Evening Star Newspaper, October 18, 1926, Page 30

~ BUTTERIS STEADY INMARKET TODAY Higher Price in Big Centers Fails to Affect the Local Value. A slight increase in butter prices in the big butter centers last week was not reflected in the local market, prices continuing the same as those reborted earlier in the week. The market is holding its own today, ac , cording to local dealers, nothing hav- ing appearcd to suggest an early change in pric Slight decreas young chic resulted in the prices of st week, it is stated. sed sales. The de- it of increased ntinue plentiful | report, and it is will continue plentiful weather appears and ends the growing for the s n. Barly morning trading - was not brisk, it was reported, being about wh. it usually is the first of the week zetables « and cheap, deale probable they until freezing Today"s Wholesale Prices. Butter—Fancy one-pound : tub, 4% store packed, resh, selected, 4 current receipts, prints, 38. hennery, a42; stor- white roosters, 1, 15; kes Dressed. broile ts, old, 4 Teats fresh : lois, 5: smoke Live stoc veal, ! oulders, 34 hams, 34a shoulde —Ca Fruit and Vegetable Review. Today’s market report on fruits and vegetables, compiled by the Market News ice Bureau of Agricultural Economi Apples Nght, 1 ton, mi demand lium to large fanc s, Delicious, Jonathans, ymbination extra fancy and - Banana bushel vy Wint few ~ higher: nd Virginia, No. according to medium to iz large demand York, 5.00228.00. demand ew York, Supplies liberal market steady; New bulk per ton, Danish type. e —Supplies moderate Ket ady: 50, supplies heavy: market _slightly York, 2-quart Climax 220, mostly 18; 12-quart 0. moderate; de- moderate, market slightly California crates, Iceberg 5 dogen, 3.30a4.00, best mostly v York, no les reported. Onion Market Steady. Supplies light; demand ket steady: Michigan and na, 100-pound’ sacks, vellows, United 'States No. 1, mostly 2.00 New York, 100-pound sacks, yellow: United States No. 1, 1.75a2.00. Peach Supplies light; demand slow, market firm for good stocks; New York Elbertas, bushel baskets, large size, 1.50a1.75. Pears—Supplies light; Mght, market steady; New bushel baskets, Bartletts, No. 1, 2.50; Oregon, boxes, Anjou, fancy, 3.7524.00, Supplies liberal; market steads cks, Cobblers st two-third cr New Concor and skets, Michigan Climax Lettuce—Supplies demand York, extra demand Maine, and Green United States, No. 1, few sales 4.1524.25; 150-pound sacks, Russet rals, United States No. 1, 4.50. weet potatoes—supplies liberal; demand slow: market slightly weak- ern Shore Virginia and North cloth-top stave _barrels, United States No. 1, 2.25a2.50. Tomatoes—Supplies moderate; de- mand light, market ste home- grown, half-bushel hampers, 75a1.00. CHARGE INSOLVENCY. John Tt & G street nor District Sup: him bankrupt moderate, 150-pound Mountains mostly John Co., cigar dealer at 319 hwest, today asked the ‘me Court to adjudge The charge is made that the merchant insolvent, and while in that condition within four months conveyed premise: Fourth street northwest to Pota Paul for a consideration of §10. Attorneys Frank R. Lang and Fred P. Myers are rep- Paul, trading as | MEN AND MONEY By M. S. Rukeyser. (Copyright. 1926.) America during the present cycle of prosperity is fast accumulating cap- ital and adding to the surplus of na- tional wealth. z Good times, moreover, are more widely diffused among the various economic classes and the different geopraphical sectlons of the country than was the case in previous eras of prosperity. These observations are based on conversations with leading investment bankers from all parts of the country. in pre-war times, when investment in bonds was limited to 400,000 indi- viduals and institutions, the invest- ment market was virtually limited to New York and New Engiand. Now the Middle West, the South and the PacMic Coast participate in all sig- nificant new security creations, and the tastes and preferences of inves- tors west of the Eastern seaboard are receiving increasing consideration in the determination of new investment erns. S ‘Allyn of Chicago who heads an investment house, which bears his name, described the marked changes in the investment habits of the Mid- dle West. Now in Saving Stage. “Ten years ago,” Mr. Allyn told me, “we were still in the making stage: now we are in the saving stage. Great fortunes have been accumulat- ed in the Middle West. Hence, there has been a tremendous expansion of the investment market around Chi- cago. For the first time we are de- veloping a lelsure class. This situa- tion will not check our growth, forl we still have younger men who are on the make. We are developing al discriminating investment