The Star Press from Muncie, Indiana • Page 23

Business Briefs BUYOUT COMPLETED UNION CITY, Ind. The NFIB was pulling for six bills, the Westinghouse plant in Union banking, bad of buyout including cross-county has check remedies and the civil justice City been completed, according. reforms. to Thomas Dolan, chairman and chief executive of A.0. Smith Elec- Legislators were given percentage rankings based on their votes.

trical Products Co. In February, A.0. Smith The 100-percent included ment sentatives had been reached to an buy agree- the Buren; David Hoover, R-Ridgeville; announced that repre- Reps. Ralph Duckwall, R-Van plant. A company spokesman said Eric Turner, R-Gas Patrick Kiely, R-Anderson and P.

the change of ownership would not City. create layoffs at the plant or affect Thomas Scoring 83 percent were Reps. wages and benefits. Coleman, R-New Castle, and Jeffrey Espich, R-Uniondale, However, 175 layoffs from the and Sens. William assembly line that Westinghouse Anderson, and Wayne McCarty, Townsend, D- already had planned will continue Hartford City.

as Scoring 67 percent were Sens. The buyout included facilities in Allie Craycraft, D-Selma, and Mexico and Ohio. Michael Rogers, R-New Castle. No purchase price was disclosed. Scoring 50 percent were Hurley Goodall, D- and Hoosier BUSINESS lawmakers FAVORED Sens.

Roger Jessup, voted in and David Nicholson, D- R-Summitville, favor small business at the 1986 The lowest score was 33 of percent Indiana General Assembly. by Rep. Robert Hellmann, D-Terre According to the National Feder- Haute. ation of Independent Business, 39 members of the House and 11 SENIOR NAMED members of the Senate posted Jennifer Brajkovich has been perfect voting records. named the outstanding senior Markets Grain Livestock Cash Grain LEAS COMPANY (Montpelier) Phone: 728-2222 Closing Prices for May 22 Beans 5.22 bu.

Corn 2.30 bu. SHIDELER GRAIN CO. (Shideler) Phone: 282-6226 Closing Prices for May 22 Beans 5.13 bu. Corn 2.37 bu. CULLEN FEED GRAIN (Hartford City) Phone: 348-3008 Closing Prices for May 22 Beans 5.20 bu.

Corn 2.24 bu. FARMERS ELEVATOR (Oak ville) Phone: 288-1951 Closing Prices for May 22 Beans 5.27 bu. New Beans 4.91 bu. Corn 2.43 bu. New Corn 1.79 bu.

STONE STATION ELEVATOR (Winchester) Phone: 584-6595 Closing Prices for May 22 Beans 5.24 bu. New Beans 4.80 bu. Corn 2.33 bu. New Corn 1.64 bu. Ear Corn 2.23 bu.

New Wheat 2.33 bu. EMPORIA GRAIN CO. (Emporia) Toll Free: 800-522-6481 Closing Prices for May 22 Beans 5.27 bu. New Beans 4.90 bu. Jan.

Beans 5.04 bu. Corn 2.42 bu. New Corn 1.79 bu. Jan. Corn 1.89 bu.

New Wheat 2.34 bu. EARLY AND DANIEL COMPANY (Sulphur Springs) Phone: 533-4166 Closing Prices for May 22 Beans 5.26 bu. New Beans 4.91 bu. Corn 2.43 bu. New Corn 1.79 bu.

New Wheat 2.37 bu. THE ANDERSONS (Dunkirk) Toll Free: 800-382-6520 Closing Prices for May 22 Beans 5.27 bu. New Beans 4.91 bu. Jan. Beans 5.19 bu.

Corn 2.41 bu. New Corn 1.76 bu. Jan. Corn 1.94 bu. Wheat 2.89 bu.

New Wheat 2.36 bu. HENRY COUNTY GRAIN (New Castle) Toll Free: 800-382-8793 Closing Prices for May 22 Beans 5.25 bu. New Beans 4.86 bu. Jan. Beans 5.04 bu.

Corn 2.45 bu. New Corn 1.77 bu. Jan. Corn 1.91 bu. New Wheat 2.35 bu.

FARMERS COOPERATIVE CO. (Matthews) Phone: 998-2743 Closing Prices for May 22. Beans 5.19 bu. Corn 2.28 bu. CLOCK GRAIN INC.

Phone: 358-3341 Closing Prices for May 22 Beans 5.19 bu. Corn 2.40 bu. New Wheat 2.32 bu. Indianapolis Feeders INDIANAPOLIS (AP) Feeders: 150. Feeders mostly steady.

