Since we multiply the principal by the rate to get the amount of the per cent.,

We must divide the amount of the per cent. by the rate to get the principal, and by the principal to get the rate.

6. A merchant having $ 4,000 deposited in a bank, drew out a certain per cent. of it, the amount of which was $20; what per cent. of the deposit was that?

Ans. per cent. 7. The owner of an iron mine allowed some laborers to work it for one year, on condition of paying him 10 per cent. of the proceeds; at the end of the year they paid him $250; what were the proceeds? Ans. $2,500. 8. 17 bu. 2 pks. are 7 per cent. of a certain quantity; what is that quantity? Ans. 233 bu. 13 pk.

9. If I pay a man $8, and have $1,992 left, what per cent. of my money do I pay him? Ans. of 1 per cent. Explanation. $8 added to $ 1,992 is the sum which I had, and $8 is the amount of the per cent. I pay.

10. If a man paid me $114, which was 5 per cent. less than what he owed me, how much did he owe me ?

Ans. $120. Explanation. He paid 95 per cent. of what was due. 11. If a trader sends you 75 yards of black broadcloth, 20 per cent. more than you ordered, what quantity did you order? Ans. 624 yds

COMMISSION.

LESSON 122.

Commission is a reward paid to an agent, factor, broker, or correspondent, of so much per cent. on the amount of the purchases or sales made by him.

1. What amount of commission must I pay my factor for selling $3,525.163 worth of rice, at 24 per cent. ? Ans. $79.32.

How do we get the principal from the amount of the per cent. and rate, and the rate from the amount of the per cent. and principal? Why?

What is commission?

2. If I buy 375 chal. 35 bu. 3 pks. of Newcastle coal at 12 a chal., and receive 2 per cent. commission, what will be the amount of my commission ? Ans. $90.24.

3. The agent of a landholder sold 117 A. 2 qrs. 4 sq. rods of land, at $ 18 an acre, and charged 11 per cent. commission; what sum must be paid to the landholder after deducting the amount of the commission?

Ans. $2,087.24. 4. A broker charged $35 for assisting me in purchasing a farm for $5,000; what per cent. commission or brokerage did he demand ? Ans. of 1 per cent.

5. The expenses of selling a quantity of copper, at 2 per cent. commission, were $253.42; what was the sum it sold for? Ans. $ 12,671.

6. My correspondent sold 2,525 bu. of potatoes for me, at a commission of 3 per cent., and sent me $979.70 as the balance due after deducting the amount of his commission; how much did he sell them all for, and how much did he get a bushel ?

Ans. he sold all for $1,010, and got 40 cents a bu. 7. If a man sends you $2,050 to lay out in goods for him, and directs you to retain 2 per cent. on the amount of purchases for commission, what sum must you retain ? Ans. $50.

STOCKS.

LESSON 123.

Stock is the name of the funds of government, and of the capital of banks, insurance offices, factories, canals, railroads, and like companies. It is owned in shares.

When a share of any stock sells at its original cost, it is said to be at par; when it sells at more than its original cost, it is said to be above par, and at so much per cent. advance; when it sells at less than its original cost, it is said to be below par, and at so much per cent. discount.

What is stock? How is it owned?

When is stock said to be at par? Above par? Below par? In advance? At a discount?

value

1. A man bought 23 shares of the Utica and Schenectady railroad stock at 21 per cent. advance, the par being $100 a share; what did he give for them?

Ans. $2,794.50. 2. If I buy several shares of bank stock at $54 a share, the par value being $60, at what per cent. discount do I obtain them? Ans. 10 per cent.

3. A merchant bought a share of the stock of the Locks and Canals Company in Lowell at 270 per cent. advance; what did it cost, the par value being $500? Ans. $1,850.

4. A broker bought 5 shares of the Massachusetts Bank for me, at 1 per cent. advance; what did they cost me, the par value being $250 a share, and the broker charging per cent. commission ? 5. If you buy canal stock at 40 per cent. discount, and give $30 a share, what is the par value?

Ans. $1,271.97.

Ans. $50 a share. 6. What is the par value of a share of factory stock which sold for $ 560 at 12 per cent. advance ?

Ans. $500 a share.

BANKRUPTCY.