group, yet our market still prefers higher yield- ing securities. The demand for new issues is growing in our section much more rapidly than the population. Un- til compartively recently all surplusj money in thi$ new district went into | the enterprizes of individual business men. The taste for a higher vield is in part the effect of competition of farm mortgages with bonds. More- over, we have no savings banks, which are in the East regular buyers of the high-grade securities of low yield.” Cincinnati_investors, however, are more conservative than those in Chi- cago, according to Harry Edward Weil of the Weil, Roth & Irving incinnati. C'least 5 per cent of all bond buying in our city,” Mr. Weil said, in response to my questioning, “con- ists of purchases of municipal ob- ligations. The second-grade mu- nicipals, with a somewhat higher | vield than the best municipals, are | especially popular. The influence of the conservative German strain in our population accounts for the d position of our investors to place safety considerations before all others. However, the desire for better return, now that intere t rates have declined, is graduall creasing the proportion of corporate securiti where there is a particularly market for issues of local companies. Cincinnati’s Business Good. “Business is good in Cincinnati, although merchants and manufac- turers complain that collections are slow. The installment plan, by which consumers mortgage their fu- ture earning power, is frequently mentioned as a factor in the slowing up of payment: “Since the first of the vear Cin cinnati has been helped by the in- troduction of the city manager plan of government.” Another city of markedly conserva- tive financial tastes is Baltimore. Speaking of conditions in his city, Simon J. Block, of the investment house of Nelson Cook & Co. remarked: “Baltimore is considered conservative, vet it is not lacking In | boldness when venturesomeness is necessary. I find that men with lots of money are consel tive; those without much are willing to take chances because they haven't much to lose. “Since the war Baltimore has be- come more cosmopolitan. It is less dependent than before on the trade of the South, although the South is still the largest customer of the wholesalers and manufacturers of the city. Baltimore has been extend- FURNITURE RENTING Household Receptions Drives Conventions Office Weddings 5,000 Folding_Chairs Always in Stock H. Baum & Son 616 E St. N.W. Main 9136 Parties resenting the complaining creditors. [N $ S BT Ty THE IDEAL KITCHEN ~ DEMANDS A NEW PROCESS GAS RANGE Lorain Equipped 9 *0 ing its trade to the West, shipping increasing quantities of wearing ap- parel and shoes. “The best thing that ever happened to Baltimore—although we did not think =0 at the time—was the great fire 4n 1905. It stirred the energies of the people, and stimulated all the factors that make for growth. I think the same will be true of Miami. As a result of the devastation in the recent hurricane the people will find them- 'selves, and rebuild a better city than they conceived before. Until the de- struction came, I did not think so much of the prospects of that city.” California Good Market. R. H. Moulton of Los Angeles, head of an investment house which bears his name, talks little of climate, does not overestimate the significance of tourist trade, although he sees it val- ue in bringing in new money and in introducing the section to additional people. Incidentally, he reports that the men of his city expect the biggest tourist trade in history next Winter. “Southern California,” said Mr. Moulton, “is a good market for all kinds of investment securities. It is not particularly a high yield market like the Northwest, _“Except possibly for steel. the Pa- cific Coast is economically self-suf- ficient. It is nearer to some sources , like silk, than the £ are fast springing The chief limiting factor is the sparsity of population. We are too far removed from the present center of population.” Arthur C. Sherwood of H Stone & Co., New York, in discus current fashions in investments, for casts a period of stock financing. “Co porations in need of money,” said Mr. erwood, “should seil common stock in prosperous times like the present, and reserve their ability to sell bond for hard times, when the public will not absorb stock offerings. 