Feeder steers: medium frame 575-800 Ibs 54.00-57.00. Smalal frame package 625 lbs 54.00. Medium and light frame 1 alot 725 IDs 60.00. Small and medium frame 1 package 475 IDs 60.00. Lot 600 IDs 55.00.

Small amd medium frame 1- 2 package 500 IDs 56.00. Holsteins: Large frame 2 lot 500 lbs 48.00. Feeder Heifers: Medium frame 1 package 425 lbs 57.50; package 625 Ibs 52.50. Large frame 1 package 500 IDs 56.00; 625-775 IDs 48.50- 53.50; Small and medium frame 1 450-550 lbs 54.75-55.50; lot fleshy 600 lbs 52.00; Small and medium frame 1-2 350-400 IDs 54.50-56.00; medium frame 2 package 750 lbs 47.00. Board of Trade CHICAGO (AP) Grain futures prices were mostly lower while the soybean complex showed little strength day on the Chicago Board of Trade.

Wheal futures was the biggest loser, down about five cents 8 bushel because of limited export Interest and because In some southern areas the harvest Was starting to come In, sald Dale Gustafson, an analyst with Drexel Burnham Lambert Inc. Corn prices were down on profit taking and the beginning of delivery arrivals, he said. Also, the new crop months remained under pressure from 900d weather for planting and early growing. The soybean complex found support from expectations that some processors may have to reduce operations because of dwindling Inventories and difficulty in buying beans at current prices, which leave 100 small profit margin, Gustafson said. AI the close, wheat WaS cents to cents lower with the contract for delivery in July at bushel; corn Was cent to cents lower with July at $2.37 bushel; oats were cents lower with July at bushel; and soybeans were cents lower to cent higher with July at a bushel.

Dow-Jones Averages NEW YORK(AP) Final Dow- aves. for Thursday, 22. STOCKS Open High Low Close Cho 30 ind 1782.61 1813.74 1774.18 1006.30+31.13 20 Trn 779.69 797.72 778.21 795.02 14.72 15 UM 181.41 184.45 180.58 183.68+ 2.53 65 Stk 691.48 704.51 688.74 701.75+11.98 Indus Tran 4,652,800 Utils 4,754,900 65 Stk 26,511,400 Money Market Prices K.J. BROWN AND INC. 122 E.

Main St. First Trust Govt. First Trust Tax 3.99 First Trust General 5.86 Midwest Income Trust .........5.89 Reserve Fund Reserve CPA Indianapolis Grain INDIANAPOLIS (AP) Grain prices Thursday for Indianapolis araa elevators: Corn No. 2 vellow 2.31-2.46; new 1.66-1.82; January 1.92-1.96. Soybeans No.

vellow 5.21-5.38; new 4.77- 4.98; January 4.99-5.09. Wheat No. 2 soft red new 2.23-2.42. THE MUNCIE STAR, FRIDAY, MAY 23, 1986 PAGE 23 Factory Orders Take a Fall FROM STAFF AND WIRE REPORTS accounting major at Ball State University by the Indiana CPA Society. Brajkovich is a graduate of Pekin Community High School, Pekin, where she was valedictorian.

At Ball State, she was named a Whitinger Scholar and was a member of the Mortar Board Senior Honor Society, Beta Alpha Psi and Beta Gamma Sigma honoraries. After graduation from Ball State, Brajkovich will be employed by Price Waterhouse in Indianapolis. LOCAL MEN AT MEETING Jud Motsenbocker and Dick Tutor of Jud Construction, 3413 N. Wheeling attended the recent meeting of the National Association of Home Builders Remodelers Council spring board of trustees meeting. Tutor is the national director of NAHB for the Muncie Home Builders Association and Motsenbocker is a life director and former chairman of the organization.

NAMED TO STATE PANELS Five Muncie Certified Public Accountants (CPAs) have been appointed to Indiana CPA Society committees. They are: Jean J. Drumm, Estep-DoctorDrumm P.C., ethics; Dan Eberhart, Ball manufacturing; Thomas A. Greiwe, Simmons state and federal taxation; Paul W. Parkinson, Ball State University, legislative action, and R.J.

Whitinger small business. The appointments were made by Anthony W. Smith, Indianapolis, society president. BUILDER CHOSEN Wise Builders Inc. of Muncie has become the exclusive contractor to install wall systems for Tandy Corp.

in Indiana and Michigan. Wise Builders' W.D. Suds Laundramat has become a satellite location for Muncie One-Hour Cleaners. All services available at Muncie One-Hour Cleaners are provided by W.D. Suds, 509 N.

