porter in the market. The goods are weighed, measured, gauged, or inspected, in order to ascertain the actual quantity received in port; and an allowance is made in every case of waste, loss, or damage.

524. Tare is an allowance for the weight of the box or the covering that contains the goods. It is ascertained, if necessary, by actually weighing one or more of the empty boxes, casks, or coverings. In common articles of importation, it is sometimes computed at a certain per cent. previously ascertained by frequent trials by weighing.

525. Leakage is an allowance on liquors imported in casks or barrels, and is ascertained by gauging the cask or barrel in which the liquor is imported.

526. Breakage is an allowance on liquors imported in bottles.

527. Gross Weight or Value is the weight or value of the goods before any allowance has been made.

528. Net Weight or Value is the weight or value of the goods after all allowances have been deducted.

NOTES.1. Draft is an allowance for the waste of certain articles, and is made only for statistical purposes; it does not affect the amount of duty. 2. Long ton measure is employed in the custom houses of the United States, in estimating goods by the ton or hundred weight. The rates of this allowance are as follows:

529. In all calculations where ad valorem duties are considered,

I. The net value of the merchandise is the worth of the net weight or quantity at the invoice price, allowance being made in cases of damage.

II. The duty is computed at a certain legal per cent. on the net value of the merchandise.

NOTE. In the following examples the legal rates of duty, according to the New Tariff Act, are given.

EXAMPLES FOR PRACTICE.

1. What is the duty, at 24 %, on an invoice of cassimere goods

which cost $750 ?

OPERATION.

$750 × .21 = $180

ANALYSIS. According to Prob. I, (449), we multiply the invoice, $750, which is the base of the duty, by the given rate, and obtain the duty, $180.

2. The gross weight of 3 hogsheads of sugar is 1024 lb., 1016 lb., and 1020 lb. respectively; the invoice price of the sugar 7 cents, and the allowance for tare 80 lb. per hogshead; what is the duty, at 24 %?

raisins, I find that the whole cost in store, besides freight, is $378;

what were the raisins invoiced at?

OPERATION.

$378 1.08 = $350

ANALYSIS. According to Prob. IV, (452), we divide the amount, $378, by 1 plus the rate, 1.08, and obtain the base, or invoice, $350. 4. A Boston jeweler orders from Lubec a quantity of watch movements, amounting to $2780; what will be the duty, at 4 %? 5. What will be the duty at 15 % on 1200 lb. of tapioca, invoiced at 5 cents per pound? Ans. $9.90. 6. What is the duty at 15 % on 54 boxes of candles, each weighing 1 cwt., invoiced at 83 cents per pound, allowing tare at 31 per cent.?

7. A merchant imported 50 casks of port wine, each containing originally 36 gallons, invoiced at $2.50 per gallon. He paid freight at $1.30 per cask, and duty at 30 %, 1% leakage being allowed at the custom house, and $8.50 for cartage; what did the wine cost him in store? Ans. $5903.25. 8. A liquor dealer receives an invoice of 120 dozen bottles of porter, rated at $1.25 per dozen; if 2 % of the bottles are found broken, what will be the duty at 24 %? Ans. $35.28. 9. The duty at 19 % on an importation of Denmark satin was $619.40; what was the invoice of the goods? Ans. $3260. 10. The duty on 600 drums of figs, each containing 14 lb., invoiced at 5 cents per pound, was $35.28; required, the rate of duty. Ans. 8 %.

11. A merchant in New York imports from Havana 200 hhd. of W. I. molasses, each containing 63 gallons, invoiced at $.30 per gallon; 150 hhd. of B. coffee sugar, each containing 500 pounds, invoiced at $.05 per pound; 80 boxes of lemons, invoiced at $2.50 per box; and 75 boxes of sweet oranges, invoiced at $3.00 per box. What was the whole amount of duty, estimated at 24 % on molasses and sugar, and at 8 % on lemons and oranges? Ans. $1841.20.

12. A merchant imported 56 casks of wine, each containing 36 gallons net, the duty at 30 % amounting to $907.20; at what price per gallon was the wine invoiced?

13. The duty on an invoice of French lace goods at 24 %, was $132, an allowance of 12 % having been made at the custom house for damage received since the goods were shipped; what was the cost or invoice of the goods. Ans. $625.

14. A quantity of Valencias, invoiced at $1654, cost me $1980.50 in store, after paying the duties and $12.24 for freight; what was the rate of duty?

15. The duty on an importation of Bay rum, after allowing 2% for breakage, was $823.20, and the invoice price of the rum was $.25 per bottle; how many dozen bottles did the importer receive,duty at 24 % ? Ans. 11431 doz.

SIMPLE INTEREST.

530. Interest is a sum paid for the use of money.

531. Principal is the sum for the use of which interest is paid.

532. Rate per cent. per annum is the sum per cent. paid for the use of any principal for one year.

NOTE.-The rate per cent. is commonly expressed decimally as hundredths (442).

533. Amount is the sum of the principal and interest. 534. Simple Interest is the sum paid for the use of the principal only, during the whole time of the loan or credit. 535. Legal Interest is the rate per cent. established by law. It varies in different States, as follows:

NOTES.-1. The legal rate in Canada, Nova Scotia, and Ireland is 6 per cent., and in England and France 5 per cent.

2. When the rate per cent. is not specified in accounts, notes, mortgages, contracts, etc., the legal rate is always understood.

3. In some States the laws allow parties to give and take higher rates, by special agreement.

4. Book accounts bear interest after the expiration of the term of credit, and notes are on interest after they become due, though no mention of interest be made in them.

5. If notes are to draw interest from their date, or from a given time after date, the fact must be so stated in the body of the notes.

536. Usury is illegal interest, or a greater per cent. than the legal rate.

NOTE.—The taking of usury is prohibited, under various penalties, in different States.

537. In the operations of interest there are five parts or elements, namely:

I. Rate per cent. per annum; which is the fraction or decimal denoting how many hundredths of a number or sum of money are to be taken for a period of 1 year.

II. Interest; which is the whole sum taken for the whole period of time, whatever it may be.

III. Principal; which is the base or sum on which interest is computed.

IV. Amount; which is the sum of principal and interest; and V. Time.

TO COMPUTE INTEREST.

CASE I.

538. To find the interest on any sum, at any rate per cent. per annum, for years and months.

ANALYSIS. In interest, any rate per cent. is confined to 1 year. Therefore, if the time be more than 1 year, the per cent. will be greater than the rate per cent. per annum, and if the time be less than 1 year, the per cent. will be less than the rate per cent. per annum. From these facts, we deduce the following principles:

I. If the rate per cent. per annum be multiplied by the time, expressed in years and fractions or decimals of a year, the product will be the rate for the required time. And

II. If the principal be multiplied by the rate for the required time, the product will be the required interest.

Hence

III. Interest is always the product of three factors, namely, rate per cent. per annum, time, and principal.

In computing interest the three factors may be taken in any order; thus, if the principal be multiplied by the rate per cent. per annum, the product will be the interest for 1 year; and if the interest for 1 year be multiplied by the time expressed in years, the result will be the required interest. Hence the following

RULE. I. Multiply the principal by the rate per cent., and the product will be the interest for 1 year.

II. Multiply this product by the time in years and fractions of a year; the result will be the required interest.