amounts to Us. 6,73,769 of -which Eg. 1,25,499 represents the value of the 

 land : 



23. In 1881-82 when regular working of the plantation was started tbe 

 capital invested amounted to RsT 6,73,769 and since that year various works of 

 a capital nature have been carried out. For instance the irrigation channels 

 were remodelled between 1890-91 and 1892-93 at a cost of Rs. 45,457. additional 

 areas were planted up in 1896-97 and 1901-02. These items should certainly 

 be debited to capital, but in doing so the value of the irrigation works replaced 

 by the new ones should be struck off and the capital cost of areas planted up 

 and subsequently lost by transfer to the Irrigation Department or other causes 

 should also be written off. Otherwise, since there is no provision for deprecia- 

 tion of the capital, the capital would steadily rise and in time the returns 

 would not amount to 1 per cent, on tbe inflated capital. As it is not possible 

 to adjust such items now it is held that no increase to the capital should be 

 allowed unless the area of the plantation is largely increased, of which there is 

 no prospect. In 1880-81 the area of the plantation stood at 11,409 acres where- 

 as the present area is 9,605 acres, so that the comparatively small area planted 

 >ip in 1896-97 and 1901-02 may be taken against the large areas in the Jand 

 Shahpur and Jand Maujoki extensions which are practically unproductive 

 though the eost of making them was debited to the capital of Changa Manga. 

 The gain in wooded area since 1881 may fairly be considered as being due to 

 re-stocking some of the extensive areas which failed and consequently the cost 

 should be debited to revenue and not to capital, since the original expenditure 

 incurred on areas which have been planted up and have failed is still included 

 in the capital. 