Martin St. WASHINGTON Orders to U.S. factories for big ticket durable goods fell for the third straight month in April, skidding 0.8 percent, the Commerce Department said Thursday. Commerce Secretary Malcolm Baldrige attributed the drop mostly to a 27.2 percent decline in defense orders, which are extremely volatile on a monthly basis. If defense orders were excluded, new orders would have increased 2.1 percent.

Nevertheless, private economists called it a weak performance and a big disappointment. Several analysts pointed to a 3.7 percent drop in non-defense capital goods items like computers and machinery purchased by businesses as a possible indication of business leaders' nervousness about the overall economy for the rest of the year. The category, closely watched for signals it can give about By JANET STAIHAR Associated Press Writer industry plans to expand and modernize production facilities, has been extremely volatile this year. Baldrige said orders rose for motor vehicles and auto parts and for products related to housing activity. "Though durable goods production has not yet picked up, the housing sector and financial markets continue to signal faster economic growth," he said a statement.

But analyst Michael K. Evans, of Evans Economics Inc. in Washington, said: "The figures certainly are not very bullish. The biggest disappointment is non-defense goods an important number." Evans said the larger picture "clearly suggests that firms are very nervous about investing for the rest of the year, particularly in view of the retroactive cancellation of the investment tax credit." The tax overhaul bill approved by the Senate Finance Committee would repeal the investment credit retroactively to Jan. 1, 1986.

Under the credit, the government in effect pays up to 10 percent of the cost of machinery and equipment. Orders for durable goods, items expected to last at least 3 years, totaled $104.3 billion in April, compared to $105.2 billion in March. Orders for defense capital goods declined $2.8 billion, or 27.2 percent, to $7.6 billion, but the $10.4 billion level in March was unusually high, the government said. Analyst John Hagens with Chase Econometrics in Bala Cynwyd, said that judging from the new data he sees no rebound yet. He said one reason for the weakness in durable good orders was because of cutback in capital spending by hard-pressed oil producers.

"They have seen their profits go through the floor," he said. "This is the initial result of the decline in oil prices a cut back in durable goods orders." New Baggage Rules Proposed New York Futures NEW YORK (AP) on the Comex Thursday: Open High GOLD 100 troy dollars per May 342.50 342.50 Jun 339.90 343.40 Jul Aug 342.80 346.60 Oct 347.50 349.80 Dec 350.00 353.70 Feb 354.50 354.50 Apr 358.00 358.00 Jun 362.50 362.50 Aug 365.80 365.80 Oct 348.00 372.00 Dec 372.80 372.80 Feb sales 18,741. open int 132,649, SILVER 5,000 troy cents per May 496.5 506.0 Jun 506.0 506.0 Jul 498.0 510.0 Sep 503.5 516.5 Dec 515.0 526.0 Jan 524.0 524.5 Mar 527.0 532.0 May 539.0 539.0 539.5 539.5 548.0 548.0 Dec Jan Mar Wed's sales 8,542. open Int 78,110, COPPER 25,000 IDs; cents per May 62.15 62.15 Jun Jul 62.55 62.65 Sep 63.00 63.05 Dec 63.40 63.45 Jan Mar 63.75 63.80 May 64.05 64.05 Jui Sep 64.75 64.75 Dec Jan Mar 65.60 65.60 sales 5,453. Wed's open int 69,939, ALUMINUM 40,000 cents per May Jun Jul 53.50 53.60 Sep 53.50 53.50 Dec Jan Mar May Jul Sep Dec Jan Mar sales Wed.

'5 open int 1,390, Futures trading Low Settle Cho. troy oz. 342.50 343.20 339.80 342.60 344.20 342.80 345.90 347.30 349.20 2.80 349.70 352.70 354.50 356.40 358.00 360.00 361.40 363.70 365.80 367:80 348.00 371.80 372.80 376.10 380.60 up 405. trov OZ. 496.5 504.0 503.5 504.6 10.0 497.0 507.5 503.5 513.8 10.0 514.5 523.1 524.0 526.2 527.0 532.3 539.0 538.8 10.0 539.5 545.4 10.0 548.0 552.3 562.9 566.7 574.1 off 235.