1 think corporations will follow this proce- dure, and the consequent reduction of new bond offerings should tend to raise the price of outstanding bonds.” Arthur Gilbert, Chicago partner of Spencer Trask & Co., who may be the next president of the Investment Bank- ers' Association of America. in con- g with Mr. Ally observation that the Middle West was fast develop- ing a broader investment market, said that individuals in Chicago were opti- mistic about security values because their own business is good. On ques- tioning, he admitted that the visible results in a man’s own business are not always a reliable prophetic guide. “I don’t find that most business men are prophetic,” he declared, “they just follow along." Is Low Rent Economical? Big business is competing with little business in the retail fleld more ag- gressively than ever before. The corner grocer man is in a ruth- and up against chain store competi- tion. The druggist and the cigar mer- chant are in the same boat, and the competition at present is more intense than at any time in the phst. Incompetence, wasteful methods and faulty business judgment make defeat certain in this economic war- fare. Some small shops will continue, especially in the smaller centers, but only capable merchants will survive. In the case of millinery, merchant tailoring and other businesses which depend on the talents and artistry of the owner, the small shop fills a per- manent_economic need and is here to Discriminating consumers will demand individual initiative in n lines, but in others, like cigar stan zation through chain has been demonstrated as because of the economies resulting from_their large buying power, but sas City) you enjoy | bility less struggle for existence, fighting to | | dividuals | vidual The chain stores succeed not only | BUSINESS N STEEL N STABLE STATE Steadiness Here Counted on to Protect Industries in U. S. and Abroad. BY J. C. ROYLE. | Special Dispatch to The Star. | NEW YORK, October 18.—The pro- { ducers of. steel have at last come to the conclusion that the so-called hand- to-mouth buying by their customers is a good thing for the mi They now admit that since dealers have ceased togfle up large sums in big stocks, ticipating _ demand for months ahead, the producers have en- joyed a more rapid turnover with consequently larger profits. This is a conclusion reached months ago in other industries where “back log” has not played so important a part as in steel. Conditions in the steel and iron trade, one of the chief barometers of | business in this country, have shown also because of good management. Usually a chain system can afford to hire better executive skill than an individual shop. There are several policies in chain store management which the small independent merchant can adopt. One essential factor in the success of well managed chain stems s the skill with which they select stores. Several of the most succes: the real estate business as a sideline. The chain store management seeks not the store with the lowest rent, but the one with the best location. The small merchant is likely to seek cheap rent, without analyzing the situation. Broadly speaking, a store is worth the rent it brings. A store at the principal corner of the city may bring an annual rent of §50,000 and a store of precisely the same size on a side street may rent for only $2,000. The latter is not necessarily the cheaper store. The scientific way of judging rents which the chain stores employ is to dis cover the number of pedestrians who pass the store on an average da ‘What the merchant wants, in the last analysis, is not floor space but acce: to potential customers. Fre- quently the dear store is really the cheapest, because, without increasing operating expenses other than rent, it is possible to do a much larger busi- ness than in the relatively less well located store. Figure Rent by Sales. The rdal cost of rent should not be figured by the month or year, but by the sale. The value of store can be determined to some extent in ad- vance by counting the number of in- who pass by in a given amount of time, but such tests are only tentative. The real proof is in experience. Chain systems can affor to_experiment and frequently discon- tinue unproductive units. The indi- merchant, of course, cannot diversify his risk in this way, In New York a chain of men’s cloth- ing shops used to challenge the con- clusion that a_well located store the best. Its shops were all one flight bove the reet level. However, through cleverness in ad | sought to turn the disadvantage of its Jocation into selling point. It urged the public to walk up one flight and save $10. Some thought by this device it could defy economic law, but the company has gone into receiver- ship. Extra Fast Extra Fine Extra Fare Santa Fe train de-Luxe daily Beginning November 14, 1926 For just a trifle more ($10.00 extra fare from Chicago, $8.00 from Kan. the refined lux- ury of the finest long distance train in the world. Like the Rug of Bag- dad, it