F.NGI\F.F.RINC COST STUDIES 



of iH'Kinnint; in 192o wore ti> Ijogin ten years later, thai i>. if ihev 

 were Id run from Jainiar>- 1, l'.>;i.'i to the end of ID.'Jf), we should re- 

 <|uire, in hand, S2,()84, that is, oidy about half as much. 



To compare, upon a fair basis, expentiitiires that have to be made 

 at dirterent times, it is customary, as has Ikiii done in the prere<ling 

 example, to rwhice these different expenditures tf> their "I'resejit 

 Worths," or the equivalent in eipiated or accumulated annua! 



charges 



SlMMAKV 



From all that has lieen siiiil, it becomes e%ident that, whenever a 

 specific addition is made to a growing plant, we are, to a greater or 

 less extent, committing ourselves to a definite programme for reliev- 

 ing, reinforcing or replacing it at some future time in order most 

 economically to provide for the requirements of growth. 



The underlying thought, which can not be overemphasized, is so 

 to plan the plant that, as far as practicaiilc, it will serve for its full 

 life, and require no wholesale changes invoking the abandonment 

 of substantial portions of the installation. While the design should 

 be base<l up<in the best estimates of future growth that are obtain- 

 able, it must be recognized that the most carefully designed plant 

 layouts employing the Ix-st possible estimates of growth, may not 

 always meet the ultimate requirements of flexibility. The chances 

 of a comprehensi\e plan not fitting in with future de\elopnient 

 can, howe\er, l)c reduced to a minimum 1)\- tiiouijlitful initial 

 planning. 



Generally speaking, our distributing plant layout, once it is estab- 

 lished, can not readily nor economically be materially changed. 

 Consequently, if it is not sutftciently flexible in the fundamentals of 

 its design to meet reasonable future possibilities, it ma>- affect ad- 

 versely the carrying out of proper and economical relief measures, 

 or may require abnormally early reconstruction or replacement. It 

 is vcr>- desirable, therefore, alwa\s to keep in mind, in any plant 

 layout work, the progressi\e relief steps which are likely to be re- 

 quired to meet the changing conditions affecting the service require- 

 ments. Whenever plant is moved, or taken out of ser\ice, property 

 loss is realized. Certain expenditures for these pur|)oses represent 

 the most economical way of conducting the business. But it is of 

 the utmost importance that they should always be incurred along 

 the line of maximum economy, which means that behind every plant 



