IV. COMMISSION 53. Commission is the money paid to any one who transacts business for you. It is generally a percentage of the amount of money needed for a sale or purchase. Thus a real estate agent who sells a house and lot for you may charge 5% of the selling price as his commission for doing the business. If a commission is charged against the purchaser, the commission must be added to the price to obtain the total cost. If a commission is charged against the seller, it must be subtracted from the price to obtain the net price. EXAMPLE 1. A house and lot is sold for $5400 by a real estate agent at a commission of 5%. Find his commission. Find the net receipts of this sale. SOLUTION. $5400 $270.00 $5400 270 $5130 Ans. $270 commission; $5130 net receipts of sale. EXAMPLE 2. A traveling salesman sells for his firm goods to the amount of $16,500 in one year. His commis sion is 12% of his sales. Find his commission. Find the net receipts for these goods. Ans. $2,062.50 commission; $14,437.50 net receipts. APPLIED PROBLEMS 1. An agent in New York sells a carload of hay for a farmer. The hay is sold for $272.50 at a commission of 8%. Find the commission and the amount of money the agent should send the farmer. 2. An agent selling an automobile for $595 receives a commission of 25%. What is his commission? 3. A house lot containing 8750 sq. ft. of land is sold by an agent at 23 cents per square foot. His commission is 2% of the selling price. Find his commission and the net receipts of the sale.. 4. A book agent's commission is 37% of his sales. During the week he sells 28 books at $2.50 each. How much is his commission and how much money should he send the company? 5. On an automobile selling at $1095 an agent's commission is 20%. In one month he sells 12 cars. Find his commission. 6. A coal company gives a real estate agent a 20% commission on all orders for coal taken through his office. During the month he takes orders for 82 tons at $8.95 per ton. Find his commission. 7. A clerk in a store receives a 10% commission on all orders given by people introduced by him. During a month such orders amount to $325. What is his commission? 8. Mr. Jones is agent for victrolas. He receives a 20% commission on all his sales. He sells in one month 2 victrolas at $25 each; 3 at $50 each; 1 at $175. What is his commission for the month? 9. An agent who sells farm machinery gets a commission of 15% of his sales. During the season he sells the following: 3 harrows at $28.50 each; 5 mowers at $38 each; 3 horse-rakes at $26 each; 2 reapers at $68 each. Find his commission. 10. A Farm Agency sells a farm for Mr. Brown for $4300 at a commission of 8%. What are Mr. Brown's net receipts for the farm? 11. A dealer in Portland, Me., orders his agent in Chicago to buy him a carload of horses. The agent buys 28 horses at an average price of $172.50 each. His rate of commission is 5%. What is his commission? What is the total cost of the carload of horses? 12. A grain dealer buys through his. agent in Buffalo the following. Determine the agent's commission on each transaction and the gross cost in each case if the agent's rate of commission is 21%. CHAPTER V MENSURATION I. AREAS 54. A square inch is a square having each side one inch long. A square foot is a square having each side one foot long. A square yard is a square having each side one yard long. The surface enclosed by any figure may be expressed as a certain number of square inches or square feet or square yards, etc. The square inch, the square foot, the square yard are known as the units of square measure. TABLE OF SQUARE MEASURE 55. Rectangles. The process involved in finding areas of rectangles is illustrated by the following examples. The definition of a rectangle and the method of construction are given on p. 55. EXAMPLE 1. Draw a rectangle 3" long and 2′′ wide. Divide it by lines as in Fig. 29, p. 92. The rectangle here is made up of 6 squares, each an inch long and an inch wide, or six square inches. There are two rows of three squares each. 1 Square Inch FIG. 29 The number of squares thus formed is called the area of the rectangle; for example, the area of the rectangle drawn above is 6 square inches. If we let A stand for the number of square units in the area of a rectangle, b stand for the number of linear units in the base and h stand for the number of linear units in the height (or altitude), then A (the number of square units) = b h square units. When the multiplication of letters is indicated, the sign X is generally omitted. The expression A = bh is the formula for the area of a rectangle. A formula is a brief way of expressing a rule. EXAMPLE 2. The base of a rectangle is 4" and its height is 3". Find its area. SOLUTION. Using the formula for the area of a rectangle, given the base and height in inches, |