becoming due AFTER the time of settlement on the side opposite to its own. The difference of the sums of the debit and credit products, with three places pointed off on the riyht for decimals, divided by 6, will yive the balance of interest. Place the balance of interest on its own side of the account, and the difference then between the two sides will lie the true lialance. Note 1. — The interest as found' by the rule is thnt at 6 per cent. From which the interest at any other rate may be found by aliquot parts. Note 2. — Besides the above method of settling accounts drawing interest, accountants often make use of tables constructed to aid in equating and balancing accounts. Examples. 3. Alfred Hicks is in account and interest with Keen & Lee, as follows: Debtor, January 1, 1857, to merchandise, on 6 months, $156.10; February 3, to cash paid draft, $100; March 20, to merchandise, on 4 months, $310.90; March 30, to merchandise, on 4 months, $162.00; May 15, to cash paid draft, $ 100; August 20, to merchandise, on 6 months, $ 213.00. Creditor, February 1, by cash, $120.00; March 20, by merchandise, on 4 months, $420.16; May 1, by merchandise, on 0 months, $300; July 1, by merchandise, on 4 months, $50; September 10, by merchandise, on 4 months, $ 99.84. Required the true balance, if settled on December 1, 1857, interest being at 6 per cent. Ans. $ 61.36. 4. Required the true balance due on the following account, on March 25, 1857, each item drawing 7 per cent. interest from its date. Benjamin Lyman in account and interest with John Russell: Debtor, July 4, 1856, to merchandise, $200; September 8, to merchandise, $ 300; September 25, to merchandise, $250; October 1, to merchandise, $600; November 20, to merchandise, $400; December 12, to merchandise, $ 500; January 15, 1857, to merchandise, $100; March 11, to merchandise, $120. Creditor, July 20, 1856, by cash, $300; August 15, by cash, $350; September 1, by cash, $400; November 1, by cash, $320; December 6, by merchandise, $600; December 20, by cash, $100; February 1, 1857, by cash, $ 200; February 28, by merchandise, $ 150. Ans. $ 50.64. ACCOUNTS OF STORAGE. 440i Accounts of storage of property contain an entry of the number of articles received and delivered, with the date of each transaction. Storage is usually reckoned by the month of 30 days, at a certain price per barrel, bale, box, &c. The number of articles on which storage is chargeable for one month, or any other time agreed upon, is usually determined by an average. 441. To find the average of storage for a month, or any other time. Ex. 1. What will be the cost for the storage of flour at 6 cents per barrel, which was received and delivered as follows: Received May 1, 1857, 1000 barrels; May 26, 2000 barrels. Delivered May 16, 500 barrels; June 1, 1000 barrels; June 12, 1100; July 2, 400. Ans. $114. The storage of l000bbl. for 15d. o00bbl. for l0d. - - 2500bbl. for 5d. -- lo00bbl. for lid. -{- 400bbl. for 20d., is the same as the storage of 57000bbl. for Id., or 1900bbl. for a month of 30 days. And the storage of 1900bbl. at 6 cents each equals $ 114, the answer required. In practice, it is Chargeable for 1 month, 1 9<ht customary when the e number of articles 1900bbl. X -06 = $ 114, cost of storage, upon which storage is chargeable, as found, contains a fraction less than a half, to reject the fraction; but if it is more than a half, to regard it as an entire article. Rule. — Multiply the number of barrels, or other articles, by the number of days they are in store, and divide the sum of the products by SO, or the number of days in any term agreed upon. The quotient will give the number of barrels, or other articles, on ichkh storage is chargeable for that term. EXAMPLKS. 2. "What is the cost of storage of tea at 3 cents a chest per month, received and delivered as follows: Received, May 16, 1857,4560 chests. Delivered, May 30, 504 chests; June 1, 904 chests; July 9, 1000 chests; August 3, 1500 chests; and August 16, the balance. 3. Received, and delivered, on account of Richard Gordon, sundry bales of cotton, as follows: Received, January 1, 1857, 2310 bales; January 16, 120 bales; February 1, 300 bales. Delivered, February 12, 1000 bales; March 1, 600 bales; April 3, 400 bales; April 10, 312 bales. Required the number of bales remaining in store on May 1, and the cost of storage up to that date, at the rate of 5 cents a bale per month. Ans. In store, 418 bales; cost, $306.90. MISCELLANEOUS EXAMPLES. 