Table 8. — Prices and Annual Fixed Ownership Costs for Equipment, 1949 



*Age and obsolescence depreciation only, figured on a useful life varying from 8 

 to 18 years. 



flncludes: interest at 4 percent on half the original investment: taxes at 20 mills 

 on half the original investment: fire insurance at S7.50 per $1,000 on half the original 

 investment; and housing at •?2.00 to $6.00, depending on the size of the machine. 



not made for simple equipment operated at slow speeds, unless the machine 

 is used 300 or more hours per year. The more complica'^'^d. high-speed ma- 

 chines must be used about 500 hours a year before a char^je for wear depre- 

 ciation is made. Above these hours of annual use the charge per hour for 

 wear depreciation varies somewhat within each of these two groups of ma- 



12 



