10. Sold two horses at $240 apiece. On one I gained 20%, on the other I lost 20%. Did I gain or lose on both, and how much?

$240 in the first case represents 120% of cost of horse.

SUGGESTION.
The gain is 20%, which is
The loss in the other case is
Do not find the cost.

of selling price, or $40.

20%, which is what part of the selling price?

11. John has $ 60, James has $80. James has what per cent more money than John? John has what per cent less money than James?

12. is what per cent of ? is what per cent of ?

13. Two men working together can finish a piece of work in 8 days; one can do it in 12 days. How long would the other take to do the work?

14. How many yards of cloth at $3.75 per yard can be bought for $90?

EXCHANGE.

992. If I wish to pay a bill in a distant city, ought I to enclose the money in a letter? Why?

Can money be sent by express? Can the telegraph be used in paying money at a distance?

What is a money-order?

Can I buy from the postal authorities a money-order payable in Europe? What will be the cost of a money-order for $ 85, payable in San Francisco? What is the largest money-order that can be purchased?

What is a check? Can you tell why a draft rather than a check is used in paying a bill at a distance?

Pupils should be encouraged to look up answers to the foregoing.

Bills of exchange are either foreign or domestic. A domestic bill of exchange is called a draft, the term bill of exchange being generally applied only to foreign bills.

DOMESTIC EXCHANGE.

993. Slate Problems.

William F. Smith, of Memphis, Tenn., owes John M. Thomson, of New York, $3,475.86. He purchases from a Memphis banker, Joseph E. Washington, a sight draft for the above amount on the Chemical Bank of New York. The following is the form of the draft:

$3,475,8.

MEMPHIS, TENN., Aug. 9, 1893.

At sight, pay to the order of John M. Thomson Three Thousand Four Hundred Seventy-five and 8 Dollars, value received, and charge to the account of

To CHEMICAL BANK,

New York.

100

JOSEPH E. WASHINGTON.

1. What must William F. Smith pay for the above draft, the rate being $1.50 premium per $1,000?

(A draft for $1,000 costs $1,001.50.)

2. Find the cost of a Boston draft on New York for $1,875, at 12 discount per $1,000.

(A draft for $1,000 costs $999.88.)

3. What will a St. Louis merchant have to pay for a draft on New York for $2,460.53, at 50 premium per $1,000?

4. If the rate of exchange is 50% discount per $1,000, what is the face of the sight draft on Boston, that can be bought in New York for $1,000?

5. When the premium is $1.25 per $1,000, Mr. Brown pays $1,634.04 for a draft on Louisville. What is the face of the draft?

6. At 1% premium, find the cost of a sight draft for $1,843.60.

7. At 75% discount per $1,000, how much will cost a sight draft on Milwaukee for $946.75?

8. Paid $632.18 for a sight draft on Milwaukee. What was the face of the draft, the discount being

%?

9. I sent a commission merchant $1,000 to buy grain. How much will he spend for grain, if his commission at 11% is included in the amount sent?

(Let x = amount spent for grain. ?

=

commission.)

10. A farmer ships produce to a commission merchant, which the latter sells for $339.66, charging 2 per cent commission. For the remainder of the money he buys groceries and dry-goods, charging 2 per cent commission on the amount spent. What is the cost of the goods purchased?

REVIEW.

994. Slate Problems.

1. A joiner worked on Monday 9 hr. 45 min., on Tuesday and Wednesday 10 hr. 45 min. each day, on Thursday and Friday 10 hr. 15 min. each day, and on Saturday 6 hr. 45 min. What was the average length of his day's work?

2. A watch that loses 35 seconds in an hour was set right at noon on Monday. What time did it show at 6 P.M. the following Thursday?

3. There are 5 boys whose heights are 4 ft. 9 in., 5 ft. 1 in., 4 ft. 5 in., 3 ft. 11 in., and 4 ft. 4 in., respectively. What is their average height?

4. A man had a plot of ground 20 yards long and 12 yards wide, which he planted in cabbage. How many plants did he require, if the rows, which ran lengthwise, were 2 feet apart and 2 feet from the fence surrounding the plot, and the plants in the rows 16 inches from each other and from the fence?

Get the correct number of rows, and the correct number of plants in a row. How many plants would have been needed if the rows ran crosswise?

5. How long would it take a person to count a million silver dollars, at the rate of 100 a minute, and working 8 hours a day?

6. The front wheel of a wagon is 13 ft. 4 in. in circumference. How many revolutions will it make in a journey of 14 miles? How many more revolutions will it make than the hind wheel, the circumference of the latter being 17 ft. 6 in.?

7. The wheels of an engine being 16 ft. 8 in. in circumference, and the number of revolutions 150 per minute, how far does it go in an hour? Give answer in miles and rods.

8. If the equatorial circumference of the earth is 25,000 miles, how many miles apart are two places on the equator, the distance between them being 20°?

9. What is the length of a degree on a circle whose diameter is 18 feet?

The circumference diameter x 3.1416.

=

10. The 60th parallel of latitude is a circle about one-half as long as the equator. How far due east of Christiania is St. Petersburg, both situated on this parallel, the former being 10° east of Greenwich, and the latter 30° east?

11. How many miles north of the equator is a place in latitude 46° 22' 30"? Take 694 miles to a degree.

12. Two places in latitude 45° are 22° 30' apart, measured on that parallel. Find the distance in miles, assuming the 45th parallel to be a circle .7071 times the length of the equator, and considering the length of the latter to be 25,000 miles.

996. Time Drafts.

$987,650.

NEW ORLEANS, June 15, 1893.

At three days' sight, pay to the order of John D. Hallock, Nine Hundred Eighty-seven 65 Dollars, value received, and charge to account of

TO NATIONAL PARK BANK,

New York.

100

FRANK PHILLIPS,

When Mr. Hallock receives the above, he presents it to the National Park Bank for acceptance. The proper bank official writes across the face of the draft in red ink "Accepted," with the date, say "June 18, 1893,” and signs his name. Three days thereafter, plus three days of grace, or June 24, the draft will be payable.

997. Sight drafts are usually not allowed days of grace. Time drafts are generally allowed three days of grace. (See Appendix.)

998. The premium on the above draft at $1.50 per $1,000 is calculated on the face of the draft, and amounts to $1.48.

999. Since it is not payable until six days after acceptance, the interest (or bank discount) for that time is deducted.

Interest on $987-55 for 6 days at 6% = $.99.

Cost of draft = $987.65 + $1.48 $.99 $988.14.

N.B. Take 6% as the interest rate, unless a different rate be expressed.

1000. Slate Exercises.

1. What will I have to pay for a 90-days draft on San Francisco for $840, at $1.75 premium per $1,000?

2. Face $400; 30 days' sight; discount 1%. Cost?

3. Face $560; 60 days' sight; premium 50 per $1,000. Find cost.