FARMERS’ DISTRIBUTING CO.

Wanganui Chronicle, Volume 73, Issue 439, 3 December 1930, Page 9

FARMERS’ DISTRIBUTING CO.

ANNUAL REPORT FRAMED. The annual general mooting of shareholders in the New Zealand Farmers’ Co-operative Distributing Coy. is to be held in Fcilding, on Friday. Following is the annual report of the directors, which will be presented by the chairman, Air J. J. Bryce: — ‘‘The directors herewith submit to shareholders the twenty-seventh annual report and balance-sheet for the year ended September 30, 1930. The prolit and loss account shows a gross profit of £47,535 5s 7d, and the expenditure amounts to £41,405 3s 9d. The nett profit, after making provision for bad and doubtful accounts and fur depreciation of plant and furniture, amounts to £6.130 Is lOd. which, with £1,286 ,15s 7d brought forward from last year, gives a balance of £l,'TT(i, 17s 5d to be dealt with.

“The decrease in profit compared with the two immediately preceding year-s, was due to the smaller commissions received from sales of wool and live stock, owing to the lower prices ruling, and to a proportion of the usual offerings of wool being withheld from sale, because the growers were not prepared to accept the market prices.

“When proposing the distribution of profits last year,’ full provision was made for income tax under the then existing scale of taxation, but, as a consequence of the increased taxation imposed by the land and income tax 1930 Bill, we have since been assessed for an additional amount of £667 11s, and the amount brought forward in our profit and loss appropriation account has been correspondingly reduced. It would be possible to pay a small dividend, but in view of the unfavourable market prospects for farm products, the directors consider it unadvisable to do so, and recommend that the, balance of £7,4.16 17s 5d available in the profit and loss appropriation account be allocated as follows:—To write off £1,500 for depreciation of properties; to add £l,OOO to the general reserve fund; to add £1,500 to the reserve for bad ami doubtful accounts; to provide a sufficient sum to cover income tax, and to carry forward the balance. “The retiring directors are Messrs T. Currie, D. Scott and G. E. Yule, who are eligible and offer themselves for re-election. The retiring auditor, Mr S. E. Lambert, F.P.A. (N.Z.), has been nominated, and offers himself for re-election. ”