L 4A
LOWE. BINGHAM & MATTHEWS, HONG KONG
·14 -
८०
Stocks on Hand - $61.188.758.72
No complete over-all physical stocktaking was
carried out but a physical test of independently selected
lots was conducted as at 31st March, 1951, by Messrs.
Carmichael & Clarke, Surveyors, and their survey report
was submitted for our inspection. We tested movements
in the Stock Accounting Records to the extent we deemed
appropriate and compared the quantities shown on the
certified stock lists with the Stock Accounting Records
maintained by Supplies Branch and with the survey report
made by Messrs. Carmichael & Clarke and found them to be
in accordance therewith.
Food stocks have been valued at C.I.F. cost
and we have tested such costs against applicable support-
ing vouchers.
Coal stocks have been valued at landed cost
and we have tested such costs against applicable support-
ing vouchers. Firewood stocks (ex Sandakan) have been
valued at average landed cost less an allowance of 20%
($351,770.22) to cover estimated loss of weight in storage.
Expert opinion was taken regarding the estimated
loss in weight of Firewood during storage. The written
opinion of the independent expert consulted, Mr. K.L. Ho
of Wing Wah Company, stated, inter alia, "I wish to con-
firm my statement that firewood composed of logs and
split logs of the average quality imported from Sandakan
will lose weight due to the evaporation of the moisture content, to the extent of 15% approximately after a stor-
age period of twelve months. For firewood, mostly un-
split logs imported from Semporna, the loss of weight
will be as high as 20% after a storage period of twelve
months because there is a ten foot tide around the man-