or death. ment. This account shall include the Final Judgments, Including plaintiffs’ court cost of tearing down retired equipment costs. and recovering the salvage therefrom. Funeral expenses. Hospital attendance. § 10.330 Retirements; equipment. Medical and surgical services. This account shall include the proportion Medical and surgical supplies. of the service value of equipment retired Notarial fees. carried in account 743, “Other deferred Nursing. charges,” which by specific authority of Railway transportation. Undertakers* services. this Commission shall be charged to op­ Undertakers’ supplies. erating expenses in the period. (See Witnesses’ fees and expenses at inquests and paragraph (f) of § 10.04-24 Depreciation lawsuits. accounting; equipment.) Note A: Expenses incident to personal in­ When equipment previously subject to jury suits, not otherwise provided for, shall amortization accounting under section be included in account 454, “Law expenses.” 124, “Amortization deductions,” of the Note B: Amounts donated by a carrier to Internal Revenue Code is retired, the dif­ hospitals shall be distributed, 25 percent to ference between the service value (ledger account 274, “Injuries to persons’’; 25 per­ cent to account 332, “Injuries to persons”; value less value of salvage and insurance and 50 percent to account 420, “Injuries to recovered) thereof and the balance in persons.” account 736, “Amortization of defense Note C: The pay, office rent, and office and projects—Road and equipment,” with other expenses of claim adjusters, claim respect to the specific equipment retired, clerks, and others in charge of or engaged in after appropriate adjustment for any de­ connection with claim cases, when not as­ preciation accrued thereon, shall be in­ signable to a distinct class of claims, shall be cluded in this account. apportioned equally among the several classes of claims over which they have Jurisdiction This account shall also be charged with or in connection with which they are en­ such amounts as are concurrently gaged. credited to accounts 72 to 77, inclusive, in accounting for the retirement of § 10.333 Insurance. This account shall equipment. include premiums, except reinsurance premiums, for insuring the carrier § 10.331 Equipment; depreciation. against loss, through injuries to persons This account shall include the amount or damage to or destruction or loss of of depreciation charges applicable to the property, whether caused by fire, acci­ accounting period for all classes of equip­ dent, or other cause, when such loss to ment the ledger value of which is in­ the carrier would be chargeable to main­ cludible in accounts 51 to 54 and 56 to 58, tenance of equipment; also premiums on all inclusive. fidelity bonds of employees whose pay is chargeable to maintenance of equip­ § 10.332 Injuries to persons. This ment (See § 10.04-18 Insurance.) account shall include expenses on ac­ N o t e : The premiums paid by the carrier count of injuries to persons which occur to its insurance fund shall be credited to an directly in connection with repairs of insurance reserve account, to which account equipment. shall be charged the amount of all claims Services of employees and others for injuries to persons and damages to the called in consultation in relation to claim property covered by its insurance. To such adjustments, pay and expenses of em­ account shall also be charged all reinsurance ployees while engaged as witnesses at premiums paid to insurance companies, and inquests and lawsuits, and a suitable to it shall be credited all amounts recovered proportion of donations made to hospi­ from insurance companies for damage to the tals shall be included in this account. property reinsured by them. This account shall also include § 10.334 Stationery and printing. This amounts estimated to be sufficient to account shall include the cost of station­ meet the probable liability of the carrier ery and printing used in connection with for unaudited expenses applicable maintenance of equipment. thereto, except that it is not required to STATIONERY AND PRINTING ITEMS anticipate items which would not ap­ Adding machines. Blotters. preciably affect the account. Addressographs and Blotting paper. ITEMS OF EXPENSE supplies. Bristol board. Arm rests. Calculating Artificial limbs. Binders. machines. Carriage fees. Blank books. Calendars.

66 Carbon paper. Paper files. ployeees for time absent on account of sick­ Cardboard. Paper weights. ness when not in compensation for per­ Cards, blank and Papyrographs. sonal injuries. printed. Parchment paper. Circulars. Pencil sharpeners. § 10.336 Joint maintenance of equip­ Computing tables. Pencils for writing ment expenses—Dr. This account shall Copy (impression) and drawing. include the carrier’s proportion of ex­ books. Penholders. penses incurred by others in maintain­ Copying brushes. Penracks. Copying presses. Pens for writing and ing equipment used in the operation of Crayons. drawing. joint facilities, including the carrier’s Cyclostyles. Phonographs a n d proportion of the expenses of repairing Dating stamps and records. such equipment damaged by accidents ribbons. Pins. when such expenses are participated in Dictaphones. Postage. by more than one carrier. It shall also Dictographs. Punches (not con­ include the carrier’s proportion of ex­ Drawing paper. ductor’s or bag­ Duplicators. gagemen’s) penses incurred by others in maintaining Electric pens. Rubber bands. joint shop machinery and power-plant Envelopes. Rubber stamps. machinery. Erasers, rubber and Rulers. N ote : The purpose of this account is to steel. Ruling pens. show the amount accruing against the car­ Eyelet punches. Scrapbooks. rier for its proportion of the expense of Eyelets. Sealing wax. maintaining equipment, shop machinery, File boxes, paper. Seals. and power-plant machinery, which is main­ Forms, blank and Shears. tained by others and in the Joint use of printed. Shipping tags. which the carrier participates. Glass pens. Shorthand note­ Hectographs. books. § 10.337 Joint maintenance of equip­ Indexes. Sponge cups. ment expenses—Cr. This account shall Ink for writing and Sponges. include the amount chargeable to others drawing. Stamps, impression. Inkstands. Stylographs. as their proportion of expenses incurred Invoice books. Tablets, blank and by the carrier in maintaining equipment Legal cap paper. printed. used in the operation of joint facilities, Letter paper. Tape. and for expenses of repairing equipment Manifold paper. Telegraph blanks. damaged by accidents, when such ex­ Manifold pens. Tissue (impression) penses are participated in by more than Mimeographs. paper. one carrier. It shall also include Mucilage. Tracing cloth. amounts chargeable to others as their Mucilage brushes. Tracing paper. Neostyles. Twine. proportions of the expenses incurred by Note paper. Typewriters and rib­ the carrier in maintaining joint shop Notices. bons. machinery and power-plant machinery. Numbering stamps Wage tables. N o te: The purpose of this account is to Oil paper. Wastebaskets. show the amounts accruing in favor of the Paper. Water colors. carrier due from others for their proportions Paper baskets. Water holders. of the expense of maintaining equipment, Paper clips. Wrapping paper. shop machinery, and power-plant machinery, Paper cutters. Wringers for copying which is maintained by the carrier and in Paper fasteners. presses. the joint use of which others participate. Note: The cost of dictionaries, periodicals, technical books, etc., shall be included in § 10.338 Equalization; equipment. the appropriate superintendence accounts. This account shall include adjustments of the differences between the actual and § 10.335 Other expenses. This ac­ the budgeted or authorized maintenance count shall include expenses in connec­ of equipment expenses. The amounts in­ tion with the maintenance of equipment cluded in this account shall concurrently not properly chargeable to other ac­ be debited or credited to account 773, counts for maintenance of equipment or “Equalization reserves.” to clearing accounts such as “Material store expenses” and “Shop expenses.” Traffic ITEMS OF EXPENSE § 10.350 Traffic. The primary ac­ Pay and expenses of mechanical department counts included in this general account employees attending conferences with offi­ cers in connection with mechanical de­ are designed to show the expenses in­ partment wage disputes. curred for advertising, soliciting, and Fees paid arbitrators in connection with securing traffic for the carrier’s lines and mechanical department wage disputes. for preparing and distributing tariffs Payments to mechanical department em- governing such traffic.

67 § 10.351 Superintendence. This ac­ § 10.352 Outside agencies. This ac­ count shall include: count shall include the pay. and the of­ (a) Pay of officers. The pay of offi­ fice, traveling, and other expenses of cers directly in charge of or engaged in general, commercial, city, and district supervising the procurement of traffic, agents and others soliciting traffic, the and the preparation and distribution of employees of their offices, and traveling tariffs, division sheets, and classifica­ agents and solicitors located on or off the tions. line of the carrier’s road. LIST OF OFFICERS City ticket and freight offices, separate Vice president. from regular station ticket and freight Assistant to vice president. offices, shall be treated as outside Traffic director. agencies; the pay and expenses of the Traffic manager. employees therein and the expenses of General freight agent. such offices shall be charged to this ac­ Assistant general freight agent count. Chief of tariff bureau. Commissions for services pertaining Traveling tariff inspector Live stock agent. to either freight or passenger business, General passenger agent. except commissions paid in lieu of sala­ Assistant general passenger agent ries to carrier’s agents located upon the Division passenger agent. carrier’s own line (which shall be Division freight agent. charged to account 373, “Station em­ General baggage agent. ployees”), shall be included in this ac­ General express agent. count. General express manager. ITEMS OF EXPENSE Coal traffic agent. Bicycles. (b) Pay of clerks and attendants. The Books for office use. pay of clerks and other employees in the Express charges. offices and on business cars of officers Furniture repairs and renewals. Heating. whose pay is chargeable to this account. Lighting. LIST OF EMPLOYEES Membership fees and dues in agency asso­ Chief clerk. Messengers. ciations. Clerks. Cooks. Membership fees and dues in commercial Pile clerks. Porters. clubs. Stenographers. Attendants. Office supplies. Periodicals and newspapers. (c) Office and other expenses. Office Rent of offices. expenses and other expenses of officers Repairs of rented offices. Telegraph service. and employees whose pay is chargeable Telephone service. to this account. Traveling expenses ITEMS OF EXPENSE AND SUPPLIES Water and ice. Atlases and maps. Official train service. § 10.353 Advertising. This account Barometers. Periodicals and shall include the cost of advertising for Bicycles. newspapers. the purpose of securing traffic; pay of Books for office use. Power. Business car service Provisions for busi­ advertising agents, their clerks and at­ Express charges. ness cars. tendants; rent of offices, and the office, Fees and dues in Rent for offices. traveling, and other expenses of such em­ commercial a n d Repairs of rented ployees; also donations to carnivals, lo­ other clubs. offices. cal development associations, summer Furniture repairs Telegraph service. schools, and other gatherings, when and renewals. Telephone service. made for the purpose of increasing Heating. Traveling expenses traffic. Lighting. Water and ice. ITEMS OF ADVERTISING EXPENSE N o t e A: When officers designated above have supervision over more than one depart­ Advertisements in newspapers. ment, their salaries, the pay of their clerks Advertisements in periodicals. and attendants, and their office and other Bulletin boards and cards. expenses shall be apportioned equitably Card cases. among the departments over which they Customs charges on advertising matter. have jurisdiction. Display and other advertising cards. Note B: The pay and expenses of officers Distributing folders. engaged exclusively in soliciting traffic are Distributing general notices to shippers. chargeable to account 352, “Outside Distributing time-tables. agencies.” Dodgers. N ote C: The cost of stationery for traffic Express charges. offices is chargeable to account 358, “Station­ Frames. ery and printing,” except stationery charge­ Handbills. able to accounts 354, 355, and 356. Maps used for advertising.

68 Pamphlets. fic, also premiums on fidelity bonds of Photographs and views. employees whose pay is chargeable to Postage. Posters. Traffic. (See § 10.04-18 Insurance.) Publishing advertising matter. Note : The premiums paid by the carrier to Publishing folders. its insurance fund shall be credited to an Publishing notices to shippers. insurance reserve account, to which account Publishing time-tables. the amount of all claims for injuries to per­ Racks. sons and damages to the property covered by its insurance shall be charged. To such ac­ N o t e : Advertising expenses of industrial count shall also be charged all reinsurance and immigration bureaus shall be included premiums paid to insurance companies, and in account 356, “Industrial and immigration to it shall be credited all amounts recovered bureaus.” from insurance companies for damage to the § 10.354 Traffic associations. This property reinsured by them. account shall include the cost to the car­ § 10.358 Stationery and printing. rier of participation in traffic associa­ tions. including its proportion of the pay This account shall include the cost of of officers and employees of such asso­ stationery and printing used in connec­ ciations and of their office, stationery tion with securing traffic including the and printing traveling, and other ex­ cost of tariffs governing such traffic. penses. STATIONERY AND PRINTING ITEMS LIST OF TRAFFIC ASSOCIATIONS Adding machines Letter paper. Boards of trade. Arm rests. Manifold paper. Classification bureaus. Binders. Manifold pens. Clergy bureaus. Blank books. Mimeographs. Commercial associations. Blotters. Mucilage. Freight associations. Blotting paper. Mucilage brushes Mileage ticket bureaus. Bristol board. Neostyles. Passenger associations. Calculating Note paper. Tariff bureaus. machines. Notices. Ticket validating agencies. Calendars. Numbering stamps. Carbon paper. Oil paper. § 10.355 Fast freight lines. This ac­ Cardboard. Paper. count shall include the cost to the car­ Cards, blank and Paper baskets. rier of participation in fast freight or printed. Paper clips. dispatch organizations, including its pro­ Circulars. Paper cutters. portion of the pay of officers, soliciting Classifications. Paper fasteners. Computing tables. Paper files. agents, and employees of such organiza­ Copy (impression) Paper weights. tions, and their office, stationery and books. Papyrographs. printing, traveling, and other expenses. Copying brushes. Pencil sharpeners. § 10.356 Industrial and immigration Copying presses. Pencils for writing Crayons. and drawing. bureaus. This account shall include the Cyclostyles. Penholders. cost to the carrier of industrial and im­ Dating stamps and Penracks. migration bureaus, including the pay of ribbons. Pens for writing and industrial and immigration agents, and Dictaphones. drawing. exhibit agents, their clerks and at­ Dictographs. Phonographs a n d tendants and their office, stationery and Division sheets. records. printing, traveling, and other expenses. Duplicators. Pins. Electric pens. Postage. ITEMS OF EXPENSE Envelopes. Punches (not con­ Advertising. Exhibits. Erasers, rubber and ductors’ or bag­ Agricultural trains. Experimental farms. steel. gagemen’s) . Dairy trains. Good roads trains. Eyelet punches. Rate sheets. Donations to exposi­ Premiums to fairs. Rubber bands. Eyelets. Rubber stamps. tions. Premiums to stock File boxes, paper. Donations to fairs. shows. Rulers. Donations to stock Flexotype machines. Ruling pens. shows. Forms, blank and Scrapbooks. printed. Sealing wax. Freight classifica­ Seals. § 10.357 Insurance. This account tions Shears. shall include premiums, except reinsur­ Glass pens. Shipping tags. ance premiums, for insuring the carrier Hectographs. Shorthand note­ against loss through injuries to persons Indexes. books. or damage to or destruction or loss of Ink for writing and Sponge cups. drawing. Sponges. property, whether caused by fire, acci­ Inkstands. Stamps, impression dent, or other cause, when such loss to Invoice books. Stylographs. the carrier would be chargeable to Traf- Legal cap paper.

69 Tablets, blank and Wage tables. LIST OF EMPLOYEES printed. Wastebaskets. Division clerk. Stenographers. Tape. Water colors. Chief clerk. Messengers. Tariffs, printed. Water holders. Clerks. Cooks. Telegraph blanks. Wrapping paper. Special agents. Porters. Tissue (impression) Wringers for copying Detectives. paper. presses. Typewriters and rib­ (c) Office and other expenses. Office bons. expenses and other expenses of officers N o t e A : The cost of dictionaries, period­ and employees whose pay is chargeable icals, technical books, etc., shall be included in the appropriate superintendence accounts. to this account; also the pay and ex­ N o t e B : The cost of stationery and printing penses of employees attending investiga­ used by traffic associations, fast freight lines, tions concerning the cause of or respon­ and industrial and immigration bureaus sibility for accidents, and amounts paid shall be included in the accounts provided for the expenses of such organizations. detective agencies and others for work in connection with such investigations. § 10.359 Other expenses. This ac­ ITEMS OF EXPENSE AND SUPPLIES count shall include all expenses in con­ nection with traffic not properly charge­ Atlases and maps. Power. able to other traffic accounts. Barometers. Provisions for busi­ Books for office use. ness cars. Transportation Business car service. Rent of air-brake in­ Express charges. struction cars. § 10.370 Transportation; rail line. Fees and dues in as­ Rent of offices. The primary accounts included in this sociations. Repairs of rented general account are designed to show Furniture repairs offices. expenses incurred for transporting per­ and renewals. Telegraph service. sons and the property of others, includ­ Heating. Telephone service. ing the expenses of station, train, yard, Lighting. Traveling expenses. Official train service. Water and ice. and terminal service; also the expense Periodicals and news­ of transporting company material in papers. transportation service trains Note A: When officers designated above § 10.371 Superintendence. This ac­ have supervision over more than one depart­ count shall include: ment, their salaries, the pay of their clerks (a) Pay of officers. The pay of officers and attendants, and their office and other directly in charge of or engaged in con­ expenses shall be apportioned equitably ducting transportation. among the departments over which they have Jurisdiction. LIST OF OFFICERS N o t e B : The cost of stationery purchased Vice president. for transportation offices is chargeable to Assistant to the vice president. account 410. “Stationery and printing.” General manager. Assistant general manager. § 10.372 Dispatching trains. This ac­ General superintendent of transportation. count shall include the pay of chief and Superintendent of transportation. other train dispatchers, their clerks, General superintendent. copying operators, and attendants, and Assistant general superintendent. pay of operators on the line whose duties Superintendent. are confined to directing train move­ Division superintendent. ments; also the office, traveling, and Assistant division superintendent. Superintendent of car service. other expenses of such employees. Chief special agent. Note: Pay of operators who also perform Members of examining boards. station work shall be charged to account 373, Superintendent of mail service. “Station employees.” Traveling train and station inspectors. Air-brake instructor. § 10.373 Station employees. This ac­ Superintendent of agencies. count shall include: Superintendent of transfer stations. (a) Agents, clerks, and attendants. Trainmaster. The pay of agents, clerks, and attendants Assistant trainmaster. in charge of, or engaged in, the operation General road foreman of locomotives. Road foreman of locomotives. of stations, stockyards, wharves, and Traveling locomotive engineer. piers located on the carrier’s line: also Traveling locomotive fireman. payments to such station or ticket agents in lieu of salaries. (b) Pay of clerks and attendants. The Special payments to customs inspec­ pay of clerks and others employed in the tors on account of opening and resealing offices and on business cars of officers cars under unusual conditions, and pay­ whose pay is chargeable to this account. ments to produce-exchange inspectors

70 for inspecting, measuring, and weighing Note A: The cost of transferring freight, •grain shall be here included. mail, baggage, and express on account of wrecks shall be included in account 415. LIST OF EMPLOYEES "Clearing wrecks." Accountants. Messengers. N ote B: This account shall not include the Assistant agents. Package and parcel pay of telegraph and telephone operators pro­ Assistant depot mas­ room employees. vided for under accounts 372, "Dispatching ters. Policemen. trains." and 407, "Communication system Assistant station Porters. operation.” or pay of employees provided for masters. Relief agents. under account 375. "Coal and ore wharves." Baggage agents at Station agents. stations. Station foremen. § 10.374 Weighing, inspection, and Baggagemen. Station passenger demurrage bureaus. This account shall Car clerks. agents. include the cost to the carrier of its par­ Cashiers. Station freight ticipation in joint weighing, inspection, Chauffeurs. agents. Clerks. Statlonmasters. demurrage, and car distribution bureaus Collectors. Stockyards superin­ and associations. Customs inspectors. tendents and fore­ Depot masters. men § 10.375 Coal and ore wharves. This Detectives. Telegraph and tele­ account shall include cost of operating Express agents. phone operators. docks, and wharves, piers, and other ma­ Gatemen. Ticket agents. rine, lake, or river landings, and the ma­ Information bureau Ticket collectors. chinery located thereon, used in con­ employees. Ticket examiners. nection with the transportation of coal Janitors. Train callers. and ore. Maids. Ushers. (a) Labor and expenses. The pay and Matrons. Watchmen. the office, traveling, and other expenses (b) Labor at stations. Station and of employees engaged in operating coal other labor expended in handling freight, and ore wharves. mail, baggage, and express at stations, (b) Tools and supplies. The cost of wharves, and piers: in loading, unload­ all tools and supplies used in the opera­ ing, feeding, watering, bedding, shearing, tion of coal and ore wharves. dipping, inspecting, and otherwise car­ ITEMS OF TOOLS AND SUPPLIES ing for stock; in disinfecting stations, Cylinder oil. Lubricating oil. stockyards, and stock pens; in transfer­ Fuel for stationary Picks. ring, picking up, straightening, and re­ boilers. Shovels. loading freight in the ordinary course of Illuminating oil. Slice bars. Lantern parts. Waste. transportation; in miscellaneous station Lanterns. Wicks. work, including (when done by station Note: The cost of switching service in con­ employees) cleaning station grounds, nection with coal and ore wharves shall not station platforms, walks, stockyards, and be included in this account. stock pens, and removing snow and ice therefrom; and in tending switch lamps § 10.376 Station supplies and ex­ not in yards and terminals. penses. This account shall include: Payments to elevator companies (when (a) Heating. The cost of fuel (includ­ not made as division of rate) for trans­ ing cost of unloading), water, steam, and ferring grain en route, and payments to miscellaneous supplies used for heating other companies and individuals for stations, waiting rooms, freight and pas­ loading and unloading commercial senger offices, stockyards and other sta­ tion buildings. freight under contract or otherwise shall (b) Lighting. The cost of fuel, water, be included in this account. gas, oil, electricity, lamp globes, lamp LIST OF EMPLOYEES chimneys, wicks, lamp carbons, incan­ Baggage storeroom Longshoremen. descent lamps, and miscellaneous sup­ employees. Mail carriers. plies used in lighting stations, waiting Car sealers. Mail weighers. rooms, freight and passenger offices, Checkmen. Station cleaners. stockyards, other station buildings, street Coal handlers. Stationary engineers. approaches thereto, and passenger foot­ Coopers. Stationary firemen. Delivery men. Stevedores. bridges and subways at stations. Electricians. Stock-pen laborers. (c) Other expenses. The cost of mis­ Freigh t callers. Stockyard laborers cellaneous station supplies and station Freig h t handlers. Tallymen. expenses, including those for stockyards. Freigh t house fore­ Teamsters. men. Truckmen. ITEMS OF EXPENSE Freig h t loaders. Warehousemen. Cleaning privy vaults. Freigh t unloaders. Weighmasters. Express charges.

71 Furniture repairs and renewals. Punches for bag­ switching service Garage expenses. gagemen and is not maintained. Licenses for ticket agents. gatemen. Tables. Mail transfer by others than employees. Rakes. Tacks. Membership fees and dues in agents' asso­ Reflectors. Tarpaulins (not for ciations. Bolling chairs for in­ cars). Power for station machinery. valids. Thermometers. Rent of automatic weighing and recording Safes. Ticket cases. devices. Sawdust. Tongs. Rent of scales. Saws. Tool boxes. Rent of station buildings (not jointly used) Scoops. Torpedoes. Reports to agents of commercial standing. Scales, portable. Towels. Sprinkling station grounds. Scrubbing brushes. Trucks. Station employees' expenses. Settees. Twine. Supplies used in feeding, watering, bedding, Shovels. Uniforms. shearing, dipping, inspecting, and other­ Sledges. Washbasins. wise caring for livestock. Soap. Waste. Telegraph service. Spades. Water. Telephone service. Sponges. Water barrels. Warehouse charges for storage of freight. Sprinkling cans. Water bowls. Washing towels. Stools. Water cans. Stove blacking. Water coolers. ITEMS OF TOOLS AND SUPPLIES Stoves and stove­ Water palls. Atlases and maps. Floor coverings. pipe. Wheelbarrows. Auto trucks. Gangplanks. Switch lamp sup­ Whisk brooms. Awnings. Gas. plies at points Wicks. Axes. Gasoline. where regular Wrenches. Badges. Hampers. Baggage checks. Hatchets. § 10.377 Yardmasters and yard clerks. Barometers. Hoes. This account shall include the pay of Baskets. Hooks. general yardmaster, yardmaster, assist­ Bicycles. Hose and couplings ant yardmaster, general yard foreman, Blocking. Ice. and yard clerks and attendants in yards Brooms. Ice barrels. where regular switching service is main­ Brushes. Ice boxes. tained and in terminal switching and Buckets. Ice buckets. Bulletin boards. Ice carts. transfer service, including employees en­ Call bells. Ice tongs. gaged in calling yardmen and trainmen; Candles. Keys. also pay of policemen, watchmen, and Car-seal presses. Ladders. detectives in yard service. (See account Car seals. Lamp burners. 389, "Yard supplies and expenses.”) Carpets. Lamp chimneys. Chains. Lamp fittings. § 10.378 Yard conductors and brake­ Chair cushions. Lamp globes. men. This account shall include the pay Chairs. Lamp mantles. of yard conductors or foremen and yard Chalk. brakemen or switchmen handling cars Chamois skins. Lampblack. Lamps (not perma­ in passenger and freight yards where Check boxes. regular switching service is maintained Check racks. nently attached to Checks. buildings). and in terminal switching and transfer Clocks. Lantern fittings. service, including pay while dead-head­ Coal hods. Lantern globes. ing in connection with such service. (See Cold chisels. Lanterns. account 389, "Yard supplies and ex­ Cooperage material Letter boxes. penses.”) Copy-press stands. Mail bags. N o t e : When conductors and brakemen are Counter brushes. Marking brushes. engaged in both train and yard service their Counter scales. Marking pots. pay shall be apportioned between the train Cups. Marline. Curtains. and yard accounts on the basis of service Cuspidors. Matches. rendered. This does not apply to train Desks. Measures. switching service performed by train crews, Dippers. Medical boxes. the entire pay of whom shall be charged to Directories. Medical supplies. account 401, "Trainmen.” Dusters. Mirrors. § 10.379 Yard switch and signal tend­ Electric fans. Money drawers. Electric lamps. Nails for boxing. ers. This account shall include the pay Electric-light sup­ Newspapers. of employees in yards where regular plies. Oil. switching service is maintained, who are Feather dusters. Oil cans. engaged in the operation of yard switches Files, document. Packing material. and signals, including interlockers used Fire buckets. Padlocks. solely or principally for the government Fire grenades. Pails. of all movements of locomotives and Flags. Pinch bars. trains between main and yard tracks,

