180 MAKING THE RATE SCHEDULE 



The service charges, as in the above table for these takers, 

 will be approximately as follows: 



71 meters i inch and over in size $2130 



48 f-inch meters to make up total number 9 432 



Total $2562 



Deduct 9% cash discount 231 



Net service charge $2331 



The service charges for all large takers thus produce $2331, 

 with total sales of 191,000,000 gallons, and it therefore increases 

 the price by the quotient, or 1.22 cents per 1000 gallons. This 

 amount is used in making the diagram. 



At the 300,000 gallons per annum line where the two methods 

 of calculation meet, the two amounts do not quite agree. There 

 is a computed difference of 0.6 cent per 1000 gallons. Actually 

 there is no sharp line of division in the distribution of meters 

 among the larger or smaller takers. Some takers classed as 

 intermediate are supplied through f-inch meters, and some 

 takers classed as domestic are supplied through larger meters. 

 These variations cannot and need not be taken into account. 

 The difference is divided and the two are made to meet at the 

 300,000 gallon line. 



This plotting shows clearly just which classes of consumers 

 would have their rates raised and which would have their rates 

 lowered. It is interesting to note that consumers drawing 

 from 50 to 150 gallons per day on an average, being two- thirds 

 of the whole number, would not be greatly affected by the 

 change. 



It may be that under the new rates the increase to some 

 manufacturing takers will induce greater economy in the use 

 of water, or possibly will lead to the use of more well or other 

 water for purposes for which it is fitted, and, on the other -hand, 

 the reduction in rates to those who use intermediate quantities 

 may lead to some new business. If the changes were more radical, 

 their effect upon probable consumption would have to be care- 



