Leadership

The Final Report Presented by the Committee on Depreciation of The American Water Works Association

Issue 9 and Volume 62.

The Final Report Presented by the Committee on Depreciation of The American Water Works Association (Continued from Page 129.) Finding the Depreciation at any Given Date. In view of the foregoing outline of the problem we may suggest briefly the necessary steps in finding the depreciation of a property, it being assumed that appreciation or gains in value which would offset depreciation or losses in value are not treated of in this report. 1st.—Inspect the plant to see that the operating maintenance is not neglected. Where it is evidently below what good practice would require, the neglected or deferred maintenance should be estimated. 2nd.—Although not absolutely necessary, yet it is desirable, as a part of the work of ascertaining the full, true depreciation up-to-date to determine the operating maintenance account of the plant from its beginning. This account should include contingent depreciation, as herein described, wherever paid for, it being…

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