72 movements of locomotives between yard § 10.383 Yard switching power pro­ tracks and enginehouses, and yard duced. This account shall include the switching movements. (See account 389, cost of the production and distribution “Yard supplies and expenses.”) of electric power used in operating loco­ l i s t o f e m p l o y e e s motives and cars in switching service in yards where regular switching service is Battery men. Lever men. maintained, and in terminal switching Interlocker oilers. Signalmen. Lamp cleaners. Switch oilers. and transfer service. Lamp men. Switch tenders. (a) Employees. The pay of employees Lamplighters. Tower men. engaged in operating electric-power sta­ tions and substations, such as engineers, § 10.380 Yard enginemen. This ac­ firemen, electricians, dynamo men, oilers count shall include the pay of yard en­ cleaners, and coal passers. ginemen while engaged in yards where (b) Fuel. The cost of coal, oil. gas, and regular switching service is maintained other fuel, including the cost of labor and in terminal switching and transfer unloading or stocking fuel. service, including pay of such employees (c) Water. The cost of water used to while deadheading in connection with produce steam or to operate water plants, yard service. For purposes of this ac­ including pumping, rent of ponds, count enginemen shall be understood to streams, and pipe lines; also water tests, include the operators and their assist­ boiler compounds, and other like sup­ ants, regardless of the type of self-pro­ plies and expenses. pelled motive power being operated. (d) Other supplies and expenses. The N o t e : The pay of enginemen on locomo­ cost of lubricants, such as oil and grease tives engaged in more than one class of serv­ used in lubricating engines, shafting, dy­ ice shall be apportioned on the basis of serv­ ice rendered. Pay of enginemen on train namos, and pumps; cost of waste, carbon locomotives while engaged in train switching brushes, fuses, lamps, and other supplies; service shall be included in account 392, also the cost of heating and lighting “Train enginemen.” The pay of enginemen power plants, and other expenses not on locomotives engaged in work service shall be included in the cost of the work to which elsewhere specified in connection with the service pertains. operation of electric-power plants. (See § 10.04-12 Power plant operations.) § 10.382 Yard switching fuel. This Note: The cost of supplies consumed by account shall include the cost, delivered locomotives engaged in more than one class on locomotives or motor cars, of coal, of service shall be apportioned upon the basis coke, oil, wood, and other fuels consumed of service rendered. The entire cost of sup­ in switching service in yards where regu­ plies consumed by train locomotives in train lar switching service is maintained, and switching service shall be included in the ac­ in terminal switching and transfer serv­ counts provided for train service. The sup­ ice, including a suitable proportion of the plies consumed by locomotives in work service pay of fuel agents, fuel inspectors, fuel shall be included in the cost of the work to weighers, and clerks engaged in account­ which the service pertains. ing for fuel at fuel stations; pay of fore­ § 10.384 Yard switching power pur­ men and other fuel-station employees; chased. This account shall include the also a suitable proportion of the cost of cost of electric power purchased for the tools, such as wheelbarrows, shovels, propulsion of engines and cars in switch­ scoops, and picks, used for handling fuel ing service in yards where regular switch­ at such stations and the cost of operating ing service is maintained, and in terminal machinery at fuel stations. switching and transfer service. N o t e A : The cost of repairs and renewals Note: The cost of supplies consumed by of coal chutes, buggies, pockets, air hoists, locomotives engaged in more than one class mechanical hoists, and mechanical conveyors of service shall be apportioned upon the basis at fuel stations shall be charged to account of service rendered. The entire cost of sup­ 233, “Fuel stations.” plies consumed by train locomotives in train N o t e B : The cost of supplies consumed by switching service shall be included in the locomotives and motor cars engaged in more accounts provided for train service. The sup­ than one class of service shall be apportioned plies consumed by locomotives in work serv­ upon the basis of service rendered. The cost ice shall be included in the cost of the work of supplies consumed by train locomotives to which the service pertains. and motor cars in train switching service shall be included in accounts provided for § 10.385 Water for yard locomotives. train service. The cost of supplies consumed This account shall include the cost of by locomotives and motor cars in work serv­ water supplied to locomotives in switch­ ice shall be included in the cost of the work ing service in yards where regular switch­ to which the service pertains. ing service is maintained, and in terminal

73 switching and transfer service, includ­ supplies consumed by locomotives in work ing rent of ponds, lakes, other sources of service shall be included in the cost of the water supply, and right of way for pipe work to which the service pertains. lines; cost of water purchased, expenses § 10.387 Other supplies for yard loco­ of work trains while engaged in hauling motives. This account shall include the water for locomotive supply, and cost of cost of supplies, other than fuel, water, testing water; also cost of labor ex­ and lubricants, used on locomotives in pended and cost of materials and sup­ switching service in yards where regular plies used in the operation of water sta­ switching service is maintained and in tions and purifying plants. terminal switching and transfer service, The cost of operating boilers, engines, including the cost of repairs and renew­ and pumps at water stations; heating als of furniture, tools, and other movable and lighting water stations, breaking ice articles required for use on locomotives in water tanks, thawing out tank spouts in yard service. and water cars, keeping fires in tanks and water cars to prevent freezing, The cost of sand charged to this ac­ shoveling snow into locomotive tanks; count shall include the cost of material also temporary connections between and supplies used in preparing and dry­ water cars and locomotive tenders, com­ ing the sand for use, such as the cost of pounds injected into locomotive boilers to fuel, wheelbarrows, shovels, and sand decrease scale formation, and other ex­ screens. penses directly incident to the supplying ITEMS OF TOOLS AND SUPPLIES of water to such locomotives, shall be Ash hoes. Matches. included in this account. Ash-pan rods. Oil cans. An equitable proportion of the pay and Axes. Oil for headlights. the office, traveling, and other expenses Bars, buggy. Oil for lanterns. of superintendent of water service en­ Bell cords. Oil for signal lamps. gaged in connection with water supply Boxes, portable. Oil for torches. for locomotives shall be included in this Brooms. Oilers. account. Brushes. Packing hooks. Buckets. Packing spoons. ITEMS o r WATER STATION SUPPLIES Carbide for acetylene Picks, coal. gas. Pinch bars. Axes. Hose. Carbons for electric Plugging bars. Boiler compounds. Oil. lights. Pokers. Chemicals. Rubber packing. Chimneys for head­ Sand. Coal. Shovels. lights. Saws. Coal picks. Siphons. Chimneys for signal Scoops. Engine igniter bat­ Slice bars. lamps. Shovels. teries. Stove fixtures. Chisels. Signal lamps. Gasoline. Stoves. Clinker hooks. Sledges. Gasoline drums. Waste. Crowbars. Slice bars. Hand tools. Wrenches. Files. Soap. N o t e : The cost of supplies consumed b y First-aid boxes. Switch chains. locomotives engaged in more than one class Flags. Switch poles. of service shall be apportioned upon the basis Globes for lanterns. Switch ropes. of service rendered. The entire cost of sup­ Grate shakers. Tool boxes, portable. plies consumed by train locomotives in train Hammers. Torches. switching service shall be included in the Handsaws. Torpedoes. accounts provided for train service. The sup­ Hatchets. Waste. plies consumed by locomotives in work serv­ Hose (not air-brake. Water buckets. ice shall be included in the cost of the work air-signal, or Water coolers. to which the service pertains. steam). Wicks for headlights Hose, thaw-out. Wicks for lanterns. § 10.386 Lubricants for yard locomo­ Hose reels. Wicks for signal tives. This account shall include the cost Ice. lamps. of valve, engine, car, and other lubri­ Jacks. Wicks for torches. cating oils, grease, compounds, and waste Jackscrews. Wrecking frogs. used for lubrication of locomotives in Lanterns and parts. Wrenches. switching service in yards where regular Locks for portable switching service is maintained and in boxes. terminal switching and transfer service. N o t e A: Where the quantity of sand used on locomotives engaged in yard service is N o t e : The cost of supplies consumed by relatively small as compared with the quan­ locomotives engaged in more than one class tity used by locomotives engaged in train of service shall be apportioned upon the basis service, the entire cost of such material shall of service rendered. The entire cost of sup­ be included in account 399. “Other supplies plies consumed by train locomotives in train for train locomotives.” Where the quantity switching service shall be included in the used in yard service is relatively large, the accounts provided for train service. The entire cost shall be included in this account.

74 Note B: The cost of other supplies con­ Note B: The pay of mechanics and la­ sumed by locomotives engaged in more than borers engaged in locomotive repair work one class of service shall be apportioned upon in enginehouses shall be charged to the the basis of service rendered. The entire cost appropriate accounts for locomotive repairs. of supplies consumed by train locomotives in train switching service shall be included in § 10.389 Yard supplies and expenses. the accounts provided for train service. The This account shall include the cost of supplies consumed by locomotives in work supplies (except locomotive supplies) service shall be included in the cost of the used in yard service, yard signal and work to which the service pertains. interlocker supplies, and miscellaneous § 10.388 Enginehouse expenses; yard. yard expenses for yards where regular This account shall include the expense switching service is maintained; also of caring for and preparing locomotives office and other expenses of employees for switching service in yards where reg­ whose pay is chargeable to accounts 377, ular switching service is maintained and 378, and 379. in terminal switching and transfer serv­ ice, including a proportion of such ex­ ITEMS OF YARD SUPPLIES penses as are common to train, yard Electric-light car­ Lubricants for ma­ switching, and work service. bons. chinery and Electric-light globes switches. (a) Enginehouse men. The pay of en­ Flags. Semaphore lamps. ginehouse employees engaged in wiping, Fuel for heating. Signal lamps. cleaning, watching, and dispatching loco­ Fuel for power. Stoves. motives; keeping and preparing fires, Illuminating oil. Switch chains. dumping ashes, washing boilers, cleaning Lamp burners. Switch lamps. fire boxes, packing driving boxes and Lamp chimneys. Switch ropes. truck boxes; cleaning smokestacks, air­ Lamp wicks. Waste. brake equipment, and front ends of loco­ Lantern globes. Wrecking frogs. motives; checking locomotive tool equip­ Lantern wicks. Wrecking wedges ment, cleaning ash and cinder pits; op­ Lanterns. erating turntables, drying sand, inspect­ ITEMS OF YARD EXPENSE ing smokestacks and ash pans; calling Electricity purchased for lighting yards and enginemen, and moving locomotives yard buildings around engine yards when operated by Furniture repairs and renewals. Gas purchased for lighting yards and yard hostlers; also a proportion of the pay of buildings. enginehouse foremen and their clerks. Power produced for operating switches and (b) Miscellaneous expenses. The cost signals. of tools, supplies, and sundry expenses Power purchased for operating switches and on account of caring for and preparing signals. locomotives at enginehouses. Rent of telephones. Rent of yard buildings (not jointly used). ITEMS OF MISCELLANEOUS EXPENSES Boiled oil. § 10.390 Operating joint yards and Compounds for cleaning and polishing. terminals—Dr. This account shall in­ Enginehouse cupboards. clude the carrier's proportion of the costs Gas, oil, and electricity for lighting. incurred by others in their operation of Heating enginehouses, including offices. joint yards and terminals, including sig­ Lampblack. nals, interlockers, and other facilities at Lanterns used by enginehouse men. such joint yards and terminals. Lighting enginehouses, including offices. Lubricating oil for enginehouse, ash pit, Note A: The purpose of this account is to transfer table, and turntable machinery. show the amounts accruing against the car­ Lye. rier for its proportion of the cost of operating Packing cools. yards and terminals operated by others, and Paint for front ends of locomotives. in the joint use of which the carrier partici­ Power for operation of turntables and trans­ pates. (See § 10.04-9 Joint facility ac­ fer tables. counts. ) Rent of roundhouse stalls. Note B: No portion of expenses chargeable Shovels. by the operating carrier to accounts 392 to Signal lights on transfer tables and turn­ 403, inclusive, shall be included in this ac­ tables. count. Waste. Water for cinder pits. § 10.391 Operating joint yards and Water for washing boilers terminals—Cr. This account shall in­ Water hose. clude amounts chargeable to others as Wheelbarrows their proportions of the costs incurred by the carrier in the operation of joint Note A: Enginehouse expenses of locomo­ tives in work service shall be included in the yards and terminals, including signals, cost of the work to which the service per­ interlockers, and other facilities at such tains. joint yards and terminals.

75 N o t e A : The purpose of this account is to the propulsion of electric locomotives show the amounts accruing in favor of the and cars in transportation train service. carrier and against others for their propor­ (a) Employees. The pay of employees tions of the cost of operating yards and engaged in operating electric-power sta­ terminals operated by the carrier and in the tions and substations, such as engineers, Joint use of which others participate. (See § 10.04-9 Joint facility accounts.) firemen, electricians, dynamo men, oil­ N o t e B: No portion of expenses chargeable ers, cleaners, and coal passers. by the operating carrier to accounts 392 to (b) Fuel. The cost of coal, oil, gas, 403, inclusive, shall be included in this ac­ and other fuel, including the cost of labor count. unloading or stocking fuel. § 10 392 Train enginemen. This ac­ (c) Water. The cost of water used to produce steam or to operate water plants, count shall include the pay of enginemen including pumping, rent of ponds, while engaged in transportation train streams, and pipe lines; also water tests, service or while deadheading in connec­ boiler compounds, and other like supplies tion therewith and pay of such engine- and expenses. men engaged in piloting trains over (d) Other supplies and expenses. The home lines: also the pay of employees cost of lubricants, such as oil and grease, while regularly engaged in shoveling coal used in lubricating engines, shafting, forward on locomotive tenders. For pur­ dynamos, and pumps; cost of waste, car­ poses of this account enginemen shall be bon brushes, fuses, lamps, and other sup­ understood to include the operators and plies; also cost of heating and lighting their assistants, regardless of the type power plants, and other expenses not of self-propelled motive power being op­ elsewhere specified in connection with erated. operation of electric-power plants. (See Note: The pay of enginemen on locomo­ § 10.04-12 Power plant operations.) tives engaged in more than one class of service shall be apportioned on the basis of N o t e : The entire cost of supplies consumed service rendered. Pay of enginemen on train by train locomotives in train switching serv­ locomotives while engaged in train switching ice shall be included in the accounts pro­ service shall be included in this account. vided for train service The supplies con­ The pay of enginemen on locomotives en­ sumed by locomotives in work servce shall be gaged in work service shall be included in included in the cost of the work to which the the cost of the work to which the service service pertains. pertains. § 10.396 Train power purchased. This § 10.394 Train fuel. This account account shall include the cost of electric shall include the cost, delivered on loco­ power purchased for the propulsion of motives or motor cars, of coal, coke, oil, locomotives and cars in transportation wood, and other fuel for propulsion of train service. trains in transportation-train service, N o t e : The entire cost of supplies con­ sumed by train locomotives in train switch­ including a suitable proportion of the pay ing service shall be included in the accounts of fuel agents, fuel inspectors, fuel weigh­ provided for train service. The supplies con­ ers, and clerks engaged in accounting for sumed by locomotives in work service shall fuel at fuel stations; pay of foremen and be included in the cost of the work to which other fuel station employees; also a suit­ the service pertains. able proportion of the cost of tools, such as wheelbarrows, shovels, scoops, and § 10.397 Water for train locomotives. picks, used for handling fuel at such sta­ This account shall include the cost of tions, and the cost of operating machin­ water supplied to locomotives in trans­ ery at fuel stations. portation train service, including rent of ponds, lakes, other sources of water sup­ N o t e A : The cost of repairs and renewals of coal chutes, buggies, pockets, air hoists, ply, and right of way for pipe lines: cost mechanical hoists, and mechanical conveyors of water purchased, expenses of supply at fuel stations shall be charged to account trains while engaged in hauling water 283, "Fuel stations.” for locomotive supply, and cost of testing Note B: The entire cost of supplies con­ sumed by train locomotives and motor cars water; also cost of labor expended and in train-switching service shall be included cost of material and supplies used in the in the accounts provided for train service. operation of water stations and purify­ The cost of supplies consumed by locomotives ing plants. and motor cars in work service shall be in­ The cost of operating boilers, engines, cluded in the cost of the work to which the and pumps at water stations, heating and service pertains. lighting water stations, breaking ice in § 10.395 Train power produced. This water tanks, thawing out tank spouts account shall include the cost of produc­ and water cars, keeping fires in tanks and ing and distributing electric power for water cars to prevent freezing, shoveling

76 snow into locomotive tanks; also tem­ Carbide for acety­ Oil for torches. porary connections between water cars lene gas. Oilers. and locomotive tenders, compounds in­ Carbons for electric Packing, fiber. jected into locomotive boilers to decrease lights. Packing, rubber. scale formation, and other expenses di­ Chimneys for head­ Packing hooks. lights. Packing spoons. rectly incident to the supplying of water Chimneys for signal Picks, coal. to such locomotives, shall be included in lamps. Pinch bars. this account. Chisels. Plugging bars. An equitable proportion of the pay and Clinker hooks. Pokers. the office, traveling, and other expenses Crowbars. Sand. of superintendent of water service, en­ Files. Saws. gaged in connection with water supply First-aid boxes. Scoops. for locomotives, shall be included in this Flags. Shovels. Globes for lanterns. Signal lamps. account. Grate shakers. Sledges. ITEMS or WATER STATION SUPPLIES Hammers. Slice bars. Soap. Axes. Hose. Handsaws. Switch chains. Boiler compounds. Oil. Ratchets. Switch poles. Chemicals. Rubber packing. Hose (not air-brake, Switch ropes. Coal. Shovels. air-signal, or Tool boxes, portable. Coal picks. Siphons. steam). Torches. Engine igniter bat­ Slice bars. Hose, thaw-out. Torpedoes. teries. Stove fixtures. Hose reels. Waste. Gasoline. Stoves. Ice. Water buckets. Gasoline drums. Waste. Jacks. Water coolers. Hand tools. Wrenches. Jackscrews. Lanterns and parts. Wicks for headlights. Note: The entire cost of supplies consumed Locks for portable Wicks for lanterns. by train locomotives in train switching serv­ boxes Wicks for s ig n a l ice shall be included in the accounts pro­ Matches. lamps. vided for train service. The supplies con­ Oil cans. Wicks for torches. sumed by locomotives in work service shall Oil for headlights Wrecking frogs. be included in the cost of the work to which Oil for lanterns. Wrenches. the service pertains. Oil for signal lamps § 10.398 Lubricants for train locomo­ Note A: Where the quantity of sand used tives. This account shall include the on locomotives engaged in train service is cost of valve, engine, car, and other relatively small as compared with the quan­ lubricating oils, grease, compounds, and tity used by locomotives engaged in yard waste used for lubrication of locomotives service, the entire cost of such material shall in transportation train service. be included in account 387, “Other supplies for yard locomotives.” Where the quantity N o t e : The entire cost of supplies con­ used in train service is relatively large, the sumed by train locomotives in train switch­ entire cost shall be included in this account. ing service shall be included in the accounts Note B: The entire cost of supplies con­ provided for train service. The supplies sumed by train locomotives in train switch­ consumed by locomotives in work service ing service shall be included in the accounts shall be included in the cost of the work to provided for train service. The supplies con­ which the service pertains. sumed by locomotives in work service shall § 10.399 Other supplies for train loco­ be included in the cost of the work to which motives This account shall include the the service pertains. cost of supplies other than fuel, water, § 10.400 Enginehouse expenses; train. and lubricants, including the cost of re­ This account shall include the expense pairs and renewals of furniture, tools, of caring for and preparing locomotives and other movable articles required for for transportation train service, includ­ use on locomotives in transportation ing a proportion of such expenses as are train service. common to train, yard switching, and The cost of sand charged to this ac­ work service. count shall include the cost of material (a) Enginehouse men. The pay of en­ and supplies used in preparing and dry­ ginehouse employees engaged in wiping, ing the sand for use. such as the cost of cleaning, watching, and dispatching loco­ fuel, wheelbarrows, shovels, and sand motives; preparing and keeping fires, screens. dumping ashes, washing boilers, clean­ ITEMS OF TOOLS AND SUPPLIES ing fire boxes, packing driving boxes and Ash hoes. Boxes, portable. truck boxes; cleaning smokestacks, air­ Ash-pan rods. Brooms. brake equipment, and front ends of loco­ Axes. Brushes. motives; checking locomotive tool equip­ Bars, buggy. Buckets. ment, cleaning ash and cinder pits; op­ Bell cords. erating turntables, drying sand, inspect-

436489 O - 57 -6 77 ing smokestacks and ash pans; and mov­ ITEMS OF SERVICE AND SUPPLIES ing locomotives around engine yards Brooms. Hose and fixtures. when operated by hostlers; also a pro­ Brushes. Labor of employees. portion of the pay of enginehouse fore­ Cleaning compounds. Polishing com­ men and their clerks. Compressed air. pounds. (b) Miscellaneous expenses. The cost Disinfectants. Soap. Disinfecting Sponges. of tools and supplies and sundry expenses machines. Water. on account of caring for and preparing Fuel for heating locomotives at enginehouses. water. ITEMS OF MISCELLANEOUS EXPENSES (b) Heating cars. The cost of heating Boiled oil. cars in transportation train service, in­ Compounds for cleaning and polishing. Gas, oil, and electricity for lighting. cluding cost of operating steam-heating Heating enginehouses, including offices. plants for car heating at stations and Lampblack. yards. Credits shall be made to this ac­ Lanterns used by enginehouse men. count for charges for heater service Lighting enginehouses, including offices. collected from other companies and Lubricating oil. Lye. individuals. Packing tools. item s of service and su p pl ie s Paint for front ends of locomotives. Power for operation of turntables and trans­ Connections between steam heating lines and fer tables. cars. Rent of roundhouse stalls. Fuel. Shovels. Labor of employees. Signal lights on transfer tables and turn­ Removal of ashes from car stoves. tables. Stoves temporarily in freight cars. Waste. (c) Lighting cars. The cost of lighting Water for cinder pits. cars in transportation train service, in Water for washing boilers. Water hose. cluding the cost of filling and cleaning Wheelbarrows. lamps and of operating plants for supply­ ing gas or electricity for lighting pur­ N o t e A: Enginehouse expenses of locomo­ tives in work service shall be included in the poses. cost of the work to which the service pertains. ITEMS OF SERVICE AND SUPPLIES N o t e B : The pay of mechanics and labor­ ers engaged in locomotive repair work in Battery renewals. Incandescent lamp enginehouses shall be charged to the appro­ Candles. bulbs. priate accounts for locomotive repairs. C h im n e y s . Labor of employees. Electricity. Lamp carbons. § 10.401 Trainmen. This account Gas. Oil. shall include the pay of conductors; of Gas mantles. Shades. train auditors, ticket collectors, and oth­ Globes. Wicks. ers engaged in lifting or examining au­ Hose and connec­ thorities for transportation; and of bag­ tions. gagemen, brakemen, flagmen, train por­ N o t e : Repairs of gas lighting and electric ters, train guards, train stenographers, lighting plants shall be included in the proper maids, and other train employees while maintenance accounts. Repairs and renewals engaged in transportation train service of electric lighting equipment of cars, ex­ or while deadheading in connection cept supplies as above provided, shall be in­ therewith; also the pay of trainmen while cluded in the appropriate car-repair account. engaged in piloting trains over home (d) Lubricating cars. The cost of lu­ lines. bricating cars in transportation train N o t e : The pay of trainm en while engaged service, including cost of inspecting, re­ in w ork-train service shall be included in the packing, and oiling car journal boxes and cost of the work to which the service pertains air-brake equipment. § 10.402 Train supplies and expenses. ITEMS OF SERVICE AND SUPPLIES This account shall include miscellaneous Cotton waste. Packing buckets. expenses of transportation service trains Grease buckets. Packing hooks. and the cost of all supplies other than Labor of employees. Packing Irons. locomotive supplies. Oil cans. Packing, miscellane­ Oil, grease, and other ous. (a) Cleaning cars. The cost of clean­ Wool waste. ing and disinfecting passenger and lubricants. freight cars in transportation train serv­ (e) Icing and watering cars. The cost ice. including cost of removing from of icing and watering cars in transporta­ freight-train cars such refuse material as tion train service, including icing cars sawdust, hay, and straw. for refrigeration purposes. Credits shall

78 be made to this account for refrigeration Boarding and slatting box and stock cars for charges collected from other companies carrying coal, coke, and other freight. Boards for flooring fruit cars. and individuals. Chains for securing loads. ITEMS or SERVICE AND SUPPLIES Cleaning, trimming, and filling trainmen’s Buckets. Labor of employees. lanterns and rear signal lamps. Hose and fixtures. Ladders. Coupling and uncoupling cars at terminals. Ice. Salt. Disinfecting cars. Ice tools. Water. Dunnage used in loading cars or fitting cars for freight shipments. (f) Detouring trains. The compensa­ Peed for live stock in snow-bound or other­ tion for temporary use of tracks of other wise delayed trains. carriers, including the cost of pilot serv­ Flowers and plants for cars. Laundry for revenue service cars other than ice, on account of wrecks, washouts, for dining and buffet service and sleeping landslides, snow blockades, and other car service defects of the tracks, bridges, or tunnels Occasional turning of engines on V of other on the carrier’s line. carriers. (g) Train supplies. The cost of sup­ Oil and other supplies for locomotives hauled plies furnished for use on cars in trans­ as freight. portation train service. Periodicals for use of passengers on trains. Planking cars for billet shipments and other ITEMS or TRAIN SUPPLIES material. Axes. Matches. Provisions, supplies, or board for passengers Badges. Medical boxes. in delayed trains. Beds. Oil for lanterns. Removing advertisements from cars. Bell cords. Order hoops. Rent of fare registers in cars. Boxes for trainmen. Padlocks. Safety chains for use between twin and triple Brooms. Palls. cars. Brushes. Punches. Supplies for parlor and chair cars. Chains. Sawdust. Supplies furnished cars for the purpose of Chairs for cabooses Saws. protection against accidents and fires. (not permanently Scoops. Temporary grain doors. attached). Shovels. Temporary lining of cars for freight ship­ Cold chisels. Signal boxes. ments and stoves and heaters to prevent Combs. Signal lamps (rear) freezing Conductors’ punches Sledges. Temporary openings in cars for freight ship­ Cuspidors. Soap. ments Drinking cups and Switch chains. Temporary racking of cars for handling glasses. Switch ropes. sugarcane, corn, bark, or cordwood. Fire buckets. Toilet paper. Transferring passengers, express matter, bag­ Flags. Torpedoes. gage, mail, and freight on account of de­ Fuses. Towels. fective tracks, bridges, or tunnels. Hammers. Train tool boxes. No t e : The expenses of operating sleeping, Hatchets. Uniform trimmings. dining, and buffet car features of train serv­ Jacks. Uniforms. ice shall be included in account 403, “Op­ Lamp boards. Ventilator sticks. erating sleeping cars,” or in account 441, Lamp sticks. Waste. “Dining and buffet service,” as may be appro­ Lantern globes. Water buckets. priate. Lantern parts. Wrecking frogs. Lanterns. Wrenches. § 10 403 Operating sleeping cars. (a) (h) Other expenses. The cost of mis­ This account shall include the cost of op­ cellaneous supplies required to equip erating sleeping car service on trains. trains for transportation service and (1) Superintendence. The pay of offi­ miscellaneous expenses incident to oper­ cers directly in charge of operating sleep­ ation of such trains. ing car service; the pay of their clerks and office attendants; also the office, ITEMS OF EXPENSE ON ACCOUNT OF EMPLOYEES traveling, and other expenses of such Apparatus for testing the sight and hearing officers and employees. of enginemen and trainmen. (2) Station employees. The pay and Employees' reading and bunk room expense, expenses of local agents, ticket agents, including pay of attendants and supplies cashiers, clerks, and attendants; also the furnished. Laundry work. office and other expenses of such em­ Physicians’ fees for examination of train ployees. employees. (3) Station expenses. The expenses Wages paid to superintendents and secre­ of fuel, water, steam, and supplies used taries of reading rooms. in heating station offices; gas, oil, elec­ ITEMS OF EXPENSE ON ACCOUNT OF tric current, and other supplies for light­ TRANSPORTATION ing; repairs and renewals of station Bedding for stock cars. furniture, and all other station expenses

