50. The Capital Account and the Revenue Statements of Earnings and Expenditure follow the lines adopted last year.
With the exception of depreciation on rolling stock, all outstanding items were included in the 1925 accounts.
During the year, depreciation on rolling stock has been calculated, the rate taken being the scale laid down in the classification of expenditure prescribed by the Ministry of Communications, Peking.
51. The depreciation charges in respect of the years prior to 1926 are debited to Delayed Operating Debits in the Profit and Loss Account, and $79,544.36, representing depreciation for the current year, is included in the operating expenses, Maintenance of Equipment, under the usual sub-heads. The amount to the credit of Depreciation Reserves at the close of the year was $686,042.65.
52. The amount provided for the year 1926 under Special Expenditure was $60,140.00, and during the year, at various times, further amounts were voted, making a total of $283,202.00.
Under the sub-head "Six New Carriages", $10,000.00 was provided in the estimates. At the time, this sum was considered sufficient, as it was anticipated that the coaches would be paid for during 1925, but owing to delay in delivery, the greater part of the purchase money was required in 1926. The expenditure amounted to $221,007.57, and to meet this, a supplementary vote for $211,010.00 was taken.
53. The amount provided for Extension to Platform Awnings was exceeded by $3,925.14, as a portion of the Asbestos Corrugated sheeting sent out by the Crown Agents arrived broken and was replaced by local purchase.
54. In view of the decision to re-open the Fanling Branch Line, $2,658.19 was needed to meet the cost of certain necessary alterations; together with two items of $2,456.65 and $299.68, respectively, to effect necessary repairs to damage caused by the rainstorm on 19.7.26 and the typhoon of 27.9.26.
55. The Contractor who carried out the extension to Workshops left the Colony during the strike in 1925, and the final payment had to be left over until 1926, a special vote for $1,552.00 being obtained for this purpose.
56. The sum provided in the estimate for a New Motor Trolley was found to be inadequate, and the purchase was therefore deferred. The old Motor Trolley was put into working order, and the $3,300.00 lapsed.