The question often arises as to the proper account to charge expenditures made upon a property; that is, whether such expenditures properly should be paid for out of the earnings of the company - charged to "operating expense" - or whether they may be considered as actual improvements, and, therefore, paid for from increased capitalization. If the latter case, it should be definitely ascertained if such expenditures will increase the actual earning capacity of the corporation. To exhaust this subject by numerous illustrations which would be necessary, is not feasible here. One example must suffice. If a railway replaces a wooden station with a brick station, but thereby not increasing the earning capacity of the road, such an expenditure represents a "replacement" and should properly be charged against the earnings of the property; but if the same road builds a side-track into some manufacturing plant, which results in increased business to the property, such an expenditure is an "improvement" and may be properly paid for by increased capitalization, although, of course, many railroads would pay for such an item as this directly out of the earnings, pursuing an ultra-conservative course.