Evening Star Newspaper, March 10, 1922, Page 28

mand at present js for issues of public utility companies and foreizn govern- ment loans, and point to this as an in- Treasury and Invesiors Get Mutual Help—Capital Traction Report. 23 dication of the advent of normal times. Public utilities, they say, are always With dawn of »eriod of lower com- modity nrices and normal wages come This. it s claimed,, is the condition | now. and numerous favorable rate de- I feelin of International confidence is ‘indicated. which gives evidence. nri- | thé first to feel dlsturbed conditions VIETURY NU'I'E PI-AN““ higher warges. increased dost of increased gross, = operating ex- }cixions have | a sharper unward angle. marily, of confidence in domestic con- ditions. jmaterials and fixity of gross income. | penses*and Increared net. | In the case of foreigh bond demand. sider the offer of the | to Bankers ¢ Secretary of the Tre hange ! victory 4%s. maturing M . 1923, for new notes, bearing the sume r:te of interest, and mnturing March 15, —_—_— CHANSFS HANDS. - 19.. .« mutus!'> advantageous to the of Cloverleaf Road. Treasury and Investors. LEVE : ! EVELAND, ¥ —Van Sweir- The Treasury is relleved of some ! jjo.p («,,m,,.m\,m";t;::;_ ‘:fy' Bwl‘ r of the burden incident to refunding reqity operators.. has sequives ern A large issue, while Investors are (o of the- Toleds, St. Louis and given opportunity to estend their in- vestment at the same rate of interest for four years, the mew notes heing dated March 15, 1922 These notes are obtainsibie only in exchange for victory 1%s. In pre- limilary trading, on a when-issued basis, they were auoted at 100% bid, to yicld about 4.30 per cent. Capital Traction Janunrs The Capital Traction Railw pany was operated at net of $104.750.39 for the month of J according to a statement of earnings filed with the Public Utilities: Com- mission yesterday. This figure compares for the cor ear ago. and with $10: the previous month of Dec Total reventes derived from tran: portation durine the month amounted : 10 3419.909.35. with revenue from opera tons other than t rortation amoun ine te $2.365.1 operating re ssignable to railw: ed this ageunt by was added $57 income. Deductions fre totaled 25,3 “debt. Western (Cloverleaf) railroad, 0. P, Van Sweeringen, vice fresident, an- nounced late vesterday. TLe Van Sweerinzens have heen promine; Hdentificd with the fnscial adminie. tration of the Nickel Plate , e deal has been pending thirty days. Mr. Van Sweeringen said. ani reports had the Lake Erie and West- ern railroad linked up in-the negotia- tions. Tihs iine was not involved, Mr. Van Sweerinzén added, The Cloverleaf 1as 149.71 mfles of ckate. 1ts main line extending m Toledo to East St. Louis, I1l. . he company has $10,000.000 com- ‘ame amount of 4 per ceat cumulative preferred stock out- standing, with shares at $100 par. ——— M 10e.—The »ment of the Banl of Eng following chang Total reserve, increased £36: culadon, drere £859,000; b ouher " securities, ' de. other deposits, in public deposit oies, resqrv rnment se = Report. Com- ncome nusY, with $116.- € _period 707.80 for nber, 1921. weekly d shows 000; cir- Ta~.c. tion, ir 1tions re@uc- ' 5 . 00; . this amount | €T % 58.33 for interest on funded | Li | in 000, d proportion of the | to Tiability this weck Is 15.06 per cent; tention to the last weck it was 17.78 per cent. ve: nent de count, 41: per cent. Public Ufilitiex Demand. Bond dealers called fact that the g If But if you own properly located Re comes more valuable every-year. Good times or bad times, business in value. - Personal experiences prove this. \ And You Know Why Put Off? Will you give us one hour to talk tl Realtors 713 14th St. N.W. WARNING! Always say “Bayér”; when you ‘buy Aspirin. When you see the name “Bayer” on tablets, you are getting genuine Aspirin pr_escr_ibed by physicians over 21 years and proved Headache » Neunts. safe by millions for Colds Toothache ‘Handy “| been ziven the graph l|ne’ Van Sweeringen Co. .Gets Control | -Mr. Merchant rou do more business