H.—l.

registered as branches cannot dissolve except with the consent of their respective districts, or in accordance with the laws of their district or ordor, and any violation of these conditions is equivalent to a violation of the Act. Such an illegal dissolution would also involve some of the officers in the punishment imposed by section 14 (10) for misappropriation. Section 18 (2). —Section 18 (2) makes it obligatory upon registered societies to take the necessary steps for the registration of every existing branch not previously registered, as well as of every new branch; for this purpose, sending to the Registrar notice of its establishment, the name of the place where it is established, a list of the names of trustees and officers to sue and be sued, and a statement whether or not the rules of such branch are identical with those of the other branches of the society, and, if not so, a copy of the rules (if any) of such branch. Section 18 (4).I—Registration1—Registration of branches is rendered easier than heretofore because by virtue of section 18 (4) the necessity of separate lodge rules, i.e., of lodge rules distinct from the rules of the district, is dispensed with, provided always that the district rules make adequate provision for all matters relating to lodges. In cases where the district was registered before the Act of 1877 came into force, and where a complete amendment of rules has. not been since registered, it will usually be found that there is not adequate provision in respect of lodge matters. In such cases, therefore, if it is desired that any benefit be derived from this facility for registration, it will be needful for the district to register a sufficient amendment of rules to meet the necessary requirements. It is important to observe that the registration of a lodge as a branch is now no longer dependent on the consent of the lodge itself, except where the lodge is registered as a separate society, as the duty of taking steps towards that end is in all other cases absolutely thrown upon the district. Section 28. —The important privilege accorded by section 21 of the Act of 1877 to a dissatisfied minority of the members of a registered society of petitioning the Registrar to authorize either an inspection or an extraordinary meeting of the society is extended, by section 28 of the new Act, to the case of registered branches, provided that the central body of the society consents to such extension. Hitherto this privilege has been confined to the case of bodies registered as separate societies. Section 29.—A1l officers, both of registered societies, and of the lodges, courts, &c, affiliated to registered districts, are required by the new Act to become bound with one surety or else to give the security of a guarantee society, -whether the rules of the society or branch require it or not. But the amount of such bond or security is left to the discretion of societies and branches respectively. The necessary steps should at once be taken to give effect to this provision. Societies and branches are recommended to obtain copies of the new Act, which may be procured from the Government Storekeeper at a charge of ninepence. m I have, &c, Wm. R. E. Beown, The Secretary Registrar of Friendly Societies.

SCHEDULE 11. Paper op Test Questions which have been submitted to Applicants toe the Office of Valued. 1. To what sum will £15 accumulate in ten years at 7 per cent, compound interest? Explain each step of your process. Explain what is meant by the present value of an annuity certain. 2. According to Mr. Eatcliffe's latest mortality table, out of 100,000 persons living at age 18 half will die before they reach the age of 65. Yet the " expectation of life "at age 18 was, not between 46 and 47 years, but between 42 and 43 years. Explain how this is possible. On what data was this mortality table based ? 3. The probability that Smith will remain a member of his court at the end of ten years from the present date is two-thirds. There is one chance in eight of his dying in the interval. Estimate the probability of his seceding from the court during the interval. 4. What is the present value at age 25 of a sick benefit of £1 per week during life according to Mr. Ratcliffe's sickness and mortality tables, interest being reckoned at 4 per cent. ? Would it be more dangerous to reckon interest at 5 per cent, in the case of old members or in that of young members, and why ? 5. What items of information respecting a society are absolutely indispensable before it can be actuarially valued ? In the case of each item explain why it is necessary. 6. How would you compare the actual sickness-experience of a lodge during five years of its existence with its " expected " experience ? Illustrate your answer by a numerical example. Where would you expect the divergence to be greater, in the experience of acute sickness or in that of chronic sickness ? How does this bear on the question as to the desirableness of " district reduced sick-pay funds ? " 7. How does the recent experience collected by Mr. Neison from the records of the Ancient Order of Foresters compare with the tables published by his father and by Mr. KatclifEe ? What do Mr. Neison's researches show as to the relative health of those who secede from friendly societies and those who remain in ? 8. What do you mean by tn%" net liability "of a lodge ? How would you determine the present value of the future contributions, and under what circumstances would you have to take precautions to eliminate negative valifes from your calculations. Why must such values be eliminated ? 9. On what principles would you deal with a surplus brought out by a valuation ? 10. Explain how you would value the funeral liabilities of a " district " the funeral fund of which was provided by a fixed contribution from every member of every court. How would your estimate of these liabilities affect your view as to the solvency or otherwise of each particular court ?

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