62.10 62.00 62.15 62.30 62.40 62.75 62.80 63.25 63.25 63.40 63.75 63.70 64.05 64.00 15 64.35 64.75 64.70 05 65.15 65.30 65.50 65.50 4.10 up 28. lb. 53.10 53.10 53.10 53.15 53.25 $3.25 53.50 53.55 53.60 53.70 53.75 53.80 53,90 53.95 54.00 off 4. Louisville Livestock LOUISVILLE, KY. (AP) (USDA) Estimated receipts cattle and Slaughter cows: High cutter boning utility 1-3 33.75-36.50.

Slaughter vealers: Few high choice prime 215-243 lbs. 68.00- 71.00. Feeder helfers: Few medium frame 1 462-525 lbs. mostly 49.25- 50.00. Stock cows: Small frame 1, 6-10 years old 685-825 lbs.

30.25-36.50; large frame 2 holsteins 2-4 vears old 820-990 IDs. 34.25-43.50. Stock calves: Few medium frame 115-255 IDs. 55.50-69.00. For the week: helters Slaughter steers 3 lower; weak to 50 lower; slaughter cows and bulls steady.

Slaughter calves steady: vealers poorly tested. Feeder steers and helfers steady; however steers under 500 lbs. poorly tested. Hogs --350. Compared to Wednesday's close: Barrows and gilts: 1.00-1.25 lower; US 2-3 245-265 lbs.

48.25-48.40; US 3 250-270 IDs. 47.50-47.80; US 3-4 230-290 lbs. 42.80-43.90. Sows: Steady to .50 higher; US 1-3 300-390 lbs. 37.00-38.50; 500-600 ibs.

42.00-43.00. Boars over 300 lbs. 33.00; few 225-280 IDs. 34.50-38.25. For the week: Barrows and gilts mostly .50 higher; sows steady.

Sheep: Untested. Eaton Livestock Livestock prices as paid by the Jack Childs Livestock Market at Eaton. HOGS 50 lower Hogs. (220-240) $48.00 Sows (300-500) Sows (500 lbs. up) Boars (200-250 lbs.) $34.00 Boars (300 ibs.

up) $35.00 CATTLE Steady Choice Steers Choice Heifers Cows $37.00 Down Bulls $45.00 Down SHEEP $1 higher Choice Lambs Slaughter Ewes London Metals (in pounds sterling per metric ton) Prev. Close Bid Asked Bid Asked ALUMINUM Spot 770 772 767 Forward 763 764 757 COPPER CATHODES (High Grade) Spot 936 937 926 927 Forward 949 950 938 9381 COPPER CATHODES (Standard) Spot Forward 918 935 920 906 908 933 922 LEAD Spot 246 247 Forward 255 250 NICKEL Spot 2713 2715 2660 2670 Forward 2770 2775 2720 2725 SILVER (10,000 troy ounces In pence per troy ounce) Spot 334 335 Forward 342 343 TIN (Standard) Spot ng nq no Forward no ng na no ZINC Spot 420 425 410 420 Forward no a nq na Indiana Securities K.J. BROWN AND INC. 122 E. Main St.

Bid Asked Amer. Fletcher Amer. Nat. Bank ow Circle Income Danner's Inc. 1734 First United Ind.

Natl. Corp. Indpis. Water Co. Ind.

Trust Svs. ......26 ow Jeff. Natl. Life Marsh Merch. Natl.

Bank ow Overmyer Corp. Consolidated Prod. Peoples Bank of Portland 32 Precious. Metals McKINNON SECURITIES INC. 425.

High Street Square (Prices as of 3 p.m. May 22, 1986 London P.M. Gold up 1.55 N.Y. P.M. Silver 5.03 up .08 June Gold Futures up 2.80 June Sliver Futures up .10 370.00 $1,000 Bag Silver Nat.

Money Market Fund 6.21 (seven day average) Butter and Eggs CHICAGO (AP) USDA Butter was unchanged Thursday. AA 1.3825-1.3975. A 1.3775-1.3975. Eggs: Trade sentiment steady Thursday sales delivered to volume buyers were unchanged on extra large and large and lower on mediums: A extra large 65- 67; A large 42-65; A mediums 46-49. Grain Futures CHICAGO (AP) Futures trading on the Chicago Board of Trade Thursday: Open High Low Settle Cho.