79 connected with sleeping car service when cleaners, and lamplighters; gatemen at separable from the station expenses crossings of other railroads, engineers chargeable to account 376, “Station sup­ and others operating plants furnishing plies and expenses.” compressed air for signals and inter­ (4) Conductors. The pay of conduc­ lockers; engineers, electricians, and tors employed on sleeping cars. others operating plants furnishing elec­ (5) Porters and maids. The pay of tric power for signals and interlockers. porters and maids employed on sleeping (b) Supplies. The cost of supplies cars. used in operating signals and inter­ (6) Car supplies. The cost of miscel­ lockers or in signal offices, such as gaso­ laneous supplies used on sleeping cars, line, vitriol, battery zincs, battery cop­ such as combs, brushes, brooms, and pers, lubricating oils, fuel for heating, toilet paper; also uniforms, caps, and fuel for power purposes, produced and service stripes for employees. purchased power used in operating (7) Laundry. Expenses for laundry switches and signals, furniture repairs work, such as laundering sheets, pillow­ and renewals, water, and light. cases, towels, blankets, etc. Note: The cost of operating signals and (8) Other expenses. The cost of flow­ interlockers solely or principally used for ers and plants, heating cars, cleaning governing the movement of yard locomotives the interior of cars, and of supplies used and trains shall be included in the appro­ in interior cleaning, rent and cost of priate yard expense accounts. supplies for rooms furnished for sleeping § 10.405 Crossing protection. This car service employees, and such other account shall include the pay of street expenses in connection with the opera­ and highway crossing gatekeepers and tion of sleeping cars as are not provided flagmen, the cost of supplies used by for elsewhere. them, the cost of lights at street and (b) This account shall be charged with the deficits assumed by the carrier highway crossings not a part of the under a uniform service contract with lighting outfit at stations or in yards, The Pullman Company, and shall be and the cost of compressed air for oper­ credited with the carrier’s proportion of ating gates. profits realized under that contract. It § 10.406 Drawbridge operation. This is intended that such charges and credits account shall include the cost of operat­ to this account shall include the entire ing drawbridges. settlement made by the lessee, except (a) Labor. The wages of employees allowances for interest rental and de­ engaged in operating drawbridges, such preciation, and that the results of inci­ as bridge engineers, tenders, and watch­ dental operation of cars other than men. sleeping cars will not be excluded from (b) Supplies. The cost of produced the settlements to be recorded herein. and purchased power and of supplies, such as fuel, oil, lantern, water, waste, Note: When officers have immediate su­ pervision over sleeping car service and other boats, stoves, chairs, brooms, and pails operations their pay, office, and other ex­ used in drawbridge operation. penses, as also the pay, office, and other § 10.407 Communication system op­ expenses of their assistants, clerks, and office attendants, shall be equitably appor­ eration. This account shall include the tioned to the accounts appropriate to the cost of operating communication sys­ operations over which they have supervision. tems not provided for elsewhere. § 10.404 Signal and interlocker opera­ TELEGRAPH tion. This account shall include the cost Superintendence. The pay of superintend­ of operating signals and interlockers ents, censors, their clerks, and attendants. Operators and messengers. The pay of other than those solely or principally operators, block inspectors, and messengers used for governing all movements of in telegraph and relay offices other than locomotives and trains between main those employed in dispatching trains and and yard tracks, movements of locomo­ those located in general offices or at stations. tives between yard tracks and engine- Other expenses. Office, traveling, and inci­ houses, and yard switching movements. dental expenses, including office rent, of em­ (a) Labor. The wages of employees ployees whose pay is chargeable to this engaged in operating signals and inter­ account; rent of telegraph conduits, lines, and poles; cost of battery renewals and sup­ lockers or power producing plants in plies, bicycles for messengers, and electric connection therewith, such as switch current for telegraph purposes; also excess tenders, signalmen other than telegraph payments to telegraph companies when in operators, lever men, switch and signal connection with telegraph service and not oilers, battery men, lamp men, lamp provided for elsewhere.

80 Note A: The pay, rent, other office ex­ (b) Wages of crews. The pay of cap­ penses, and traveling expenses of officers, tains, pilots, chief officers, mates, sailors, their clerks and attendants, who supervise wireless telegraph operators, and other or are engaged both in maintenance and employees of the deck department; en­ operation, shall be apportioned equally be­ gineers, assistant engineers, electricians, tween this account and account 247, “Com­ munication systems." oilers, firemen, coal passers, and all other employees of the engineer’s department; TELEPHONE and pursers, porters, and all other Superintendence. The pay of superin­ employees in the steward’s department, tendents, their clerks, and attendants. except when engaged in dining and buffet Operators and messengers. The pay of service. operators and mesengers in telephone offices (c) Fuel. The cost, on board boats other than those employed in dispatching trains and those located in general offices or (including the cost of trimming) of coal, at stations. oil, wood, and other fuel used for gen­ Other expenses. Office, traveling, and in­ erating power, heat, or light. cidental expenses, including office rent, of (d) Lubrication. The cost of oil, employees whose pay is chargeable to this grease, tallow, graphite, and other mate­ account; rent of telephone conduits, lines, rial furnished for lubricating purposes. and poles; cost of battery renewals and sup­ (e) Other supplies and departmental plies, bicycles for messengers, and electric current for telephone purposes; also excess expenses. The cost of supplies furnished payments to telephone companies when in to deck department; the incidental ex­ connection with telephone service and not penses of deck department employees; provided for elsewhere. supplies other than fuel and lubricants, N ote B: The pay, rent, other office ex­ furnished the engineer’s department; penses, and traveling expenses of officers, water furnished to boats; incidental ex­ their clerks and attendants, who supervise or penses of engineer’s department em­ are engaged both in maintenance and opera­ tion, shall be apportioned equally between ployees; supplies (other than dining and this account and account 247, “Communica­ buffet supplies) furnished to the tion systems.” steward’s department; laundry for boats; and incidental expenses of steward’s de­ RADIO, RADAR, AND INDUCTIVE TRAIN COMMUNICATION partment employees. Superintendence. The pay of superin­ ITEMS OF SUPPLIES tendents or others who supervise operation, Axes. Mops. and their clerks or attendants. Brooms. Oil. Operators. The pay of operators other Brushes. Pails. than those employed in dispatching trains Commissarial sup­ Planks. and those located in general offices or at plies. Provisions. stations. Flags. Ropes. Other expenses. Office, traveling, and inci­ Gas. Shovels. dental expenses, including office rent, of em­ Globes. Soap. ployees whose pay is chargeable to this ac­ Grease. Tallow. count; rent of space or facilities occupied Handspikes. Tools, miscellaneous. by radio, radar, or inductive train equip­ Hatchets. Trucks. ment; cost of battery and tube renewals; Hose. Waste. cost of electric current purchased and all Ice. Water. other costs incurred for operation and not Lamps. Wicks. provided for elsewhere. Laundry. Wrenches. N ote C: The pay, rent, other office ex­ Lines. penses, and traveling expenses of officers, their clerks and attendants, who supervise, (f) Other expenses. Expenses inci­ or are engaged both in maintenance and dent to the operation of floating equip­ operation shall be apportioned equally be­ ment not otherwise provided for in this tween this account and account 247, “Com­ account. munication systems.” ITEMS OF EXPENSE Customhouse fees. § 10.408 Operating floating equip­ License fees. ment. This account shall include the Pumping out boats laid up. cost of operating floating equipment in Raising sunken boats. water transfer (ferriage, lighterage, and Transferring passengers in case of accidents. floatage). Wharfage. (a) Superintendence. The pay of (g) Elevation and longshore labor. vice presidents and other officers directly The cost of shore labor in connection in charge of or engaged in the operation with loading and unloading lighterage of boats; the pay of their assistants, freight at wharves and piers, such as clerks, and attendants; also the office, labor of bridgemen at transfer bridges traveling, and other expenses of such and of watchmen, longshoremen, steve­ officers and their employees. dores, and other wharf men.

81 (h) Elevation and shore expenses. Dating stamps and Penracks. Shore expenses in connection with load­ ribbons. Pens for writing and Delivery tickets. drawing. ing and unloading lighterage freight, Dictaphones. Phonographs a n d such as the cost of steam and electricity Dictographs. records. for power, heating, and lighting; power Drawing paper. Pins. and supplies used for transfer or float Duplicators. Postage. bridges; supplies used in connection with Electric pens. Punches, (not con­ operating wharves and piers and not Envelopes. ductors’ or bag­ chargeable to account 376, “Station sup­ Erasers, rubber and gagemen’s) . plies and expenses.” steel. Rubber bands. Eyelet punches. Rubber stamps. ITEMS OF SUPPLIES Eyelets. Rulers. File boxes, paper. Brooms. Oil cans. Ruling pens. Carbons. Pails. Forms, blank and Scrapbooks. printed. Sealing wax. Chalk. Pinch bars. Fuel tickets. Coal hods. Ropes. Seals. Glass pens. Shears. Coal shovels. Salt. Hectographs. Cold chisels. Scoops. Shipping orders. Indexes. Shipping tags. Crowbars. Shovels. Ink for writing and Gas. Soap. Shorthand note­ drawing. books. Hammers. Tacks. Inkstands. Sponge cups. Hatchets. Tallow. Invoice books. Ice. Sponges. Torches. Legal cap paper. Stamps, impression. Ice tongs. Towels. Letter paper. Stylographs. Incandescent lights. Twine. Manifold paper. Tablets, blank and Lamps, reflector. Waste. Manifold pens. printed. Lanterns. Water. Mileage books. Tape. Marline. Water coolers. Mimeographs. Telegraph blanks. Matches. Wheelbarrows. Mucilage. Ticket stamps. Oil. Mucilage brushes. Tickets. N o t e A : When the compensation for the Neostyles. Time - tables (em­ use of floating equipment used in water Note paper. ployees). transfer service includes rent, maintenance, Notices. Tissue (impression) and operation, the portion covering rent shall Numbering stamps paper. be charged to income account 539, “Rent tor Oil paper. Tracing cloth. floating equipment,” the portion covering Paper. Tracing paper. maintenance shall be charged to the appro­ Paper baskets. Twine. priate account for maintenance of equip­ Paper clips. Typewriters and rib­ ment, and the portion covering operation Paper cutters. bons. shall be included in this account. Paper fasteners. Wage tables. Paper fil es. N o t e B : This account shall not include the Wastebaskets. pay of station employees or labor engaged Paper weights. Water colors. in handling freight at stations, wharves, and Papyrographs. Water holders. piers provided for under account 373, “Sta­ Parchment paper. Waybills. tion employees,” or the pay of employees or Pencil sharpeners. Wrapping paper. labor provided for under account 375, “Coal Pencils for writing Wringers for copying and drawing. presses. and ore wharves.” Penholders. § 10.410 Stationery and printing N o t e : The cost o f dictionaries, periodicals, This account shall include the cost of technical books, etc., shall be included in stationery and printing used in connec­ appropriate superintendence accounts, and tion with rail line transportation, includ­ city directories and books of reference used by station agents shall be charged to account ing operation of floating equipment. 376, “Station supplies and expenses.” STATIONERY AND PRINTING ITEMS § 10.411 Other expenses. This ac­ Adding machines. Calendars. count shall include all expenses in con­ Addressographs and Carbon paper. supplies. Cardboard. nection with rail line transportation not Arm rests. Cards, blank and properly chargeable to other transporta­ Baggage checks, printed. tion accounts. printed. Circulars. ITEMS OF EXPENSE Baggage scrip. Computing tables. Baggage storage Conductor s’ hat Amounts paid for switching empty cars checks. checks. otherwise than in connection with loaded Bills of lading. Copy (impression) movements or with the repairs to the Binders. books. e q u i p m e n t Blank books. Copying brushes. Amounts paid on account of bills of lading Blotters. Copying presses. issued on fraudulent receipts. Blotting paper. Crayons. A m o u n t s paid to suspended transportation Bristol board. Cross-section books. departm ent employees covering periods of Calculating Cross-section paper. suspension. machines. Cyclostyles. Compensation for property loss incident to 82 failure to stop at station to pick up pas­ property, whether caused by fire, acci­ sengers. dent, or other cause, when such loss to Demurrage accruing on a foreign line by rea­ son of error of carrier’s agent. the carrier would be chargeable to rail Extra drayage due to agent’s error in routing line transportation; also premiums on interline shipment. fidelity bonds of employees whose pay is Pees paid arbitrators in wage disputes of chargeable to rail line transportation. transportation department employees. (See § 10.04-18 Insurance.) Loss of station funds by burglary, when not Note: The premiums paid by the carrier to covered by insurance. Loss of train collections in holdup. its insurance fund shall be credited to an Overcharges paid foreign lines on account of insurance reserve account, to which account error of the carrier’s agent in routing and shall be charged the amount of all claims for billing. injuries to persons and damages to the prop­ Pay and expenses of transportation depart­ erty covered by its insurance. To such ac­ ment employees attending conferences with count shall also be charged all reinsurance officers in connection with wage disputes. premiums paid to insurance companies, and Payments for switching on account of cars to it shall be credited all amounts recovered not passing inspection at junction points. from insurance companies for damage to Penalties imposed under reciprocal demur­ property reinsured by them. rage laws for failure to furnish cars. § 10.415 Clearing wrecks. This ac­ “Penalty switching” payments on account of count shall include the cost of clearing improper delivery of cars to other carriers. wrecks other than wrecks of work trains. § 10.412 Operating joint tracks and (a) Labor. The wages of employees facilities—Dr. This account shall include while engaged in connection with wreck­ the carrier’s proportion of the transpor­ ing service, loading, and transferring contents of wrecked cars, building tem­ tation expenses incurred by others in the porary tracks around wrecks, and re­ operation of joint tracks, interlockers, moving such tracks. and other facilities which are not pro­ (b) Train service. The cost of train vided for in account 390, “Operating joint service in connection with replacing yards and terminals—Dr.” wrecked equipment upon the tracks and N o t e A : The purpose of this account is to transporting such equipment to shops for show the amount accruing against the car­ repairs, including amounts paid to other rier for its proportion of the cost of oper­ companies for service of locomotives, ating tracks and facilities (other than at joint derricks, and other equipment and for yards and terminals) operated by others and wages of crews in wrecking service. in the Joint use of which the carrier partici­ (c) Other supplies and expenses. pates. (See § 10.04-9 Joint facility accounts.) Payments for reloading or transferring Note B: No portion of expenses chargeable by the operating carrier to accounts 392 to freight, express, baggage, and mail; 403, inclusive, shall be included in this ac­ transferring passengers and cost of pro­ count. visions or board for men clearing up or watching at wrecks. § 10.413 Operating joint tracks and facilities—Cr. This account shall include Note A: Expenses of clearing wrecks of amounts chargeable to others as their work trains shall be included in the cost of the work in connection with which the proportions of transportation expenses wrecked train was engaged. incurred by the carrier in the operation Note B: The cost of restoring roadbed and of joint tracks, interlockers, and other tracks to original condition after wrecks and facilities which are not provided for in the cost of repairing equipment damaged or account 391, “Operating joint yards and destroyed by wrecks shall be charged to the terminals—Cr.” appropriate accounts for maintenance of way and structures and maintenance of equip­ N o t e A : The purpose of this account is to ment. show the amounts accruing in favor of the Note C: That proportion of payments to carrier and against others for their propor­ other companies for use of locomotives, der­ tions of the cost of operating tracks and ricks, and other equipment in wrecking serv­ facilities (other than at Joint yards and ter­ ice which represents rent shall be included in minals) operated by the carrier and in the the income accounts. joint use of which others participate. (See § 10.04-9 Joint facility accounts.) § 10.416 Damage to property. This N o t e B : N o portion of expenses chargeable account shall include payments and ex­ by the operating carrier to accounts 392 to penses on account of damages to the 403, inclusive, shall be included in this ac­ property of others, whether by fire, col­ count. lision, flood, or other cause, with the ex­ § 10.414 Insurance. This account shall ception of payments and expenses on ac­ include premiums, except reinsurance count of damage to property intrusted to premiums, for insuring the carrier the carrier for transportation, and for against loss through injuries to persons damage to stock on right of way. It shall or damage to or destruction or loss of include also fines or compensation paid

83 for interference with the business of pate items which would not appreciably others, as by detention of vessels at draw­ affect the account. bridges. or by blocking streets. Note A Expenses incident to suits grow­ This account shall include also the ing out of livestock claims, not otherwise pay, office rent, and office, traveling, and provided for, shall be included in account other expenses of employees and others 454, “Law expenses." engaged as claim adjusters or as wit­ Note B: The pay, office rent, and traveling, nesses in lawsuits in connection with office, and other expenses of claim adjusters, damage to property cases, or engaged in claim clerks, and others engaged in claim matters when not accurately assignable to a detection of thieves; notarial fees paid distinct class of claims, shall be apportioned in connection with such cases; and pay­ equally among the several classes of claims ments for or repairs of damage to equip­ over which they have jurisdiction or in con­ ment of other carriers, or to property nection with which they are engaged. This contained therein, such carriers having provision does not apply to the pay and ex­ trackage rights upon or grade crossings penses of general officers or general office over the carrier's tracks. employees whose pay is includible in general This account shall also include account 450, “General.” amounts estimated to be sufficient to § 10.418 Loss and damage; freight. meet the probable liability of the carrier This account shall include payments and for unaudited expenses applicable there­ expenses on account of loss, destruction, to, except that it is not required to antici­ damage, or delays to revenue freight pate items which would not appreciably shipments, including locomotives and affect the account. cars transported as freight, express mat­ Note A: Damage to livestock on right of ter, milk shipments, and livestock, and way, and damage to freight and baggage in­ expenses incurred on account of such trusted for transportation, are provided for payments; also expenses on account of under accounts 417, “Damage to livestock loss, destruction, or damage to ship­ on right of way’’; 418, "Loss and damage— ments of company material. Freight": and 419, “Loss and damage—Bag­ This account shall also include the cost gage.” Note B: Expenses incident to suits growing of repacking and boxing damaged freight out of damage to property claims, not other­ shipments; notarial fees in connection wise provided for. shall be included in ac­ with freight claims; freight charges paid count 454, "Law expenses." other carriers on lost, destroyed, or dam­ Note C: The pay. office rent, and the travel­ aged shipments; pay. traveling, office, ing, office, and other expenses of claim ad­ and other expenses of employees or oth­ justers, claim clerks, and others engaged in ers engaged as freight-claim adjusters, claim matters when not accurately assignable to a distinct class of claims, shall be appor­ as witnesses in lawsuits in connection tioned equally among the several classes of with freight-claim cases, in selling dam­ claims over which they have jurisdiction or in aged and unclaimed shipments, or in de­ connection with which they are engaged. tecting thieves; rent of warehouses used This provision does not apply to the pay and for storage of damaged and astray expenses of general officers or general office freight shipments, payments for stor­ employees whose pay is includible in general age of such shipments in public ware­ account 450, "General.” houses, and interest and penalties as­ § 10.417 Damage to livestock on right sessed for nonpayment of freight claims. of way. This account shall include Amounts received from the sale of as­ payments on account of cattle and other tray and damaged freight shall be cred­ livestock killed or injured while crossing ited to this account. or trespassing on the right of way, in­ This account shall also include cluding cost of removing and burying the amounts estimated to be sufficient to same. meet the probable liability of the car­ There shall be included in this account rier for unaudited expenses applicable also the pay and the traveling, office, and thereto, except that it is not required to other expenses of employees and others anticipate items which would not appre­ engaged as livestock claim adjusters or ciably affect the account. engaged as witnesses in law-suits in Note A: Expenses incident to suits grow­ connection with damage to livestock on ing out of loss and damage (freight) claims, right of way; also notarial fees in con­ not otherwise provided for. shall be included nection with claims for damage to live­ in account 454, “Law expenses." stock on right of way. Note B: The pay. office rent, and travel­ ing, office, and other expenses of claim ad­ This account shall also include justers. claim clerks, and others engaged in amounts estimated to be sufficient to claim matters when not accurately assignable meet the probable liability of the carrier to a distinct class of claims shall be appor­ for unaudited expenses applicable there­ tioned equally among the several classes of to, except that it is not required to antici­ claims over which they have jurisdiction or

84 in connection with which they are engaged. service, including damages for ejectment This provision does not apply to the pay and of passengers. expenses of general officers or general office Services of employees and others called employees whose pay is includible in general in consultation in relation to claim ad­ account 450, “General.” justments; pay and expenses of em­ § 10.419 Loss and damage; baggage. ployees while engaged as witnesses at in­ This account shall include payments for quests and lawsuits, and a suitable pro­ loss, destruction, damage, or delays to portion of donations made to hospitals, baggage and other personal property shall be included in this account. carried as baggage, and damage to per­ This account shall also include sonal apparel; also expenses on account amounts estimated to be sufficient to of such loss or damage. meet the probable liability of the carrier This account shall also include the cost for unaudited expenses applicable there­ of repacking and boxing damaged bag­ to, except that it is not required to an­ gage; notarial fees in connection with ticipate items which would not appreci­ baggage claims; baggage claim payments ably affect the account. made to other carriers on lost, destroyed, damaged, or delayed shipments; pay, ITEMS OF EXPENSE traveling, office, and other expenses of Artificial limbs. employees or others engaged as baggage Carriage fees. claim adjusters, as witnesses in lawsuits Claim adjusters’ and clerks’ services. in connection with baggage claim cases, Claim adjusters’ office expenses. Compensation for injuries or death. in selling damaged and unclaimed bag­ Final judgments, including plaintiffs’ court gage, or in detecting thieves; rent of costs. warehouses used exclusively for storage Funeral expenses. of damaged and unclaimed baggage, pay­ Hospital attendance. ments for storage of such shipments in Medical and surgical services. public warehouses, and interest and pen­ Medical and surgical supplies. alties assessed for nonpayment of Notarial fees. claims. Nursing. Railway transportation. Amounts received from the sale of Undertakers’ services. astray and damaged baggage shall be Undertakers’ supplies. credited to this account. Witnesses’ fees and expenses at inquests and This account shall also include lawsuits. amounts estimated to be sufficient to N o t e A : Expenses incident to personal in­ meet the probable liability of the carrier jury suits, not otherwise provided for, shall for unaudited expenses applicable there­ be included in account 454, “Law expenses." to, except that it is not required to an­ N o t e B : Amounts donated by a carrier to ticipate items which would not appreci­ hospitals shall be distributed, 25 percent to ably affect the account. account 274, “ Injuries to persons”: 25 percent to account 332, “Injuries to persons”: and 50 N o t e A : Expenses incident to suits grow­ percent to account 420, “Injuries to persons.” ing out of loss and damage (baggage) claims, N o t e C: The pay. office rent, and traveling, not otherwise provided for, shall be included office, and other expenses of claim adjusters, in account 454, “Law expenses.” claim clerks, and others engaged in claim N o t e B : T h e pay, office rent, and traveling, matters when not accurately assignable to a office, and other expenses of claim adjusters, distinct class of claims, shall be apportioned claim clerks, and others engaged in claim equally among the several classes of claims matters when not accurately assignable to a over which they have Jurisdiction or in con­ distinct class of claims, shall be apportioned nection with which they are engaged. This equally among the several classes of claims provision does not apply to the pay and ex­ over which they have jurisdiction or in con­ penses of general officers or general office nection with which they are engaged. This employees whose pay is includible in general provision does not apply to the pay and ex­ account 450, “General.” penses of general officers or general office em­ N o t e D : When a payment on account o f ployees whose pay is includible in general injuries to persons includes allowances for account 450. “General.” damages to personal apparel, the damage al­ lowance shall be included in account 419, N o t e C: When a payment on account of injuries to passengers includes allowance for “Loss and damage—Baggage,” when sepa­ damage to personal apparel the damage al­ rable; otherwise the entire payment shall be lowance shall be included in this account included in this account. when separable; otherwise in the appropriate Miscellaneous Operations personal injury account. § 10.440 Miscellaneous operations. § 10.420 Injuries to persons. This ac­ The primary accounts included in this count shall include expenses on account general account are designed to show of injuries to persons which occur di­ the expenses incurred in miscellaneous rectly in connection with transportation operations.

85 § 10.441 Dining and buffet service. hotel keepers, storekeepers, checkers, This account shall include the cost of linen clerks, butchers, chefs, cooks, operating dining and buffet service on kitchen help, maids, porters, elevator trains and transfer boats. It shall in­ men, call boys, hat and cloak attendants, clude: waiters, waitresses, laundresses, engi­ (a) Superintendence. The pay of of­ neers, firemen, and other employees en­ ficers directly in charge of operating gaged in operating hotels, restaurants, dining and buffet service; the pay of and lunch counters. their assistants, clerks, and office at­ (c) Fuel and supplies. The cost of tendants; also the office, traveling, and fuel for cooking and heating purposes; other expenses of such officers and their provisions, such as meats, groceries, employees. vegetables, fish, table waters, ice, etc.; (b) Commissarial employees. The pay bar supplies, such as wines, liquors, of storekeepers, assistant, storekeepers, beers, ales, etc.; the cost of liquor li­ clerks, porters, and other employees in censes; the cost of tobacco, cigars, ciga­ commissiarial supply depots and store­ rettes, etc.; and miscellaneous supplies houses. for operating the service. (c) Stewards. The pay of stewards or (d) Stationery and printing. The conductors employed on dining and cost of stationery and printing used in buffet cars and transfer boats. connection with the operation of hotels (d) Cooks and waiters. The pay of and restaurants. cooks, waiters, and assistants on dining (e) Other expenses. The cost of light­ and buffet cars and transfer boats. ing, and other items of expense not (e) Fuel and supplies. The cost of fuel otherwise provided for in this account. for cooking purposes; of provisions, such N o t e : W hen officers have im m ediate super­ as meats, groceries, vegetables, fish, table vision over hotels, restaurants, and lunch waters, ice, etc.; bar supplies, such as counters and other operations their pay. of­ wines, liquors, beers, ales, etc.; cost of fice, and other expenses, as also the pay, licenses; and cost of cigars, cigarettes, office, and other expenses of their assistants, and tobacco. clerks, and office attendants, shall be equi­ (f) Laundry. Expenses for laundry tably apportioned to the accounts appro­ work, such as laundering tablecloths, priate to the operations over which they napkins, aprons, etc. have supervision. (g) Stationery and printing. The cost § 10.443 Grain elevators. This ac­ of stationary and printing used in con­ count shall include the cost of operating nection with dining and buffet service. grain elevators other than small eleva­ (h) Other expenses. The cost of tors which are classed as station facili­ flowers and plants; cleaning the interior ties. It shall include: of cars; rent and cost of supplies for (a) Superintendence. The pay of of­ ficers directly in charge of grain-eleva­ rooms furnished for dining and buffet tor service; the pay of their assistants, service employees; and such other ex­ clerks, and office attendants; also the penses in connection with the operation office, traveling, and other expenses of of dining and buffet service as are not such officers and their employees. provided for elsewhere. (b) Employees. The pay of engineers, N o te : W hen officers have im m ediate super­ firemen, foremen, machine men, oilers, vision over dining and buffet service and millwrights, carpenters, trimmers, weigh­ other operations their pay. office, and other ers, spout men, sweepers, laborers, expenses, as also the pay, office, and other expenses of their assistants, clerks, and watchmen, and all other employees en­ office attendants, shall be equitably appor ­ gaged in operating grain elevators. tioned to the accounts appropriate to the (c) Fuel and supplies. The cost of operations over which they have supervision. fuel for power, heating, and lighting § 10.442 Hotels and restaurants. This plants; power for heating, lighting, and account shall include the cost of operat­ operating machinery; and water, ice, oil, ing hotels, restaurants, and lunch waste, and other supplies for operating counters when the cost of the operated such property property is includible in the road and (d) Stationery and printing. The cost equipment accounts. It shall include: of stationery and printing used in (a) Superintendence. The pay of of­ connection with the operation of grain ficers directly in charge of operating elevators. hotels, restaurants, and lunch counters; (e) Other expenses. The cost of grain pay of their clerks and office attendants; used to make up shortage in elevators; also the office, traveling, and other ex­ rent for and repairs of rented offices; and penses of such officers. other operating expenses not otherwise (b) Employees. The pay of stewards, provided for in this account.

