268 THE DRAMATIC PATENTS EXAMINED. 



abolished. These current expenses, be it remembered, do not include 

 many casual expenses to which such a concern is liable ; nothing is 

 allowed for insurance against fire nothing for accidents which do 

 occasionally happen and cause considerable expense nothing for 

 proceedings at law and in Chancery, which experience has shewn 

 eats up money by thousands of pounds nothing for money sunk as 

 capital, although this sum must be nearer 400,000/. than 300,0001., 

 and yet, if all these items were estimated as they ought to be, they would 

 add more than 20,000/. to the annual current expenses of the theatre, 

 which could riot be paid by a less sum than 73,000/. per annum. 



The deposition of Mr. Harris in Chancery, and the evidence of 

 Mr. Kemble and Captain Forbes before the Committee of the House 

 of Commons, shews that the building and furnishing of the new house 

 cost more than 300,0001. Mr. Harris in his deposition says, there was 

 an old debt due from the theatre of 30,000/., and Captain Forbes 

 says the patent cost 60,000/. making the gross amount of capital sunk 

 amount to 390,000/. But, to avoid any chance of mistake, let the 

 the whole amount of capital be taken at 350,000/ , the simple interest 

 of which is 17,500/. per annum ; and this, during the twelve seasons 

 the house was managed by Mr, Harris, amounted to 21(),000/. 

 During this period, the average income above what Mr. Harris seems 

 to have considered current charges was 13,500/.j and this, during the 

 twelve seasons, amounts to 162,000/. : this Mr. Harris calls profit, 

 and so does Captain Forbes. Both argue that if the money received 

 be applied to pay debts, profit is made equal to the sums paid : this is, 

 however, an error which no commercial man would commit. Every 

 merchant, every banker, every joint-stock company, for whatever 

 purpose, excepting as it should seem for theatrical purposes, reckons 

 interest on capital invested before proceeding to count profits. It 

 seems to be plain enough that interest on capital is as much a cur- 

 rent charge as coals and candles, and salaries to performers ; and un- 

 less the annual revenue covers this charge, as well as every other cur- 

 rent charge, there can be no profit. 



Interest on the capital advanced, and also what Mr. Harris and 

 Captain Forbes consider profit, may be thus stated : 



Annual interest on capital advanced 17,500 



Annual income above charges, exclusive of interest on capital, &c. 13,500 



Actual annual deficiency or loss '4,000 



Amount of interest at 17,500/. for twelve years 210,000 



Amount of income above charges, exclusive of interest on capi- 

 tal, &c. at 13,500/. for twelve years 162,000 



Actual deficiency, or loss in twelve years 48,000 



Thus it is evident that, during the time Mr. Harris had the ma- 

 nagement of the theatre, so far from any actual profit being made, no 

 less than 48,000/. were added to the debt. 



Even the present proprietors of Go vent-garden theatre, among 

 whom are Mr. Harris and Captain Forbes, have admitted that the 