you MUST pay more RENT. reports prove it. Your banker will substantiate it. THE EVENING STAR, WASHINGTON, D. C. FRIDAY, M;AROH 10, 1922, DIVIDENDS. Stock of Record. Payable, Amalgamated Oil Co, a, Tic.Mar. 20 Apr. 17 American Window Glass Ma- chine Co, q. $1.50. Mar. 4 Apr. 1 Ameriénn Window 6 chine Co, a. pf, & 1 Apr. A Assoclated OHL Co. | $1.50 20 Apr. 25 Calitornia _Petrolevm Go, aq, | & 20 Apr. 1 Farc Alpaca Co, q, 2. Mar. 81 cneral Ameriean Ta i X Apr. 1 Co n | receints Hercules Powder Ce < Kresge Co. hattan Bl c @, $t 11l _ Erie &t 1 Tittsh1gh Cnited. a, pf, Victor Bell a Burraigl Co. u, Telephone S35, ifg Co, q, f, $1. Hiinoix Truetion Co, a, 0f. i E Apr. 1 a, $1. Apr. 1 | Manila | | 8150 Apr. 1 Apr. 1] Mar. 31! | Sa al Estate it be- locations grow The Assessor’ tion, of i It i thai | enu ven ! tax nv = con: wh ito ab is 1 hings over? acel ministration. (b) cou ing ss the method employed pay income. g T cl lat : € Market (3" Taken into The total cost, as shown by line 1, Neum]gia Lumbago l -How to Torture Your Husband. actual count, !years ago all tion, income “shall be computed Rheumatism Pain, Pain Accept only “Bayer” package which contains proper directions. 1" boxes of 12 tablets cot only a few cents. Druggists also bottles of Aspirin is the trade mark of Bayer Manutacture of Monoaceticagidester of You DoN'T FEEL VERY TALKATIVE TH S EVENING- Do You? | HAVENT HEARD You SAY A WORO SINCE DINMER GUESS TAKE A —By WEBSTER. ‘e BATH AND HOP INTD THE HAY Coppright, 1922, 1. 7. Wobstor EXCESS PROFITS TAXES Conducted by DR. JOSEPH J. K (Copyright, 1922, by Joseph J. Kicin. (Tax questions should be addressed to Dr. Klein, . ail commuhications must be signed. Dr. Klein' inquirers.) c. P All rights reserved ) in care of The Star. To receive atten-! answers will not reveal the identity A. ARTICLE XLIL lis $10.70. The totar market value, as We sa® in the preceding article |shown by line 2, is $10.40. The total t the commissioner of internal rev- | inventory, as shown by line 3. is e might require the use of in-|$10.30. It should be noticed that each tories in order to determine the payer’s net income, and that such entories were to be taken by and the units thereof ently priced at cost of market. ichever was lower. inventory be taken at cost. The change to asis of “cost or market, whichever ower.” is a rather recent innova- and indicates the influence of ounting on tax laws and tax ad- Incidentally, section 212 provides that the taxp item is consistently priced—that is. the lower of cost or market is ex- tended into the inventory line. If cost and market coincide, there is no |necessity for choice 3 > 3 (Article X: Until a few !rv ated to the subject items were | It was as follows: ‘Q. (68)—December 31, 1920, in ventory was figured on “E" basis (cos or market, whichever is lower)—De. cember 31,1921, inventory will be fig- ured on the same basi: “An article purchased in this series) of inventories. in 1920 for 1$18 was taken in December 31, 1920. inventory at $10; $#10 was the market value on that date (December 3 11920). This same article was on hgn i December 31, 1921, and the market value then (December, 31, 1921) was $12. Is the cost $18 or $10? “I believe this article Should be taken in inventory (December 31, 1921) at $10. Am I correc: My answer was that the item should be inventoried at $1 | A number of correspondents havc written me to question the correctness | of my reply. They are of the opinion that “the merchandise should:be in- ventoried at $10 and think that in cases similar to the given one “cost or market, whichever is lower. after the initiaf determination, | ket value at the beginning of the year” or “market value at the end of the vear, whichever is lower.” "Possi- bly they believe that they find justi- fication for their attitude vision (a) (1) of section 202, which holds that as a basis for determining gain or loss “in the case of . . . property which should be included in the inventory the basis shall be the last inventoryvalue thereof.” “In the absence of the commission- er's