slips through the magical wonders of the scenic Southwest, along the old Santa Fé Trail. The CHIEF is even better than the ul cigar store chains are in | | trict are typical of the situation all is | ertising, it | D. C, MONDAY, OCTOBER 1 : THE EVENING STAR, WASHINGTO e e few important changes recently. Mills | are humming along on extraordinarily large operalilg schedules. Prices re- main at substantially the same level. Perhaps the most conspicuous item in the detailed analysis of the situ- ation is the slackening in demand for automobile steel. This tendency will probably become more marked befere it commences to improve. But the seasonal slump in this one line is Ynore than compensated for by im- provement in other divisions of the industry. Factory Orders Steady. Manufacturing plants are taking a steady output from the steel mills, although as a rule the orders are small and frequent. Orders for mer- chant steel bars are improving and the structural shops are busy. Cold finished steel bars are steady and steel mills are feeling the revival which has come to agricultural machinery concerns and even from the increased activity of the New England textile mills. Strip mills are working stead- ily and call for Winter products has improved in the last week. Two of the big rail orders which are anticipated have already been placed. The New York Central has bought 227,675 tons and the Pennsylvania lines have distributed contracts for 160,000 tons with the privilege of in- creasing them by 25 per cent here is nothing particular worthy in sight for big business F. A. Layman, general agent of the Cincinnati, Indianapolis and Western Railroad, today in speaking of condi- tions in the Pittsburgh area, “but in- dications point to a volume least equal to that of previous trogression to a seasonal norn a Summer of unusuaj be expected. Mills working at a somewhat below recent highs, but the reduction in output volume is neither marked nor significant in view of the season of the year. Youngstown Typical Area. Reports from the Youngstown dis- “although over the country. For example, open- hearth production has been some- what lower in the last week, but this has been counterhalanced by increased Bessemer steel output so that produc- tion still remains around near 90 per cent of capacity. Seventy of the 83 open-hearth furnaces near Youngs- town are active. Plate mills are re- ported down to 65 per cent, but other divisions are ranging between $5.and 100 per cent. Iron ore shipments Lakes have shown a steady and con- stant increase this month and are over 3,000,000 tons higher than at this time last’ year. Shipments of lime- stone have increased in correspond- ing ratio. Considerabie”anxiety he been expressed over the competition of German, Belgiah and other foreign iron and steel concerns. The chairman of the Repulican State committee of Pennsylvania al- ready has commenced to receive ap- peals from iron and steel men for a move to have fariff barriers raised. But many producers feel that the present method of buying is working against the foreign competitors in this country and that w de steady at home the American pro- ducers will he in a position to fight harder for export busin BUILDERS ACTIVE. ]'_HC’FROVT, October 18 (Speci D.— | Building activity throughout Michi- | gan continues very good with Flint | and Pontiac showing a spurt. Flint | is in immediate need of 8,000 house: vear building permits sued here exceed those for the cor- responding period of 1 by $4,000,000. on_the Great GASOLINE PRICE CUT. NEW YORK, October 18 (#) Standard Oil Co. of New Jersey reduced the price of export g in es one-half cent a gallon, new quotation is 27.40 cents The EVERYMAN’S INVESTMENTS BY GEORGE T. HUGHES. Fixed Assets. 1t is now time to take a look at the fixed assets and see what part they play in the analysis of a balance sheet. So far we have beert discussing only the current assets and the relation they bear to the current liabilitie: The permanent investment of o comfi- pany in its business presents diffi- culties not found in the working capital section. The fi item of fixed assets gen- erally covers the value of the plant and the real estate. It is desirable that the two be separated, but they are often lumped together. The first question s how the value set opposite these items was arrived at. Too often balance sheets give no information on this point. The conventional method is to value the plant at its cost less depreciation. This, however, is not entirely satisfactory, for conditions may have changed since the property was acquired so much that original cost throws no light on the present value. Sometimes, and this is particularly the