COMMISSION An agent is a person who transacts business for another. Commission is the sum charged by an agent or commission merchant for his services. The net proceeds is the sum left after the commission and other expenses have been paid. 1. A real estate agent sold a house for $5000, retaining 5% of this sum for his services. How much did he receive? How much did the owner receive ? $5000 = selling price. .05 = rate charged by the agent. = A commission merchant made the following sales. Find his commission for each day at 5%. 2. Monday, $1800 5. Thursday, $1400.80 3. Tuesday, $1594 6. Friday, $1528 4. Wednesday, $1954 7. Saturday, $2370.60 8. Find his total commission for the week. 9. A real estate agent sells a house and lot for $6750, charging 2% commission. Find his commission and the net proceeds. 10. A traveling salesman sold $50,000 worth of goods in a year at a commission of 8%. If his expenses for the year were $2200, how much had he left ? 11. An agent rents 12 houses at $40 per month. If he receives 5% for collecting the rents, how much is remitted to the owners each month ? COMMERCIAL DISCOUNT Wholesale merchants and manufacturers usually publish printed price lists of their goods. The prices in these lists are higher than the wholesale prices and are subject to deductions called trade discounts or commercial discounts. NOTE. — A discount is any deduction from a fixed price. Sometimes several discounts are allowed. The first is a discount from the list price; the second, a discount from the remainder, etc. The net price is the price after deduction of all discounts. Find the selling price of goods marked : 1. $15, less 20%. 7. $ 40, less 60%. 2. $ 20, less 40%. 8. $ 48, less 25%. 3. $ 6, less 50% 9. $6.80, less 25%. 4. $ 25, less 20%. 10. $ 4.50, less 33} %. 5. $ 7.50, less 20%. 11. $ 9.60, less 163 %. 6. $12.50, less 40%. 12. $ 4.80, less 371 %. Written Work Find the selling price of goods marked : 1. $168.75, less 25 %. 6. $ 225.65, less 20%. 2. $1374, less 163 %. 7. $ 875.50, less 30%. 3. $ 1872, less 331%. 8. $ 278.90, less 10%. 4. $ 278.40, less 371 %. 9. $ 2378.50, less 4 %. 5. $ 3030 less 40%. 10. $6775.20, less 5%. Find the cost of : Discount, 20% Discount, 4% 60 readers @ $.40 12. 160 lb. rice @ $.06 150 geographies @ $1 300 lb. sugar @ $.041 78 grammars @ $.60 200 lb. coffee @ $.16 11. 13. Find the net price of a bill of goods for $ 75.40, trade discounts 20%, 10 %. List price, $ 75.40 Less 20% 15.08 Observe that the second discount is reckoned on the first remainder. As there First remainder, 60.32 are only two discounts, the second remainLess 10% 6.03 der is the net price. Net price, $ 54.29 Find the net price of articles listed at: 14. $ 400, less 20%, 10 %. 17. $ 10.75, less 40%, 5%. 15. 375.50, less 25%, 5%. 18. $ 6.80, less 25%, 10 %. 16. 290.80, less 40%, 10%. 19. $ 12.75, less 331%, 10%. Find the net price of the following bills of goods : 20. 36 dozen boys' caps @ $6, discounts 25%, 20%. 21. 50 buggies @ $ 120, discounts 20%, 15%. 22. 75 sets harness @ $ 40, discounts 30%, 10%. 23. 25 grain drills @ $ 95, discounts 40 %, 5%. 24. 12 rubber hose, each 50 feet long at 15$ per foot, discounts 30%, 15%. 25. Mr. Austin buys a wagon listed at $ 95, less 20%, 15%. Find the amount paid for the wagon. 26. A merchant buys 12 stoves listed at $ 45, less 40%, 10 %. Find the net amount of the bill. Compare this with the net amount of the bill with only one discount of 50 %. 27. A hotel keeper buys 675 yards of carpet at $ 1.25, less 20 %, 5%. Find the cost of the carpet. 28. Compare the net price of an article listed at $500, discounts of 20 %, 10 % with the net price of a similar article listed at $5.00, discounts of 10 %, 20 %. Discounting Bills. Merchants and manufacturers frequently offer an extra discount from their bills if cash is paid at the time of purchase or within a certain time. This is called a cash discount. Cash discounts are always mentioned in connection with the terms of payment. 1. Find the net cash price of the sectional bookcases as given in the following bill at 331 % and 10% trade discounts. Terms : 60 days net or 5% cash. PITTSBURG, PA., fan. 4, 1907. Messrs. Geo. If. Alexander & Co., 300 Wood Street. Bought of THE KENSINGTON MFG. Co. GRAND RAPIDS, Mich. TERMS: 60 days net, or 5% cash fan. 4'0712 Bookease Sections #28 112 Bases #25 Tops #21 $1440 9 27 50401 2016 30244 15/1 28 73 Less }, ito, Received payment, Der B. The sign #, when placed before a number, is read “number.” Thus # 12 is read “number 12.” Make out bills for the following: 2. The Packard Hardware Co. bought for cash from Jas. M. Armstrong Co., Chicago, Ill., 4 doz. Acme lawn mowers @ $10, 50 lb. lawn seed @ 15$, 27 doz. brushes @ 40%. Trade discounts: 20%, 10%. Terms : 10 days net, or 2% cash. 3. Jamison and Redmond, South Bend, Ind., bought, for cash, from the Acme Buggy Co., Cincinnati, O., 72 buggies @ $ 105, 50 sets harness @ $ 45, 15 sleighs @ $60, 40 robes @ $ 20. Trade discounts: 30%, 15%. Terms : 30 days net, or 3 % cash. 4. James Cubbison, Greenville, O., buys for cash from Arbuthnot, Stevenson & Co., Pittsburg, Pa., 5 doz, handkerchiefs @ $ 3.60 ; 5 bolts muslin, 40 yd. each, @ 8$; 5 bolts prints, 42 yd., @ 74. Trade discount: 33} %. Terms: 10 days net, or 2% cash. 5. S. H. Gardner Co., piano dealers, Detroit, Mich., order from the Harmonic Piano Co., Chicago, Ill., 2 Harmonic pianos #266 @ $600, less 40%, 10% trade discount. Terms: 90 days net, or 10% off 10 days. Find the net cash price. Find the net price if paid in 30 days. 6. M. L. Smith, tailor, Brockton, Mass., orders from Bender & Co., New York, importers, 3 pieces suiting, 22 yd. each, @ $3.15. Terms: 30 days net, or 2 % off 10 days. Make out and receipt bill if paid within 10 days. |