WHEAT 5,000 bu minimum; dollars per bushel Jul 2.59½ 2.60 2.54¼ 2.57¼ Sep 2.61 2.611 2.56½ 2.59½ Dec 2.71 2.71 2.65½ 2.68 Mar 2.70¼ 2.70¼ 2.67¼ 2.69¼ Jul 2.48 2.48 2.47 2.48 May 2.62 2.62 2.60 2.6112 2 sales 7,599. open Int 33,864, off 760. CORN 5,000 bu minimum; dollars per bushel Jul 2.39 2.391 2.35% 2.36 .03 Sep 2.04½ 2.05½ 2.041 2.04% Dec 1.97 1.97½ 1.961 1.97¼ Mar 2.06½ 2.06½ 2.05½ 2.0612 May 2.12 2.12¼ 2.10½ 2.12 Jul 2.12¼ 2.12½ 2.11¾ 2.12¼ Sep 2.0312 sales 17,387. open Int 109,738, off 905. OATS 5,000 bu minimum; dollars per bushel Jul 1.15% 1.15% 1.11½ 1.12 Sep 1.21 1.21 1.18 1.18 0312 Dec 1.26 1.26 1.23 1.23½ Mar 1.25½ sales 281.

open Int 3,712, off 12. SOYBEANS 5,000 bu minimum; dollars per bushel Jul 5.30 5.32½ 5.29¼ 5.31¾ Aug 5.24% 5.27¼ 5.24¼ 5.26 Sep 5.15 5.17 5.14¾ 5.15½ Nov 5.121 5.141 5.10% 5.12½ Jan 5.20½ 5.231 5.20½ 5.2112 Mar 5.30 5.32 5.30 5.30¼ May 5.36 5.36V 5.35 5.36½ Jul 5.3712 5.39 5.37 5.39 Aug 5.35 5.37½ 5.35 5.37V sales 16,149. open Int 65,470, up 236. SOYBEAN OIL 60,000 Ibs; dollars per 100 lbs. Jul 17.88 18.19 17.86 18.11 Aug 18.00 18.18 17.99 18.17 18.00 18.20 18.00 18.18 Oct 18.00 18.20 17.95 18.15 Dec 18.20 18.30 18.15 18.29 Jan 18.30 18.35 18.30 18.35 Mar 18.62 May 18.85 18.85 18.85 18.85 sales 10,200.

Wed's open inf. 53,230, up 195. SOYBEAN MEAL 100 tons; dollars per ton Jui 148.30 149.60 148.00 149.30 1.10 Aug 148.30 149.50 148.20 149.20 Sep 147.80 148.50 147.20 147.60 Oct 146.80 147.20 146.20 147.00 Dec 148.00 148.00 146.80 147.50 -60 Jan 149.00 149.50 148.00 148.00 Mar 151.50 151.60 150.50 150.50 May 155.50 155.50 153.50 154.00 sales 10,982. open Int 49,113, up 1,105. Indianapolis Livestock INDIANAPOLIS (AP) Hogs 600.

Barrows and gilts moderately active, 50 cents lower. US 1-3 220- 260 lbs 49.00-49.50. US 2-3 230-290 IDs 47.00-49.00. US 3-4 290-320 IDs 43.00-44.00. Sows: Moderately active, steady.

US 1-3 500-600 lbs 39.00-42.00. Cattle: 325. Slaughter steers, helfers and bulls not well tested. Cows mostly 1.00 lower. Bulk of slaughter supply cows, balance feeders for later auction.

Slaughter steers: Good 2 1050- 1150 IDs 48.50-52.00. Holsteins: Lot choice 2-3 1175 lbs 46.00. Package good 2 975 lbs 40.25. Slaughter heifers: Package choice 3 800 IDS 48.00. Few mixed good and choice 3 700-1000 IDs 45.25- 48.25.

Slaughter cows: Utility and commercial 2-4 34.000-38.25. Few high dressing 39.00-40.75. Cutter 1-2 32.00-36.25. Few canner and low cutter 1 28.50-32.50. Slaughter bulls: Few yield grade 1-2 1025-1700 lbs 45.75-49.75, high dressing Individual 51.25.

Sheep: 30. Held for later auction. Indiana INDIANAPOLIS Direct Hogs Indiana direct hog market at 70 yards and markets Friday. Barrows and gilts weak 10 .50 lower. Demand moderate.

US 1-2 210-250 47.50- 48.50, US 1-3 210-260 Sows fully steady. US 1-3 300-500 37.00-40.00, 500-650 39.00-42.00. Few over 600 to 43.00. Indiana direct receipts: Wednesday's actuals, 20,400. Thursday's estimate, 15,000.

A week ago, 16,700. Thursday year ago, 15,200. Week-to-date, 69,300. Same period a week ago, 66,400. Same period a year ago, 69,400.

