« ΠροηγούμενηΣυνέχεια »
RULE. As the given course of exchange, is to one pound sterling, so is the given sum in foreign money, to its corresponding value in sterling money.
Ex. 1. How much sterling money can I have for 2035 Flemish shillings, when the course of exchage is 37 shillings for 11. ?
Here I say, As 37 : 1 :: 2035 : 55 = pounds sterling. Ex. 2. How much sterling money can I get for 4086 florins, 4 stivers, 6j penings banco, supposing 17. is worth 38 schillings and 2 grotes :*
florins st. p.
4056 4 6
458)1634183 (3561. 175. 61. Answer. Ex. 3. What sterling money will 2931. 10s. 6d. Irisk fetch, when the exchange is 11-41. Irish for 1007. sterling ?
1141. : 100l. : : 2931. 10s. 64. : 2571. 95, 6 d. Ex. 4. Dublin remits to London 8261. 138., what must be received there, exchange being 110l. per cent. ?
Ex. 5. Jamaica remits to London 2871. os. 101d. currency, what must be received for it, exchange being 1351, per cent. ? CASE II. Given the course of exchange, to bring any
quantity of sterling money into the money of another country.,
RULE. As Il. sterling is to the course of exchange, so is the given sum, in sterling money, to its corresponding value in foreign money.
Ex, 1. How much Flemish money will 233l. 6s. 8d.
* 8 penings make
1 grote, or penny
sterling be worth, when the exchange is 34s. per 17. sterling?
il. : 845. : : 2331, 6s. 8d. : 3931, 135. 4d. Answer. Ex. 2. How much Flemish money must be given for 6281, 10s. sterling, when the exchange is 335. 8d. per £. sterling. CASE III. To reduce the currency of any state into bank
or exchange money. RULE. As 100, with the ugio added to it, is to 100, so is any given sim current to its value in bank money.
Ex. 1. How much bank money can a merchant in Amsterdam have for 5550 guilders, when the agio is 41 per cent.?
2011 : 100 :: 5550 ; 5311 Answer.
Ex. 2. How many florins bank will 3000 currency purchase, agio being 65 per cent. ?
Case IV. To reduce bank money into currency. RULE. As 100 is to 100, with the ugio added to it, so is the bank money to the currency.
Ex. 1. How much currency can I have in Venice for 1500 ducats bank, when the agio is 15 per cent. ?
100 : 115 ; : 1500 : 1725. Ex. 2. How much currency can I have for 5000 bank florins, agio being 8 per cent. ?
ACCOUNTS are kept in Ireland as in England, viz. in pounds, shillings, and pence. The
par of exchange in Ireland is 1081,6s. 8d. ; that is, 1081. 6s. 8d. Irish, is equal in value to 1001. sterling; or is. ld. Irish, is equal to one shilling English.
The course of exchange varies from 1051. to 115l. according to the balance of trade. See p. 230.
Ex. 1. London remits to Dublin 3001. sterling, what must be received for it, exchange being 1061. Irish per cent., and also when it is 112 per cent. ? Here I say, As 100 : 106 : : 300 : 3181. Answer.
and 200 : 112 : : 300 : 3361. Answer,
Here it is evident, that when England remits the certain price to another country, the higher the exchange, the greater advantage is derived by England; for when the exchange is 106, she will receive 3181. for her 300l., and when it is 1121., she will receive 3361. for the same sum. See p. 230.
Ex. 2. Dublin remits to London 7001. Irish, what is it equal to when the exchange is 1031., and also when it is 1101. ?
Here Dublin remits the certain, and London gives the uncertain price, and I say, As 108 : 100 :: 700 : 6481. 2 s. 11t. Answer.
110 : 100 :: 700 : 6361. 7s. 3d. Answer. Here Dublin is gainer when the exchange is low, because, in that case, 700l. purchases 6481. 25. 11d., and in the other it purchases only 6361. 75. 3d.
Ex. 3. London remits to Dublin 545l. 105. sterling, for how much Irish must London be credited, exchange being 1101?
Ex. 4. Dublin remits to London gool. 15s., how much sterling must be received, exchange being 1121. ?
Ex. 5. I purchase sundry books in Dublin, for which I give as follows; for the first
0 what are they worth in English money
AMERICA AND THE WEST INDIES.
ACCOUNTS are kept in these places as in England, in pounds, shillings, and pence.
In America the par of exchange is 1661. 13s. 4d.; in the West Indies it is 1401.
Ex. 1. London remits to Barbadoes 945). 175. sterling, how much currency will this amount to, when the exchange is 140 currency?
Ex, 2. Sir Francis Baring writes word, that he has received for me a remittance of one quarter's dividend on 4000 dollars, at 53 per cent. interest, and the exchange is 164 per cent., what has he to pay me?
In this case the regular interest is 55 dollars, which, at 45. 6d. each, when exchange is at par, or at 1661. 135. 4d., would be 121. 175.6d., but the exchange is 164; therefore I say, As 164 : 1661. 135. 4d. : : 121. 75. 6d. : 121, 115. 6d. Answer.