1. The stocks of three partners, A, B, and C, are $ 3500, $ 2200, and $ 2500, and their gains $ 1120, $ 880, and $ 1200, respectively, and B's stock continued in trade 2 months longer than A's. Required how long the money of each was in trade. Ans. A's money, 8mo.; B's, lOmo.; C's, 12mo. 2. A merchant failed for $ 15000. On settling up, his net assets, equably distributed, gave only $ 540 to a creditor whose demand was $ 660 more than that sum. How much did the bankrupt pay on a dollar, and how much did he owe more than he could pay? Ans. 45 cents on a dollar; owed $ 8250 more than he could pay 3. A and B pay a poll tax each of $ 1.50, and a property tax at the rate of 7 mills on a dollar. A's entire tax is $ 64.50, which is just $ 14 more than B's entire tax. What is the taxable property of each? Ans. A's property, $ 9000; B's property, $ 7000. 4. The expenses of a district school are, for fuel, $ 20, for repairs of the school-house $ 30, and for teacher's salary $ 150, and the public money amounts to $ 50. If the rate bills require to be made out at the rate of 3 cents a day for each pupil's attendance, what was the aggregate attendance? Ans. 5000 days. 5. J. Kimball had goods to the value of $ 7000 on board a vessel, which, from stress of weather, required cargo to the amount of $ 4000 to be thrown overboard, and of which the value of $3000 belonged to Kimball. If, in adjusting the general average, the several contributory interests pay 5 per cent., to what sum will Kimball's loss be reduced? Ans. $ 350. 6. A owes B $ 150, $ 50 to be paid in 4 months, and $ 100 in 8 months. B owes A $ 250 to be paid in 10 months. It is agreed between them that A shall make present payment of his whole debt, and that B shall pay his so much sooner as to balance the favor. Required the time at which B must pay the $ 250. Ans. 6 months. 7. A debt is to be paid £ down, ^ in 6 months, £ in 8 months, and the balance in 12 months. If the payments were all converted into one, on what credit should it be? Ans. 5mo. 25d. 8. A merchant proposes to admit a young man into business with him, on condition that, if he put into the stock $ 2000, his pay shall be $ 800 a year, or if he put in $ 4000, he shall have $ 1100 a year; in this offer what was allowed for his services only? - Ans. $ 500. 9. A gentleman is owing three notes to George Shannon, one of $ 100 due in 4 months, another of $ 100 due in 8 months, and a third of § 200 due in 12 months. Should the three notes be converted into two for the same amount, the one to run just twice as long as the other, when ought they to be made payable? Ans. The one in 6mo., and the other in 12mo. 10. An account settled January 1, 1858, showed a balance of debts to the amount of $ 360, and a balance of interest in favor of the credit side to the amount of $ 3.78; how long in equity ought the balance of debts to remain unpaid after the day of settlement, exactly to offset this balance of interest, allowing the rate of interest to be 6 per cent.? Ans. 63 days. INSURANCE. 442. Insurance is a contract of indemnity, by which one party engages, for a stipulated sum, to insure another against a risk or loss to which he is exposed. The insurer or underwriter is the party taking the risk. The premium is the sum paid for insurance, and is generally reckoned at a certain per cent, of the value of the property insured. The policy is the written obligation or contract. Note. — Insurance is generally made by an incorporated joint-stock company, and sometimes by individuals. When each person insured becomes a member and proprietor in the profit or loss of the concern, it is called a mutual insurance company. Many companies, as a security against fraud, do not in•ure property for its full value. FIRE AND MARINE INSURANCE. 443. -Fire Insurance is that which indemnifies damage and loss caused by fire or lightning. 444. Marine Insurance is that which indemnifies damage and loss caused by the perils peculiar to navigation. 445. To compute the premium of insurance on any given amount at a specified rate. Ex. 1. What would be the premium for insuring a house, valued at $ 5728, at If per cent.? Ans. $ 100.24. OPERATION. $5728 X -01£ = $100.24. Rule. — Find the percentage of the given sum at the rate of insurance, and the result is the premium. Note. — When the amount insured and the premium are known, the rate of insurance may be found by Art. 350. Examples. 2. What is the premium for insuring a house valued at $896, at 12 per cent.? Ans. $ 107.52. 3. How much would be required to be paid to effect the insurance of a brig valued at $ 17,289, at 14 per cent.? Ans. $216.11f |