regulations, which are not ex- pected until March, hold to the view I expressed. I beli€ve still that in the given case “cost or market, whichever is lower.” means either cost ($18) or the market value. This discussion will be concluded in the next article. QUESTIONS AND ANSWERS. Q. 56)—(a) I took out insur- ance on my pleasure auto in a mu- ual company and paid one year's premium. At the end'of six months the company became insolvent. I put in a claim for the six months' (last) unearned premium. I am li- able to an assessment in an amount ordance with the method of ac- nting regularly employed in keep- the books of such taxpayer,” un- y the tax- er does not clearly Teflect his net he followi illustration will make r the pricing of inventory ftems cost or market, whichever is lower: Total. -$3.50 $4.30 $2.90 $10.70 L7310 440 290 . 10.40 Cost . inventory at S 510 430" 2.90 1030 it says, “I've come to Our 5% interest, - for your savings. of losing. 24 and"100. ) in subdi- ! Interest Compounded Every Six Months Grows Mighty Fast Money Talks, But Speaks Briefly To many it merély bids g;od-byc To some After all, safety is the main thing. double security for your deposits, is the place Don’t allow the promise of big speculativ profits or an exorbitant rate of interest to in- fluence you—you cannot afford to take the risk One dollar or more will start your account. Columbia Building Association 716 11th St. N.W. Under Goumpunt Supervision OH,NOTHU 2, MUCH, 1T DOESNT MATTER N DRONNNN N 1 ! Rot exceeding twice the sum I paid for the year's policy. (b) I damaged my car in an amount less than the minimum cov- ered in the policy (this was before the company became insolvent) and 50 had _to bear the loss myself. Can I make any deduction_on ac- count of either of the above? “A. (a) No. (b) 1z the damage was caused by a casualty (section 214-A-6).~ . (157)—Will you please explain the amount of interest exempt from G in the case of an individual who holds the following liberty bonds? The explanation in the regu- lations is rather complicated. $20,000 first liberty converted 4% per_cent, issue May 9, 1918 $20,000 second liberty loam con- verted 4% per cent, 1927-1942. $20,000 third liberty loan 43 Per of 1928, 000 fourth liberty loan 4% per 933-1925. i $20,000 43 per cent ible gold notes of 192! A. All except victory notes. Q. (159)—(a) If a man in business lost money in 1921 and wishes to es- tablish this loss sv as to deduct it from any profits he may make in 1922 by filing a tax return for 1921, must he file a return though he has no tax- able income to report? (b) I8 there any special form on which’to make up this return to fed- eral government? (c) Does he report also non-taxable income on report to federal govern- ment? A, (a) If his gross income is at least $5.000 he must file a report even though he has no_taxable income. If his gross income does not equal $5.000 he need file no report. It is advisable. however, to file a return showing amount of net loss. (b) No announcement has yvet been made by commissioner regarding this matter, It is likely that a specia form of return will eventually be pro- vided. (c) Secure copy of necessary form and supply all information required by it. Q. (160)—I am single and during 1921 earned $1.400. Last year (1920) I claimed exemption, as I had my mother to support. . Up to April 30, 1921, she was still dependent on_me. Am 1 entitled to an income of $2,000 free from tax because of this, or am I classed in the $1,000 income class for 19217 Twenty dollars, the fax on the $400 excess, is not much to most people.; However, it is quite u bill to me. - A. $1.000 exemption. Q—Kindly answer ' the following through your income tax section of The Star: 2 Can husband and wife on joint re- turn claim exemption on account of supporting the wife'’s mother? Total income of both, $2.950. A—No. you are allowed no exemp- tion in the case of supporting the wife's mother, but are allowed the regular $2.500 exemption on joint re- turn of husband and wife. 1 1 tory convert- % per cent stay.” together with more than | FINANC RUSH OF NEW BUSINESS MARKS MOTOR INDUSTRY AT DETROIT iSales at Nearly All Plants Are Reported increasing Steadily—Stove Business Has Tremendous Impetus. BY PHIL 8. HANNA. Special Dispatch to The Star. DETROIT, March 10.