8 6 N ote. When officers nave immediate super­ other expenses of their assistants, clerks, and vision over grain elevators and other opera­ office attendants, shall be equitably appor­ tions their pay, office, and other expenses, tioned to the accounts appropriate to the also the pay, office, and other expenses of operations over which they have supervision. their assistants, clerks, and office attendants, shall be equitably apportioned to the ac­ § 10.447 Operating joint miscellane­ counts appropriate to the operations over ous facilities—Dr. This account shall which they have supervision. include the carrier’s proportion of such costs as are incurred by others in their § 10.445 Producing power sold. This operation of joint facilities which are account shall include the cost of oper­ chargeable by them to accounts 442, “Ho­ ating power plants, substations, trans­ tels and restaurants,” 443 “Grain ele­ mission systems and distribution sys­ vators, 445, “Producing power sold,” or tems, for the production of power sold. 446, “Other miscellaneous operations.” The proportion of the cost assignable to the production of the power sold only § 10.448 Operating joint miscellane­ shall be included in this account. ous facilities—Cr. This account shall This account shall include: include amounts chargeable to others as (a) Superintendence. The pay of offi­ their proportions of such costs as are in­ cers directly in charge of power plants, curred by the carrier in its operation of substations, transmission systems and joint facilities which are chargeable by distribution systems; pay of their clerks it to accounts 442, “Hotels and restau­ and office attendants; also the office, rants,” 443, “Grain elevators,” 445, “Pro­ traveling, and other expenses of such ducing power sold,” or 446, “Other mis­ officers and employees. cellaneous operations.” (b) Employees. The pay of foremen, General subforemen, engineers, firemen, electri­ cians, system operators or load dispatch­ § 10.450 General. The primary ac­ ers, dynamo tenders, foremen regulators, counts included in this general account regulators and assistants, switchboard are designed to show the expenses in­ men, brush men, oilers, wipers, wiremen, curred of a general character not and others engaged in the operation of chargeable to the preceding general ac­ power plant and substation apparatus counts, such as those for general ad­ and devices. ministration and accounting and those (c) Fuel. The cost of fuel used in the of the financial, law, real estate, tax, and production of power and for heating claim departments. power plants. N o t e : Directly assignable organization and (d) Other supplies. The cost of wa­ administration expenses incident to invest­ ter, lubricants, and other power plant ments in leased or nonoperating physical and substation supplies. property, and in stocks, bonds, and other se­ curities, are chargeable to Income account (e) Stationery and printing. The cost 549 “Maintenance of investment organiza­ of stationery and printing used in con­ tion.” nection with producing power sold. (f) Other expenses. The items of ex­ § 10.451 Salaries and expenses of pense not otherwise provided for in this general officers. This account shall in­ account. clude: Note : When officers have immediate su­ (a) Salaries. The pay of all general pervision over producing power sold and officers not otherwise provided for, in­ other operations, their pay. office, and other expenses, as also the pay, office, and other cluding salaries and fees of receivers and expenses of their assistants, clerks and office commissions paid to general officers in attendants, shall be equitably apportioned lieu of salaries. to the accounts appropriate to the operations over which they have supervision. LIST OF OFFICERS Chairman of the board. § 10.446 Other miscellaneous opera­ President. tions. This account shall include the Assistant to president. operations of facilities such as cold- Vice president. storage plants; coal-storage plants; cot­ Assistant to vice president. ton-compress plants; wood-preserving Secretary. plants; ice-supply plants etc., when the Assistant secretary cost of the facilities is includible in the Transfer agent. road and equipment accounts and they Treasurer. Assistant treasurer are operated by the railway companies. Local treasurer. Not e : When officers have immediate su­ Comptroller pervision over other miscellaneous service Assistant comptroller. and other operations, their pay office and General auditor. other expenses, as also the pay, office, and Auditor.

87 Assistant auditor. L IS T or EMPLOYEES Auditor of revenues. Auditor of passenger accounts. Bank messengers. Porters. Assistant auditor of passenger accounts. Chauffeurs. Pump men. Auditor of freight accounts. Cleaners. Stablemen. Assistant auditor of freight accounts. Cooks. Superintendent of Auditor of station accounts Drivers of service general office Auditor of disbursements. wagons. building. Assistant auditor of disbursements. Elevator operators. Telegraph operators Auditor of miscellaneous accounts. Engineers. Telephone operators Assistant auditor of miscellaneous accounts. Firemen. Ushers. Auditor of coal and coke accounts. Janitors. Waiters. Freight claim agent. Messengers. Watchmen. Assistant freight claim agent. (c) Expenses. The traveling and other General accountant. Real-estate agent. expenses of employees designated above, Assistant real-estate agent. including the cost of supplies for business Tax commissioner. cars and cost of running official trains for them. (b) Expenses. The traveling and other expenses of officers whose pay is included § 10.453 General office supplies and in this account, including supplies for expenses. This account shall include the business cars used by them, cost of run­ office expenses of officers designated in ning official trains for them, and cost of account 451, “Salaries and expenses of membership fees and dues in railway and general officers.” other associations. ITEMS OF EXPENSE AND SUPPLIES Alterations of partitions and fixtures in gen­ N o t e A: When officers’ duties are re­ stricted to a single department, their salaries eral offices. and expenses shall be charged to that depart­ Atlases and maps. ment in the accounts for superintendence Books for office use. or for law expenses, as may be appropriate. Cable tolls. When officers have immediate supervision Cleaning. over more than one department, their sal­ Express charges. aries and expenses shall be apportioned Furniture repairs and renewals. equitably among the departments over which Heating. they have Jurisdiction. Lighting. Local messenger service. N o t e B: The pay and expenses of the pur­ Periodicals and newspapers. chasing agent, assistant purchasing agent, Rent of general offices. assistant to purchasing agent, general store­ Rent of tabulating machines. keeper, division storekeeper, their clerks and Repairs of rented general offices. attendants, shall be charged through clear­ Reports of commercial standings. ing accounts “Material store expenses” and Service of automobiles. “Stationery store expenses,” or material ac­ Telegraph service. count “Fuel,” as may be appropriate. Telephone service. Watchmen service. § 10.452 Salaries and expenses of N o t e : The proportion of general office ex­ penses occasioned by the law department clerks and attendants. This account shall be included in account 454, “Law ex­ shall include the pay and expenses of penses.” clerks and attendants of the officers whose salaries are includible in account § 10.454 Law expenses. This account 451, “Salaries and expenses of general shall include the pay and the office and officers.” other expenses, when not provided for (a) Pay of clerks. The pay of persons elsewhere, of officers and employees of employed in accounting and clerical the law department, the cost of suits, service. and the payments of special law fees. LIST OF EMPLOYEES LIST OF OFFICERS AND EMPLOYEES Cashiers. Route agents. General counsel. Statutory attorney. Chief accountants Special agents. General solicitor. Attorney. Chief clerks. Stenographers. Assistant counsel. Counsel. Clerks. Ticket receivers. Solicitor. Law agent. Inspectors. Traveling account­ Commerce counsel. Clerks. Mail clerks. ants. Commerce agent. Office attendants. Paymasters. Traveling auditors. Special counsel. Postmasters. ITEMS OF EXPENSE AND SUPPLIES (b) Pay of attendants. The pay of Arbitrators’ services in settlement of dis­ persons employed in attendance a t gen­ puted questions. eral offices and on business cars. Cost of taking depositions.

88 Cost of testimony. surance policies for employees where the Cost of suits. carrier is not a beneficiary. Court bonds. Court expenses. Note : The initial payments to insurance Drawing and recording agreements as to companies or to trustees for prior services trackage rights, etc. of employees shall be charged to account Express charges. 621, “Miscellaneous debits." Fees and retainers of attorneys (not regular employees). (b) A carrier may account for pen­ Law books. sions on an accrual basis provided it has Legal forms. established a retirement plan whereby Legal reports. it definitely agrees to pay pensions to its Membership fees and dues in associations to retired employees. If the carrier elects protect carriers against litigation in re­ to adopt the accrual plan, this account spect to patents. Membership fees and dues in law associa­ shall be charged and account 771, “Pen­ tions. sion and welfare reserves,” credited Notarial fees not provided for elsewhere. each month with amounts representing Office expenses. benefits currently accruing under the Printing of briefs, testimony, and reports. plan and borne by the carrier. Con­ Proportion of general office expenses. tributions by employees shall be credited Rent of offices. direct to account 771, and pension pay­ Special fees. ments shall be charged to the same ac­ Telegraph service. Telephone service. count. Before adopting the accrual plan Traveling expenses. for pensions, the carrier shall inform the Witness fees not provided for elsewhere. Commission of the details of its pension plan. No charges shall be made to this § 10.455 Insurance. This account account in anticipation of discretionary shall include premiums, except reinsur­ pension payments in the future. ance premiums, for insuring the carrier against loss, through injuries to persons § 10.458 Stationery and printing. This or damage to or destruction or loss of account shall include the cost of station­ property, whether caused by fire, acci­ ery and printing used in general offices dent, or other cause when such loss to and not chargeable to other accounts, the carrier would be chargeable to gen­ including the cost of printing annual re­ eral account 450. “General”; also pre­ ports, contracts, leases, stock certificates, miums on fidelity bonds of officers and and passes. employees whose pay is chargeable to general account 450, ‘‘General.” (See stationery and p r in t in g item s § 10.04-18 Insurance.) Adding machines. Erasers, rubber and Note : The premiums paid by the carrier Addressographs and steel. to its insurance fund shall be credited to supplies. Eyelet punches. an insurance account, to which account shall Arm rests. Eyelets. be charged the amount of all claims for in­ Binders. File boxes, paper. juries to persons and damages to the prop­ Blank books. Forms, blank and erty covered by its insurance. To such ac­ Blotters. printed. count shall also be charged aU reinsurance Blotting paper. Glass pens. premiums paid to insurance companies, and Bristol board. Hectographs. to it shall be credited all amounts recovered Calculating Indexes. from insurance companies for damage to the machines. Ink for writing and property reinsured by them. Calendars. drawing. Carbon paper. Inkstands. § 10.456 Relief department expenses. Cardboard. Invoice books. Cards, blank a n d Legal cap paper. This account shall include salaries and printed. Letter paper. expenses incurred in connection with Circulars. Manifold paper. conducting relief departments; also con­ Computing tables. Manifold pens. tributions to such departments. Copy (impression) Mimeographs. books. Mucilage. § 10.457 Pensions and gratuities. (a) Copying brushes. Mucilage brushes. Except as hereafter provided, this ac­ Copying presses. Neostyles. count shall include pensions paid cur­ Crayons. Note paper. rently to retired employees and the ex­ Cyclostyles. Notices. penses incurred solely in connection Dating stamps and Numbering stamps. ribbons. Oil paper. therewith. It shall also include gra­ Dictaphones. Paper. tuities paid to the families or heirs of Dictographs. Paper baskets. employees; amounts paid currently to Drawing paper. Paper clips. insurance companies or to trustees to Duplicator. Paper cutters. provide annuities for retired employees Electric pens. Paper fasteners. (see note); and premiums paid on in­ Envelopes. Paper files.

89 Paper weights. Shipping tags. expenses which are not properly charge­ Papyrographs. Shorthand note­ able to any of the foregoing accounts. Parchment paper. books, Passes. Sponge cups. ITEMS OF EXPENSE Pay checks. Sponges. Cost of draping buildings. Pencil sharpeners. Stamps. Cost of publishing annual reports in news­ Pencils for writing Stamps, impression. papers, and other corporate and financial and drawing. Stylographs. notices of general character. Penholders. Tablets, blank and Cost of publishing notices of stockholders' Penracks. printed. meetings and of election of directors. Pens for writing and Tape. Donations on account of catastrophes, epi­ drawing. Telegraph blanks. demics, etc. Phonographs a n d Tissue (impression) Donations to local fire departments. records. paper. Donations to Y. M. C. A., and similar institu­ Pins. Tracing cloth. tions. Postage. Tracing paper. Exchange oh checks cashed or deposited. Punches (not con­ Twine. Exchange on drafts bought ductors’ or bag­ Typewriters and rib­ Pees and expenses paid to directors and trus­ gagemen’s) . bons. tees. Rubber bands. Wage tables. Loss through payment of wages to a wrong Rubber stamps. Wastebaskets. person. Rulers. Water colors. Penalties assessed for nonpayment of claims Ruling pens. Water holders. for overcharges. Scrapbooks. Wrapping paper. § 10.461 General joint facilities—Dr. Sealing wax. Wringers for copying Seals. presses. This account shall include the carrier’s Shears. proportions of general expenses incurred Note A: The cost of printing briefs, legal by others incident to maintaining and forms, testimony, reports, etc., for the law operating tracks, yards, terminals, and department is chargeable to account 454, other facilities used jointly. “Law expenses.’’ Note. The purpose of this account is to Note B: The cost of printing bonds, etc., show the amount accruing against the car­ in connection with the carrier's funded debt rier for its proportion of the expense of gen­ shall be included in balance-sheet account eral administration of tracks, yards, termi­ 742, “Unamortized discount on long-term nals and other facilities administered by debt.” others, and in the joint use of which the § 10.459 Valuation expenses. This ac­ carrier participates. (See § 10.04-9 Joint count shall include expenses incident to facility accounts.) the ascertainment (in accordance with § 10.462 General joint facilities—Cr. the Act to Regulate Commerce as This account shall include amounts amended March 1, 1913, or with other chargeable to others as their proportions Federal or State requirements) of the of general expenses incurred by the car­ value of property owned or used by the rier incident to maintaining and oper­ carrier, such expenses including pay, and ating tracks, yards, terminals, and other office, traveling, and other expenses of facilities used jointly. officers specially employed or assigned N o t e : The purpose of this account is t o to such work, and of their assistants, show the amounts accruing in favor of the clerks, and attendants, and the cost of carrier and against others for their propor­ stationery and printing, and of engi­ tions of the expense of general administra­ neering supplies consumed. tion of tracks, yards, terminals, and other facilities administered by the carrier, and in N o t e : N o charge shall be made to this a c ­ the joint use of which others participate. count for the salaries of officers or of their (See $ 10.04-9 Joint facility accounts.) clerks and attendants for incidental services in connection with valuation work: but spe­ Condensed Classification of Operating cial office, clerical, traveling, and incidental Expenses expenses incurred by these officers on ac­ § 10.480 Accounts for small carriers, count of such work shall be included as a Class II. See provisions of § 10.04-1 part of the cost of the work. Accounts for operating expenses. The § 10.460 Other expenses. This ac­ condensed groupings of accounts for count shall include incidental general Class II small carriers are as follows:

90 CONDENSED CLASSIFICATION OF OPERATING EXPENSES

Accounts for Small Carriers—Class II Accounts for Large Carriers—Class I Maintenance of Way and Structures 200. Maintenance of Way and Structures 2201. Superintendence. 201. Superintendence. 202. Roadway maintenance. 206. Tunnels and subways. 208. Bridges, trestles and culverts. 210. Elevated structures. 212. Ties. 214. Rails. 2202. Roadway maintenance. 216. Other track material. 218. Ballast. 220. Track laying and surfacing. 221. Fences, snowsheds and signs. 247. Communication systems. 249. Signals and interlockers. 272. Removing snow, ice, and sand. 227. Station and office buildings. 229. Roadway buildings. 231. Water stations. 233. Fuel stations. 235. Shops and enginehouses. 237. Grain elevators. 2203. Maintaining structures. 239. Storage warehouses. 241. Wharves and docks. 243. Coal and ore wharves. 253. Power plants. 257. Power-transmission systems. 265. Miscellaneous structures. 2203½ . Retirements—Road. 267. Retirements—Road. 2204. Dismantling retired road property. 270. Dismantling retired road property. 2205. Equalization—Way and structures. 280. Equalization—Way and structures. 2208. Road property—Depreciation. 266. Road property—Depreciation. 269. Roadway machines. 271. Small tools and supplies. 273. Public improvements—Maintenance. 274. Injuries to persons. 2209. Other maintenance of way expenses. 275. Insurance. 276. Stationery and printing. 277. Other expenses. 281. Right-of-way expenses. 2210. Maintaining joint tracks, yards, and 278. Maintaining joint tracks, yards, and other facilities—Dr. other facilities—Dr. 2211. Maintaining joint tracks, yards, and 279. Maintaining joint tracks, yards, and other facilities—Cr. other facilities—Cr. Maintenance of Equipment 300. Maintenance of Equipment 2221. Superintendence. 301. Superintendence. 2222. Repairs to shop and power-plant ma­ 302. Shop machinery. chinery 304. Power-plant machinery. 2223. Shop and power-plant machinery— 305. Shop and power-plant machinery— Depreciation. Depreciation. 2224. Dismantling retired shop and power- 306. Dismantling retired shop and power- plant machinery. plant machinery. 308. Steam locomotives—Repairs. 2225. Locomotive repairs. 311. Other locomotives—Repairs. 314. Freight-train cars—Repairs. 2226. Car repairs. 317. Passenger-train cars—Repairs. 323. Floating equipment—Repairs. 2227. Other equipment repairs. 326. Work equipment—Repairs. 328. Miscellaneous equipment—Repairs. 2228. Dismantling retired equipment. 329. Dismantling retired equipment. 2229. Retirements—Equipment. 330. Retirements—Equipment. 2231. Equalization—Equipment. 338. Equalization—Equipment. 2234. Equipment—Depreciation. 331. Equipment—Depreciation. 332. Injuries to persons. 333. Insurance. 2235. Other equipment expenses. 334. Stationery and printing. 335. Other expenses. 2236. Joint maintenance of equipment ex­ 336. Joint maintenance of equipment ex­ penses—Dr. penses—Dr. 91 Accounts for Small Carriers—Class II—C o n . Accounts for Large Carriers—Class I—Con. 2237. Joint maintenance of equipment ex­ 337. Joint maintenance of equipment ex­ penses—Cr. penses—Cr. Traffic 350. Traffic 351. Superintendence. 352. Outside agencies. 353. Advertising. 354. Traffic associations. 2240. Traffic expenses. 355. Fast freight lines. 356. Industrial and immigration bureaus. 357. Insurance. 358. Stationery and printing. 359. Other expenses. Transportation—Rail Line 370. Transportation—Rail Line 371. Superintendence. 2241. Superintendence and dispatching. 372. Dispatching trains. 373. Station employees. 374. Weighing, inspection and demurrage 2242. Station service. bureaus. 375. Coal and ore wharves. 376. Station supplies and expenses. 377. Yardmasters and yard clerks. 378. Yard conductors and brakemen. 2243. Yard employees. 379. Yard switch and signal tenders. 380. Yard enginemen. 2244. Yard switching fuel. 382. Yard switching fuel. 383. Yard switching power produced. 384. Yard switching power purchased. 385. Water for yard locomotives. 2245. Miscellaneous yard expenses. 386. Lubricants for yard locomotives. 387. Other supplies for yard locomotives. 388. Enginehouse expenses—Yard. 389. Yard supplies and expenses.

Transportation—Rail Line 370. Transportation—Rail Line 2246. Operating joint yards and terminal— 390. Operating joint yards and terminals— Dr. Dr. 2247. Operating joint yards and terminals— 391. Operating joint yards and terminals— Cr. Cr. 392. Train enginemen. 2248. Train employees. 401. Trainmen. 2249. Train fuel. 394. Train fuel. 395. Train power produced. 396. Train power purchased. 397. Water for train locomotives. 398. Lubricants for train locomotives. 2251. Other train expenses. 399. Other supplies for train locomotives. 400. Enginehouse expenses—Train. 402. Train supplies and expenses. 403. Operating sleeping cars. 2252. Injuries to persons. 420. Injuries to persons. 418. Loss and damage—Freight. 2253. Loss and damage. 419. Loss and damage—Baggage. 414. Insurance. 415. Clearing wrecks. 2254. Other casualty expenses. 416. Damage to property. 417. Damage to livestock on right of way. 404. Signal and interlocker operations. 405. Crossing protection. 406. Drawbridge operation. 2255. Other rail transportation expenses. 407. Communication system operation. 408. Operating floating equipment. 410. Stationery and printing. 411. Other expenses. 2256. Operating joint tracks and facilities— 412. Operating joint tracks and facilities— Dr. Dr. 2257. Operating joint tracks and facilities— 413. Operating Joint tracks and facilities— Cr. Cr.

92 Accounts for Small Carriers—Class II—Con. Accounts for Large Carriers—Class I—Con. Miscellaneous Operations 440. Miscellaneous Operations 441. Dining and buffet service. 442. Hotels and restaurants. 2258. Miscellaneous operations. 443. Grain elevators. 445. Producing power sold. 446. Other miscellaneous operations. 2259. Operating joint miscellaneous facili­ 447. Operating joint miscellaneous facili­ ties—Dr. ties—Dr. 2260. Operating joint miscellaneous facili­ 448. Operating joint miscellaneous facili­ ties—Cr. ties—Cr. General 450. General 451. Salaries and expenses of general officers. 452. Salaries and expenses of clerks and at­ 2261. Administration. tendants. 453. General office supplies and expenses. 454. Law expenses. 2262. Insurance 455. Insurance. 2263. Valuation expenses. 459. Valuation expenses. 456. Relief department expenses. 457. Pensions and gratuities. 2264. Other general expenses. 458. Stationery and printing. .460. Other expenses. 2265. General joint facilities—Dr. 461. General joint facilities—Dr. 2266. General joint facilities—Cr. 462. General joint facilities—Cr.

Income Accounts § 10.504 Rent from locomotives. This credit account shall include, except as pro­ § 10.501 Railway operating revenues. vided in the text of account 509, “In­ This account shall include the total rev­ come from lease of road and equipment,” enues derived from operations as shown amounts receivable accrued as rent for in the primary revenue accounts provided the use of the accounting company’s in this part. locomotives leased or interchanged. § 10.502 Revenues from miscellaneous (See Note C to account 708, “Interest operations. This account shall include and dividends receivable.”) the total revenues derived from the oper­ N o t e : Rent for locomotives included in lease of road to another company shall be ation of miscellaneous operating physical included in account 509, "Income from lease property, such as that the cost of which of road and equipment.” is includible in balance-sheet account 737, “Miscellaneous physical property.” § 10.505 Rent from passenger-train Not e : The income from miscellaneous cars. This account shall include, except nonoperating physical property shall be in­ as provided in the text of account 509, cluded in account 511, “Income from non­ “Income from lease of road and equip­ operating property.” ment,” amounts receivable accrued as rent for the use of the accounting § 10.503 Hire of freight cars; credit company’s passenger-train cars leased balance. This account shall include, ex­ or interchanged. (See Note C, to ac­ cept as provided in the texts of accounts count 708, “Interest and dividends 509, “Income from lease of road and receivable.”) equipment,” and 542, “Rent for leased N o t e : Rent for passenger-train cars in­ roads and equipment.” the net credit cluded in lease of road to another company balance of (a) amounts receivable ac­ shall be included in account 509, “Income crued for the use of the accounting com­ from lease of road and equipment.” pany’s freight cars leased or inter­ § 10.506 Rent from floating equipment. changed, and (b) amounts payable This account shall include, except as accrued for the use of the freight cars provided in the text of account 509, “In­ of others, leased or interchanged. come from lease of road and equipment,” N o t e A: If the net balance is a debit, it amounts receivable accrued as rent for shall be included in account 536, “Hire of the use of the accounting company’s freight cars—Debit balance.” floating equipment leased or chartered. N o t e B : Rent for freight cars included in the lease of road to another company shall (See Note C to account 708, “Interest be included in account 509, “Income from and dividends receivable.”) lease of road and equipment.” N o t e : Rent from floating equipment in­ Note C: Rents paid for freight cars used cluded in lease of road to another company in construction work-train service are charge­ shall be included in account 509, “Income able to the cost of the work. from lease of road and equipment.”