case with public utilities, a standard of replacement value is set up. This method is used in valuation proceedings when rates are being ruled upon. But here. too, the investor does not learn much about the real value behind his stock. More exact- ing yet is it to inquire what the prop- erty would bring if the business were liquidated. The trouble with that Way is that the investor is not inter- ested in what the property would bring if it were sold, but what it will earn as a going concern. Only in the case of a mortgagee bondholder who looks ahead to the worst possible to see how he would stand if he should have to foreclose is the sale value of the plant an important factor in de- ciding whether he should make an investment. otwithstanding all these uncer- tainties, conservatism in settifg values for plant property is a reassur- ing indication. The problem is a perplexing one and no universal solu- tion can he offered, but the goal to be aimed at is first a clear statement on the part of the corporation as to just how it arrived at the values®set down on this score in its balance sheet and second precision in the compilations. (Copyr WORLD ZINC OUTPUT. {EW YORK, October 18 (#).—The world’s output of zinc in the nine months of 1 leulated at 983,520 short tons, compared with 803,453 tons in the same period of 1925. The monthly average th ur was 109,280 tons, against 89,161 tons last year. WILL BEGIN DAM SOON. ST. LOUIS, October 18 (Special).— The Missouri Hydro Electric Power Co. is preparing to start work on an 84-foot dam at Hargus Eddy and a 195-foot dam at Mill Creek on the Current River. Preliminary permits have been issued by the Federal Water Power Commission. t. 1926.) Under the Wheels of 3 Loaded Buses Parker Duofold Again Defies Breakage W hile Fifth Ave. Crowds Marvel GAIN Parker Duofold's new Perma- nite barrel has withstood a test that well astounds the world. First hurled from a 25-story hotel to cement without damage; then dropped 3000 ft. from an aeroplane and picked up unbroken; now run over by three New Yorkbuses filled with 67 passengers each. Opening Attractions in ‘Washington Theaters. (Continued from Page interest. Pipe organ accompaniments and solo interludes are added attrac- tions. AMBASSADOR—"Subway Sadie.” + Dorothy Mackaill in the title role, Jack Mulhall, Peggy Shaw, Charlie Murray, Gaston Glass, Bernard Ran- dall and a large ensemble are seen for the first time in Washington in the foremost roles of First National's production of ‘‘Subway Sadie,". ai comedy-drama_of underground New | York. A complete review of the fea- |t ture, which is supplemented at the Ambassador by abbreviated camera Subjects and pipe organ music by Mirabel J. Lindsay and Gertrude Kreiselman, will be found in conjunc- tion with Crandall's Metropolitan ‘Theater. TIVOLI—“The Mhrriage Clause. Francis X. Bushman, Billle Dove and a supporting cast, including such artists as Warner Oland, Grace Dar- mond and Charles Meakin, are the luminaries who walk the silver sheet at the Tivoll Theater in the principal roles of Lols Weber's production,, “The Marriage Clause,” an engrossing tale of the stage. | The story was adapted from Dana Burnett’'s story, ‘“Technic,” and sets forth the romantic adventures—and there are other kinds, too—a chorus girl who finally learned to under- stand and ias herself understood. It is acted with fine spirit and many highly dramatic touches. Mr. Laemmle has endowed it lnflsh_ly‘ with appropriate settings and material | investiture. | The supplementary attractions em- | brace a new Aesop Fable and a late issue of the Pathe News. The bill is embellished by the pipe organ con- | tributions of Otto F. Beck, concert | artist, ¢t the console, and Ida V. Clarke, assistant. t 1 t k¢ ‘WESTERN ELECTRIC ORDERS. NEW YORK, October 18 (#).— Orders received by the Western Elec- tric Co., in the nine months this year | were $182,721,000, against $182,006,000 | in the corresponding period of 1925. Billings were $188,123,000, against | $176,203,000. Unfilled orders on Sep- | tember 30 amounted to $85,417,000, | | compared with $92,329,000 a year ago. | Fries, Beall and Ship 734 10th St. N.W. Main 1964 1) This test was made with sanction and cooperation of the Yellow Truck snd CoachMfg. Co. (sub- sidiaryofthe General Motors Corp.) mak- ers of the three double-deck pas- senger buses that ran over the Parker Duo- fold Pea. | Hearing to | Interstate Commerce Commissi ’Janunr.