—The auto- mobile industry is enjoyinz a sus- tained rush of new business. Sales totals of nearly all the Detroit motor companies are- increasing steadily. The opinion is expressed in many quarters that price cutting has ceased until fundamental cost factors work to a lower level. Bankers say that prices of many cars, cut in anticipa- tion of quantity production’ rather than bgcause of reduced labor and material costs, are likely to be increased. Never in the history of automobile manufacture has such at- tention been given by manufacturers to quality production. The stove manufacturing business, one of Detroit's chief industries, is receiving a tremendous impetus from demand in eastern and Pacific coast territories. Gas companies which have not stocked up on stoves for two or three years are sending in; ordars for carloal lots. Gas stove departments in several plants are working extra shifts. The furnace husiness, while not keeping pace, is following a similar trend. Business in men's clothing has been | wratifying. One large dealer is carrying over only 146 winter over- coats, compared with 532 a year ago. Men's suits show a similar cleaning up of shelves. Cut-Price Bargains Clear Shelves in Atlanta Section BY RALPH SMITH. Special Dispateh to The Star. ATLANTA, March 10.—Retail mer- chants here and throughout this sec- tion have cleared their shelves of winter garments, largely through cut- price sales, and are confidently ex- pecting the best demand for spring apparel they have expeienced tor) years. Good-sized stocks have been purchased and already the Easter| season is having its effect on the con- sumers who are in the market for spring goods. The general feeling is one of con-| fidence in the future. In reality, basic economic conditions have shown a marked improvement since the first ot the year. Money is easier and the last of the old debts are being liqui- dated. ; Approximately $3.000,000 worth of building now in course of construc- tion has given employment to hun- dreds and work on street improve- ments, financed by a recent bond issue | of over $5.000,000 whieh are schedulest to be started April 1, are expected to take care of all who are willing to woik. A Final plans for the “victory driv of the Georgia Cotton Growers' Co- operative Association, which will be conducted next week. to sign up the necessary 2,000.000 bales to make binding the selling contract, W perfected today. To date 130,000 bales have been signed up. Wholesale and Retail Trade Fair in St. Louis Territory BY J. FI G. Special Dispatch to The Star. ST. LOUIS. March 10.—There is no question th:t business has hit its stride toward recovery in all sections of the southeast and southwest. Mer- chants. although still buying con- servatively, are pushing goods vig- orously and preparing for heavy bus ness. There has been a vigorous re- vival of construction in the smaller towns and in the rural districts. Costs have been liquidated and adjusted in the smaller towns, although the build- ing trades in the larger cities still are resisting wage reductions. This ac- tifity has invigorated manufacturer of roofing paints, glass, lumber and, hardware. Manufgcturers, as a rule, are stor- ing a heavy tonnage of coal. The heavy freight movement on the rail- road indicates large shipments of coal to the west and northwest. Workers the different mining towns in Iili- nois are voting for a strike, although they have no reserve fund and virtu- ally have exhausted credit for living | expenses. Wholesale and retail business con- tinues to be fair throughout this ter- ritory. Jobbers are arranging to han- dle a large volume of goods, as meér- ohants are keeping up sales'with bar- gains and vigorous advertising. Notes. PHILADELPHIA, March 10 (Spe- cial).