Mr. A. O. Fisher, referring to the valuation of the buildings at $395,000, asked if this meant that the buildings were worth so much more to-day than they were a year ago.
Mr. Ezra replied that, when the company bought the Astor House some years ago, they put down only an ordinary price in the books, the buildings being put down at the balance left over from the valuation of the land. Since then, they had increased the size of the buildings and thought it right to have a proper valuation of them made. Thus, $395,000 represented the exact value of the buildings.
Captain Parker pointed out that in the March, 1920, accounts ike amount carried forward was $31,003, and in the present account £29,212 only was shown, a difference of $1,880, Mr. Ezra explained that this difference represented the bonus given to the Chinese staff.
Captain Parker next observed that the $350,000 which the directors proposed to place to reserve of new hotels was shown in ihe balance sheet as $300,000.
Mr. Ezra replied that $300,000 was placed to this account last year, and they proposed to add $350,000 this year, making the amount $650,000.
Captain Parker also referred to the cancellation of G.$500,000, against which a sum_of only $73,812 was credited. When was this amount cancelled, and what rate of exchange was obtained, he asked.
Mr. Ezra—That_ question also is simply explained. We bought G.$500,000 and found that we did not want it. We therefore sold, and the sum of $73,812 represents the actual profit on the transaction.
The formal resolutions were ther adopted.
Text read from the printed page and cleaned; old type leaves the occasional error.