188 A MORE DETAILED ANALYSIS 



The equation for total revenue will be 



897,000 +207,000 - - + 276,000 M +$52, 260 (ser- 

 vice charges) 



+$51,208 (hydrant rentals) = $304,969 (gross revenue), 

 or 1,000,500 #+379, 500 M = $20i, 501. 



Solving these we find 



M = 10.60 



0=16.15. 



The ratio of slide is i to 1.52. 



There is a decrease by this calculation of about 7 per cent in 

 the manufacturing rate and an increase of about 2 per cent in 

 the domestic rate, as compared with those reached by the first 

 calculation. 



' If the large takers were all grouped so as to be reached by 

 relatively little distribution piping the proportion of the whole 

 average distribution cost charged to them might be reduced 

 from the one-half in the above calculation to one-fourth or to 

 some other proportion. 



It is evident that the whole process is not one that can be 

 made to lead to exact results. In any case, many matters in 

 connection with it are, and must remain, matters of judgment. 

 Considerations, some of them elsewhere discussed, may make a 

 greater or a less degree of slide desirable. 



The value of the method is as an aid to intelligent judgment 

 as to the amount of slide that will be most equitable to all 

 classes of consumers, and no effort should be made to carry it 

 further than that. 