Meat Futures CHICAGO (AP) Futures trading on the Chicago Mercantile Exchange Thursday: Open High Low Settle Cho. CATTLE 40,000 cents per lb. Jun 54.50 55.20 54.05 55.15 Aug 50.90 51.60 50.52 51.47 Oct 50.65 51.05 50.20 50.90 Dec 52.70 53.15 52.35 52.85 Feb 53.00 $3.75 52.90 53.67 Apr 54.25 54.80 53.92 54.75 Jun 55.50 sales 25,046. open int 58,248, up 50. FEEDER CATTLE 44,000 cents per lb.

Aug 55.60 56.25 55.15 56.20 Sep 53.70 54.35 53.20 Oct 54.15 55.05 54.00 54.75 4.60 Nov 55.40 56.20 55.30 55.75 Jan 57.70 57.70 57.70 57.70 Mar 57.25 sales 2.034. open Int 8,766, off 99. HOGS 30,000 cents per lb. Jun 47.85 48.45 47.65 Jul 46.50 46.90 45.60 Aug 44.10 44.90 44.10 44.70 Oct 40.25 40.72 40.10 40.52 Dec 40.95 41.45 40.95 41.20 Feb 41.10 41.55 41,10 41.42 Apr 38.05 38.85 38.77 38.77 Jun 40.95 40.95 40.77 40.77 Jul 41.00 41.15 41.00 41.00 sales 10,299. open In 23,909, up 14,310.

PORK BELLIES 38,000 cents per lb. May 61.40 62.25 59.85 Jul 61.25 62.10 59.65 60.62 Aug 59.40 60.20 58.02 59.15 Feb 58.70 59.60 58.15 58.60 Mar 58.25 58.25 57.65 57.65 May 59.20 59.20 59.20 59.20 sales 5,926. Wed's open int 9,395, up 187. Chicago Cash Grain SPRINGFIELD, 111. (AP) Truck and rail bids for grain delivered to Chicago.

Quotations from the USDA represent bids from terminal elevators, processors, mills and merchandisers after 1:30 p.m. Cen-. tral time. Wed. Tue.

No. 2 Soft wheal 3.211 3.18V No. 1 Yellow soybeans 5.35¼ 5.37V No. 2 Corn 2.62Vap 2.62 No. 2 Yellow Corn 2.57 2.571 p- processor bids.

e-terminal elevator bids. n.q. -not quoted. r-revised. Kansas City Wheat KANSAS CITY (AP) Wheel futures on the Kansas City Board of Trade Thursday: Open High Low Settle Cho.

WHEAT 5,000 bu minimum; dollars per bushel Jul 2.52 2.52 2.48 2.49 Sep 2.54¼ 2.54¼ 2.51¼ 2.52½ Dec 2.63½ 2.631 2.59½ 2.59½ Mar 2.63 2.63 2.62 2.62 05 May 2.58½ 2.58½ 2.58V 2.58½ sales 3,272. open inf 19,083, up 219. Chicago Potatoes CHICAGO (AP) USDA Major tato markets FOB shipping points US 1A Wednsday In 100 lb sacks; russets 100 lb sacks non size A Colorado 4.50-5.00. Russets 50 lb cartons 100 count; WashIngton 12.00; Colorado 10.00-11.00. Russets 50.

lb cartons per cwt 70-80 count; Washington 18.00; Colorado 13.00- 16.00. By H. JOSEF HEBERT Associated Press Writer WASHINGTON The Transportation Department proposed new rules Thursday aimed at making it easier for airlines to control the flow of carry-on luggage, but backed off from a proposal that would have limited the number and size of bags on board. Transportation Secretary Elizabeth Dole said the regulation, which must still go through a formal rulemaking procedure, would "prevent the abuses" currently widespread among airlines, of people taking too many bags into jetliner But the airlines indicated they were far from happy about the new proposal. "We maintain that no new regulations are needed, that there is no safety problem that has been indicated," said Bill Jackman, a spokesman for the Air Transport Association.

A union representing flight attendants said the proposed regu- bags are needed because people are lation was not strong enough and taking so many items on board so that a more uniform, clearer as to pose a safety hazard. requirement of how many bags can Under the proposed regulation be carried on board should be announced Thursday, airlines must developed by the Federal Aviation establish a checkpoint outside of the Administration. aircraft probably near the "It's been watered down. They boarding gate and assign ground eliminated the requirement that personnel to assure that carry-on there be a single uniform screening baggage is limited to the amount You could end up with that can be safely put away in the 150 different programs," said Mat- cabin. thew Finucane, safety director for the Association of Flight Attend- The specific requirements may be "tailored" to fit different airants.

