New-York daily tribune. [volume] (New-York [N.Y.]) 1842-1866, 1860-01-20

Observation-Disclosures. OBI II
The eptne year OF 1859 gives S3lS, IA against $751;,
1876 in 1858, an ncr,aie OF S6O95l, equal to cent
on W.. capital stock The greater part OF this large gam
il IRON local business
The Civ and Toledo Railroad earned in the
second week il January 1913 Icing an increase Of
s. $50 On came week lat year.
Tie Rock Island Road earnings for the second week
of January, were:
lpercase, - zcoi equal - 80 q cent.
Tie Michigan Southern earnings were for the same
week:
lS1 =: s2 s dsSs "'0O
The Illinois Central earnings were in the same
time:
1879. .......,,..".ss9cOo
n ,tessr ~ 100; equal TO rs q cent
Mrssrs RayDor q Blackwell have sold lot south
wet corber Fourth avenue and SiXty-slxtG street,
IS feet inches front and rear by 100. Also lots
adjoining the corner fronting the Fourh avenue each
25AlC0. The lots $1,000 each 600. John
MvCave bar sold ols nOrto side of One-Gundred-and-
Imiy Iii 81 steet, midway between Seventh and Eighth
ayepues, at 1915 per lot. Also lots south side OF
huna d. and-loIty fourth stree midway between
Seventh and Eighth avenues for $3.50 per lot.
Among The relics of an imperfect system of railway
nanse emeb is the practice OF keeping open that elas-
tic and apparently nterminlble Construction Account
afsr q work is TO all ntents and Purposes complete
and in full operation from end to end. This aceoant
has so often been the cOnveDient into the silent
oepths of winch exIravsgant expenditures have been
sunk snd has often been used 20 conceal expenses,
which 81 ould have been charged 10 Income account,
for the mere purpose of making a better display of net
earnings or to justify dividend not fairly earned
tlat people have regard it positive evil IN
TIE aiairs Of "A road which years OF operation leaa
them 10 suppose should be nished-so far a. legitlm-
n q construction is concerned. The advocates Of shs
InJn-rubber account contend thai from the very na
tore of The work-from TIE fact shat railway must,
from time to Tine make such additions 10 its means OF
doing business as circ lms ances requre-the Con-
,tIu. ton acco unit cannot be closed in other words
that rail way is finished 10 that extent, that the
account can be definitely limited. There is a show OF
pausibry in this argument, but the answer to 1t Ii
bief and conclusive II, after areasonable me stock
holders are led to believe they in possession OF
complete work according to It's original design and the
construction account 10 closed It does not follow that
circumstances may require IT TO be reopened, TO be
subjected TO new churges-but the fact of closing it,
brings the the necessity OF consulting
stockholders before making addiiJns to the actual
cost of . work, and il is precisely this privilege
which VIC claim in behalf of the stockbold-
ere There must be period al which the
mt xinuu cost OF a railway may be fixed, subject
only to such variations may be demanded by extra
ordinary circumstances, and in regard 10 which the
stockholders should decide II tins Ii not admitted it
ieaos TO the concusion the actual value vi rail way
property can never be determined by ordinary stand
AIDS If a construction account may be kept open
year after ear long after road is deemed complete,
ind long the commencement of dividends, to be
increased the discretion of the Directors to be made
the scspego6t Of expenses and the justification OF div
bends not earned, it Il bad feature in the railway
~ STEM and one which must constantly tend 10 Impair
confidence in such property. In New-England, where
railway management has attained higher degree OF
perfection than i'll other sections Of the country and
where the eviIs OF the prevalent system were earlier
experienced the pernicl0us effects OF this same con-
siructoD have been universally wledSedi
and among the first steps toward REFORM the closing
w Of mn account which had led TO 20 many abuses
was sterDly insisted upon by the stockholders. Com
paDy after Company, az the annual meetings, were
conIe He'd TO conform TO this popular idea and now 1t
would be looked upon palpable breach OF faiIh
with the stockholders for any Company controlling
completed line 10 make charges 10 an ac
count which is considered definitely closed.
And strange as it may seem 10 the advocates
OF open construction accounts, the system works
marvelousiy well. The entire cost of working the
ropds ne well az the repairs, additions, &C., are
charged 10 income and notwithstanding this, the
works pay good dividends, and enjoy higher degree
OF pubic confidence than ever before. In the year
1853 4 New York Central Railroad Company cha 'ged
10 construction account the Of S@l61 " O5 and
divided cent Oh liz capital stock and in the year
1859 charged TO the same account $l0S, 1876 IL, and
divided y cent. 1t would, in Judgment, have
been far better for the ultimate good OF the concern,
If these charges had been made % Income account,
where they properly belong and tue dividends essened
accordingly. In point of TACT tue only way by which
we can determine the productive capacity OF railway,
ana IL value from year year. is by taking its actual
receipts over all expenditures, aud, when line has
been in full operation for a time which warrants the
assumption that Tor practical purposes it is complete
work. il is but faacy represent liz net earnings at
more than actually remains the result Of the years
operations Az part of the system Of reform in rail-
way management, now progressing, we hope 10 see
the extinction Of construction accounts roads
sdeItd as finished.
The deliveries of general Domestic Goods during the
past few weeks have been large snd in consequence
| The stocks in manufacturers and agents hands are
quite low, and the demand from the general obbng
trace is eorrespondingy light. The year has opened
with good demand export, and that Of the week
large 1t il worthy Of note that it is not confined
tho cid markets. but general in its character
and the South American and other markets promise
| TO be quite important 10 manufacturers u