436489 O -57 - 7. 93 § 10.507 Rent from work equipment. the property leased is payable by the This account shall include, except as lessor company, the amount thus pay­ provided in the text of account 509, “In­ able shall be charged to this account by come from lease of road and equipment,” the lessor. amounts receivable accrued as rent for Note A: When taxes on leased property are the use of the accounting company’s assumed by the lessor, the accruals of such work equipment leased or interchanged. taxes shall be included in the lessor’s ac­ (See Note C to account 708, “Interest count 532, “Railway tax accruals.” N o t e B: If property the rent of which is and dividends receivable.”) chargeable to account 542, "Rent for leased N o t e : R ent for work equipment included roads and equipment,” is sublet by the ac­ in lease of road to another company shall counting company, the rent receivable there­ be included in account 509, “Income from for shall be credited to this account. lease of road and equipment.” N o t e C : When specific charges against the lessee are made by the lessor for repairs of § 10.508 Joint facility rent income. equipment which is actually maintained by This account shall include amounts re­ it the amount of such charges shall be appro­ ceivable accrued for rent of equipment, priately credited by the lessor to its equip­ tracks, yards, terminals, and other fa­ ment repair accounts and charged by the cilities owned or controlled by the ac­ lessee to the corresponding accounts. counting company and used jointly with § 10.510 Miscellaneous rent income. other companies or individuals. This account shall include such rents of Amounts receivable from other com­ property owned and controlled by the panies in reimbursement for taxes on accounting carrier as are not provided property jointly used shall be credited for in the foregoing accounts. to this account. To this account shall be charged the N o t e : The portion of the cost of mainte­ cost of maintenance of the property nance, operation, or administration of joint rented, also specific incidental expenses facilities recoverable from others shall be credited to the various joint facility accounts in connection with such property, such as provided for operating expenses. When the the cost of negotiating contracts, ad­ compensation for the use of joint faculties is vertising for tenants, fees paid convey­ a fixed amount or is based upon a charge ancers, collectors’ commissions, and per passenger, ton, car, or other unit, it shall analogous items. be fairly apportioned by the creditor between this account and the appropriate joint facil­ Note A: If property the rent of which is ity operating expense accounts. chargeable to account 543, “Miscellaneous rents,” is sublet by the accounting company, § 10.509 Income from lease of road the rent receivable therefor shall be credited and equipment. This account shall in­ to this account. clude the entire amount receivable ac­ Note B: Taxes on property the rent of which is creditable to this account shall be crued for the exclusive use of road, charged to account 532, “Railway tax ac­ tracks, or bridges (including equipment cruals ” or other railway property covered by Note C: The rent from property carried in the contract) the rented property being balance-sheet account 737, “Miscellaneous owned or controlled by the accounting physical property,” shall not be Included in this account, but in account 511, “Income company, whether payable to the ac­ from nonoperating property.” counting company in cash or disbursed Note D: Rent and other income from real by the lessee on behalf of the accounting estate acquired for new lines or for additions company as interest on funded debt, and betterments shall be credited to the ap­ guaranteed dividends on stock, or other­ propriate road and equipment accounts until the completion or coming into service of the wise. (See Note C to account 708, “In­ property. terest and dividends receivable.”) When the lessor company maintains § 10.511 Income from nonoperating the road and equipment leased, the cost property. This account shall include the of maintaining the property rented shall net credit balance of the nonoperating be charged to this account, except that revenues or income from, and the ex­ when the rent thus receivable for the penses (including depreciation, but ex­ use of property other than equipment is cluding taxes) of, physical property the relatively small and the expense of cost of which is carried in balance-sheet maintenance is not separable, the entire account 737, “Miscellaneous physical amount received may be credited to property.” revenue account 142, “Rents of buildings Note A: Net debit balances in this account and other property.” shall be shown in red ink. If, under the terms of a lease, the Note B: The revenues from the operation deficit, or any portion of it, resulting of miscellaneous operating physical property from the lessee company’s operations of shall be included in income account 502, 94 "Revenues from miscellaneous operations," treasury or deposited in trust, or are and the expenses of operation shall be in­ controlled through lease or otherwise. cluded in account 534, "Expenses of miscel­ laneous operations." It shall include also, interest on notes and other evidences of indebtedness and § 10.512 Separately operated proper­ interest on bank balances, open ac­ ties; profit. This account shall include counts. and other analogous items, in­ amounts receivable under the terms of agreements or contracts whereby the cluding discount on short-term notes. surplus resulting from the operation by Interest accrued shall not be credited others of properties of other companies prior to actual collection unless its pay­ having a separate corporate existence is ment is reasonably assured by past to be paid, in whole or in part, to the experience, guaranty, anticipated provi­ accounting company sion, or otherwise. (See Note C to In determining the amount receivable account 708, “Interest and dividends by the accounting company, considera­ receivable.”) tion shall be given not only to the op­ At the option of the accounting com­ erating revenues and operating expenses pany there may be included each year but also to other items of income or de­ in this account the portion, applicable to duction which affect that amount. the fiscal period, of the amount requisite Note A: The amount payable by the op­ to extinguish, during the interval be­ erating company shall be charged by it to tween the date of acquisition and the account 550, "Income transferred to other companies." date of maturity, the discount or pre­ Note B : Dividends or other returns upon mium on securities of other companies securities issued by separately operated com­ owned (other than short-term notes). panies, and held or controlled by the account­ Amounts thus credited or charged shall ing company, shall be included in accounts be concurrently charged or credited to 513, “Dividend income”; 514, "Interest In­ the account in which the cost of the come”; or 516, “Income from sinking and securities is carried. The discount on other reserve funds," as may be appropriate. short-term notes shall be distributed § 10.513 Dividend income. This ac­ through equal monthly credits, over the count shall include dividends declared terms of the notes. on railway and other stocks, the income N ote A: This account shall not include from which is the property of the ac­ interest on securities issued or assumed by counting company, whether such stocks the accounting company and owned by it, are owned by the accounting company whether pledged as collateral or held in its and held in its treasury or deposited in treasury, in special deposits, or in sinking trust, or are controlled through lease or or other reserve funds. Note B : Interest on securities other than otherwise. those of the accounting company, and on Dividends declared shall not be other assets held in sinking or other reserve credited prior to actual collection unless funds shall be included in account 516, "In­ their payment is reasonably assured by come from sinking and other reserve funds." past experience, guaranty anticipated N ote C: Discount on bills for material pur­ provision, or otherwise. (See Note C to chased shall be credited to the accounts to account 708, “Interest and dividends re­ which is charged the cost of the material ceivable.”) with respect to which the discount is allowed. Accruals of guaranteed dividends may § 10.516 Income from sinking and be included in this account if their pay­ other reserve funds. This account shall ment is reasonably assured. include the income accrued on cash, se­ Note A: This account shall not include curities, and other assets (not including credits for dividends on stocks issued or as­ securities issued or assumed by the ac­ sumed by the accounting company and owned counting company) held in sinking and by it, whether pledged as collateral or held other reserve funds. (See Note C to ac­ in its treasury. In special deposits, or in sinking or other reserve funds. count 708, “Interest and dividends re­ Note B: Dividends on stocks of other com­ ceivable.”) panies held In sinking or other reserve funds At the option of the accounting com­ shall be credited to account 516, "Income pany there may be included each year from sinking and other reserve funds." in this account the portion, applicable to § 10.514 Interest income. This ac­ the fiscal period, of the amount requisite count shall include the interest on secu­ to extinguish, during the interval be­ rities and debenture stock of other tween the date of acquisition and the companies the income from which is the date of maturity, the discount or pre­ property of the accounting company, mium on funded securities held in sink­ whether such securities are owned by the ing or other reserve funds. Amounts accounting company and held in its thus credited or charged shall be con­

95 currently charged or credited to the ac­ of all kinds (including Federal income count in which the cost of the securities tax) relating to railway property (in­ is carried. cluding floating equipment, if any) op­ Not e : Credits to fund reserve accounts erations, and privileges, whether based representing income on reserve funds shall upon the valuation of the property, be concurrently charged to account 552, “In­ amount of stocks and bonds or other evi­ come applied to sinking and other reserve dences of debt issued or outstanding; funds." gross or net earnings, dividends declared, § 10.517 Release of premiums on number of passengers carried, quantity funded debt. This account shall include, of freight transported, length of line during each fiscal period, such proportion operated or owned, rolling stock operated of the premiums on outstanding funded or owned, or other basis; also taxes for debt as may be applicable to the period. issuing and recording mortgages and This proportion shall be determined in trust deeds and for issuing bonds or other accordance with § 10 08-3 Discount, evidences of long-term debt. expense, and premium on funded debt. The taxes on leased property shall be § 10.518 Contributions from other included in this account by the carrier companies. This account shall include obligated to assume such expenses under amounts received or receivable from the terms of the lease. other companies or individuals, repre­ Note A: Taxes on leased property paid by senting the whole or a part of the net def­ one party to the lease and chargeable to the other party to the lease shall be charged di­ icit of the accounting company when, rectly to the party bearing the expense and under the terms of agreements or con­ not included in the income account of the tracts, no obligation for subsequent re­ party first making payment. imbursement is incurred. Note B: Taxes on other than railway prop­ In determining the amount receivable erty, operations, and privileges shall be by the accounting company, considera­ charged to account 544. “Miscellaneous tax tion shall be given not only to the oper­ accruals." when the amount is separable from ating revenues and operating expenses, the taxes chargeable to this account. N ote C : Special assessments for street and but also to other items of income or de­ other improvements, and special benefit duction which affect that amount. taxes, such as water taxes and the like, shall Note : The amount payable shall be be included in operating expense accounts charged by the contributing company to or investment accounts, as may be appro­ account 545, "Separately operated proper­ priate. ties—Loss." N ote D: Amounts received in reimburse­ ment of taxes on property Jointly used shall § 10.519 Miscellaneous income. This be credited to account 508, “Joint facility account shall include all items, not pro­ rent income." Amounts paid in reimburse­ vided for elsewhere, properly creditable ment of such taxes shall be charged to ac­ to income account during the fiscal count 541, “Joint faculty rents.” Note E : Taxes accruing on new lines un­ period. der construction or on property acquired for § 10.520 Delayed income credits. This the extension of existing lines or for addi­ account shall include delayed credit items tion or betterment purposes before the facili­ and adjustments for which no provision ties are opened for commercial operation or has previously been made, relating to op­ the property acquired becomes available for erating revenues, operating expenses, service shall be charged to road and equip­ and income arising during the current ment accounts. year which are applicable to prior years § 10.534 Expenses of miscellaneous and which are relatively so large that operations. This account shall include their inclusion in the appropriate ac­ the total expenses caused by the opera­ counts of the current year would seriously tion of miscellaneous physical property distort the accounts for the year. the cost of which is includible in balance- sheet account 737, “Miscellaneous phys­ No t e : All entries in this account shall be made in such detail as will indicate the op­ ical property.” erating-revenue, operating-expense or in­ No t e : The expenses of miscellaneous non­ come accounts to which they relate. operating physical property shall be included in account 511, “Income from nonoperating DEBIT property." § 10.531 Railway operating expenses. § 10.535 Taxes on miscellaneous op­ This account shall include the total ex­ erating property. This account shall in­ penses caused by operations, as shown in clude accruals of taxes paid or payable the primary expense accounts provided upon miscellaneous operating property, in these regulations. such as that the cost of which is includ­ § 10.532 Railway tax accruals. This ible in account 737, “Miscellaneous phys­ account shall include accruals for taxes ical property.” 96 Note : Taxes upon miscellaneous nonoper­ § 10.539 Rent for floating equipment. ating physical property shall be included in This account shall include amounts pay­ account 544, "Miscellaneous tax accruals.” able accrued for the use of the floating § 10.536 Hire of freight cars; debit equipment of others, leased or chartered, balance. This account shall include, ex­ except as provided for in the classifica­ cept as provided for in the classification tion for investment in road and equip­ for investment in road and equipment ment and in the text of account 542, and in the texts of accounts 509, "In­ "Rent for leased roads and equipment." come from lease of road and equipment," Note A: The rent of floating equipment and 542, "Rent for leased roads and included in the lease of road to the account­ equipment," the net debit balance of ing company shall be included in account (a) amounts receivable accrued for the 542, “Rent for leased roads and equipment.” Note B : Interest accrued on equipment use of the accounting company’s freight obligations shall be charged to account 546, cars leased or interchanged, and (b) “Interest on funded debt.” amounts payable accrued for the use of the freight cars of others, leased or inter­ § 10.540 Rent for work equipment. changed. This account shall include amounts pay­ Note A: If the net balance is a credit, it able accrued for the use of the work shall be included in account 503, “Hire of equipment of others, leased or inter­ freight cars—Credit balance.” changed, except as provided for in the Note B: Rent for freight cars included in classification for investment in road and the lease of road to the accounting com­ equipment and in the text of account pany shall be included in account 642, “Rent 542, "Rent for leased roads and equip­ for leased roads and equipment.” ment.” Note C : Interest accrued on equipment obligations shall be charged to account 546, Note A: The rent for work equipment in­ “Interest on funded debt." cluded in the lease of road to the accounting Note D: Bents paid for freight cars used company shall be included in account 542, in construction work-train service are charge­ “Rent for leased roads and equipment." able to the cost of the work. N ote B: Interest accrued on equipment obligations shall be charged to account 546, § 10.537 Rent for locomotives. This “Interest on funded debt.” account shall include amounts payable Note C: Rent paid for work equipment accrued for the use of the locomotives of when used in construction work-train serv­ others, leased or interchanged, except as ice is chargeable to the cost of the work. provided for in the classification for § 10.541 Joint facility rents. This ac­ investment in road and equipment and in count shall include amounts payable ac­ the text of account 542, "Rent for leased crued as rent for equipment, tracks, roads and equipment.” yards, terminals, and other facilities Note A: The rent for locomotives included owned or controlled by other carriers, in the lease of road to the accounting com­ companies, or individuals, and in the pany shall be included in account 542, “Rent joint use of which the accounting com­ for leased roads and equipment." pany participates. N ote B: Interest accrued on equipment Amounts paid or payable by the ac­ obligations shall be charged to account 546, counting company in reimbursement for “Interest on funded debt." taxes on property jointly used shall be N ote C: Rent paid for locomotives used in construction work-train service is chargeable charged to this account. No t e : The cost of maintenance, operation, to the cost of the work. or administration of joint facilities, charge­ § 10.538 Rent for passenger-train able to the accounting company, shall be charged to the various joint facility accounts cars. This account shall include provided for operating expenses. When the amounts payable accrued for the use of compensation for the use of joint facilities the passenger-train cars of others, is a fixed amount or is based upon a charge leased or interchanged, except as pro­ per passenger, ton, car, or other unit, it shall be fairly apportioned between this account vided for in the classification for invest­ and the appropriate Joint facility operating ment in road and equipment and in the expense accounts. This apportionment shall text of account 542, ‘Rent for leased be made by the operating company, and shall roads and equipment.” be followed by the accounting company. Note A : The rent for passenger-train cars § 10.542 Rent for leased roads and included in the lease of road to the account­ equipment. This account shall include ing company shall be included in account amounts payable accrued as rent for 542, “Rent for leased roads and equipment.” roads, tracks, or bridges (including Note B: Interest accrued on equipment equipment or other railway property cov­ obligations shall be charged to account 546, ered by the contract) the property being “Interest on funded debt." owned by other companies and held

97 under lease or other agreement by the property), shall be charged to this account. terms of which exclusive use and control The bill rendered by the creditor shall show the distribution of the payments as between for operating purposes are secured. The maintenance and rent, and such distribution entire amount of rent payable by the shall be adhered to by the debtor. lessee in accordance with the agreement shall be included in this account, whether § 10.544 Miscellaneous tax accruals. paid to the lessor in cash or disbursed by This account shall include all accruals the lessee, on behalf of the lessor, as in­ for taxes not provided for elsewhere, such terest on funded debt, guaranteed divi­ as taxes on securities owned, taxes on dends on stock, or otherwise. (See income from securities owned, and taxes § 10.05-2 Leased road and equipment; on miscellaneous nonoperating physical depreciation.) property the cost of which is includible in balance-sheet account 737, “Miscellane­ N o t e A: When taxes on leased property are assumed by the lessee the accruals of such ous physical property.” taxes shall be included in the lessee's ac­ N o t e A : When the proper separation of any count 532, “Railway tax accruals." particular tax is not ascertainable the entire N o t e B: If, under the terms of a lease, the amount shall be included in account 532, deficit or any portion of it resulting from the “Railway tax accruals." lessee’s operation of the property leased is N o t e B : Taxes upon miscellaneous oper­ payable by the lessor company, the amount ating property shall be charged to account shall be charged to account 509, “Income 535, “Taxes on miscellaneous operating prop­ from lease of road and equipment," by the erty.” lessor and credited to this account by the lessee. § 10.545 Separately operated prop­ N o t e C : If property, the rent of which is erties; loss. This account shall include chargeable to this account, is sublet by the amounts payable under the terms of accounting company to others, the rent from agreements or contracts whereby the the sublease shall be credited to account 509, deficit resulting from the operation by “Income from lease of road and equipment.” others of properties of other companies N o t e D : Payments for the exclusive use of road and equipment maintained by the lessor having a separate corporate existence is and used in the accounting company's opera­ to be paid, in whole or in part, by the tions (when considerable in amount and accounting company. when not provided for in the classifications In determining the amount payable by of operating expenses) shall be divided into the accounting company, consideration two portions: One, representing cost of shall be given not only to the operating maintenance shall be charged to the appro­ revenues and operating expenses, but also priate maintenance accounts and the other, to other items of income or deductions representing rent (amount applicable to the which affect that amount. investment in the property), shall be charged to this account. N o t e A: The amount receivable by the N o t e E: When specific charges against the operating company shall be credited by it lessee are made by the lessor for repairs of to account 518, “Contributions from other equipment which is actually maintained by companies." it the amount of such charges shall be appro­ N o t e B : Dividends or other returns upon priately credited by the lessor to its equip­ securities issued by separately operated com­ ment repair accounts and charged by the panies and held or controlled by the account­ lessee to the corresponding accounts. ing company shall not be included in this account to offset a deficit payable, but in § 10.543 Miscellaneous rents. This accounts 513, “Dividend income”; or 514, “In­ account shall include rents payable ac­ terest income," as may be appropriate. crued on property held by the accounting § 10.546 Interest on funded debt. company under lease or other agreement This account shall include the current and not properly chargeable to any of the accruals of interest on all classes of long­ foregoing accounts. term debt, the principal of which is in­ Note A: This account shall not include cludible in account 765, “Funded debt rents provided for in the operating expense unmatured”; 766, “Equipment obliga­ accounts. Note B: If property, the rent of which is tions”; 767, “Receivers’ and trustees’ se­ chargeable to this account, is sublet by the curities”; 768, “Debt in default”; and 769 accounting company to others, the rent from “Amounts payable to affiliated compa­ the sublease shall be credited to account 510, nies," also interest accruals on debenture “Miscellaneous rent income." stock. This account shall be kept in such Note C: Payments for the exclusive use form that the interest on debenture of miscellaneous property maintained by the stock, on receivers’ and trustees’ securi­ lessor and used by the accounting company ties, and on other classes of funded debt shall be divided into two portions: One, rep­ resenting the cost of maintenance, shall be may be shown separately in the annual charged to the appropriate operating ac­ report to the Commission. counts, and the other, representing rent N o t e A: This account shall not include (amount applicable to the investment in the charges for interest on funded debt obliga- 98 tions issued or assumed by the accounting organization. This account shall in­ company and owned by it, whether pledged clude the directly assignable organiza­ as collateral or held in its treasury, in spe­ tion and administration expenses of the cial deposits, or in sinking or other reserve funds. (See account 552, “Income applied accounting company which are incident to sinking and other reserve funds.”) to its investments in leased or nonoper­ Note B: When funded debt is incurred for ating physical property, and in stocks, new lines or extensions, or for addition and bonds, or other securities. betterment purposes, the accruals of interest on such funded debt (less interest received on ITEMS OF EXPENSE unexpended balances), to the date of com­ Advertising annual reports (lessor companies pletion or coming into service of the prop­ only). erty so acquired shall be included in the road Calls for bonds in accordance with sinking and equipment accounts. fund provisions of mortgages. Note C: This account shall be maintained Directors’ fees. so as to show separately: (a) fixed interest Printing and mailing dividend checks. which will be paid, or for which provision for Publishing and mailing annual reports and payment will be made, when the interest other corporate statements to shareholders. matures: (b) interest in default; and (c) Publishing notices of declaration of divi­ contingent interest determined to be payable. dends. Law expenses. § 10.547 Interest on unfunded debt. Office expenses. This account shall include interest ac­ Salaries of officers, clerks, and attendants. crued on unfunded debt, such as short­ Stationery and printing. term notes payable on demand or having No t e : Organization and administration dates of maturity one year or less from expenses incident to railway operation are dates of issue, and open accounts in­ provided for in operating expense general cluding discount and expense on de­ account 450, “General.” mand and short-term loans, interest on § 10.550 Income transferred to other receipts outstanding for installments companies. This account shall include paid on capital stock, interest on de­ the whole or any portion of the income ferred payments for public improve­ of the accounting company payable to ments. and other analogous items. The another company under the terms of discount on short-term notes, if of a con­ agreements or contracts without obliga­ siderable amount, shall be distributed tion for reimbursement. through equal monthly charges, over the In determining the amount payable by term of the notes. the accounting company, consideration Note: When short-term notes or other evi­ shall be given not only to operating rev­ dences of unfunded indebtedness are issued enues and operating expenses, but also for new lines or extensions or for addition and to other items of income or deduction betterment purposes the accrual of interest which affect that amount. to the date of completion or coming into N ote A: The amount receivable by the service of the property shall be included in other company shall be credited by it to ac­ the road and equipment accounts. count 512, "Separately operated properties— § 10.548 Amortization of discount on Profit.” Note B: Dividends or other payments up­ funded debt. This account shall be on securities issued or assumed by the charged during each fiscal period with accounting company shall not be included the proportion of the discount and ex­ in this account. pense on funded debt obligations appli­ § 10.551 Miscellaneous income cable to that period. This proportion charges. This account shall include in­ shall be determined according to a rule terest charges not provided for else­ the uniform application of which where, such as interest on tax deficien­ through the interval between the date of cies, overcharge claims, and court sale and the date of maturity will extin­ awards; also income tax upon the in­ guish the discount and expense on funded terest on the accounting company’s debt. The charge to this account for any funded debt when assumed by it; and period must not be either greater or less other income deductions not provided than the proportion of the balance re­ for elsewhere. maining unamortized applicable to that § 10.552 Income applied to sinking and period so long as any portion of the dis­ other reserve funds. This account shall count and expense remains unextin­ include amounts applied to sinking guished, except that if the total discount and other reserve funds from income, and expense applicable to any particu­ whether definite appropriations from in­ lar issue of securities does not exceed come; allotments or payments of definite $25,000, the entire amount may be amounts from income under the terms of charged to this account at time of issue. mortgages, deeds of trust, or other con­ § 10.549 Maintenance of investment tracts that provide for such allotments

99 or payments; or accretions representing appropriations for investment in road interest or other returns accrued on the and equipment and for investment in contents of such funds and required to miscellaneous physical property. be retained therein. Note A: Similar appropriations made from Note A: The amounts charged to this ac­ retained income shall be charged to account count shall be concurrently credited to ac­ 615, “Retained income appropriated for in­ count 797, “Retained income—Appropriated.” vestment in physical property.” N ote B : Similar appropriations made from Note B : The amounts charged to this ac­ surplus shall be charged to account 613, “Re­ count shall be concurrently credited to ac­ tained income applied to sinking and other count 797, “Retained income—-Appropriated.” reserve funds.” § 10.555 Stock discount extinguished § 10.553 Dividend appropriations of through income. This account shall in­ income. This account shall include clude amounts definitely appropriated amounts definitely declared payable from from income to reduce or extinguish the the income of the fiscal period, as divi­ amount of discount on capital stock is­ dends on actually outstanding capital sued by the accounting company. (See stock issued or assumed by the account­ balance-sheet account 793, “Discount on ing company, other than debenture stock. capital stock.”) (See definition of the several classes of N o t e : Similar appropriations made from capital stock in balance-sheet account retained income shall be charged to account 791, “Capital stock issued.”) If a divi­ 616, “Stock discount extinguished through dend is not payable in cash the consid­ retained income.” eration shall be described in the entry § 10.556 Miscellaneous appropriations with sufficient particularity to identify it. of income. Except as provided in ac­ This account shall be subdivided so as count 552, “Income applied to sinking to show separately the dividends on the and other reserve funds,” this account various subclasses of capital stock. shall include amounts definitely appro­ Note A: Interest accrued on debenture priated from income for the discharge stock shall be charged to account 546, “Inter­ of the principal (less the discount, if any, est on funded debt.” suffered at the time of sale) of any in­ Note B: This account shall not include charges for dividends on capital stock issued debtedness incurred in the acquisition or assumed by the accounting company and or improvement of property carried in owned by it, whether pledged as collateral, the road and equipment accounts; also or held in its treasury, in special deposits, or amounts similarly appropriated to pro­ in sinking or other reserve funds. (See ac­ count 552, “Income applied to sinking and vide a reserve for doubtful accounts, and other reserve funds.") for other purposes not provided for else­ Note C: This account shall be used when where. the appropriations are definitely made charge­ No te A : Similar appropriations made from able to income. Similar appropriations made retained income shall be charged to account from retained income shall be charged to 618, “Miscellaneous appropriations of re­ account 614, “Dividend appropriations of tained income.” retained income." Note B : The amounts charged to this ac ­ § 10.554 Income appropriated for in­ count shall be concurrently credited to ac ­ vestment in physical property. This ac­ count 797, “Retained income—Appropriated.” count shall include amounts definitely § 10.557 Delayed income debits. This appropriated from income to be applied account shall include delayed debit items for the construction or acquisition of new and adjustments for which no provision lines and extensions and of additions to has previously been made, relating to and betterments of property the cost of operating revenues, operating expenses, which is chargeable to road and equip­ ment accounts or applied for the con­ and income arising during the current struction or acquisition of property the year which are applicable to prior years, cost of which is includible in balance- and which are relatively so large that sheet account 737, “Miscellaneous phys­ their inclusion in the appropriate ac­ ical property.” counts of the current year would se­ Records of the accounting carrier shall riously distort the accounts for the year. be so kept that the appropriations Not e : All entries in this account shall be charged to this account for any fiscal made in such detail as will indicate the period may be distinguished as relating operating-revenue, operating-expense or in­ to (a) amounts expended during preced­ come accounts to which they relate. ing fiscal periods, (b) amounts expended during the current fiscal period, and (c) § 10.560 Form of income statement. amounts held in reserve. The classified form of income statement The records shall also show separately is designed to show the financial changes 100 resulting from transportation operations 550. Income transferred to other and other business of the accounting companies______551. Miscellaneous income company during any specified period. charges______OPERATING INCOME 557. Delayed income debits------Total miscellaneous deductions. — Railway operating income Income available for fixed 501. Railway operating revenues1------charges 2______581. RaUway operating expenses 1- — - Net revenue from railway op­ FIXED CHARGES erations2______542. Rent for leased roads and 532. Railway tax accruals1______equipment______Railway operating income2______546. Interest on funded debt: Rent income (a) Fixed interest not in default------503. Hire of freight cars—Credit (b) Interest in default______balance______547. Interest on unfunded debt-. ---- 504. Rent from locomotives______548. Amortization of discount on 505. Rent from passenger-train funded deb t______cars______— Total fixed charges------— 506. Rent from floating equip­ Income after fixed charges2.. — ment______507. Rent from work equipment ------OTHER DEDUCTIONS 508. Joint facility rent income______Total rent income______546. Interest on funded debt: (c) Contingent interest------Rents payable 552. Income applied to sinking 536. Hire of freight cars—Debit and other reserve funds: balance______(a) Increments to special funds 537. Rent for locomotives______required to be retained there­ 538. Rent for passenger-train cars. ----- in and not subject to with­ 539. Rent for floating equipment. ----- drawal except for purposes of 540. Rent for work equipment______the funds______541. Joint faculty rents______Total other deductions______Total rents payable______Net income after fixed charges Net rents2______and other deductions2______Net railway operating income2— ---- DISPOSITION OF NET INCOME OTHER INCOME 552. Income applied to sinking and 502. Revenues from miscellaneous other reserve funds: operations______(b) Income applied to capital 509. Income from lease of road funds under Govern­ and equipment______mental authority or other 510. Miscellaneous rent income_____ arrangements______511. Income from nonoperating (c) Appropriations, allotments, property------and payments from in­ 512. Separately operated proper­ come of definite amounts ties—Profit______to special funds not in­ 513. Dividend income______cludible in 552 (a) or 552 514. Interest income______( b ) ------516. Income from sinking and 553. Dividend appropriations of other reserve funds______income______517. Release of premiums on 554. Income appropriated for in­ funded debt______vestment in physical prop­ 518. Contributions from other erty ------companies______555. Stock discount extinguished 519. Miscellaneous income______through income______520. Delayed income credits______556. Miscellaneous appropriations Total other income______of income______Total income2______Total appropriations of income ______MISCELLANEOUS DEDUCTIONS FROM INCOME 602. Balance of income trans­ 534. Expenses of miscellaneous ferred to Retained In­ operations______come—Unappropriated 2______535. Taxes on miscellaneous oper­ SUPPLEMENTARY STATEMENT OF SPECIFIED ating property______INCOME ITEMS 543. Miscellaneous rents______544. Miscellaneous tax accruals______Net railway operating income______— 545. Separately operated proper­ Add depreciation—Way and ties—Loss______structures______549. Maintenance of investment 1 Includes operations of water lines, if any. organization______2 If a loss the amount shall be shown in red. 101 Add depreciation—Equipment.. ------Unreleased premiums on funded debt Add amortization of defense reacquired before maturity. projects—Road ------Collection of old accounts previously Add amortization of defense written off. projects—Equipment ------Net railway operating income DEBIT before depreciation and amortization of defense projects ______§ 10.611 Debit balance (at beginning Net income______of calendar year). This account shall Add Federal income taxes______include the net debit balance in the Net income before Federal in­ retained income account at the begin­ come taxes______ning of the calendar year. Net income______Add depreciation—Way and § 10.612 Debit balance transferred structures______from income. This account shall show Add depreciation—Equipment_____ the net debit balance brought forward Add amortization of defense from the income account for the cal­ projects----- Road ______endar year. Add amortization of defense projects—Equipment ______§ 10.613 Retained income applied to Add Federal income taxes______sinking and other reserve funds. This Net income before deprecia­ account shall include amounts definitely tion, amortization of de­ appropriated from retained income and fense projects, and Federal applied to sinking and other reserve income taxes______funds; and allotments or payments of R etained I ncome Accounts definite amounts from retained income into sinking and other reserve funds un­ CREDIT der the terms of mortgages, deeds of § 10.601 Credit balance (at beginning trust, or other contracts that provide for of calendar year). This account shall such allotments or payments. include the net credit balance in the retained income account at the begin­ Note A: The amounts charged to this ac­ ning of the calendar year. count shall be concurrently credited to ac­ count 797, “Retained income—Appropriated.” § 10.602 Credit balance transferred Note B : Similiar appropriations made from from income. This account shall show income shall be charged to income account the net credit balance brought forward 552, “Income applied to sinking and other from the income account for the calen­ reserve funds.” dar year. § 10.614 Dividend appropriations of § 10.607 Miscellaneous credits. This retained income. This account shall in­ account shall include amounts, not pro­ clude amounts definitely declared pay­ vided for elsewhere, transferred from able from retained income as dividends other accounts to retained income, and on actually outstanding capital stock amounts representing increases of re­ issued or assumed by the accounting sources not properly assignable to the in­ company, other than debenture stock. come accounts. Among the items which (See definition of the several classes of shall be included in this account are: capital stock in balance-sheet account Adjustments or cancellations of bal­ 791, “Capital stock issued.”) If a divi­ ance-sheet accounts. dend is not payable in cash the consider­ Cancellation of balance-sheet accounts ation shall be described in the entry with representing unclaimed wages and sufficient particularity to identify it. vouchered accounts written off because This account shall be subdivided so of carrier’s inability to locate the as to show separately the dividends on creditor. the various subclasses of capital stock. Profit from the sale of land carried in account 731, “Road and equipment prop­ N ote A: Interest accrued on debenture stock shall be charged to income account erty". 546, “Interest on funded debt.” Profit derived from the sale of invest­ N ote B : This account shall not include ment securities, charges for dividends on capital stock issued Profit derived from the sale of prop­ or assumed by the accounting company and erty carried, in balance-sheet account owned by it, whether pledged as collateral 737, “Miscellaneous physical property,” or held in its treasury, in special deposits, or in sinking or other reserve funds (See Credits resulting from adjustments re­ account 613, “Retained income applied to quired to bring to par funded debt se­ sinking and other reserve funds.”) curities issued or assumed by the ac­ Note C. Similar appropriations made from counting company and reacquired at a income shall be charged to income account cost less than the par value, 553. “Dividend appropriations of income.”

