ON THE VALUE OF REVERSIONS. 



ing 400/. as a free gift. If he sell the next presentation, 

 he must therefore consider that he sells 400/. a year (not 

 500/., since that would he to allow the clergyman no 

 salary* for his labour), to he paid yearly during the con. 

 tinuance of a life to be named by the buyer,, at the de- 

 cease of the present incumbent. And, since the right to 

 name new incumbents of 24 years of age is part of the 

 bargain, the patron will require a sum corresponding to 

 the value of an annuity upon a life of that age. De- 

 ducting a sum for first fruits, probability of expenses 

 from dilapidations, &c., which must be determined by 

 the circumstances of each case, the remainder is the net 

 present value of the living. It would probably be most, 

 fair to value the interest of the purchaser as if the new 

 incumbent would come into half a year's revenue at the 

 end of the year in which the present incumbent dies. 



QUESTION. What is the present value of the next 

 presentation to a living of which the average annual 

 income is s, the salary of a curate t being v, and/ the 

 estimated expenses at entry. Let A be the value of the 

 incumbent's life, and P that of a life of 24 years of age. 

 Find the present value of P + J, to be received at the end 

 of the year in which A dies (p\ 214.), and multiply the 

 result by the excess of s over v ; from this deduct the 

 present value of/, to be received at the end of the year 

 in which A dies, and the remainder is the net present 

 value of the next presentation. 



The perpetual value of an advowson (that is, of the 

 right to nominate the incumbent in all time to come, 

 after the decease of the present one) is generally valued 

 as the reversion of the net income after the death of the 

 present incumbent. But the expenses of entry, first 

 fruits, &c., should be considered as a fine levied on the 

 property at the death of every tenant, in diminution of 



* The right of selling livings is therefore u bond, fide right to alienate 

 all the church property which is in private hands, with the exception only 

 of that minimum which will obtain a curate. 



f If the living be one on which a curate must be kept by the incumbent, 

 the salary of two curates should be deducted from ths yearly revenue in the 

 valuation. 



Q 3 