—Bids being received for con- struction of new free library here are about a million dollars less than those | received for the same work a year ago. This is a decrease of 45 per cent and reflects fairly accurately the low- ering of labor and material costs in this section. ST. PAUL, March 10 (Special).— Prospective northwest settlers are traveling into this section under rates which have beerr reduced to an excep- tionally low point for homeseekers. All roads in this territory have estab- lished a one-way rate pius $2 for the { round trip. These rates are effective Tuesdays and Thursdays until next autumn. DECATUR, Ill. March 10 (Special). —Building construction started in the 1ast month here has exceeded $250,000 in value. Commodity Reports From Various Sections Fish. . SEATTLE, March 10 (Special).— Two carloads of halibut a week from the British Columbia and Alaska banks are now being shipped to Chi- cago amd the east and it is expected shipments will be increased to ten cdrloads inside a month. The fish cost 12 to 14 cents a pound here. Automobil KANSAS CITY, March 10 (Special.) —Indication of better business is seen in the increase in the number of commercial motor vehicles here. There are 20 per cent more trucks licensed this year than last. The number of pleasure cars has not ma- terially increased. Conl SPRINGFIELD, IIi.. March 10 (Spe- cial).—The mines of the Peabody Coal Company in Illinois, Indiana and Ken- tucky, with a combined capacity of 70,000 tons a day, now are working practically on full time. Many of the Mines exceeded all previous produc- tion records in February. DULUTH, Minn., March 10 (Spe- cial)—A coal strike will bring no Shoriage to the northwest. There are ample reserves in the industrial cen- ters and at the head of the lakes. Prices on steam and domestic soft coal have advanced 50 cents a ton from-recent figures. Lumber. NEW ORLEANS, March 10 (Spe- cial).—Some southern lumber mills have again cut production, as orders did *not increase. Others, avhich are running at capacity, have made prise recessions of from $2 to $4 a-thou sand feet to stimulate business. SEATTLE, March 10 (Special).— Heavy snows in mountain camps is retarding lumber output. Prices are holding firm at $12 per thousand feet * for “lower: grade logs, $16 for middle grade and $22 for clear loj Flour. March 10 (Special). “Crosby Company, millers have completed = gas” produced in the Eldorado field will be placed in operation in {next few days at the Hinton leas in Union county, Arka A sccond Iren ai Steel. YOUNGSTOWN, Ohio, March 10 | (Special).—Trumbull, Liberty, New- {18.00a30.0 IAL. deal taking over the Liberty mill here. ‘Washburn-Crosby has consid- ered entering this field since 1905. Fire Apparatux. PHILADELPHIA, March 10 (Spe- cial).—Philadelphia spend $350,000 in modernizing the equipment of the fire department. Practically all equipment will be mo- torized. is preparing to Kitchen Utensilx. DETROIT, March 10 (Special).—A recently organized alumimum kitchen utensils company here has made large purchases of imported metal the last few week Eggs. SEATTLE, March 10 (Special). There is an owerproduction of eggs here. Prices have fallen until pro- ducers are getting only from 22 fu 26 cents a dozen. Retailers are pay- ing jobbers 35 cents, Copper. LONDON, March 10 (Special).—De- mand for copper in the Uuited King- dom has not broadened to any appre- ciable extent recently and conti nental buying also is restricted. ol MONROE, La., March 10 (Special) —The first plant of the Standard Oil Company of Louisiana, which will manufacture gasoline from the “we t plant on the Terry-Summerficld lea e will be completed in six to eigit weeks. Carpet PHILADELPHIA, March 10 (Spe- cial).—High-grade rugs as well as cheaper grades of floor coverings ar: in good demand, according to carpe manufacturers here. ton and A. M. Buvers steel mills in this district are all running at 100 per cent capacity this week. The Carnegie Steel Company plants here and at McDonald also are working full crews. LONDO: March 10 (Special).