Section 34.

PARTIAL PAYMENTS.

I. When notes are paid within one year from the time they become due, it has been the usual custom to find the amount of the principal from the time it became due until the time of payment, and to find the amount of each indorsement from the time it was paid until settlement, and to subtract their sum from the amount of the principal.

1.

1234.

Boston, Jan. 1, 1843.

For value received, I promise to pay John Smith, or order, on demand, one thousand two hundred thirty-four dollars, with interest. John Y. Jones.

Attest, Samuel Emerson.

On this note are the following indorsements.

Received ninety-eight dollars.
Received five hundred dollars.

Received two hundred ninety dollars.
Received one hundred dollars.

What remains due at the time of payment, Jan. 1,

March 1, 1843.

June 7, 1843.

Sept. 25, 1843.

Dec. 8, 1843.

1844 ?

Ans. $293.12.

2. $876.50.

Boston, Sept. 25, 1842.

For value received, I promise to pay James Savage, or order, on demand, eight hundred seventy-six dollars fifty cents, with interest.

Attest, John True.

Savage James.

On this note are the following indorsements.

Dec. 6, 1842. Received ninety-seven dollars.
Jan. 1, 1843.

Received two hundred sixty-five dollars. March 11, 1843. Received one hundred seventy dollars. July 4, 1843. Received seventy-nine dollars.

3.

What remains due Aug. 6, 1843 ? Ans. $293.04.

$987.75.

Danvers, Jan. 11, 1842.

For value received, we jointly and severally promise to pay Fitch Pool, or order, on demand two months from date, nine hundred eighty-seven dollars seventy-five cents, with interest after two months.

Attest, Isaiah Webster.

John T. Johnson.
Samuel Jones.

On this note are the following indorsements.

May 1, 1842.

June 5, 1842.
Sept. 25, 1842.

Received three hundred dollars.

Received four hundred dollars.

Received one hundred and fifty dollars.

What is due Dec. 13, 1842 ?

Ans. $156.94.

4. $800.

Bradford, July 4, 1842.

For value received, I promise to pay Leonard Johnson, or order, on demand, eight hundred dollars, with inSamuel Neverpay.

terest.

Attest, Enoch True.

On this note are the following indorsements.

Aug. 10, 1842. Received one hundred forty-four dollars. Nov. 1, 1842.

Jan. 1, 1843.

Received ninety dollars.

Received four hundred dollars.

March 4, 1843. Received one hundred dollars.

What remains due June 1, 1843 ? Ans. $88.02.

K*

II. In the United States' Court, and in most of the Courts of the several States, the following rule is adopted for estimating the interest on notes and bonds, when partial payments have been made.

RULE.

Compute the interest on the principal sum, from the time when the interest commenced to the time when the first payment was made, which exceeds, either alone or in conjunction with the preceding payments, if any, the interest at that time due; add that interest to the principal, and from the sum subtract the payment made at that time, together with the preceding payments, if any, and the remainder forms a new principal; on which compute and subtract the interest, as upon the first principal, and proceed in the same manner to the time of judgment.

This rule is illustrated in the following question.

1. $365.50.

Lynn, Jan. 1, 1842.

For value received, I promise to pay John Dow, or order, on demand, three hundred sixty-five dollars fifty cents, with interest.

Attest, Samuel Webster.

John Smith.

Principal carrying interest from Jan. 1, 1842, to

June 10, 1842

Interest from Jan. 1, 1842, to June 10, 1842,

5 months 9 days

First payment, June 10, 1842

Balance for new principal

$365.50

9.68

Amount 375.18

50.00

325.18

Balance for new principal (brought over)

Interest from June 10, 1842, to Dec. 8, 1842,

325.18

5 months 28 days

9.64

Amount 334.82

Second payment, Dec. 8, 1842

30.00

Balance for new principal

304.82

Interest from Dec. 8, 1842, to Sept. 25, 1843,

9 months 17 days

14.58

Amount 319.40

Third payment, Sept. 25, 1843

60.09

Balance for new principal

259.40

Interest from Sept. 25, 1843, to July 4, 1844,

9 months 9 days

12.06

Amount 271.46

Fourth payment, July 4, 1844

90.00

Balance for new principal

181.4€

Interest from July 4, 1844, to Dec. 2, 1845,

Interest from Dec. 2, 1845, to Jan. 7, 1847,

For value received, I promise to pay James Jones, or order, on demand with interest after three months, one thousand dollars.

April 7, 1840. Received two hundred and fifty dollars.

What is due Jan. 10, 1842 ?

Ans. $232.26.

3.

1666.

Newburyport, June 5, 1838.

For value received, I promise to pay John Boardman, or order, on demand, one thousand six hundred sixty-six dollars with interest. John J. Fortune.

COMMISSION and BROKERAGE are compensations made to factors, brokers, and other agents, for their services, either for buying or selling goods.

NOTE. A factor is an agent, employed by merchants residing in other places, to buy, and sell, and to transact business on their ac count. A broker is an agent employed by merchants to transact business.

RULE.

The questions are performed in the same manner as in interest.

1. What is the commission on the sale of $5678 value of cotton goods, at 3 per cent. ? Ans. $170.34.

Ans. $157.92. goods for me to

2. A broker sells goods to the amount of $7896, at 2 per cent., what is his commission ? 3. My agent in Lowell has purchased the amount of $1728, what is his commission, at 1 per cent. ? 4. My factor advises me, that he has purchased, on my

Ans. $25.92.