B.—l [Pt. IV].

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NEW ZEALAND GOVERNMENT RAlLWAYS— continued. Working-expenses and Revenue Account for the Year ended 31st March, 1923. Dr. Cr. To working-expenses— £ s. d. By Revenue — £ s, d. Maintenance of way, works, and Passengers, ordinary .. .. 2,216,514 0 10 buildings .. .. .. 1,040,892 2 2 Season tickets .. .. 204,105 9 6 Signal and electrical works .. 67,424 10 1 Parcels, luggage, and mails .. 393,322 6 1 Locomotive power .. .. 2,121,531 11 10 Goods .. .. .. 3,671,008 5 1 Carriage and wagons—Repairs and Miscellaneous (including refreshrenewals .. .. .. 535,621 12 1 ment-room services) .. 119,933 2 8 Traffic expenses .. 1,527,033 5 1 Rents and commission (including Head Office .. .. .. 57,262 7 7 advertising at stations) .. 122,919 2 8 Departmental offices .. .. 138,631 9 3 Lake Wakatipu steamers .. 14,099 1.7 1 Total working-expenses .. 5,502,496 15 2 Balance .. .. 1,225,305 11 8 £6,727,802 6 10 £6,727,802 6 10 Net Revenue Account for the Year ended 31st March, 1923. Dr. £ s. d. Or. £ s. d' To Interest for the year 1922-23 on By Net earnings for the year after cost proportionately to the time payment of working-expenses .. 1,225,305 11 8 during which linos taken over Deficiency for the year .. 284,385 1 2 during the year were revenueearning —- 3J per cent. on £40,258,417.. .. .. 1,509,690 12 10 £1,509,690 12 10 £1,509,690 12 10 L. Hamann, Chief Accountant, N.Z. Railways. I hereby, certify that the Revenue Account and balance-sheet have been duly examined and compared with the relative books and documents submitted for audit, and correctly set out the position as disclosed thereby. The Audit Office is of opinion that — (1.) The rate of interest provided in the net Revenue Account, 3| per cent., is insufficient. (2.) Provision for a Depreciation Reserve Fund should be made. (3.) Credit should be taken for services which are at present gratuitously provided for certain Government Departments. (4.) All moneys raised under Railways Improvement Authorization Act should be included in the accounts, instead of only the amount actually expended. Notes.—The Cape Foulwind Railway, taken over by the Government on the abolition of the Westport Harbour Board, has been vested in the New Zealand Railways and will be included in future balance-sheets. Railway-lines while, under construction are controlled by the Publio Works Department, and all expenditure connected therewith is consequently included in the accounts of that Department. G. F. C. Campbell, Controller and Auditor-General.