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31 III - Present-Day Costs - represent original cost in place at date installed and increased by the ratio of that orig­inal cost to the cost as represented by the average price level for the three-year period 1947 to 1949 inclusive. Land has been included at present-day costs as under the original cost item. Tables A, B, C and D, in the Appendix, present in summary form the development of the capital accounts. These summary tables show the following fixed capital amounts for the year 1949. Classification 4 ^ ^ Production Facilities Water Utility Investment Cost ~'-n \ Land ' 34,986.- Improvements 765,397 Water Rights (LA&SLRRCo.) V (LVL&WCo. ) n Total Amount 34,986 711,395 1,476,792 II Total 1 "SOa'583 Original Cost Land i 75,900 Improvements 779,254 Water Rights - Total f 855,154 Present-Day Cost Land t 75,900 Improvements 1 ,120,900 Water Rights C&1 "Tfic owi ‘ ...'741','3'9"5 541 '7VS 7 1 1 , 2 4 f ) , 6> *77 $ $ 75,900' 803,011 1,582,265 30,000 30,000 $ 833,011 $1,688,165 1 $ 75,900 1,073,204 2,194,104 30,000 30,000 $1,103,204 $2,300,004 The significance of the above capital figures may now be briefly reviewed. Land There is a total of 1230.74 acres of land classified by the (Footnote continued from page 30) This method is in contrast to that employed by the Public Service Commission of Nevada which is evidently that of the National Asso­ciation of Railroad and Utility Commissioners and provides for the full capital change (increase or decrease) upon the replacement of a plant unit, whether there is a betterment or not. Under the latter method, which is spoken of as "retirement accounting", 'there will generally be an increase in the capital charges through replacement of plant if there has been a general rise in the price index.