UTILIZATION OF THE FISH WASTE OF THE PACIFIC OCEAN. 51 
The running expenses, then, may be put as follows: 
Interest on investment, $6,000, a1 L0 per cenl $600 
Depreciation, .if 10 per cent 600 
Wages, 1 man at $100, 4 at $75 per month, 2 months. S00 
Sacks, 2,300, at L0 cents 230 
Barrels, 380," at $1.85 700 
' Coal for rendering, 10 tons, at $8 80 
Coal for drying, 12 tons, at $S 96 
Freight (from Alaska) on 120 tons scrap at $4 480 
Freight (from Alaska) on 3S0 barrels oil, 75 Ions, at $4 300 
Total 3. SS6 
The proceeds may be estimated as follows : 
Scrap, 115 tons, at $40 $4,600 
Oil, 19,000 gallons, at 30 cents 5, 700 
Total proceeds, __.. 10,300 
Total expenses 3,886 
Balance 6, 414 
According to the above estimate $6,414 are put down as profit. 
More strictly this should be regarded as the working margin of in- 
come over expenses. As the conditions imposed are more severe than 
those probably to be encountered, it is believed that this estimate is 
conservative. This belief is strengthened by the fact that the esti- 
mates on the same general basis, prepared by an experienced manu- 
facturer of fish scrap from this class of material, is 50 per cent lower 
than the above as concerns the running expenses and 20 per cent 
lower with respect to equipment. Thus, a larger capacity is pre- 
scribed than probably would be necessary, and a much shorter 
working da} 7 than would be required in actual practice. 
In operating the supposed by-products plant, the labor problem 
is regarded by those packers who operate in Alaska as a serious 
matter. This may be the case in western Alaska, where it may be 
necessary to employ the force for the by-products plant before leav- 
ing the States and to carry them on the pay roll until they return in 
the fall; but in the other parts of Alaska it is difficult to see how 
the problem of securing three or four additional laborers could be 
serious. While it is probable that in the busiest part of the season 
ever} 7 member of the cannery force is employed, at other times there 
should be a sufficient number of men temporarily idle to do all the 
work required in the by-products plant. An additional force, if 
necessary, could be secured for the rush season. 
ADVANTAGES OF THE BY-PRODUCTS PLANT. 
FINANCIAL. 
There are three decided advantages possessed by this system of 
disposing of cannery waste. The first and most striking is that of 
