338
Aug
I remember, as for them, against Keeping separate accounts of the receipts and expenditure of sand other Urina Hand, verified by writing by J.H, about expenditure is familiar with this them the current revenue and expenditure of the Colony. In Ceylon, for example, the expenditure of the Debenture loans and the Ordinary expenditure of the Colony, which, of course, however, includes the Interest & Sinking Fund thereon, are kept entirely separate from each other.
I think that, whatever course may be followed in regard to the expenditure of the accumulated cash balance in Hong Kong, the receipt & expenditure of sums for the "Special Fund", which are to be repaid by an annual sinking fund, should be recorded. The receipt and expenditure of a Debenture Loan would be an example.
I would like to inform Sir J. Hummery in writing about something of the above remarks. I have on 16th August pointed out the defect in the course followed by Sir H. Hummery, viz. that part of the Praya expenditure (equal to a year's interest) is included twice over in the expenditure return, once in the actual outlay and again in the allocation to the sinking fund for the loan.
This leads naturally to the consideration of the Assets & Liabilities return in 1870, on which is included the balance remaining unpaid of the loan from the "Special Fund" for lighthouse construction and the Praya works. In 1872, Straits I expressed an opinion that the most useful form of a return of the Assets and Liabilities of a Colony was that which...