14 PANAMA RAIL ROAD COMPANY


 The established policy of making purchases in the United States whenever practicable was continued, but there are certain items which the patrons demand whi ch can not be secured in the United States, and others on which the prices, plus the cost of freight and handling, make it impossible to sell them because customers can purchase foreign-made goods in other markets at lower prices. In such cases it is the policy to give a margin of preference to the American product in making purchases for the commissary stock.
 Statements of sales and expenses, and of purchases by class and location, and distribution of sales are presented in Tables Nos. 11 and 12.

 CATTLE INDUSTRY
 Gross revenue from sale of cattle and other products during the fiscal year amounted to $112,790.70. The cost of cattle sold, including operating expenses amounted to $108,734.24, leaving a net profit of $4,056.46 compared with a net profit of $30,644,66 for the fiscal year 1932.
 At the beginning of the fiscal year, there were 132 head of cattle on hand. Purchases during the year amounted to 1,857 head. During the year 1,984 head were turned into the Commissary Division for slaughter, and 5 head died, leaving none on hand at the end of the fiscal year.
 A summary of cattle operations is presented in Table No. 13.

 DAIRY FARM
 Operations of the dairy farm for the fiscal year resulted in a net profit of $12,419.62 as compared with a net profit of $17,979.28 for the fiscal year 1932.
 At the beginning of the fiscal year there werc 675 head of cattle on hand, 103 head were purchased, 82 calves were born; 93 head were turned into the Commissary Division for slaughter, 14 head died, 2 sold to individuals or companies, leaving 751 head on hand at the close of the year. Milk in the amount of 208,525 gallons was produced, of which 203,050 gallons were sold to the Commissary Division and 5,475 gallons were fed to calves. During the year the price of milk was reduced to 56 cents per gallon.

 Detail of revenues and expenses is presented in Table No. 14.

 PLANTATIONS
 Revenue from plantation operations during the fiscal year amounted to $2,460.68, and operating expenses were $1,407.19, resulting in a net profit of $1,053.49, as compared with a net profit of $1,456.19 for the previous fiscal year. All plantations continued being operated under contract.
 Detail of revenues and expenses is presented in Table No. 15.

 HOTEL OPERATIONS
 Hotel Tivoli: The gross receipts from the operation of the Hotel Tivoli during the fiscal year were $110,250.48, and the operating expenses were


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