Make out checks payable as follows, and show the proper indorsements:

9. Amount, $29.64; payee, John F. Moran; maker, Edward S. Copeland; indorsement in blank.

10. Amount, $127.25; payee, Bernard P. Sykes; maker, Charles R. Hill; indorsement in full to Henry R. Whitman.

11. Amount, $32.50; payee, one of your schoolmates; maker, yourself; indorsement in full to one of your schoolmates.

12. Mr. Harry F. Ellis makes out a check for $24 payable to the order of Edward T. Bingham, who makes it payable to the order of William G. Smith.

13. Mr. Edward T. Fitz makes a check for $50 payable to the order of White & Co. White & Co. transfer it to George R. Jones. Mr. Jones deposits it to his credit in the Traders' Bank.

INTEREST

Interest is money paid for the use of money.

The principal is the sum of money for whose use interest is paid.

The rate of interest is the per cent of the principal paid each year for interest.

The time is the period on which the principal is at interest.

The sum of the principal and the interest is the

amount.

Problems in interest are problems in percentage with the added element of time.

The principal is the whole or the base.

The interest is the part or the percentage.

The rate of interest paid each year for interest is the rate per cent.

1. Find the interest at 6% on $1284 for 4 months

17 days.

$0.02

SOLUTION

= interest on $1 for 4 months

.0025 interest on $1 for 17 days

=

$0.0223 = interest on $1 for 4 months 17 days

$0.022 x 1284 = $29.318

Answer, $29.32.

2. Find the interest at 6% on $3162 for 103 days.

SOLUTION

The pupil should learn by solving that the interest on any sum of money for two months or sixty days at 6% equals .01 of the principal; for six days .001 of the principal.

On May 24, 1911, Mr. Charles F. Walker buys goods to the value of five hundred dollars from James T. Springer. Not having the ready money to pay for them, Mr. Walker gives to Mr. Springer the following paper:

$_500_

Chicago, Ill., May 24, 191/

Six months after date, for value received,_____

promise to pay to the order of James T. Springer

~Five Hundred~

Dollars,

with interest at 6%.

Charles F. Walker..

This paper is a promissory note or a note.

The essential features of this promissory note are as

Interest-bearing notes may vary in form, but they must

contain all of the above features.

The person who promises to pay is the maker, the payor, or the promisor.

Who is the maker in the above note ?

The person to whom the promise is made is the payee or the promisee.

Who is the payee in the above note?

The person who holds or owns the note- - either the

payee or some person to whom the payee has sold the note- is the holder.

The sum of money named in the note is the face of the note.

To avoid mistakes, the face of the note is written twice once in figures and once in words.

The date on which a note matures or becomes due is

the date of maturity.

Compute the amount due at maturity on these notes: 1. $480.

DENVER, COLO., Jan. 18, 1911. Thirty days after date, I promise, to pay to the order of Henry S. Thomas, Four Hundred Eighty Dollars, with interest at 7%.

Value received.

2. $657.

STEPHEN WHITNEY.

SEATTLE, WASH., Mar. 8, 1911. Sixty days after date, I promise to pay Herbert M. Mason, or order, Six Hundred Fifty-seven Dollars, with interest at 6%.

Value received.

3. $875.

ARTHUR R. JACKSON.

ST. LOUIS, Mo., Dec. 20, 1910. Four months after date, I promise to pay to the order of Walter S. Marsh, Eight Hundred Seventyfive Dollars, with interest at 5%.

Value received.

4. $1500.

JOHN L. STRONG.

ALBANY, N.Y., Feb. 24, 1911. Six months after date, I promise to pay Richard R. Waite, or order, Fifteen Hundred Dollars, with interest at 6%.

Value received.

EDMUND M. PARKER.