102 § 10.615 Retained income appropri­ vided for elsewhere, chargeable to re­ ated for investment in physical property. tained income from other accounts, This account shall include amounts defi­ amounts written off in consequence of nitely appropriated from retained in­ adjustments, and payments not properly come, to be applied for the construction chargeable to the income accounts. or acquisition of new lines and extensions Among the items which shall be charged and of additions to and betterments of to this account are: property the cost of which is includible Adjustments or cancellations of bal­ in the road and equipment accounts or ance-sheet accounts. applied for the construction, acquisition, Losses resulting from the sale of in­ or improvement of property the cost of vestment securities, which is includible in balance-sheet ac­ Losses resulting from the sale, de­ count 737, “Miscellaneous physical prop­ traction, or abandonment of property erty.” carried in balance-sheet account 737, Records of the accounting carrier shall “Miscellaneous physical property,” be so kept that the appropriations Debits resulting from adjustments re­ charged to this account for any fiscal quired to bring to par funded debt se­ period may be distinguished as relating curities issued or assumed by the ac­ to (a) amounts expended during preced­ ing fiscal periods, (b) amounts expended counting company and reacquired at a during the current fiscal period, and (c) cost exceeding the par value, amounts held in reserve. Adjustments of the difference between the ledger value of land credited to ac­ N o t e A: Similar appropriations made from income shall be charged to income account count 731, “Road and equipment prop­ 554, “Income appropriated for investment in erty,” and the estimated value thereof physical property.” charged to account 737, “Miscellaneous N o t e B : The amounts charged to this ac­ physical property”. count shall he concurrently credited to ac­ Loss from the sale of land carried in count 797, “Retained income—Appropriated.” account 731, “Road and equipment prop­ § 10.616 Stock discount extinguished erty”. through retained income. This account Discount on capital stock remaining shall include amounts definitely appro­ unextinguished at the time of its reac­ priated from retained income to reduce quisition, resale, or retirement if in ex­ or extinguish the amount of discount on cess of the pro rata portion includible capital stock issued by the accounting in paid-in surplus. company. Unextinguished discounts on funded N o t e : Similar appropriations made from debt reacquired before maturity, income shall be charged to income account Payments of old accounts previously 555, “Stock discount extinguished through written off. Income.” Penalties and fines for violation of the § 10.618 Miscellaneous appropriations Interstate Commerce Act, or other Fed­ of retained income. This account shall eral laws, when not specifically provided include amounts definitely appropriated for elsewhere. from retained income to provide a re­ General B alance Sheet Accounts serve for doubtful accounts and, except as provided in account 613, “Retained in­ debit come applied to sinking and other reserve § 10.701 Cash. This account shall funds,” for the discharge of the principal include money, checks, sight drafts, and (less the discount, if any, suffered at the sight bills of exchange in the hands of time of sale) of any indebtedness in­ the accounting company’s financial offi­ curred in the acquisition or improvement cers and agents, or in transit from its of property carried in the road and agents and conductors for which such equipment accounts; also other amounts agents and conductors have received appropriated from retained income and credit. It shall include, also, deposits not provided for elsewhere. with banks and trust companies avail­ N o t e A : Similar appropriations made from able for use on demand, and savings ac­ income shall be charged to income account counts subject to the usual clause re­ 556, “Miscellaneous appropriations of in­ serving the right to defer payment for a come.” specified number of days. N ote B : The amounts charged to this ac­ count shall be concurrently credited to ac­ § 10.702 Temporary cash invest­ count 797, “Retained income—Appropriated.” ments. This account shall include the cost of securities and other collectible § 10.621 Miscellaneous debits. This obligations acquired for the purpose of account shall include amounts, not pro­ temporarily investing cash, such as

103 United States Treasury certificates, mar­ sentatives charged with the collection or ketable securities, time drafts receivable, custody of current revenues. demand loans, time loans, time deposits No t e : Amounts advanced to general and with banks and trust companies, and special agents as working funds shall not be other similar investments of a temporary included in this account, but in account character. 710, "Working fund advances.” § 10.703 Special deposits. This ac­ § 10.707 Miscellaneous accounts re­ count shall include funds specifically de­ ceivable. This account shall include posited for the payment of dividends, amounts due in audited accounts con­ interest, and other current liabilities; sidered good, such as those due from the also other deposits subject to current United States or other Governments for withdrawal for specific purposes only. the transportation of mails and Govern­ ment property, and from express com­ N o t e : Deposits available for general com­ pany purposes shall be included in account panies for express facilities furnished 701, "Cash." under contract; amounts due from other carriers on account of freight claims § 10.704 Loans and notes receivable. paid; miscellaneous bills against other This account shall include the book value railway companies, corporations, firms, of all collectible obligations in the form and individuals; and other similar items. of demand or time loans and notes re­ N o t e : The amount to be entered in this ceivable, or other similar evidences account is not the net balance between this (except interest coupons) of money account and account 754, "Miscellaneous receivable within a time not exceeding accounts payable.” one year from date of issue. § 10.708 Interest and dividends re­ Note A: Obligations held as investments which mature more than one year after date ceivable. This account shall include the of issue shall be included in accounts 721, amount of interest accrued to the date of "Investments in affiliated companies"; or 722. the balance sheet on bonds owned and "Other investments," as may be appropriate. on loans made, the amount of dividends Note B: Loans and notes receivable ac­ declared on stocks owned, and dividends quired for the purpose of temporarily invest­ accrued on such stocks when contracts ing cash shall be included in account 702, “Temporary cash investments." require that the dividends be paid at stated times. § 10.705 Traffic and car-service bal­ N ote A : No amount representing interest ances—Dr. This account shall include or dividends receivable shall be included in the net of the balances receivable from this account unless its payment is reason­ or payable to other companies in the ac­ ably assured by past experience, anticipated counts representing interline freight, provision, or otherwise. N ote B : N o dividends or other returns on passenger, and baggage revenues, and securities issued or assumed by the account­ charges for equipment interchanged on ing company shall be included in this a per diem or a mileage basis, when such account. balances result in a net debit. N ote C: If settlement of amounts in­ cluded in this account is not made when due Note A: When the net of the balances is either in cash or with other tangible assets a credit it shall be included id account 752, of equal money value, such amounts shall “Traffic and car-service balances—Cr.” be cleared from this account and charged Note B: The amount to be entered in to the income account originally credited. this account in the carrier’s annual report If notes are taken in settlement of amounts to the Commission shall be stated in accord­ included in this account, the amounts ance with the text of this account. For con­ thereof shall be charged to account 704, venience in accounting the carrier may "Loans and notes receivable," or account maintain currently separate subaccounts un­ der the following captions: 741, "Other assets,” as may be appropriate, 705 and 752 (a) Interline freight, balance. but such amounts shall not be credited to 705 and 752 (b) Interline passenger, income (or if previously credited to income balance. shall be cleared therefrom as provided in 705 and 752 (c) Interline baggage, balance. the first sentence of this note), unless in­ 705 and 752 (d) Equipment interchange, clusion therein is justified by the current balance. asset position of the obligor. If such notes are of doubtful value, the amount at which § 10.706 Net balance receivable from they are charged to account 741, "Other as­ agents and conductors. This account sets," shall be credited to account 784, “Other deferred credits," and income shall not be shall include the net balance due in cur­ credited until payment is received, and then rent accounts from agents, from train, only with the amount collected. If long­ sleeping car, and dining car conductors, term notes are taken in settlement of current and from train collectors, train auditors, assets, the credit to income shall be cancelled porters, and other employees and repre­ and account 741, "Other assets," shall be

104 charged with their true values, and a like allowance shall be made for any dis­ sum shall be credited to account 784, “Other counts allowed in the purchase thereof. deferred credits.” N o t e A: Balances representing the cost § 10.709 Accrued accounts receivable. of unapplied construction material and sup­ This account shall include estimates of plies located at the point of use, which have all unaudited current items receivable been purchased for projected new roads and extensions, or for new railroad equipment, by the carrier to the date of the balance are provided for in road and equipment ac­ sheet, including those which are credit­ count 47, “Unapplied construction material able to revenue, expense, or income ac­ and supplies,” or account 59 “Unapplied counts in accordance with the instruc­ material and supplies—Equipment.” tion relating to unaudited items. N o t e B: An inventory of material and Examples of items to be included: supplies shall be taken during each calendar year and the necessary adjustments to bring Rents receivable which are not includible this account into harmony with the actual in account 707, “Miscellaneous accounts re­ inventory balances shall be made in the ceivable.” See Note C to account 708, “In­ accounts of the year in which the inven­ terest and dividends receivable.” tories are taken. In effecting this adjust­ Amounts receivable from others for un­ ment determined differences in accounting reported interline traffic. for important classes of material shall be Amounts receivable from others for use equitably assigned among the accounts to of facilities, including equipment, for which which the classes of material are ordinarily bills have not been rendered. chargeable. Other differences shall be equi­ Amounts receivable from others for serv­ tably apportioned among the primary ac­ ices for which bills have not been rendered. counts to which material has been charged § 10.710 Working fund advances. since the last inventory. This account shall include amounts ad­ § 10.713 Other current assets. (a) vanced to general and special agents, and This account shall include items of cur­ to other officers and employees, as work­ rent assets not covered by accounts 701 ing funds from which certain expendi­ to 712, inclusive. tures are to be made and accounted for. (b) It shall include asset items not It also includes advances to fast freight includible in any of the foregoing asset lines and to demurrage and other accounts that have been advanced be­ bureaus. yond the stage of deferred assets. N o t e : Advances to jointly owned or used terminal companies and other companies § 10.715 Sinking funds. This ac­ for permanent working funds or capital count shall include the amount of cash, purposes shall be Included in accounts 721, the ledger value of live securities of other “Investments in affiliated companies,” or 722, companies, and other assets which are “Other investments,” as may be appropriate. held by trustees of sinking and other § 10.711 Prepayments. This account funds for the purpose of redeeming out­ shall include the balances in the ac­ standing obligations, including such counts representing prepaid rents assets so held in the hands of the ac­ chargeable to the appropriate rent ac­ counting company’s treasurer when the counts as the term is consumed for which assets are segregated in a distinct fund; the rents are paid; also interest and in­ also amounts deposited with such surance premiums paid in advance of trustees on account of mortgaged prop­ their accrual, which are to be appor­ erty sold, the proceeds of which are to be tioned and charged, as they accrue, to held for the redemption of securities, the appropriate accounts. and the par value or with respect to no par stock, the amounts recorded in N o t e : Expenditures by a carrier for im­ provements to office buildings and other fa­ account 791, “Capital stock issued,” re­ culties rented for more than one year, title lating thereto, of live securities issued or to which will pass to the lessor at the end assumed by the accounting company and of the rental period, shall be charged to ac­ held in such funds. A separate account count 743, “Other deferred charges,” and shall be kept for each fund. The title of amortized over the rental period as addi­ each such account shall designate the tional rent. obligation in support of which the fund is § 10.712 Material and supplies. This created. account shall include the balances repre­ N o t e : In stating the balance sheet in the senting the cost, less depreciation, if any, annual reports to the Commission the total amount of the funds and the par value or of all unapplied material, such as road with respect to no par stock, the amounts and shop material, articles in process of recorded in account 791, "Capital stock is­ manufacture by the accounting com­ sued,” relating thereto, of securities issued or pany, fuel, stationery, and dining car assumed by the accounting company and and other supplies. In determining the held in the funds shall be shown in the cost of material and supplies suitable short columns, and the net amount of the 105 funds (total amount less securities issued Note A: Sinking funds and capital and or assumed) shall be shown in the long other reserve funds are provided for in ac­ column. counts 715 and 716, respectively. Note B: In stating the balance sheet in § 10.716 Capital and other reserve the annual reports to the Commission the funds. (a) This account shall include total amount of the funds and the par value cash and the ledger value of other assets or with respect to no par stock, the amounts held by trustees or by the accounting recorded in account 791, “Capital stock is­ sued,” relating thereto, of securities issued company’s treasurer when segregated in or assumed by the accounting company and distinct funds that have been (1) re­ held in the funds shall be shown in the short alized from the sale of equipment obli­ columns, and the net amount of the funds gations or other long-term obligations (total amount less securities issued or as­ and not yet applied toward the specific sumed) shall be shown in the long column. purposes for which the obligations were N ote C: This account shall not include incurred, and (2) set aside in accordance funds held by the accounting company solely with governmental, mortgage, or con­ as trustee and in which it has no bene­ tractual requirements in connection with ficial interest. N ote D: Bank deposits subject to current reorganizations or otherwise. This ac­ withdrawal for specific purposes only, shall count shall also include funds deposited be included in account 703, “Special de­ with trustees to be held until mortgaged posits.” Deposits available for general com­ property sold is replaced. pany purposes shall be included in account (b) An appropriate record shall be 701, “Cash.” maintained for securities issued or as­ § 10.721 Investments in affiliated com­ sumed by the accounting company and held in the funds, identifying those that panies. This account shall include the are nominally issued or nominally ledger value of the accounting company’s outstanding. investment in securities issued or as­ sumed by affiliated companies other than Note A: Funds specifically set aside for sinking fund purposes shall be included in securities held in special deposits or account 715, “Sinking funds.” If one pur­ special funds, and also investment ad­ pose of a capital fund is to provide contribu­ vances made to affiliated companies. tions to a sinking fund under specified con­ This account shall be maintained in ditions, the entire amount of the fund shall be included in this account until the con­ such manner as to show each of the fol­ tributions to the sinking fund are made, at lowing classes of investment in each which time the amounts thereof shall be affiliated company: transferred to account 715. (a) Stocks. Note B : The ledger value of assets of the character indicated in paragraph (a) (2) of (b) Bonds. this section, shall be transferred to the ap­ (c) Other secured obligations. propriate current asset account when the (d) Unsecured notes. assets are definitely assigned in advance of (e) Investment advances. expenditure to the payment of interest or A complete record of securities pledged other current liabilities payable within one shall be maintained so that the ledger year. value of securities pledged and unpledged Note C: Bank deposits subject to cur­ rent withdrawal for specific purposes only, may be shown separately in the annual shall be included in account 703, “Special report to the Commission. deposits.” Deposits available for general Note A: Accounts with affiliated com­ company purposes shall be included in ac­ panies which are subject to current settle­ count 701, “Cash.” ment, if their collection is reasonably as­ sured, shall be classed as current assets, but § 10.717 Insurance and other funds. if settlement is deferred beyond one year This account shall include the amount such items shall be transferred to account of cash and the ledger value of securi­ 741 “Other assets.” ties of other companies and other as­ N ote B: The term affiliated companies sets which are in the hands of trustees includes: or managers of insurance, employees’ 1. Controlled companies, including com­ pension, savings, relief, hospital, and panies solely controlled by the accounting company, and also companies jointly con­ other funds which have been raised and trolled by the accounting company and specifically set aside or invested for spe­ others under a joint arrangement. cific purposes not provided for elsewhere; 2. Controlling companies, including both also the par Value or with respect to no companies solely controlling the accounting par stock, the amounts recorded in ac­ company, and companies which jointly con­ count 791, “Capital stock issued,” relat­ trol the accounting company under a joint ing thereto, of securities issued or as­ arrangement. 3. Companies controlled by controlled sumed by the accounting company and companies. held in such funds. A separate account 4. Companies controlled by controlling shall be kept for each fund. companies.

106 By "control” is meant the ability to deter­ panies” includes all companies other than mine the action of a corporation. For the those defined as affiliated in Note B of purposes of this account, the following are account 721, “Investments in affiliated com­ to be considered forms of control: panies.” (a) Right through title to securities issued Note C : The value of securities borrowed or assumed to exercise the major part of the by the accounting company and pledged voting power in the controlled corporation. shall not be included in this account. (b) Right through agreement of some Note D: The value of securities pledged character or through some source other than for purposes other than that of security for title to securities, to name the majority of funded debt or short-term loans shall be in­ the board of directors, managers, or trustees cluded in accounts 715, “Sinking funds,” 716, of the controlled corporation. “Capital and other reserve funds,” or 717, (c) Right to foreclose a first lien upon all “Insurance and other funds,” as may be or a major part in value of the tangible appropriate. property of the controlled corporation. (d) Right to secure control in consequence § 10.723 Reserve for adjustment of of advances made for construction of the investment in securities-Cr. This ac­ operating property of the controlled count shall include the total of the bal­ corporation. ances in such reserves as are maintained (e) Right to control only in a specific re­ spect the action of the controlled corporation. by the accounting company for the pur­ A leasehold interest in the property of a pose of providing for reductions in the corporation is not to be classed as a form of value of securities owned and recorded control over the lessor corporation. in accounts 721, “Investments in affili­ “Sole control” is that which rests in one ated companies,” or 722, “Other invest­ corporation. ments.” Corresponding charges shall be “Joint control” is that which rests in two made to account 621, “Miscellaneous or more corporations and which is held under a joint arrangement. debits.” N ote C : The value of securities borrowed If reserves are maintained in provision by the accounting company and pledged shall for anticipated losses in specific securi­ not be included in this account. ties, when the related assets are written N ote D: The value of securities pledged down or written off, or are sold or other­ for purposes other than that of security for wise disposed of at a loss, the reduction funded debt or short-term loans shall be in­ cluded in accounts 715, “Sinking funds,” in the book value or the losses sustained 716, “Capital and other reserve funds,” or shall be charged to this account to the 717, “Insurance and other funds,” as may extent of the credit balance in the ac­ be appropriate. count applicable to the particular securi­ ties involved, and the remainder, if any, § 10.722 Other investments. This shall be charged to account 621, “Mis­ account shall include the ledger value of cellaneous debits.” In case a general the accounting company’s investment in reserve for losses in unspecified security securities issued or assumed by nonaffili­ values is maintained, all such losses re­ ated companies other than securities sulting from write-downs, write-offs, held in special deposits or special funds; etc., shall be charged to this account to also investment advances made to non­ the extent of the total credit balance in affiliated companies and to individuals. the account, and the remainder, if any, This account shall be maintained in shall be charged to account 621, “Miscel­ such manner as to show each of the fol­ laneous debits.” lowing classes of investment in each nonaffiliated company: § 10.731 Road and equipment prop­ erty. This account, except in connection (a) Stocks. (b) Bonds. with the acquisition of transportation (c) Other secured obligations. property as provided for in accounts 733, (d) Unsecured notes. “Acquisition adjustment,” and 734, “Do­ (e) Investment advances. nations and grants—Cr.,” shall include the accounting company’s investment in A complete record of securities pledged road and equipment (including that held shall be maintained so that the ledger under contract for purchase), used or value of securities pledged and un­ held for use as transportation property pledged may be shown separately in the in existence at the date of the balance annual report of the Commission. sheet. When property is retired from service No t e A: Accounts with nonaffiliated com­ panies which are subject to current settle­ this account shall be credited with the ment, if their collection is reasonably ledger value of the property retired. assured, shall be classed as current assets, Note A: This account shall not include but if settlement is deferred beyond one any items representing titles to securities. year such items shall be transferred to ac­ N ote B: When any equipment is acquired count 741, “Other assets.” under an agreement which provides that Note B: The term “nonaffiliated com­ the cost shall be paid in installments, the

107 cost (its money value at time of purchase) property,” the cost of improvements made shall be charged to the appropriate road and by the lessee to property leased by it from equipment accounts at the time the equip­ the lessor and settlement is not made at the ment is delivered to the carrier, and included time for the cost thereof, the lessee, pending in this account in the same manner as the settlement with the lessor, shall include the cost of equipment purchased outright. When cost thereof in account 721, “Investments in the par value of notes or other securities is­ affiliated companies,” or 722, "Other invest­ sued in payment, or in part payment, for ments,” as may be appropriate. such equipment is more (or less) than in actual cash value of the equipment at the § 10.733 Acquisition adjustment. time of the purchase, or of the proportion to This account shall be charged with the which the securities are applicable, the dif­ cost of a railway or portion thereof ac­ ference between the par value of the securi­ quired since January 1, 1938, as an op­ ties and the actual cash value of the equip­ erating entity or system by purchase, ment, or of the proportion paid for by the merger, consolidation, reorganization, securities, shall be charged (or credited) to the proper discount and premium accounts. receivership sale or transfer, or other­ N o t e C : Held for use, as referred to above, wise. If the consideration or a part implies the ability of the carrier to substan­ thereof given for the property acquired tiate by plans or policy its characterization consists of securities issued by the ac­ of the probable future use which is to be counting carrier, the cash value thereof made of the property within a reasonable for the purpose of determining the cost period of time. to be charged to this account shall be § 10.732 Improvements on leased the sum of the par value of securities property. This account, except in con­ having par values and the stated or as­ nection with the acquisition of trans­ signed values of nopar securities as portation property as provided for in the determined and approved by the Com­ accounts 733, “Acquisition adjustment,” mission. Where the consideration given and 734, “Donations and grants-Cr.,” for the property acquired is other than shall include the cost of improvements cash or securities issued by the account­ made by the lessee to property which is ing carrier, such consideration shall be held under lease from others or through valued on a current cash basis. control of the company owning the prop­ The accounting for assets acquired and erty, where such improvements are used liabilities assumed shall then be as fol­ by the lessee in transportation service, lows: and the lessee is not to be reimbursed by (a) Assets acquired, except property the lessor for such improvements. includible in accounts 731, “Road and When the cost of improvements made equipment property,” or 732, “improve­ by th e lessee is to be refunded by the ments on leased property,” and liabilities lessor periodically during the term of the assumed shall be recorded in their appro­ lease agreement or at the termination priate accounts in the manner provided thereof, and provided further that in the for in classification of general balance meantime the lessor or company does not sheet accounts. include the cost of such improvements (b) Property includible in primary in account 731, “Road and equipment road and equipment accounts 1, and 2½ property,” the lessee shall include the to 58, inclusive, and 72 to 77, inclusive, cost thereof in this account. shall be recorded in those accounts at When leased property is retired from original cost or estimated original cost as service this account shall be credited with found by the Commission for valuation the ledger value of any improvements purposes. thereto the cost of which has been in­ (c) In the primary road and equip­ cluded in this account, and also with the ment account 2, there shall be recorded amount representing the liability of the the original cost of lands owned by pred­ carrier to the lessor or owner for any ecessor carrier or carriers at basic valua­ property retired that has been used in tion date as reported under Valuation transportation service and was held Order No. 7, dated November 21, 1914, under lease or through control of the and included in the Commission's basic company owning the property. valuation reports. Any lands so reported The carrier’s records shall be kept in without cost except those donated shall such manner as to show the debits and be estimated by the accounting company, credits to this account in accordance which will be subject to verification by with the provisions for road and equip­ the Commission. To this shall be added ment. the cost at the time of dedication to public use of any lands acquired since N o t e A : This account shall not include any items representing titles to securities. the basic valuation date. N o t e B: When the lessor company in­ (d) In the primary road and equip­ cludes in account 731, “Road and equipment ment account 71, there shall be recorded