— Practically all the limited output of pig iron in Great Britain at presen 15 going into consumption. Prices are firm and inclined to advance in reflection of the increased cost of coke, which has been in strogg de- mand on the continent. Building Materimis. PITTSBURGH, March 10 (Special) —Bookings of building material or ders in the last thirty days are mated to have been twice as large ax n the corresponding period last year Watches. TRENTON. March 10 (Special)—11 is expected the sale of assets of Rob- ert H. Ingersoll & Bros. to the Waterbury Clock Company will result shortly in renewed activity at th Ingersoll watch factory here, wh has a capacity of 8000 watches week. Cotton NEW YORK, March 10 (Special) There has been a movement here among buyers of cotton goods to in duce the mills and converters to ship certain goods “on memorandum” 1o help stimulate demand. This ‘ found little response from manu facturers. STEEL TONNAGE DROPS. Monthly Report Shows Decrease From January's Statement. NEW YORK, March 10.—The month- ly tonnage report of the United States Steel Corporation, made public today showed 4,141.069 tons of unfilled or ders on hand February 28. This is decrease from January's unfilled ders, which totaled 4,241,678. BALTIMORE TOBACCO. BALTIMORE, March 10.—Receipts for past week were 69 hogsheads, besides 56 hogsheads reinspection. Sales in- creased to 290 hogsheads, the bulk of which were low grades. Demand continues active for all good tobacco. Prices per 100 pounds—Inferior and frosted, 3.00a5.00; sound common, 6.00a 10.00; good common, 11.00a17.00; medium, good to fine red, 31.00a45.00: fancy, 48.00a50.00; seconds, common to medium, 5.00a17.00; seconds, good to fine. 18.00a30.00: bay toba, fire-cured, 15.00a55.00; upper country, air-cured, nominal; ground leaves, new, 2.00a23.00 Stock in_warchouses—Maryland, 15,- 645: Ohio, 3. total. 19.543. Sales—Maryland, 2406; Ohio, 264: total. 2.670. Ground leaves to date, 642 hogsheads. BEET SUGAR PRICE UP. DENVER. Col. March 10.—The wholcsale price of beet sugar was ad- vanced 10 cents a bag by the beet su- gar manufacturers of Denver. The new prices is $5.10 a bag, seaboard basis. WOOL TONE IS BETTER. BOSTON, March 10.—The Commer- cial Bulletin tomorrow will say “There has been no large volume of business put throush in the eastern markets this week, but there has been rather more looking around on the.part of certain mills, and alto- gether there is a little better ton to the market. In the west the appears to have been no contracting of moment and but little done in the way of consignment of the new clip. With the tariff outlook so uncertain buyers naturally are reluctant to commit themselves very far on the present level of prices. Some little betterment is reported in the New York goods market, mostly on me- dium grade sport clothes.” PARIS BOURSE IRREGULAR. PARIS, March 10.—Prices moved ir- regularly on the bourse today. Three per.cent rentes, 58 francs 87 centimes Exchange on London, 48 francs centimes. Five per cent loan, 7S francs 95 centimes. The dollar was quoted at 11 francs 16% centime: —_— NEW YORK RESERVE BANK. NEW YORK, March 10.—The state- ment of condition of the federal re- serve bank of New York at the close of business March 8 show Fotal gold reserves, $1.090.449,526; total reserves, $1,125,576,687; bills di: counted, secured by government obligations, for members, $41,278,97 all other, for members, $27.151.704: bills bought in open market. $34,17 §44: total bills on hand, $102.609,32 total earning assets, $277,017,572; un- collectéd items, $91,079.247;" due to members’ reserve account, $881,2 179; total deposits, $698,073.657; fed- eral reserve notes in actual circula- tion, $628,279.811; ratio of total re- serves to deposit and federal reserve note liabilities combined, 84.9" per cent cent. —_——— BAR SILVER QUOTATIONS. NEW ' YORK, March 10.—Foreign bar silver, 65%; Mexican dollars, 49%. LONDON, March 10.—Bar silver, 33%d per ounce. Money, 3 per cent. Discount rates, short bills, 3%a 37-1€ per cent; three months' biil 35-16 per cent. £