ECONOMIC SURVEYS OF COUNTY HIGHWAY IMPROVEMENT, 5) 
$745,702. That the method of financing the road improvement 
chosen by Dallas County is not as economical as might have been 
selected is indicated by the fact that an equal amount of bonds at 
the same rate of interest, if issued under the deferred serial bond 
method, with the first bonds payable 6 years from the date of issuance 
and an equal amount payable each year thereafter for 24 years, 
would cost the county at the end of the 30 years $665,000, or a 
difference, as compared with the sinking-fund method, of $80,702. 
If 4 per cent could be realized on the sinking fund instead of 3 per 
~ cent, the saving for the deferred serial plan over the sinking-fund 
plan would still be $47,216. 
In the case of Manatee County, Fla., the bond issues aggregate 
$250,000 and run 30 years at 5 per cent. As in this case the sinking 
fund also yields 5 per cent interest, the method of bonding is reason- 
ably economical on the present basis. It is doubtful, however, if the 
sinking fund will continue to bring such an unusual return, and as 
soon as a lesser rate of interest is obtained or any of the sinking fund 
is not promptly invested, the sinking-fund method will become 
more costly than the serial method which might have been adopted. 
Lee County, Va., adopted the deferred serial method, and had its | 
bonds run from the fifth year to the twenty-sixth year. This is the 
only one among the entire eight which appears to have adopted the 
most prudent and economical method of handling the bond issue. 
In Wise County the $960,000 of 5 per cent bonds were issued for 
30 years, with a 20-year redemption clause. Assuming that the 
bonds are retired the twenty-fifth year on the sinking-fund plan, 
with interest on sinking fund bearing 3 per cent, the total outlay 
would be $1,858,269. If Wise County had adopted the serial method 
with its serial payments beginning with the sixth year and ending 
the twenty-fifth year, the total cost would be $1,704,000, a saving 
for the serial plan over the sinking-fund plan of $154, 269. If 4 per 
cent could be realized on the sinking fund, the saving would still be 
$72,288. | 
Dinwiddie County, Va., issued $105,000 of 5 and 6 per cent bonds, 
payable in 380 years, but the bonds are callable after 20 years. 
Assuming that they will be retired at the end of 25 years on the sink- 
ing-fund lan, with interest on sinking fund at 4 per cent, the total 
cost would be $218,031, whereas. if her had adopted the 6-25 year 
serial method the cost wonld be $201,100, or a difference of $16,931. 
Franklin County, N. Y., is operating at a disadvantage, as its first re 
serial payment is not made until the tenth year. This county also 
has followed the rather dangerous method of extending its date of | 
payment, over a long period of years, with the result that the 
indebtedness long outlives the estimated life of the improyements 