Last FAA officials indicated craft with different storage capacyear ity as well as different airlines and they were ready to issue regula- travel conditions, the FAA said. tions that would set specific limits Each airline's program must be on the number of bags and the size of bags that would be allowed approved by the agency. inside an aircraft cabin. A draft FAA spokesman John Leyden regulation would have allowed acknowledged that the new requirelittle more than two small bags and ments can be "very flexible" and a lightly packed garment bag. are designed primarily as a The Association of Flight Attend- mechanicsm to make it easier to ants and some air safety groups enforce the current requirements including the National Transporta- which say no more bags can be tion Safety Board said specific taken aboard a plane than can be limits in the size and number of safely stored.

IRS Says Tax Compliance Growing Again By JIM LUTHER AP Tax Writer WASHINGTON A 20-year trend of rising non-compliance with federal tax laws might have been reversed, according to a new analysis by the Internal Revenue Service. Voluntary compliance by taxpayers increased to 91.8 percent in 1982, from 91.0 percent in 1979, the IRS estimated. Compliance had declined steadily from 94.3 percent in 1965. The study also concluded that cheating on individual itemized deductions might not be as serious a problem as earlier believed. Only 5.5 cents of every $1 of itemized deductions is disallowed by the IRS, a figure that has improved steadily since 1973.

But the IRS is not ready to declare victory over tax cheats. "Presently, it is not known whether the improvement in compliance is temporary or if it represents a true turning point in taxpayer behavior," the report said. It will be at least 1988 before there is sufficient evidence to answer that question. The new statistics call into question the validity of widely quoted estimates of a "tax gap" exceeding $100 billion a year. The gap is the difference in taxes owed including those on illegal income and in taxes actually paid.

The report suggested that the largest component of the tax gap, unreported income, is not growing as quickly as had been estimated in 1979. The study also found that: I Cheating by businesses that are taxed as individuals is worsening. More business income is going unreported. Overstatement of business expenses has become so extensive that 29.4 cents of every $1 claimed is disallowed by the IRS during audits. More and more dependent exemptions are being wrongly claimed.

It could be because of the high divorce rate, an 1 increase in single-parent situations or more births. "Whatever the reasons, the fact remains that the number of improper exemptions claimed for children living at home has increased from 2.7 million in 1965 to 8 million in 1982," the report said. The growth of tax shelters is imposing an ever-increasing cost on the tax system. Chiefly because of shelter investments, the study said, income reported from partnerships (the favorite shelter device) fell from $12.7 billion in 1979 to $1 billion in 1982. Financial Digest N.Y.

TIMES NEWS SERVICE president's discretion on trade matA digest of business and financial ters, was passed by a vote of 295- news for Friday, May 23, 1986: 115, with 59 Republicans supporting the measure and just four DemoThe Economy crats opposing it. The Senate has A wide-ranging revision of U.S. already begun hearings on its trade laws was approved by the version of trade legislation. House despite stern warnings from Factory orders for durable President Reagan, who criticized goods fell 0.8 percent in April, for the bill as "protectionist the third monthly decline in a row. tion." The bill would require the Commerce Secretary Baldrige president to take more vigorous attributed the drop to a 26.9 action against countries that subsi- percent decline in military orders, dize exports to the U.S.

but hinder but private economists called the American goods from entering overall results weak and a big their home markets. Reagan told a disappointment. retailing group that the measure IA House bill would require "could plunge the world into a trade auditors to report any suspicions of war." The bill, which also limits the fraud or illegal activities on the Commodities THE ASSOCIATED PRESS Cattle futures prices advanced strongly Thursday at the Chicago Mercantile Exchange. Live cattle were .50 cent to .95 cent higher with the contract for delivery in June at 55.15 cents a pound; feeder cattle were unchanged to 1 cent higher with August at 56.20 cents a pound; live bogs were .05 cent lower to .45 cent higher with June at 48.30 cents a pound; and frozen pork bellies were 1.70 cent lower to .15 cent higher with May at 59.85 cents a pound. Grain futures prices were mostly lower while the soybean complex was mixed on the Chicago Board of Trade.

