some certain amount which ha deems may covor those miscel- 

 laneous expenses. Theso, I think, constitute the main, if 

 not all the oi.ponses, that naturally enter into operating 

 costs oo far ae v/e ero ablo to rot at them; orce t in the 

 caoo 01 Mg conpaniac whero a certain amount must "be set 

 &sido 'jo account for 'Jhe overhead charges 



Dicoussion, in which the -joint was made that 

 the Servico can't taL:e into coneidaration 

 the "bad business nothoda of operators and 

 that stumpa; e rates must "be based on a stand- 

 ard of efficiency, 



3:10 - Factors Untoring Into Stunpago Appraisals. 

 B3R..1Y: 



I wish to substitute the teim "lumbering studies" 

 for the tarn n studies of operating costs"* ?his is because 

 the wor": goes much further than a noro study of operating 

 costs . 



The prine purpose of this worh is to secure data 

 to "be uood in the appraisal oi ? oturipr.^o ratos. 7o o::pcct 

 to securo data concornin^ each step of tho operating 1 cost, 

 and investment roruirec. for operations of 8.11 si2os and 

 typos. V/he:i this infomation is secured, wo o^poct to be 

 ablo to determine the type of operation best suited to any 

 particular unit of national forest timber. ... large por-ion 

 of the work will consist in placing this dc.ta in shape for 

 use "by all forest officers. jiother 5-ood result is tho 

 ma!:ing of a good iraprossicn upon lumberaon. The best way 



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