108 the expenditures incident to the organ­ accounts until authorized by law to destroy ization or reorganization of the account­ or otherwise dispose of them. ing company. Where the records, memoranda, and ac­ counts are so involved with other records, (e) The money outlay expended by a memoranda, and accounts of the grantor as predecessor carrier or carriers for addi­ to make this transfer impracticable, certified tions and betterments to property copies, shall be procured and retained by the leased from other companies whose accounting company; the verity of the copies physical properties are not included in should be certified by the custodian of the the reorganization, shall be transferred originals. to account 732, “Improvements on leased § 10.734 Donations and grants—Cr. property,” in the amounts recorded in This account shall be credited with that account on the books of the pred­ grants obtained from govermental agen­ ecessor carrier or carriers. cies, and with donations from individuals (f) The amounts thus recorded in and others in connection with the con­ primary accounts 1 to 77, inclusive, shall struction or acquisition of property the be concurrently charged to balance sheet cost of which is chargeable to accounts account 731, “Road and equipment 731, “Road and equipment property,” property,” or 732, “Improvements on and 732, “Improvements on leased prop­ leased property,” as appropriate. erty.” (g) Balances in accounts 735, “Ac­ crued depreciation—Road and equip­ § 10.735 Accrued depreciation; road ment,” and 785, “Accrued depreciation— and equipment. (a) This account shall Leased property,” carried on the books be credited with amounts concurrently of the predecessor carrier or carriers at charged to operating expenses or other date of acquisition shall be recorded in accounts to cover the loss in service those accounts on the books of the ac­ value of depreciable road and equipment counting company. To the extent that a property. It shall also include amounts credit balance is available in this which the Commission may authorize account, the accounting company shall the accounting company to credit to credit account 735, “Accrued deprecia­ account 607, "Miscellaneous credits,” or tion—Road and equipment,” and charge charge to account 621, “Miscellaneous debits,” or to account 733, “Acquisition this account with the estimated amount adjustment,” in respect to past accruals by which the balance in account 735 ap­ of depreciation. pears to be deficient with respect to past (b) At the time of the retirement of accrued depreciation on depreciable road each unit of depreciable property, this property included in account 731, “Road account shall be charged with the entire and equipment property.” service value of the unit retired or minor (h) This account shall concurrently item retired and not replaced. be debited or credited, as appropriate, to (c) For balance sheet purposes, this offset asset and liability items recorded account shall be treated as a single com­ in accordance with paragraphs (a) to posite reserve for property. However, (g) of this section. for purposes of analysis, the accounting (i) To the extent that a credit balance company shall maintain subsidiary rec­ is available in this account, if so author­ ords in which this reserve is broken down ized upon application to the Commission, into components corresponding to the retirement of nondepreciable property primary accounts for depreciable prop­ in existence at the date of acquisition erty. These subsidiary records shall which is not replaced may be charged show the current debits and credits to hereto if the loss is not assignable to this reserve by primary accounts. operations subsequent to date of acqui­ § 10.736 Amortization of defense pro­ sition. Other charges to this account jects; road and equipment. This account may be made upon specific approval by shall include the amounts of accumu­ the Commission. lated past provisions for amortization of Note: The accounting company shall be road and equipment defense projects, prepared to furnish the Commission with a the cost of which is included in account full report of the contract of organization 731, “Road and equipment property,” or and a statement showing in detail the account 732, “Improvements on leased consideration given for the property acquired. property.” This account shall be It shall procure in connection with the organization all existing records, memoranda, charged with the credit balance herein and accounts in possession or control of the applicable to specific property at the time grantor relating to construction and the property is retired. improvement of the property acquired and The accounting company shall main­ shall preserve such records, memoranda and tain subaccounts separately for amorti­

436489 O -57 -8 109 zation of (1) road property and (2) gravel pits,” and “Operation of quar­ equipment. ries;” unextinguished discount on short­ term notes; unadjusted debit items not § 10.737 Miscellaneous physical prop­ otherwise provided for and similar items erty. This account shall include the the proper disposition of which is un­ accounting company’s investment in certain. physical property other than property This account also is intended as a sus­ assignable to accounts 731 and 732, in­ pense account in which may be included cluding hotels, restaurants, power plants, deferred amounts for property retired etc., which are not operated by the ac­ chargeable to operating expenses as fol­ counting company or another carrier lows: in connection with its transportation (a) Amounts representing the service service. value of nondepreciable road property ITEMS OP INVESTMENT retired which are relatively so large that Coal and other mines. their inclusion in the accounts for a Commercial power plants. single year would distort those accounts. Hotels and restaurants. (b) Amounts representing the service Lands and buildings not used in trans­ portation operations. value of depreciable road property retired Lands and other property acquired and which are relatively so large that their held in anticipation of future use. inclusion in the depreciation reserve Mineral and timber lands. would result in unduly depleting the Rails and other track material leased to reserve. others. (c) Amounts representing the service Saw mills and other manufacturing plants value of equipment retired which are not operated in connection with trans­ relatively so large that their inclusion in portation service. the depreciation reserve would result in § 10.738 Accrued depreciation; mis­ unduly depleting the reserve. cellaneous physical property. This ac­ (d) This provision covering property count shall be credited with amounts retired is to be used only after permis­ charged to income or other accounts to sion of the Commission has been asked cover the depreciation of property the and given. The carrier in its application cost of which is included in account 737, to the Commission shall give full par­ “Miscellaneous physical property.” ticulars concerning the property retired, When any miscellaneous physical the amount which it is proposed to property is destroyed, sold, or otherwise charge to operating expenses, and the retired from service, the amount in­ period over which, in its judgment, the cluded in this account with respect to the amount of such charge shall be dis­ property retired shall be charged hereto. tributed. § 10.741 Other assets. This account CREDIT shall include the estimated value of sal­ vage recoverable from property retired § 10.751 Loans and notes payable. when the recovery of the salvage is de­ This account shall include the balances ferred for any reason; items of a cur­ representing obligations outstanding in rent character but of doubtful value; the form of loans and notes payable or other deferred assets; and assets not other similar evidences (except interest otherwise provided for in general bal­ coupons) of indebtedness payable on de­ ance sheet accounts. mand or within a time not exceeding one year from date of issue. § 10.742 Unamortized discount on This account shall be kept in such form long-term debt. This account shall in­ so as to show separately the amounts of clude the total of the net debit balances notes payable within one year from date in the discount, expense, and premium of issue that are secured by collateral. accounts for the several subclasses of No t e : This account shall not include funded debt. obligations which mature more than one § 10.743 Other deferred charges. This year after date of issue, or demand or short­ term notes issued to affiliated companies account shall include the amount of debit and includible in account 769, “Amounts balances in suspense accounts that can­ payable to affiliated companies.” not be cleared and disposed of until ad­ ditional information is received, such as § 10.752 Traffic and car-service bal­ freight claims paid when found to be ances—Cr. This account shall include correct, but in advance of investigation the net of the balances receivable from with other carriers; debit balances in or payable to other companies in the ac­ clearing accounts, such as “Shop ex­ counts representing interline freight, penses,” “Store expenses,” “Operations of passenger, and baggage revenues, and

110 charges for equipment interchanged on a unpaid, uncalled for, or unclaimed at the per diem or a mileage basis, when such date of the balance sheet. balances result in a net credit. Dividends which become payable on the first day following that for which the N ote A: When the net of the balances is a debit it shall be included in account 705, balance sheet is made shall be included “Traffic and car-service balances-Dr.” in this account. Note B : The amount to be entered in this account in the carrier’s annual report to the § 10.757 Unmatured interest accrued. Commission shall be stated in accordance This account shall include the amount of with the text of this account. For conven­ interest subject to current settlement ac­ ience in accounting the carrier may maintain crued to the date the balance sheet is currently separate subaccounts under the fol­ made, but not payable until after the lowing captions: first day following that date, on funded 705 and 752 (a) Interline freight, balance. securities or obligations, debt in default, 705 and 752 (b) Interline passenger, balance. receivers’ and trustees’ securities, 705 and 752 (c) Interline baggage, balance. amounts payable to affiliated companies, 705 and 752 (d) Equipment interchanged, notes payable and other indebtedness is­ balance. sued or assumed by the accounting com­ pany. § 10.753 Audited accounts and wages N ote A: Interest accrued which is not payable. This account shall include the paid when it matures shall be included in amount of audited vouchers or accounts account 781, “Interest in default”, unless and audited payrolls unpaid on the date provision has been made for current settle­ of the balance sheet. It shall include ment. Where interest is in default, subse­ balances representing unclaimed wages quent accruals shall be credited direct to and outstanding pay and time or dis­ account 781, “Interest in default.” Note B : Interest accrued on amounts re­ charge checks issued in payment of corded in account 769, “Amounts payable wages and all other unpaid vouchered to affiliated companies,” and not subject to items. current settlement, shall be included in that § 10.754 Miscellaneous accounts pay­ account. able. This account shall include out­ § 10.758 Unmatured dividends de­ standing drafts drawn by station agents, clared. This account shall include divi­ outstanding drafts drawn on the com­ dends declared on capital stock, but not pany in settlement of freight claims, con­ payable until after the first day following ductors’ refund and extra-fare checks the date of the balance sheet. not presented for redemption, deposits of affiliated companies subject to current § 10.759 Accrued accounts payable. settlement, taxes collected from employ­ This account shall include estimates of ees and others for the account of taxing all unaudited items payable by the car­ agencies, and other items of the nature rier to the date of the balance sheet, in­ of demand liabilities not covered by ac­ cluding those which are chargeable to counts 751, 752, 753, 755 and 756. revenue, expense, or income accounts in accordance with the instruction relating No t e : The amount to be reported under to unaudited items. this account is not the net balance between this account and account 707, “Miscellaneous Examples of items to be included: accounts receivable.” Rents payable under leases due subsequent to the date of the balance sheet which are § 10.755 Interest matured unpaid. not includible in account 754, “Miscellaneous This account shall include the amount accounts payable.” of matured and unpaid interest on Amounts payable to others for unreported funded debt, and other obligations of the interline traffic. accounting company for which provision Amounts payable to others for use of has been made for current settlement. facilities, including equipment, for which bills have not been rendered. Interest which matures on the first day Amounts payable to others for services following that for which the balance for which bills have not been rendered. sheet is made shall be included in this No t e : D o not include in this account the account. carrier’s estimate of liability in respect of No t e : Interest matured unpaid on non- revenue overcharges, injuries to persons, and negotiable debt to affiliated companies, if not loss and damage claims. Such estimated li­ subject to current settlement, shall be in­ ability shall be credited to account 774, cluded in account 769, “Amounts payable to “Casualty and other reserves.” affiliated companies.” § 10.760 Taxes accrued. This account § 10.756 Dividends matured unpaid. shall be credited with the accruals of all This account shall include the amount of taxes which have been concurrently dividends payable on capital stock but charged to the appropriate income or

111 other accounts for taxes. Such accruals negotiable paper; and stock trust certificates may be based upon estimates, provided that are similar in character to collateral trust bonds. such estimates shall be adjusted so as (c) Income bonds. Bonds which are a to reflect in this account at all times the lien on a carrier’s revenue alone, or bonds carrier’s estimate of its unpaid liability which, while being a lien on its property and for each of the several classes of taxes franchises, can claim payment of interest which have not been finally settled. only in case interest is earned. Vouchers for the current payment of (d) Miscellaneous obligations. All funded taxes, including taxes for which accru­ obligations not provided for by the other subdivisions of this account, also notes, un­ als have not been made previously, shall secured certificates of indebtedness, deben­ be charged to this account. Taxes paid ture bonds, plain bonds, real estate mort­ in advance shall also be charged to this gages executed or assumed and other similar account. obligations maturing more than one year The records supporting the entries in from date of issue, but excluding liabilities this account shall be kept to show sepa­ for assessments for public improvements and rately by classes of taxes the amount of those evidenced by conditional or deferred equipment purchase contracts for which pro­ the tax accruals for the current year and vision is made in account 782, “Other liabili­ adjustments of accruals for prior years. ties,’’ and account 766, "Equipment obliga­ § 10.761 Other current liabilities. tions,” respectively. There shall be included in this account (e) Receipts outstanding for funded debt. Receipts for payments on account of funded the principal amount of unpresented debt. When certificates are issued for bonds drawn for redemption through the amounts so paid, the par value shall be in­ operation of sinking and redemption cluded in the account covering the class of fund agreements, also the principal funded debt for which the certificates are amount of unpresented funded debt ob­ issued. ligations, and receivers’ and trustees’ Each of the above classes shall also be securities which have matured (for which divided into subclasses according to dif­ provision has been made for current set­ ferences in mortgage or other lien or tlement), and other current liabilities security therefor, rate of interest, interest not covered by accounts 751 to 760, in­ dates, or date of maturity. Parts of any clusive. issue agreeing in other characteristics § 10.765 Funded debt unmatured. but maturing serially may be treated as There shall be included in this account of the same subclass. the total par value of unmatured debt Records shall be maintained in such (other than equipment obligations), ma­ manner as to show (1) securities the is­ turing more than one year from date suance or assumption of which has been of issue, issued by the accounting com­ authorized by the Commission under sec­ pany and not retired or canceled, and tion 20a of the Interstate Commerce Act, the total par value of similar unma­ and similar securities issued or assumed tured debt of other companies, the pay­ prior to the effective date of that provi­ ment of which has been assumed by the sion of the act, and (2) other obligations accounting company. of a kind which may legally be issued or The amounts included in this account assumed without such authorization. shall be divided so as to show the par Note A: Securities (other than equipment value of (1) certificates or other evi­ obligations) maturing one year or less from dences of funded debt (pledged and un­ date of issue shall be included in accounts pledged) held in the company’s treasury, 769, “Amounts payable to affiliated com­ by its agents or trustees, or otherwise panies,” or 751, “Loans and notes payable,” subject to its control, including both except that where an issue of securities ma­ those reacquired after actual issue and turing serially over a period of years con­ tains short-term obligations such obligations those nominally but never actually is­ may be included as funded debt. Matured sued; and (2) certificates or other evi­ funded debt shall be included in account dences of funded debt issued and actually 761, “Other current liabilities,” if provision outstanding, being those not held by the has been made for current settlement. If no company, its agents or trustees, or sub­ provision has been made for current settle­ ject to its control. ment, matured funded debt shall be included The amounts included herein shall be in account 768, “Debt in default,” except that when the collection of matured funded debt further divided so as to show the amount of affiliated companies is not enforced by of each class of funded debt, as follows: controlling companies, the principal amount (a) Mortgage bonds. Bonds secured by (to the extent held by a controlling com­ lien on physical property and not includible pany) shall be included in account 769, in the other subdivisions of this account. “Amounts payable to affiliated companies.” (b) Collateral trust bonds. Bonds and Note B: For the purposes of the balance- notes secured by a lien on securities or other sheet statement funded debt securities are

112 considered to be nominally issued when cer­ tified by trustees and placed with the proper possession of the property of the com­ officer for sale and delivery, or pledged, or pany, and under the order of such court otherwise placed in some special fund of the issue or assume evidences of indebtedness accounting company. They are considered (other than equipment securities or obli­ to be actually issued when they have been gations) the par value of such evidences sold to a bona fide purchaser for a valuable shall be credited to this account. consideration, and such purchaser holds them N o t e : The par value of equipment s e ­ free from all control by the accounting com­ curities or the principal amount of obliga­ pany. All funded debt securities actually tions incurred for the purchase of equip­ issued and not reacquired and held by or for ment under conditional or deferred payment the accounting company are considered to be contracts shall be included in account 766, actually outstanding. If reacquired by or for “Equipment obligations.” the accounting company under such circum­ stances as require them to be considered as § 10.768 Debt in default. This account held alive and not canceled or retired, they shall include amounts transferred from are considered to be nominally outstanding. other accounts representing matured Note C: Nonnegotiable notes having a funded securities or obligations, re­ maturity of more than one year after date of issue, held by affiliated companies, shall ceivers’ and trustees’ securities, equip­ be included in account 769, “Amounts pay­ ment obligations and short-term notes, able to affiliated companies.” when maturity dates of such obligations N ote D : Securities nominally issued or re­ have not been extended. acquired and held in the company’s treasury, N o t e A: The principal amount of ma­ except securities held by trustees in sinking tured funded debt of affiliated companies the or other funds, shall be included in a sub­ collection of which is not enforced by the division of this account. In the general controlling company shall (to the extent of balance-sheet statement the total unma­ the principal amount held by the controlling tured funded debt included in the account company) be included in account 769, shall be shown in the first short column. “Amounts payable to affiliated companies.’’ The amount nominally but not actually N o t e B : The principal amount of unpre­ issued and the amount nominally oustand­ sented funded debt obligations which have ing shall be shown in the second short matured, and for which provision has been column, and in the long column shall be made for payment shall be included in ac­ shown the amount actually outstanding. count 761, “Other current liabilities.” § 10.766 Equipment obligations. This § 10.769 Amounts payable to affiliated account shall include the par value of companies. This account shall include equipment securities and the principal the par value of nonnegotiable notes is­ amount of contractual obligations in­ sued to affiliated companies, matured cluding those maturing serially or pay­ funded debt of affiliated companies held able in installments over a period of by controlling companies where there is more than one year. no agreement for an extension as to time The amounts included herein shall be of payment and collection of the prin­ divided as follows: cipal is not enforced, credit balances in (a) Principal amount of equipment open accounts with such companies other securities including those maturing ser­ than credit balances in current accounts ially, issued or assumed by the account­ classable as current liabilities, and inter­ ing company or by receivers and trustees, est accrued on notes, matured funded which have been authorized by the debt of affiliated companies and open Commission under section 20a of the accounts included in this account, when Interstate Commerce Act and similar such interest is not subject to current securities issued or assumed prior to the settlements. effective date of that provision of the This account shall be divided: Act. (a) Notes, including herein not only (b) Principal sums of obligations for nonnegotiable notes that run longer than equipment purchased under conditional a term of one year, but also such notes or deferred payment contracts, which payable on demand or within one year may be legally entered into or assumed from the date of issue when it is mutually by the accounting company or by re­ agreed that the notes shall not be en­ ceivers and trustees, without authoriza­ forced as current assets by the holder. tion by the Commission. (b) Par value of matured funded debt Note: Amounts included in this account of affiliated companies held by control­ which are payable within one year from the ling companies where there is no agree­ date of the balance sheet shall be Shown in ment for an extension of time and collec­ a footnote thereto. tion is not enforced. § 10.767 Receivers' and trustees' se­ (c) Open accounts not subject to cur­ curities. When receivers or trustees rent settlement. acting under the orders of a court are in (d) Interest accrued on amounts in­ 113 cluded in this account when not subject appropriate reserve shall be charged to current settlements. when payments are made to retired employees, or disbursements are made N o t e A. Accounts with affiliated compa­ nies which are subject to current settlements, for the purposes for which the reserves such as traffic and car-service balances, were created. charges for material and supplies currently furnished, charges for repairs to equipment, § 10.772 Insurance reserves. This ac­ etc., shall be classed as current assets or cur­ count shall include the net credit balance rent liabilities, as may be appropriate. in the accounts to which are credited N o t e B. N o item shall be included in this insurance premiums concurrently account which is not known to be the prop­ charged to operating expenses to cover erty of an affiliated company. self-carried risks on fire, fidelity, boiler, N o t e C. The term affiliated companies casualty, burglar, and other insurance, i n c l u d e s : 1. Controlled companies, including com­ and to which are charged losses sustained panies solely controlled by the accounting on items protected by such insurance. company, and also companies jointly con­ § 10.773 Equalization reserves. This trolled by the accounting company and others under a joint arrangement. account shall include ledger balances 2. Controlling companies, including both representing reserves created by charges companies solely controlling the accounting to operating expenses for maintenance of company, and companies which jointly con­ road and equipment under a program trol the accounting company under a joint designed to equalize such expenses by arrangement. months within a calendar year. The 3. Companies controlled by controlled com­ debit or credit balances in this account panies. 4. Companies controlled by controlling shall be closed at the end of each calen­ companies. dar year to the accounts through which By “control” is meant the ability to deter­ they were created. mine the action of a corporation. For the purposes of this account, the following are § 10.774 Casualty and other reserves. to be considered forms of control: This account shall include reserves (a) Bight through title to securities issued created by charges to operating expenses or assumed to exercise the major part of the to provide for estimated liability for in­ voting power in the controlled corporation. juries to persons and loss and damage (b) Right through agreement of some claims; estimated liability for revenue character or through some source other than title to securities, to name the majority of overcharges, such as those covered by the board of directors, managers, or trustees reparation claims; and reserves not of the controlled corporation. otherwise provided for in balance sheet (c) Right to foreclose a first lien upon all accounts. or a major part in value of the tangible prop­ Note: With respect to injuries to persons erty of the controlled corporation. and loss and damage claims, if the settle­ (d) Right to secure control in consequence ments when audited are charged to this of advances made for construction of the account the balances for each year shall be operating property of the controlled corpora­ kept separately until all items have been ad­ tion. justed and cleared, but, if the settlements (e) Right to control only in a specific re­ spect the action of the controlled corporation. when audited are charged to the appropriate A leasehold interest in the property of a expense accounts the balance in this account corporation is not to be classed as a form of shall be adjusted through the appropriate control over the lessor corporation. expense accounts so as to reflect the probable “Sole control” is that which rests in one liability at the close of each year. corporation. § 10.781 Interest in default. This “Joint control” is that which rests in two account shall include the amount of or more corporations and which is held under matured and unpaid interest (for which a joint arrangement. no provision has been made for current § 10.771 Pension and welfare reserves. settlement) on all indebtedness issued or This account shall include the credit bal­ assumed by the accounting company ex­ ances representing the liability of the cept interest which is added to the prin­ carrier for amounts provided by charges cipal of the debt on which incurred. to operating expenses or by specific ap­ Where interest is in default, subsequent propriations of income or retained in­ accruals shall be credited direct to this come, including amounts contributed by account. employees, irrespective of whether car­ § 10.782 Other liabilities. This ac­ ried in special funds or in the general count shall include assessments for pub­ funds of the carrier, for pensions, acci­ lic improvements payable over a period dent and death benefits, savings, relief, longer than one year; retained percent­ hospital, or other provident purposes. ages due contractors to be paid upon Separate subaccounts shall be kept for completion of contracts; deposits for each kind of reserve created, and the construction of side tracks to be refunded 114 on basis of an agreed portion of the Commission for stock without par value, earnings from the traffic handled over for all shares of capital stock or other the tracks; other deferred liabilities; and form of proprietary interest in the ac­ liabilities not otherwise provided for in counting company which have been is­ general balance sheet accounts. sued to bona fide purchasers and have N o t e : The amount of assessments for not been reacquired and canceled, also public improvements, if payments are to be shares of stock nominally issued, and re­ made within one year, shall be included in acquired shares which have not been account 761, “Other current liabilities.” canceled. § 10.783 Unamortized premium on Appropriations of retained income long-term debt. This account shall in­ which have been transferred to no par clude the total of the net credit balances stock account shall also be included. in the discount, expense, and premium The amount of the consideration re­ accounts for the several subclasses of ceived from the sale of par value stock funded debt. in excess of the amount credited to this account shall be credited to account 794, § 10.784 Other deferred credits. This “Premiums and assessments on capital account shall include the amount of stock.” credit balances in suspense accounts that When capital stock is retired or can­ cannot be entirely cleared and disposed celed, this account shall be charged with of until additional information is re­ the amount at which such stock is car­ ceived, such as amounts received from ried in this account. In the case of no sale of mileage tickets, to be disposed of par stock the amount to be charged as mileage is honored; amounts received hereto shall be the proportion, applicable from sales of excess baggage script, to be to the reacquired shares immediately disposed of as coupons are honored; in­ prior to reacquisition, of the total book terchangeable mileage credential ticket liability included herein of actually out­ redemption funds, amounts collected standing shares of the particular class from the sale of damaged unclaimed, and series of stock of which the reac­ and over freight held pending claim; quired shares are a part. credit balances in clearing accounts, such The amounts included in this account as “Shop expenses,” “Store expenses,” shall be recorded so as to show: “Operating gravel pits,” and “Operating (a) Par value of shares of par value quarries”; unadjusted credit items not stock and amount paid in or approved otherwise provided for; and similar by the Commission of shares of no par items, the proper disposition of which is stock (pledged or unpledged) held in uncertain. the company’s treasury, by its agents or trustees, or otherwise subject to its con­ § 10.785 Accrued depreciation; leased trol, including shares nominally but property. This account shall be credited never actually issued and with amounts concurrently charged to (b) Par value of shares of par value operating expenses or other accounts to stock and amount paid in or approved cover the estimated accrued depreciation by the Commission of shares of no par on leased road and equipment when set­ stock issued and actually outstanding, tlements between the accounting com­ being the shares not held by the com­ pany and the lessor are not made cur­ pany, its agents or trustees, or subject rently. It shall also be credited with to its control. depreciation accrued on property the cost The amounts included herein shall be of which is included in account 732, “Im­ further divided so as to show the amount provements on leased property.” When of each class of stock issued, separated leased property for which accruals have as between par value and no par value been included in this account is retired stock, as follows: from service, the entire service value of (1) Common stock. Stocks which property the cost of which has been have no preference over other issues of charged to account 732 by the lessee and stock in distribution of dividends or of the service value of property, the ledger assets. value of which is carried in account 731, (2) Preferred stock. Stocks having “Road and equipment property,” by the preference over other issues of stock in lessor for which the lessee is liable to the distribution of dividends or of assets. lessor shall be charged to this account. (3) Debenture stock. Stocks issued § 10.791 Capital stock issued. This under a contract to pay a specified re­ account shall include the total par value turn at specified intervals. of par value stock, and the total amount (4) Receipts outstanding for install­ paid in or the amount approved by the ments paid. Receipts for payments on

115 account of subscriptions to capital stock. § 10.792 Stock liability for conversion. When the subscriber has paid his sub­ This account shall include the company’s scription in full and is entitled to receive liability under agreements to exchange certificates representing the shares for its capital stock for the outstanding secu­ which he has subscribed, the par value rities of companies whose physical prop­ of stocks having par value or the agreed erty has been acquired under such agree­ purchase price or the price authorized ments, but whose securities have not yet by the Commission of stock without par been surrendered for exchange. value shall be included in the division § 10.793 Discount on capital stock. appropriate for the class for which the This account shall include discount suf­ certificates are issued. fered in the issuance and sale of capital Each of the above classes shall also stock. Record supporting the entries to be divided into subclasses according to this account shall be kept to show the differences in dividend or interest rights, discount suffered, if any, on each sub­ voting rights, or conditions under which class of capital stock. the securities may be retired. § 10.794 Premiums and assessments Note A: When a general levy or assess­ ment is made against the holders of capital on capital stock. This account shall in­ stock, requiring the payment of any sum clude the excess of the actual cash value in addition to the consideration agreed upon (at the time of the sale of the stock) of at the time of sale, the amount collected upon the consideration received over the such levy or assessment shall be credited to amounts recorded in account 791, “Capi­ account 794, “Premiums and assessments on tal stock issued,” for par value stock plus capital stock.” accrued dividends, if any, also subsequent Note B: When capital stock having par assessments against stockholders repre­ value is exchanged for capital stock without par value any sums resting in account 794, senting payments required in excess of “Premiums and assessments on capital par or other amounts recorded in account stock," with respect thereto shall be cleared 791, “Capital stock issued,” in accord­ to account 791, “Capital stock issued,” and ance with the text of that account. any amounts resting in the discount account When capital stock is retired and can­ with respect thereto shall be cleared to ac­ celed, the amount in this account with count 795, “Paid-in surplus”; Provided, how­ respect to the shares of such stock re­ ever, That any excess over the amount of accumulated net gains applicable to the sub­ tired and canceled shall be charged here­ class exchanged included in paid-in surplus to. shall be charged to account 621, “Miscellane­ § 10.795 Paid-in surplus. This ac­ ous debits.” count shall include such items as amount Note C: An appropriate record shall be maintained with respect to shares of capital of consent dividends on the accounting stock showing the number of shares nomi­ company’s capital stock; surplus arising nally issued, nominally outstanding, actually from donations by the accounting com­ issued and actually outstanding. pany’s stockholders; amounts represent­ Note D: For the purpose of the balance- ing reduction of the par or recorded value sheet statement capital stock is considered of the accounting company’s capital to be nominally issued when certificates are stock; amounts of forfeited subscriptions signed and sealed and placed with the proper to the accounting company’s capital officer for sale and delivery, or pledged, or otherwise placed in some special fund of the stock; gains from the acquisition, retire­ accounting company. It is considered to be ment, or resale of reacquired shares of actually issued when it has been sold to a the accounting company’s capital stock; bona fide purchaser for a valuable considera­ and long-term debt of the accounting tion, and such purchaser holds it free from company forgiven by stockholders. all control by the accounting company. All It shall be charged with amounts in­ capital stock actually issued and not reac­ cluded herein when capitalized by stock quired and held by or for the accounting company is considered to be actually out­ dividends or otherwise with the approval standing. If reacquired by or for the ac­ of the Commission, and losses from re­ counting company under such circumstances tirement or resale of reacquired shares as require it to be considered as held alive up to an amount not in excess of credits and not canceled or retired, it is considered included herein applicable to the re­ to be nominally outstanding. acquired shares; and may be charged N ote E : Shares of stock nominally issued with the amortization of discount on or reacquired and held in the company's capital stock to the extent of credits treasury, except shares held by trustees in sinking or other funds, shall be included herein. in a subdivision of this account In the § 10.796 Other capital surplus. This balance-sheet statement the balance in the account shall include all capital surplus subaccount shall be stated in the short not provided for in account 795, “Paid-in column only. surplus.”