Wheat settled 2 cents to cents lower with the July contract at a bushel; corn was unchanged to 3 cents lower with July at $2.36 a bushel; oats were cents to cents lower with July at $1.12 a bushel; and soybeans were The new analysis was prepared percent. For Schedule income, by IRS researcher Richard J. which covers earnings from busiFratanduono, using information nesses operated as sole proprietordeveloped by sampling 50,000 indi- ships, compliance dropped to 67.6 vidual returns filed in 1983. The percent from 75.8 percent in 1979 sampling is an annual part of the and 87.8 percent in 1965. agency's Tax Compliance Measure- ADJUSTMENTS, including ment Program, which uses moving expenses and Individual audits to set guidelines for what Retirement Accounts: should be paying.

is 6.3 of compliance taxpayers individual growing; percent adjustEven though overall ments were disallowed on audit, compliance improved, Fratanduono down from 13.4 percent in 1979. wrote, the increases came in only The big exception is individual four of the 12 income classes into business expenses, whose 29.4 perwhich returns are divided. cent rate of overstatement climbed Improvement came among non- from 24.4 percent 3 years earlier. business taxpayers with incomes under $10,000 and the long ITEMIZED DEDUCTIONS: 1040; individuals with Accurate filing Form reporting generally has incomes of $50,000 and over; busi- improved gradually since 1965, nesses with gross receipts of although the dollar amount of non000 and and farm businesses compliance has grown a bit faster over, of and than with incomes $100,000 over. the rate of inflation.

In 1982, Fratanduono suggested the medical expenses were overstated improvement in compliance was by 2.4 state interest and 3 local taxes 13 percent, concentrated among those higher- by percent, by percent because they and charitable contributions by 10 income taxpayers received the largest reductions in percent. tax rates in the 1981 tax cut. EXEMPTIONS: The IRS disalHere are some of the findings on lowed 4.4 percent of the personal the four tax-return factors affect- exemptions claimed in 1982, up ing individual compliance: slightly. But 13.3 percent of exempINCOME: 99.9 percent of wages tions claimed for children living at are reported voluntarily, up from home were rejected, compared with 99.7 percent in 1979. For interest 11.2 percent in 1979 and 4.1 percent and dividends, the figure was 96.9 in 1965.

part of clients to government authorities without delay. The measure stemmed from a 16-month congressional inquiry. Markets Stock prices rose sharply for the Dow's best gain in a month, helped by a combination of professional buying programs and optimism about interest rates. The Dow Jones industrial average rose 31.13 points, to 1,806.30, closing about the for the first time in more than a week. Investors apparently saw a slight drop in durable goods orders as a favorable sign for interest rates.

Interest rates were mixed as participants in the credit markets remained uncertain about the rate outiook. The dollar was mostly higher as traders continued to be optimistic about the U.S. economy. Gold rose $3, to $342. Cattle futures prices rebounded as a government report on the slaughter of dairy animals suggested a market glut.

Companies Viacom repurchased 17 percent of its stock from Carl Icahn, who said he had offered to take over the entertainment concern. Wall Street estimated he made a profit of as much as $35 million. The New York investor will receive $62 a share in cash, warrants to buy 2.5 million Viacom shares and $10 million worth of free commercial air time on the company's radio and television stations. Clients of a Morgan Guaranty banker might have given him wide discretion over their accounts, according to a source familiar with the situation. The banker, Antonio Gebauer, is the focus of the bank's inquiry into the disappearance of $6 million from the accounts of Brazilian customers.

sales to South Africa's police and military units could provoke debate on Friday at the company's annual shareholder meeting. Sources say GM might be preparing to back a stockholder resolution opposing such sales. Kodak introduced a line of batteries as part of its efforts to diversify beyond photographic products into higher-growth businesses. The company's products include a long-lasting 9-volt lithium battery and several alkaline batteries. Wang will buy the rest of Intecom in a stock exchange valued at $156.6 million.

It already owned 20 percent of the maker of office communications systems. cents lower to 2 cents higher with July at a bushel. Oil futures prices advanced at the New York Mercantile Exchange. Crude oil settled 24 cents to 34 cents higher with the July contract at $15.16 a barrel; heating oil was .37 cent to 1.74 cents higher with June at 44.77 cents a gallon; and leaded gasoline was .40 cent lower to .81 cent higher with June at 52.24 cents a gallon. Precious metals futures moved strongly ahead on the Commodity Exchange in New York, largely responding to higher oil prices, analysts said.

Gold settled $2.80 to $3.80 higher with the contract for delivery in May at $343.20 a troy ounce; and silver was 10 cents to 10.2 cents higher with May at 1 504 cents a troy ounce..