420 STATE BOARD OP AGRICULTURE. 



or sale value. On this value 5% was allowed as interest on the invest- 

 ment. To this interest there was added the cost of fence upkeep, and 

 the annual taxes. Tlie total of these three items was then equitably dis- 

 tributed among all the different animals grazing in the pasture during 

 the year and so much charged to the dairy herd as was found to be its 

 share. 



4. Cash Sundries. 



This item included ice, fuel for the heaters, or boilers, gasoline, wash- 

 ing powders, and a considerable variety of small expenses not provided 

 for elsewhere, 



5. ^''eterinary Services and Drugs. 



The money actually paid for medical attendance, and for conducting 

 the tuberculin test in accordance with the Grand Rapids City ordinance, 

 was charged to this account. 



G. Taxes, Interest and Depreciation on the Herd. 



An inventory was made of each herd at the beginning of the year, and 

 any changes in the number of cows were noted by the investigator upon 

 each of his monthly visits. 



A few of the herds were composed of pure bred animals. Since the only 

 question under investigation was milk production, these herds were in- 

 ventoried at such a price as grade cows of equal producing ability could 

 be bought. The average value of the herd throughout the entire year 

 was used as the basis upon which to figure allowances for taxes and in- 

 terest. 



An examination of a large number of tax receipts showed that the 

 farmer paid in taxes assessed against his live stock about 1% of their 

 value annually. For money invested in live stock he should be allowed 

 G% annual interest. 



The question of depreciation is not so easily disposed of. There are 

 many ways in which this problem might be attacked, but after consider- 

 ing many of them the following line of reasoning was adhered to, as rep- 

 resenting the case in hand most completely and fairly : 



When we consider the average life period of a large number of dairy 

 cows as kept on average farms, we shall find that it is between nine and 

 ten years. It is true that many dairy cows live to be much older, and, 

 in the case of pure bred cattle, some are kept to very old age. But when 

 the several factors which tend to shorten the productive life of a dairy 

 cow; such as udder troubles, abortion, failure to breed, accidents, sick- 

 ness, etc., are taken into account, it will be found that the average age 

 limit of common cows is nearer nine years than ten years. If this is the 

 case, and the cows freshen for the first time at two years, there would be 

 seven years of actual service in the herd. Since actual losses from death 

 will be considered under another heading, we may use seven years as the 

 working life of a dairy cow. 



The average value of 400 cows as taken during the first year's investi- 

 gation was 182.30. Out of this number (460 cows) 60 were sold for beef 

 during the year, and brought an average price of -fSO.OO. The difference 

 between $82.30 and -fSO.OO, or $31.40, would represent the depreciation on 

 a cow for seven years. The yearly depreciation would, therefore, be one- 

 seventh of 131.40, or 14.49 per cow. 



If we express this depreciation in terms of per cent of the value of 