116 § 10.797 Retained income; appropri­ 722. Other investments. ated. This account shall include the 723. Reserve for adjustment of investment in securities—Cr. total of the net balances of appropria­ Total investments. tions of income and retained income for Properties: the acquisition of capital assets; the re­ 731. Road and equipment property. tirement of debt; sinking and redemp­ 732. Improvements on leased property. tion funds; and all other appropriations 733. Acquisition adjustment. specifically set aside in the hands of 734. Donations and grants—Cr. trustees as well as appropriations held in Total transportation property. general funds for which no specific in­ 735. Accrued depreciation—Road and Equipment. vestment or segregation of assets has 736. Amortization of defense projects— been made. It shall also include accre­ Road and Equipment. tions to the assets held in such special Total transportation property less funds. recorded depreciation and A subdivision of this account shall be amortization. maintained by classes of appropriations, 737. Miscellaneous physical property. the titles of which shall indicate the pur­ 738. Accrued depreciation—Miscellaneous physical property. pose for which the appropriations were Miscellaneous physical property less made. recorded depreciation. § 10.798 Retained income; unappro­ Total properties less recorded de­ priated. This account shall include the preciation and amortization. Other assets and deferred charges: net balance (debit or credit) of the 741. Other assets. amounts included in accounts 601 to 621, 742. Unamortized discount on long-term inclusive. It shall not include transfers debt. either to or from accounts 795, “Paid-in 743. Other deferred charges. surplus,” or 796, “Other capital surplus,’ Total other assets and deferred unless so authorized upon application to charges. the Commission. Total assets. Any balance representing retained in­ LIABILITIES AND SHAREHOLDERS’ EQUITY come not segregated at the date of the balance sheet shall be included in a sub­ Current liabilities: division of this account. 751. Loans and notes payable. 752. Traffic and car-service balances—Cr. The balance of accounts 601 to 621, 753. Audited accounts and wages payable. inclusive, shall be closed into this ac­ 754. Miscellaneous accounts payable. count at the end of each calendar year. 755. Interest matured unpaid. 756. Dividends matured unpaid. § 10.799 Form of general balance 757. Unmatured interest accrued. sheet statement. The classified form of 758. Unmatured dividends declared. general balance sheet statement is de­ 759. Accrued accounts payable. signed to show the financial condition 760. Taxes accrued. of the accounting company at any speci­ 761. Other current liabilities. fied date. Total current liabilities. Long-term debt: 1 ASSETS 765. Funded debt unmatured. Current assets: 766. Equipment obligations. 701. Cash. 767. Receivers' and Trustees’ securities. 702. Temporary cash investments. 768. Debt in default. 703. Special deposits. 769. Amounts payable to affiliated com­ 704. Loans and notes receivable. panies. 705. Traffic and car-service balances—Dr. Total long-term debt (due within 706. Net balance receivable from agents one year $ ). and conductors. Reserves: 707. Miscellaneous accounts receivable. 771. Pension and welfare reserves. 708. Interest and dividends receivable. 772. Insurance reserves. 709. Accrued accounts receivable. 773. Equalization reserves. 710. Working fund advances. 774. Casualty and other reserves. 711. Prepayments. Total reserves. 712. Material and supplies. Other liabilities and deferred credits: 713. Other current assets. 781. Interest in default. Total current assets. 782. Other liabilities. Special funds: 783. Unamortized premium on long-term 715. Sinking funds. debt. 716. Capital and other reserve funds. 784. Other deferred credits. 717. Insurance and other funds. Total special funds. Investments: 1 To be divided as to “Total issued” and 721. Investments in affiliated companies. “Held by or for company.”

117 785. Accrued depreciation—Leased prop­ addition an arbitrary mileage of 6 miles erty. per hour for the time working at the Total other liabilities and de­ ferred credits. point or within the working limits named. Shareholders' equity: In computing such arbitrary mileage, Capital stock (par or stated value): fractions representing less than one-half 791. Capital stock issued.1 hour shall be disregarded and other 792. Stock liability for conversion. 793. Discount on capital stock. fractions considered as one hour. Con­ Total capital stock. structive miles on the basis of 6 miles Capital surplus: per hour shall be allowed trains run for 794. Premiums and assessments on cap­ the purpose of removing snow when the ital stock. 795. Paid-in surplus. actual miles of such trains are less than 796. Other capital surplus. the constructive miles. No record is re­ Total capital surplus. quired of work-train miles on new roads, Retained income: road extensions, or portions of such 797. Retained income—Appropriated. roads or extensions, before the com­ 798. Retained income—Unappropriated. Total retained income. mencement of the regular operation of Total shareholders’ equity. mencement of the regular operation of Total liabilities and share­ revenue service trains. holders’ equity. (f) Each train and each section of a train run by a separate train crew shall C lassification o f M il e a g e A c c o u n t s be considered a separate train, whether TRAIN MILES hauled by one or more locomotives either § 10.800 Rules and definitions. (a) the whole distance or a part of the dis­ A train is a unit of equipment, or a com­ tance between the train terminals. bination of units of equipment (exclusive There shall be nothing added to this dis­ of light locomotives), in condition for tance to cover running of locomotives movement over tracks by self-contained from enginehouses to terminals, dou­ motor equipment. A locomotive is a bling hills, running for water, switching, self-propelled unit of equipment de­ or other work at way stations, or for the signed solely for moving other equip­ service of helper or pusher locomotives ment. A light locomotive is a locomo­ or of extra locomotives on double-head tive in condition for movement by its or triple-head trains. own motor equipment, uncoupled to cars, (g) When the carrier’s trains, hauled work equipment, or dead locomotives. by its locomotives and handled by its A motor car is a self-propelled unit of crews, are detoured over foreign roads, equipment designed to carry freight or the miles shall be computed on the basis passenger traffic, and is not to be con­ of the miles actually run, and classified sidered a locomotive. by it in its train-miles in accordance (b) A train-mile is the movement of with the service performed. a train a distance of 1 mile. (h) Separate accounts of train-miles (c) In computing train-miles, frac­ shall be kept for trains hauled by loco­ tions representing less than one-half motives and for trains moved by motor mile shall be disregarded and other frac­ cars. tions considered as 1 mile. TRAIN-MILE ACCOUNTS (d) Transportation service train- miles shall be based on the actual dis­ Transportation Service2 tance run between terminals and sta­ § 10.801 Freight-train miles. This tions, and shall be computed from the account shall include miles run by all official time-tables or distance tables. trains between terminals or stations for (e) Work service train-miles shall be based on the actual distance run between terminals. When work trains are run 2 These accounts shall include the miles of all revenue service Crains, including trains between terminals and not ordered to which incidentally carry employees or com­ work at some specified point or within pany freight. They shall also include the specified working limits, the actual miles miles of trains which are operated between run shall be allowed to them, the same terminals or stations to transport company as to any other class of trains. When freight, when the service is similar to that ordered to run to a certain point to work connected with the transportation of com­ mercial freight and statistics of ton-miles are at that point or within specified working kept. limits, the actual miles made while under The trains here referred to are those the running orders shall be allowed, and in locomotive and train expenses of operating which are includible in the locomotive and 1 To be divided as to "Total issued” and train expense accounts in § 10.370 Trans­ “Held by or for company.” portation; rail line. 118 the transportation of revenue and com­ work-train service shall be in accordance with pany freight; also miles run by trains paragraph (c) of § 10.01-4 Cost of construc­ tion and paragraph (c) of § 10.04-3 Cost of re­ consisting of empty freight cars, and by pairs, and other requirements of the account­ trains consisting of a locomotive and ing regulations for operating expenses. caboose running light in connection with Note C: No record is required of the miles such service. of construction trains on new roads or road Trains which contain passenger-train extensions, or on portions of such roads or cars shall be classed as freight trains extensions, before the commencement of the whenever the number of freight-train regular operation of revenue service trains. cars is in excess of the number of pas­ LOCOMOTIVE MILES senger-train cars in them. Freight-train miles shall be subdi­ § 10.810 Rules and definitions. (a) vided as follows: A locomotive is a self-propelled unit of Ordinary freight-train miles: Miles equipment designed solely for moving run by trains consisting of a locomotive, other equipment. A locomotive-mile is with or without caboose, with other a movement of a locomotive a distance of equipment. 1 mile, under its own power. Light freight-train miles: Miles run (b) In computing locomotive-miles by trains consisting of a locomotive and fractions representing less than one-half caboose, running light in connection with mile shall be disregarded, and other frac­ tions considered as 1 mile. freight-train service. (c) All locomotive-miles made in haul­ § 10.802 Passenger-train miles. This ing transportation service trains shall be account shall include miles run by reve­ based upon the actual distance run be­ nue service trains to transport passen­ tween terminals or stations, and shall gers, baggage, mail, milk, express, or any be computed from the official time-tables combination of these; also miles run by or distance tables as prescribed for train- trains consisting of deadhead passenger miles. equipment. (d) Light-locomotive miles shall be Trains which contain freight-train based on the actual distance locomotives cars shall be classed as passenger trains run, except that no light-locomotive whenever the number of passenger-train miles shall be allowed for terminal serv­ cars is in excess of the number of freight- ice where the distance in one direction train cars in them. is less than one-half mile. N o t e : This account does not apply t o (e) Miles of locomotives in helper serv­ trains run for the transportation of mail ice shall be computed on the basis of or milk upon the basis of authorized tariffs actual distance run in such service. at rates based upon weight. The miles of (f) Train switching locomotive-miles such trains shall be classed as freight-train shall be computed at the rate of 6 miles miles. per hour for the time actually engaged Work Service in such service. In computing such arbi­ § 10.805 Work-train miles. This ac­ trary mileage fractions representing less count shall include miles run by trains than one-half hour shall be disregarded engaged in company service, such as offi­ and other fractions considered as one cial, inspection, and pay trains; inspec­ hour. tion trains for railway commissioners for (g) Yard switching locomotive-miles which no revenue is received; trains run­ shall be computed at the rate of 6 miles ning special with fire apparatus to save per hour for the time actually engaged the carrier’s property from destruction; in such service. In computing yard trains run for transporting the carrier’s switching locomotive-miles, fractions employees to and from work when no representing less than one-half hour transportation charge is made; wrecking shall be disregarded, and other fractions trains; trains run for the purpose of considered as one hour. ditching, filling embankments, and wid­ (h) Work-train locomotive-miles shall ening cuts; trains run for the purpose of be computed according to the rules pre­ removing snow; trains distributing ties, scribed for work-train miles. Miles of rails, other track material, ballast, bridge work locomotives employed in switching material, and other material and sup­ at shops for shop purposes, spotting cars plies for maintenance or for additions in gravel pits, working with pile drivers, and betterments; trains run for picking etc., shall be computed upon the basis up and concentrating such material; and of 6 miles per hour for the actual time trains run for distributing material and in the service. In computing the time supplies for use in connection with oper­ engaged fractions representing less than ation. one-half hour shall be disregarded and N o t e B: The accounting for expenses of other fractions considered one hour.

119 (i) The miles of new or generally re­ tween enginehouses or turntables and paired locomotives running light in freight-train terminals is less than one-half breaking-in service shall not be included m ile. in the locomotive-mile accounts. § 10.812 Passenger locomotive-miles. (j) No record is required of the miles This account shall include miles run by of locomotives in construction service on locomotives in passenger-train service, new roads or road extensions, or on por­ the train-miles of which are includible tions of such roads or extensions, before in account 802. “Passenger-train miles.” the commencement of the regular opera­ Principal passenger locomotive-miles: tion of revenue service trains. Miles run by locomotives principal to (k) A separate record shall be kept the train between terminals or stations, for miles of steam locomotives and for with passenger trains. miles of other locomotives. Helper passenger locomotive-miles: (l) Miles of motor cars shall not be Miles run by locomotives as helpers over classed as locomotive-miles. the division, or that portion covered by LOCOMOTIVE-MILE ACCOUNTS the run, or on important grades. Light passenger locomotive-miles: Transportation Service; Line3 Miles run by locomotives light between terminals or stations on account of un­ § 10.811 Freight locomotive-miles. balanced traffic, in connection with pas­ This account shall include miles run by senger-train service; miles run light be­ locomotives in freight-train service, the tween passenger trains and next coaling train-miles of which are includible in station or water tank for coal or water; account 801. “Freight-train miles.” miles run light to pick up or assist a pas­ Principal freight locomotive-miles: senger train between terminals; miles Miles run by locomotives principal to the run light by grade helpers in returning train, between terminals or stations, with from assisting passenger trains as push­ freight trains; also miles run by locomo­ ers or double-headers; and miles run tives between terminals or stations, with light by locomotives coming from or go­ cabooses, going to or returning from such ing to enginehouses or turntables from service; and miles run in hauling the sec­ passenger-train service. ond cut of freight trains doubled over grades. No t e : No miles shall be allowed for light Helper freight locomotive-miles: Miles movements at terminals if the distance be­ tween enginehouses or turntables and pas­ run by locomotives as helpers over the senger-train terminals is less than one-half division or that portion covered by the m ile. run, or on important grades, including double-headers, triple-headers, and Transportation Service; Switching pushers, regardless of whether on the § 10.815 Train switching locomotive- head end, in the middle, or on the rear miles. This account shall include miles of the train. allowed train locomotives for performing Light freight locomotive-miles: Miles switching service at terminals and way run by locomotives light between termi­ stations Include such items as switch­ nals or stations in connection with ing at industry tracks, team tracks, freight-train service on account of un­ freight bouse tracks, and interchange balanced traffic; miles run light for haul­ tracks, picking up or leaving cars ing second cuts of trains doubled; miles en route; switching out bad order cars, run light between freight trains and next weighing cars, making up or breaking up coaling station or water tank for coal train at points where no yard service is or water; miles run light to pick up or maintained. No time should be included assist freight trains between terminals; representing delays that may occur after miles run light by grade helpers in re­ yard switching has been completed such turning from assisting freight trains as as waiting for a train order, held up ac­ pushers or double-headers; and miles run count of meeting with a train in opposite light by locomotives coming from or go­ direction waiting for waybills or other ing to enginehouses or turntables from time lost due to conditions other than freight-train service. actual train switching. Note. No miles shall be allowed for light § 10.816 Yard switching locomotive- movements at terminals if the distance be­ miles. This account shall include miles allowed yard locomotives while switching 3 This account shall include the miles run in yards where regular switching service by locomotives moving transportation serv­ is maintained; also miles of switching lo­ ice trains, and also miles run light in con­ comotives running light between termi­ nection with such service. nals and yards where regular switching

120 service is maintained in connection with by freight-train cars (including caboose switching service in such yards. This cars) in transportation service. Such account shall be subdivided as follows: car-miles shall be subdivided as follows: Yard switching locomotive-miles; Loaded (run by loaded freight cars). freight: Miles allowed yard locomotives Empty (run by empty freight cars). in yards where regular switching service Caboose (run by caboose cars). is maintained and in terminal switching and transfer service while engaged in (b) This account shall be so kept as to switching cars in connection with the show miles run in freight trains and in transportation of revenue freight; also passenger trains separately. miles allowed locomotives in such serv­ § 10.822 Passenger-train car-miles. ice while engaged incidentally in switch­ (a) This account shall include the actual ing cars in connection with the trans­ miles run by passenger-train cars in portation of company freight. transportation service. It shall include Yard switching locomotive-miles; pas­ miles of loaded cars and also of empty senger: Miles allowed yard locomotives cars deadheaded in connection with the while switching cars in connection with service, and shall be subdivided as passenger-train service. follows: No t e : Where yard switching is performed (1) Coaches. Miles run by coaches for both freight and passenger service by the and chair cars in which passengers are same locomotive, or by locomotives assigned carried at regular tariff fares without to one yard, a fair approximation of the extra charge for space occupied. mileage may be assigned to each service daily (2) Combination coach cars. Miles or monthly. run by combination passenger and bag­ Work Service gage, passenger and mail, and passenger and express cars in which passengers are § 10.817 Work service locomotive- carried at regular tariff fares without miles. This account shall include the extra charge for space occupied. actual miles run by locomotives in work- (3) Sleeving and parlor cars. Miles train service as defined in § 10.805; also run by sleeping, parlor, and other cars miles of locomotives engaged solely in for which an extra fare is charged for shop or material yard switching service. space occupied. N o t e A : Miles run by locomotives while en­ (4) Dining, club, lounge, and observa­ gaged incidentally (in connection with reg­ tion cars. Miles run by dining, cafe and ular yard switching service) in switching other cars devoted exclusively to the company material in company shop or mate­ rial yards, or in switching equipment for serving of meals and other refreshments repairs between yards and shops, shall be and by club, lounge, and observation cars included in account 816, “Yard switching without charge in excess of sleeping or locomotive-miles.” parlor car fares. N o t e B: Miles run by locomotives engaged (5) Business cars. Miles run by all in shop and m aterial yard switching service, railway business cars operated for the if operated by shop employees, shall not be transportation of the carrier's officers included in this account. and employees. (6) Other passenger-train cars. Miles CAR MILES run by baggage, express, mail, milk, and § 10.820 Rules and definitions. (a) A postal cars, and by cars in which such car-mile is a movement of a unit of car services are combined. (This class in­ equipment a distance of 1 mile. cludes no cars intended for the transpor­ (b) In computing car-miles, fractions tation of revenue passengers.) representing less than one-half mile (b) This account shall be so kept as to shall be disregarded, and other fractions show miles run in freight trains and in considered as 1 mile. passenger trains separately. (c) Separate accounts of car-miles shall be kept for the cars in trains Work Service hauled by locomotives and for the cars in § 10.825 Work service car-miles. This trains moved by motor cars. The record account shall include miles run by cars of car-miles in trains moved by motor in work trains, except by equipment cars shall show separately the miles for which is designed exclusively for work motor cars and for cars not thus service, such as snow plows, flangers, equipped. derricks, pile drivers, wrecking cranes, CAR-MILE ACCOUNTS tool cars, and camp outfits. (For defini­ tion of work train see § 10.805.) Transportation Service § 10.821 Freight-train car-miles. (a) This account shall include the miles run

121 U. S. GOVERNMENT PRINTING OFFICE : 1957 O—436489 INTERSTATE COMMERCE COMMISSION Bureau of Accounts Washington 25, D.C.

February 17, 1961

ACCOUNTING SERIES CIRCULAR NO. 127

TO ACCOUNTING OFFICERS OF ALL RAILROAD COMPANIES

Accounting for Vacation Pay

It has come to our attention that carriers have executed contracts with labor unions providing vested rights to employees for vacations if the conditions of the contract are met. Since the liability for the payment of vacations under these contracts is definite, the amount representing cost of vacations earned as of December 31, 1960, payment for which will be made in 1961 should be recorded in account 759, Accrued Accounts Payable, before the accounts for 1960 are closed.

Carriers which have not accrued the liability for vacations in the past may include the amount of the accrual for 1960 in retained income if it is material in relation to their net income.

C. W. Emken, Director J AN 10 1961

INTERSTATE COMMERCE COMMISSION

No. 32153

UNIFORM SYSTEM OF ACCOUNTS FOR RAILROAD COMPANIES (49 CFR 10)

Rearrangement and Revision in General Accounting Instructions and Related Matters

ORDER

At a session of the Interstate Commerce Commission, division 2, held at its office in Washington, D. C. on the 2nd day of December A.D. 1960.

Having under consideration certain amendments of the Uniform System of Accounts for Railroad Companies pursuant to the provisions of section 20 of the Interstate Commerce Act, as amended, (24 Stat. 386, 54 Stat. 917, 49 U.S.C. 20(3)), and the notice of proposed rule making published in the Federal Register October 28, 1960 (25 FR 10358) which provided that said amendments shall be come effective January 1, 1961 unless other­ wise ordered by the Commission, and good cause appearing;

It is ordered, That the changes proposed in the notice of rule making referred to above are hereby deferred until the further order of the Commission, and;

It is further ordered, That notice be given the general public by depositing a copy of this order in the office of the Secretary of the Commission at Washington, D. C. and by filing a copy with the Director, Office of the Federal Register.

By the Commission, division 2.

HAROLD D. McCOY Secretary (SEAL) OCT 3 1960

TITLE 49 - TRANSPORTATION CHAPTER I - INTERSTATE COMMERCE COMMISSION SUBCHAPTER A - GENERAL RULES AND REGULATIONS PART 10 - UNIFORM SYSTEM OF ACCOUNTS FOR RAILROAD COMPANIES

No. 32153

UNIFORM SYSTEM OF ACCOUNTS FOR RAILROAD COMPANIES

ORDER

At a session of the Interstate Commerce Commission, division 2, held at its office in Washington, D. C., on the 19th day of September 1960.

The Commission having under consideration a notice of proposed rule making dated July 25, 1960, published in the Federal Register August 5, 1960 (25 FR 7407), providing for modifications of the Uniform System of Accounts for Railroad Companies and the responses thereto;

It is ordered, That the modifications of the Uniform System of Accounts for Railroad Companies (49 CFR 10) which are attached hereto and made a part hereof shall become effective January 1, 1961; and

It is further ordered, That this order be served on each railroad company subject to its provisions, and on every trustee, receiver, executor, administrator, or assignee of such railroad company, and notice be given the general public by depositing a copy in the office of the Secretary of the Commission at Washington, D.C., and by filing with the Director, Office of the Federal Register.

Authority: Sec. 20, 24 Stat. 386, as amended; 49 U.S.C. 20.

By the Commission, division 2.

HAROLD D. McCOY Secretary

(SEAL) MODIFICATIONS

of accounts for railroad companies

(49 CFR 10)

Sec. 134.10 Parcel Room. Cancel the title and text.

Sec. 136.10 Storage-Baggage. Cancel the title and text.

Soc. 143.10 Miscellaneous. Add, after item (r) and pre­ ceding the Note to the account, the following item:

(s) Revenue from operation of parcel rooms, and from storage of baggage. APR 3 1959 TITLE 49 TRANSPORTATION CHAPTER I INTERSTATE COMMERCE COMMISSION SUBCHAPTER A GENERAL RULES AND REGULATIONS PART 10 UNIFORM SYSTEM OF ACCOUNTS FOR RAILROAD COMPANIES

No. 32153 UNIFORM SYSTEM OF ACCOUNTS FOR RAILROAD COMPANIES

ORDER

At a session of the Interstate Commerce Commission, division 2, held at its office in Washington, D. C., on the 20th day of March A.D. 1959. The matter of car-mile accounts provided for in accounting regula­ tions prescribed for line-haul railroad companies (which are not independently operated as electric lines) being under consideration pursuant to provisions of section 20(3) of the Interstate Commerce Act, as amended; and,

It appearing, That an existing rule should be modified as here­ inafter ordered for application to circumstances which did not exist when the rule was adopted, which modification was requested by representative accounting officers on behalf of all carriers subject to the rule and which being interpretative in nature is not deemed to be subject to the public rule making requirements of section 4(a) of the Administrative Procedure Act: It is ordered, That effective May 1, 1959, section 10.821 Freight- train car-miles, be, and it is hereby, modified by inserting the following new and additional paragraph (c):

(c) Miles run by flat cars loaded with empty railroad-owned or controlled highway trailers shall be classed as ’’empty" car-miles. Miles run by flat cars loaded with empty highway trailers, other than railroad-owned or controlled and moving on revenue billing, shall be classed as "loaded” car-miles. And it is further ordered, That a copy of this order shall be served on each line-haul carrier by railroad subject to its pro­ visions, and on every trustee, receiver, executor, administrator, or assignee of any such carrier, and notice of the order shall be given to the general public by depositing a copy thereof in the office of the Secretary of the Commission at Washington, D. C., and by filing the order with the Director, Federal Register Division. Authority: Sec. 12 and 20, 24 Stat. 383, 386, as amended; 49 U.S.C. 12 and 20, as amended. By the Commission, division 2.

HAROLD D. McCOY (SEAL) Secretary