It sometimes happens that a merchant, through miscalculation or misfortune, becomes unable to pay the full amount of his debts, in which case he is called a bankrupt, and his property is distributed among his creditors in proportion to what is due to each.

7. A man failed for $3,528, having property to the amount of $2,963.52; what per cent. of his debts can he pay; that is, what per cent. of $3,528 is $2,963.52 ? Ans. 84 per cent.

8. How much will he pay on a debt of $100? Ans. $84. 9. Samuel Jackson failed, owing as follows; to John Smith $1,800, to Charles Brown $ 8,350, to John Williams $2,511.163, and to James Thompson $5,000; if he has property to the amount of $10,596.70, what per cent. of his debts can he pay, and what can he pay each of his

What sometimes happens to a merchant? In that case, what is he called, and what is done with his property?

creditors? Ans. he can pay 60 per cent. of his debts; to John Smith $1,080, Charles Brown $5,010, John Williams $1,506.70, and James Thompson $ 3,000.

10. A bankrupt who pays 33 per cent. of his debts, owes me $ 180; how much can I get of it?

Ans. $60.

11. A bankrupt who has property to the amount of $16,525, owes A. $10,000, B. $ 5,000, C. $ 3,828, and D. $6,500; if the above are all his debts, what per cent. of them can he pay, and what sum will each of his creditors receive? Ans. he can pay 65244 per cent. of his debts, nearly; to A. $6,524.40, B. $3,262.20, C. $2,497.54, and D. $4,240.86.

LOSS AND GAIN.

LESSON 124.

1. A merchant bought a quantity of molasses for $3,500; for what sum must he sell it so as to gain 10 per cent.? Ans. for $3,850. 2. If I buy 5 pieces of broadcloth, containing 27 yards each, at $4 a yard, and sell the whole for $583.20, what per cent. do I gain?

Explanation. The first cost is the gain is the amount of the per cent.

Ans. 8 per cent. principal, and the

3. Having bought a quantity of wine for $873.25, I lost so much by leakage and other accidents, that I was content to sell it for 18 per cent. less than the first cost; what did I get for it? Ans. $716.06.

4. A merchant bought $2,000 worth of goods, and marked the prices 333 per cent. higher than the cost, but in selling the goods he took 25 per cent. less than was marked; what sum did he gain or lose?

Ans. he sold the goods at first cost. 5. What per cent. would he have gained or lost had he taken from the price marked 25 per cent. of the first cost? Ans. he would have gained 8 per cent. 6. A man bought 35 T. 18 cwt. of hay for $600; at what price a ton must he sell it so as to gain 12 per cent.? Ans. $18.80. 7. If your agent buys one thousand bushels of corn for

$750, and charges 2 per cent. commission, at what per cent. in advance of the cost, which includes commission, must you sell the corn to gain $350 ?

Ans. 45 per cent., about.

8. A merchant bought a quantity of pork at $25 a barrel, and put the price 30 per cent. more than the cost; what sum must he take off from the price of each barrel to gain 10 per cent.? Ans. $5.

9. Sold 700 barrels of flour for $4,550, gaining 4 per cent. on it; what did it cost me a barrel? Ans. $6.25.

10. A merchant bought 65 hogsheads of molasses in Matanzas, at $21.50 a hogshead; after paying $ 50.59 for duties, $79.33 for freight, $39 for insurance to Portland, $12 for truckage, and $4.50 for sundry other expenses, he finally sold it at $30 a hogshead; what per cent. did he gain? Ans. 23 per cent., about. 11. A man sold a ship for $11,500, gaining 15 per cent. on what she cost him; what per cent. would he have gained by selling the ship for $ 10,800 ? Ans. 8 per cent.

DRAFT AND TARE.

LESSON 125.

Draft is a small allowance on the weight of an article so that the quantity may hold out when retailed.

The following table shows the allowances usually made for draft.

Note. It is not necessary to commit it to memory.

The allowance for draft on a parcel weighing

is 1 lb.

224 lbs. is 2 lbs.

above

224 lbs. and not over

336 lbs. is 3 lbs.

above

336 lbs. and not over 1,120 lbs. is 4 lbs.

above 1,120 lbs. and not over 2,016 lbs. is 7 lbs

above 2,016 lbs.

is 9 lbs.

Tare is an allowance for the weight of the box, cask,

What is draft? What is tare?