* 



should "bo used to direct future endeavors into channels 

 only of real profit to the public 



The Sorvioe has of ton "been referred to as being 

 in the nature of a great corporation in which the people 

 of the Ration are the stockholders. By means of our 

 accounting system we should "bo able to submit a compre- 

 hensive, accurate statement of affairs to the stoclchold- 

 ers of the Corporation, 



A fundamental principle overlooked. There enists 

 an analogy "between factory managon&nt in the "broad sense, 

 that extends to a degree to the i^anner of obtaining cost 

 data and to the uses which should "bo made of such data. 



Our system should recognize the principle that 

 expenditures finally fall into two main classes, - 

 (a) Operating ezrponses 

 ("b) Investment expenditures. 



(Mr* Wiley then explained hie chart). 



Discussion. 



DuBois asked that the Supervisors 

 nake suggostions concerning the 

 cost keeping system to Headley and 

 17iley, members of tho proposed com- 

 mittee for a revision of the system. 



SOU said: 



Isn't there a danger, with the largo item for 

 administration, that it will be made a sort of catch-all? 

 OIS said (in part) : 



Mr. Graves wants to tell Congress that our fire 

 protection costs us a great deal of money. He thinks ho 