Or by decimals, 164 : 166.66 &c. :: 55 : 55.899 dollars - 121. 1]s. 60.*
* Exchange being lower than the par, I am a gainer of 45.; for a person who takes a bill of exchange is always benefitted by a love course of exchange,
rec. rec. rec. rec. rec. rec.
The following is a Table of the Course OF EXCHANGE,
taken, with slight variations, from the Monthly Maga-
COURSE OF EXCHANGE.
34.6 for ile Altona - - gives 34.7
34.7 for do. Amsterdam gives 35,5.2U.
35.4.2U. do. Ditto, sight gives 34.9
34.8 for do. Paris, 1.d. gives 23.13
1. d. 24.0 for do. Leghorn receives 49 pence
for 1 pezza of 8 rials Naples
for i ducat Genoa .
451 for i pezza Lisbon 60 ditto
for 1 milrea
} Oporto 65 ditto
65 Madrid 383 do. Ex.
for i dollar Palermo 92 per oz.
92 per oz. Dablin rec. 11011.
for 100 Agio of Bas of,
6 per cent. Holland
This table, in addition to what is gone before, will afford an opportunity of explaining every thing that a man of business will wish to be acquainted with.
On the 5th of April, the exchange between Hamburgh and London was at the rate of 34 schillings, 5 grotes, for a pound sterling ; that is, if a merchant in London sell a bill on Hamburgh for 500l., he would be paid for it 34.5 X 500 = 17208 schil. 4 gro.; but on the 12th, such a bill would have fetched 34.6 X 500 = 17250 shil. lings. Here, the higher the exchange the greater the advantage to England; for the merchant, in this instance, gains 41 schil. 8 gro. by the rise in the exchange.
For Altona, the course of exchange is the same on both days, viz. the £. is worth 37 schil. 7 gro.: and for Amsterdam, the course of exchange falling, the merchant in London would be a loser, who put off his market from the 5th to the 12th.
In this onse 35.5. 2U. means, that a pound sterling is worth, on the 5th, 35 schil. 5 gro., allowing it to be payable at two months' date : but if it is payable at sight, it is then worth only 34 schil. 9 gr. This difference, which on a bill of 1001, is equal to 34 schil. 4 gr., is instead of the interest of money for the interval.
The course of exchange rose between London and Paris from the .. 5th to the 12th of April. On the first of these days 1l. was at 1 d.,
that is, at one day's sight, worth 23.13, or 23 francs, and 13 cents. ; but on the 12th its value was 24 francs. Leghoin receives 494 pence for 1 pezza of s rials, that is, a bill exchange of .5000 pezza would be worth 4s. 1d. multiplied by
5000, or 10361. 95. 2d. A Naples ducat was worth 35, 6d.: a Genoa pezza 38, 9d.: a milrea of Lisbon 5 shillings, and one of Oporto 5s, 5d.
Madrid receives 38ad. Eff. for 1 piastre of s rials,* that is, a Spanish piastre of exchange was worth 3. d.
A sp«cies of paper money, denominated vales rials, is circulated in Spain, the value of which independently of interest on them, is this :
Vales rial, for 600 do!'a;s are worth 9035 vals, 10 maravedis of vellon,t that is, (as 34 muravedies is equal to one rial) i dollar pay. able in this sort of paier is worth 15 rials, 2 maravedies. The paper is transferable by indorsement; and, by law, should be received in paymen; according o ihe nominal value ; but as it experiences depreciation, it is necessary in drawing on Spain for effective money, to insert the words “ payable in effective” in the body of the bill, which might otherwise be payable in vales rials: hence the word Eff in the table, which is an abridgment of “ in effective.” Palermo 92 pence per oz.
In Sicily exchanges are made per onza by the ounce of silver, for which, on the day referred to Palermo received 92 pence, or 7s. 8d..
Dublin 110$ for 100l., that is, at the date of the table there would . have been given on the exchange of London a bill on Dublin for 1101. 55. for 100l. pound sterling. See page 234.
By the agio of the Bank of Holland is meant, as we have seen, p. 232, the difference between cash and bank money, which, by the table, is on the 5th of April, 61, or 61. 105. per cent.; that is, 1061, 10s. currency must be given for 1001. banks, and so in proportion.
* In some parts of Spain they reckon by silver money, which is of two kinds, viz. old and new plate, the former is the most valuable : thus the piastre of exchange consists of 8 rials old plate, or of 10 rials new plate, the rial beitig at the par of exchange worth little more than 5 d.
+ The copper money of Spain is called vellon.
In Madrid, and the principal places of Spain, accounts are kept in piastres (called also collars) rials, and maravedies; and sometimes in ducats.
i ducat Hence the piastre at par is 35. 7.d., and the ducat at par 4s. 11 d.; but the course of.exchange of the piastre varies from 35 to 45 pence.
The Sicilian ounce is 600 grains, and the monies are regulated by the following Table :
10 grains make i cailin,
2 carlins make i tarin,
30 tarins (600 gr) A crown (seudo) is equal 240 grs., therefore 5 crowns 2 ounces.