Skis & Sleds

A.C. = w₀L_hS_f Labour ✦6,477 Shadow wage w₀ ✦16 an hour × L_h 150 hours per tonne × skill factor S_f 2.70 S_f for trades: training ✦40,000 against ✦45,000, queue 36 hours against 48 + Σ q_iP_irλ_i Materials ✦65.1 Timber: 800 kg × $75/t × r 1.5 × border 0.72 × λ 1.00 = ✦65.1 + (D + M_o)α_e Capital ✦1,740 Depreciation and maintenance ✦1,200 per tonne × financing 1.45 × waste factor α_e 1.00 Financing is interest at 6% on equipment's average value over a 15-year life. α_e is 1.00 when maintenance hours and defects are on target. + Ep_e Energy ✦75 E 1,500 kWh per tonne × p_e ✦0.05 per kWh = ✦8,357

A.V. = rP*_world Accounted value ✦15,180 per tonne World price $10,000 per tonne plus freight and insurance 1.2% = P* $10,120 × r 1.5 crowns per US dollar Import parity: the price at the Commonwealth border for a good it could otherwise import. Observed abroad, not calculated: a wasteful producer raises only its own cost. = ✦15,180

Revenue = A.V. × Q Accounted revenue ✦12.8 m p.a. Domestic: 843 t × ✦15,180 = ✦12.8 m = ✦12.8 m

Surplus = (A.V. − A.C.) × Q − levies Accounted surplus ✦5.75 m p.a. Revenue ✦12.8 m − cost ✦8,357 × 843 t = ✦5.76 m Distributed 40% to reinvestment, 20% to the municipal aggregate and 40% swept to the Treasury. = ✦5.75 m