\' { Henry Ford's 1 ‘whether that line ernment is ing have been high are als vestigation by the comm | Chicago, Milwaukee & St been able to reduce expenses mate- rially this year, especially in transpor tation and maintenunce says H. E. Byram, one of the road's | receivers, but full year can not be estimated wit any | grains are off th tions traversed been affected outcame for depend on whether other traffi make up for the los: silver, | mouth | reach | frice or tooth brush — for WILL PROBE EARNINGS. Determine Whether Ford Road Owes Government. Hearing was ordered today by the officials o o and Tror ired to show 'xcess earn. 21 f h the Gou entitled to recapture . por- 1927, at wh on Railroad will be ngs since fon. Several other railroads whose earn o under in ion to de. ermine whether the Government is entitled to payment Under the transportation act the sovernment should receive one-half of he total net income of any railroad {over 6 per cent on the value of iis propert¥ investment. road, although bankrupt when pur chased by the manufacturer, has be- come a profitable enterprise, and its reports have indicated to the commis- sion’s examiners that amounts may be due the Government. The d rail- EXPENSES REDUCED. NEW YORK, October 18 (#).—The Paul has f equipment, the showing for the of small 1 large sec em have The fina would would in grain loading< Loading vear the sy rought he added, accuracy. b by 19 SILVER dUOTATIONS. W YORK, Octoher 18 (#) Menican dollars, 3914, zest of life Golf means more than exer- cise and fresh air. Strife for an elusive skill and the keen zest of rivalry— these are the things that make golf good fun. Kolynos also adds to the | zest of life, leaving that rare feeling of cleanliness and ex- hilaration — the thrill of feel- ing fit. Kolynos cleans compl ; helping the health of r ti!:": lgnouth—the huh{:o:f your entire body. That clean fresh taste in your mouth tells you that Kolynos is right. This light dental cream, free from grit, liquefies in the netrating places not by ordinary denti- nothing flows like a fluid. Try Kolynos tonight. See how much cleaner and fresh- er your whole mouth feels. You will be surprised and delighted —and refreshed! This weight of more than 11 tons per bus failed to break the pen barrel. And in this test, as in the two others, when the cap was removed from thi black-tipped lacquer-red beauty the Duo- fold point wrote perfectly. A point guar- anteed 25 years pot only for mechanical perfection but for wear! Select your style of point and size of barrel at any first rate pen counter. But look with caution for the imprint of the originator, ‘Geo.S.Parker—DUOFOLD.” Carry the genuine—win the world’s Trespect. Parker Duofold Pencils to match the Pens: Lady Duofold, $3; Over-sise Jr., $3.50; “Big Brother’ Over-sise, 44 THE PARKER PEN COMPANY JANESVILLE, WISCONSIN Sales and Servics Station: SINGER BUILDING, Parker Duofoldy) You have lteard of the New Process range, its thousands of ghted owners, its unparallelled time and labor saving, its auto- matic heat regulation operating with almost human intelligence, its perfect cooking results first and ONLY extra-fare train, SANTA FE-de-Luxe, operated once a week a few years ago. The CHIEF leaves every day. - Leave Chicago each evening, Kansas City next morning. Arrive Los Angeles in morning. Only two business days on the way Now for welcome news to every good housekeeper. I'he makers of the famous New Process range have designed and perfected a new line of ranges retaining all the essential fea- tures of the New Process, but selling at a price within easy reach of any housckeeper. \ an now give your kitchen the only thing needed to make it pericet. You and your household can now enjoy culinary de- lights you never thought possible at such a small expenditure of time, effort and expense Now on Display at Booths 30 and 31 BETTER HOMES and BUILDING EXPOSITION at the , Washington Auditorium Wéek of October 18th to 23rd, Inclusive A display appealing to every woman who is interested in good cooking. ou e Observation sunparlor Ladies’ lounge Ladies’ maid Barber and valet service Every convenience—even bath Fred Harvey Club and Dining car—with exclusive Santa Fe features Like an exclusive hotel! The Santa Fe also operates four other through trains to Califor- nia every day, on which no extra fare is charged. Our representatives will be on duty from 1 p.m. to 11 p.m. daily to demonstrate this wonderful gas range. [ron. @iliiné& @hne 930-32 E St. N.W. 102 222222222222 22 2 S oot ettt ttttttesedsdissan2s +Luchy Curve Feed Dusfold Jr, §3 Lady Duobold, 83 Navy Day—October 27 The Parker Pen MH observation : g 88388888888883288:30808088888883838308888888383838888883838888883838888¢ a5 & and details 22222282423 824242342342222423282222282322427222228222328342328348242243423433234334 3. C. Dillerd, Dist. Pass. Agent, Santa Fe Ry. [ 2_Kinance Bldg.. Philadelphia, Pa. Phones: Rittenhofise 1464-5 ¥ re4