Ex. 2d, When cloth was fold at 6s. 8d. there was gained 124 per cent.; what is gained or loft when the fame is fold at 5s. 4d. 8od.: 112.5: 64d.

64

4500 6750

8,0)720,0.0

100-90-10 per cent. lofs, Anfwer.

Questions for Practice.

1. Sold muslins at 25. 9 d. per yard, which coft me 2s. 6d.; what was gained per cent.?

2. Bought cloth at 6s. 8d. per yard, and was obliged to fell it at 6s. 3d.; what was loft per cent.?

3. Bought a houfe for L.420, and fold it immediately for 30 guineas profit; required the gain per cent.?

¶ 4. Gained 12 per cent on goods, which I bought for 7s. 6d.; what did I fell them at?

5. Loft 7 per cent. on rum which I bought for 11s. 8d.; at what did I fell it?

6. Bought goods to the value of L.250: 10, and fold them at 15 per cent. advance; how much will I receive?

7. When I fold yarn at 38. 74d. per spindle, I gained 8 per cent.; what was the prime coft?

8. Sold linen at 35. per yard, by which I loft 10 per cent.; what was the prime cost?

9. Selling a houfe for 30 guineas profit, I gained 7 per cent.;

what did it coft me?

10. By felling sugar at 8d. per lb., I gained 10 per cent.; what did I gain per cent. by felling at Icid.?

11. Sold coffee at 3s. 9d. by which was loft 5 per cent; it afterwards rose to 4s. 2d.; what was then gained or loft per cent.?

12. A grocer fells tea at 7s. Ed. and gains 15 per cent; how much will he gain fhould the price rife to 8s. 4d.; and how much will he lofe if the price fall to 6s. 3d.?

13. A, fells his goods at 12 per cent. profit; B, buys at 11s. 8d. and fells at 13s. 1d.; C, buys at 1d. and fells at 1d. which of these charge the highest?

14. If 1d. on a fhilling be a merchant's profit, what is that per cent., and to what extent must he deal, to gain 300 guineas at the year's end?

Sect. III. EXCHANGE, OR FOREIGN MONIES.

EXCHANGE, is the method of computing what sum of money of one country, is equal to any given fum of another, according to a given COURSE of exchange.

The PAR of the money of one nation computed with that of another is fixed, being always according to their intrinfic value.

The RATE of exchange is the prefent value allowed for money of one country, when reduced to the money of another. Owing to the balance of trade being in favour of one place more than another, the exchange is fometimes above and sometimes below par, or real value. Thus if more goods are imported from any foreign. country than are exported to it, this will occafion a demand for more money of that country, or its bills of exchange, to even the accompt, than can readily be procured, and raises their value above par. On the other hand, if the value of goods exported be greater than the value imported, the bills on that country exceed the demand, and therefore their value falls below par.

I. WITH LONDON.

In many places of Britain, bills on London, if payable at fight, or at a fhort date, are negotiated at a variable premium, according to the demand. Bills at a long date pafs at a discount in proportion to the distance of the term of payment.

Ex. Glasgow draws on London for L.286: 13: 4 exchange 1 per cent.; how much must be paid at Glafgow for the bill?

1. Leith draws on London for L.320: 18, exchange per cent.; how much was paid at Leith for the bill?

2. Edinburgh draws on London for L.452: 12s. and was allowed a premium of 30 days; how much did the bill cost?

3. A of Glasgow draws on his friend in London for L.584:18 6; but when the bill became due, it returns under protest; what will take up the bill, re-exchange 3 per cent. other charges a guinea?

Accompts are kept in pounds, fhillings and pence Irish, which are inferior to sterling. Their real coins of gold and filver are the fame as the British, but they have halfpennies and farthings of

13d. currency.
21s. 8d. currency.

22s. 9d. currency.

The value of Lico fterling at par is L.108:6: 8 Irish. The courfe of exchange varies from 6 to 12 per cent.

Note. To reduce Irish to fterling. As L.100 with the course added: L.100: the given Irish: the required fterling. And to reduce fterling to Irish. As L.109: L.100 with the courfe added: : the given ferling: the required Irish.

EXAMPLES.

1. How much Irish money in L.685:8: 4 fterling ex. 110 per

2. How much sterling money in L.451 : 10 Irish ex. 107 per cent?

As the rate of exchange is variable, the drawing and remitting of money may be attended either with lofs or advantage. It is evident, that the lefs value the money of a merchant's own country bears abroad, the more he will gain by drawing, and lose by remitting; and the greater its value, the contrary. Therefore, when

the pound Sterling is the medium, draw when the exchange is low, and remit when it is high.

But when the exchange is tranfacted by foreign coin, Britain ought to draw, when the courfe is high, and remit, when it is

low.

3d, When the exchange was at 107 per cent. Edinburgh drew on Ireland L.2725; what will Edinburgh gain or lose by replacing the draught, exchange 109.

1. What is the Sterling value of a prize of L 5000 Irish, exchange at par?

2. Glafgow remits to Dublin L. 532: 10s. Sterling, for how much Irish muft Glasgow be credited, exchange 110 per cent.? 3. Ireland draws on Britain for L.1146: 18s. Irish, how much Sterling will pay the bill, exchange 101 per cent.?

4. A debt in Ireland of L.691: 139 Irish, was paid with 607 guineas 3s. British, what was the exchange?

5. A merchant in London draws L.11co on Dublin, exchange at par, and remits for the fame, when the exchange is at 110 per cent, Required his gain or loss?

III. WITH AMERICA.

Accompts are generally kept in pounds, fhillings and pence currency, whofe value is very fluctuating, but always inferior to Sterling.

Sometimes in dollars and cents, 100 cents being equal to a dollar, the par of which is 4s. 6d. Sterling; but bills of exchange are commonly negociated in pounds, fhillings and pence. The fums of the invoices are often made out both ways.

R

EXAMPLES.

1. How much Sterling money in L.830: 6s. currency of New York, exchange 152 per cent.?

Cur. Ster. Cur.

152: 100 :: 830.3: L546:5: 0 Ster.

100

152)83030.0(546.25

2. How much currency of Barbadoes in L1164 Sterling, exchange 135 per cent.?

100: 135 :: 1164 : L.1571 : 8s. currency.

1. Boston is indebted to Britain L.1280 currency; how much Sterling muft Bofton remit, exchange 155 per cent.?

2. Leith draws on Jamaica for L. 1060: 15s. Sterling; how much currency will pay the draught, exchange 140 per cent.?

3. Glasgow owes Maryland for tobacco L.2078: 10s. currency; how much Sterling will compenfate the debt, exchange 145 per cent.?

4. A reckoning of L.7 currency in Jamaica, was paid with L.5 Sterling; what was the exchange?

5. A merchant in Leith has owing him in New York, L.1342 IOS. currency, exchange 153 per cent.; in St. Kitt's L.1150: 159. exchange 145; in Virginia L.1456: 17:6, exchange 160; in Jamaica L.980: 18s. exchange 135; in Philadelphia L.1760: 128. exchange 130; how much Sterling will this amount to?