The distribution of debits and credits among the several institutions is as follows:

Further details of these receipts and disbursements will be found in the tables appended to this report, and in the reports of the institutions named.

It will of course be understood that the figures given above represent cash receipts and disbursements, and that the actual expenses may have been more or less than the cash payments, according to the amount of outstanding indebtedness at the beginning and end of the period. In fact, they were less. The actual expenses have been:"

*Balance, June 30, 1891, introduced here to close the State Reform School account. The total balance in hands of local treasurers, June 30, 1892, was $3,306.48 less than the footing of this column.

The agreement between the statement of cash payments and that of actual expenses is shown as follows:

To meet the outstanding indebtedness the institutions had the following cash resources:

This statement of surplus does not include ledger accounts (for clothing and incidental expenses of inmates) outstanding and uncollected.

The surplus in some of the institutions is large enough to be taken into the account, in estimating the appropriations necessary for the ensuing two years, from July 1, 1893, to June 30, 1895.

CLASSIFICATION OF ORDINARY EXPENSES.

On pages 12-13 will be found a classified summary of the ordinary expenses of the institntions, for each of the two fiscal years, 1890-91 and 1891-92,' by items.

The number of days' board furnished to inmates, from July 1, 1890, to June 30, 1891, was 2,391,439; from July 1, 1891, to June 30, 1892, it was 2,538,059; total, for the two years, 4,929,498.

If the number of days' board just stated for the year 189091 be divided by 365, and that for 1891-92 by 266, the number of days in each year, the quotient will be the average number of inmates for the year. And, if the total number of days' board for two years be divided by 731, we shall have as a quotient the average number for the entire period. Applying this rule, the average number of inmates of all the institutions under our care in 1890-91 was 6,552. In 1891-1892, it was 6,935. The average number for the two years taken together was 6,744.

If the total ordinary expenses for each year, or for the two years taken together, be divided by the average number of inmates, the quotient will be the per capita cost. The total ordinary expenses in 1890-91 were $1,147,673.73. Dividing this figure by 6,552, we find the per capita cost for that year to. be $175.17. Proceeding in a similar manner, the per capita cost for 1891-92 was $16.15, and for the two years from July 1, 1891, to June 30, 1892, it averaged $175.66.

The same process of mathematical reasoning applied to each item of expenditure separately gives the following averages, (for all the institutions taken together.)