CHAPTER XV COMMISSION 243. Commission or Brokerage. A sum paid by one person to another for transacting business is called commission or brokerage. For example, if a man sells a house for another man, at 2% commission, and the price received is $5000, the amount of the commission is 2% of $5000, or $100. Similarly, if a man collects a bill of $250 for another man, at 5% commission, he receives 5% of $250, or $12.50. 244. Principal and Agent. The person for whom another transacts business is called the principal. The person who transacts the business is called the agent. 245. Commission Merchant and Broker. An agent who has actual possession of the goods of his principal is called a commission merchant. An agent who makes sales or purchases for his principal without having actual possession of the goods is called a broker. Commission and brokerage are usually reckoned at a certain per cent of the money involved in the transaction. If goods are bought, the commission is a certain per cent of the cost; if goods are sold, the commission is a certain per cent of the amount received ; if a collection is made, the commission is a certain per cent of the amount collected. Brokerage is often a fixed sum per bushel (as of wheat purchased), a fixed sum per 100 bales (as of cotton), a fixed sum per tierce (as of lard), and so on. In all problems, unless otherwise directed, discard any fraction of a cent less than 1 in a final result; when a fraction of a cent is į or more, count it as a full cent. EXERCISE 143 Find the commissions on sales or purchases of the following amounts, at the rates specified : 1. $275, 2% 9. $2750, 11% 17. $8000, 3%. 2. $345, 3% 10. $3275, 24% 18. $7500, 1% 3. $675, 4% 11. $2760, 31% 19. $6200, 1% 4. $725, 5% 12. $4175, 41% 20. $3520, 3%. 5. $875, 6% 13. $6375, 33% 21. $4800, 13% 6. $4125, 2%. 14. $6540, 5% 22. $8000, 11%. 7. $7250,.3% 15. $8650, 6% 23. $2400, 14% 8. $9325, 4%. 16. $7775, 8% 24. $4800, 21% Find the net amounts remaining after deducting commissions on sales as follows, at the rates specified : 25. $4800, 8% 32. $2800, 24% 39. $275.50, 4% 26. $6400, 1% 33. $5600, 21% 40. $612.50, 8% 27. $3500, % 34. $6400, 31% 41. $721.50, 6%. 28. $400, 2% 35. $1500, 11% 42. $5600, 3% 29. $600, 4%. 36. $2200, 11% 43. $4200, 1%. 30. $850, 5% 37. $3600, 13% 44. $3200, % 31. $1250,41%. 38. $4800, 37% 45. $6400, 3% 46. After paying 5% for collecting a debt of $1200, how much remains ? 47. After paying 3% for selling some property for $3200, how much remains ? 48. An agent received $84, or 2%, for selling some property. What was the selling price? 49. An agent received $75, or 2} %, for selling some property. What was the selling price ? 50. An agent sold 325 bu. of wheat @ 80¢ a bushel, charging a commission of 5%. Find the net proceeds. 51. An agent charged $6.63 for selling 52 bu. of tomatoes @ 85% a bushel. Find the rate of his commission. 52. What is the commission at 31% on a sale of potatoes to the amount of $1270 ? 53. A real-estate agent charged $246.25 for selling a piece of property for $9850. What was the rate of his commission? 54. A real-estate agent charged $312.50 for selling a piece of property for $12,500. What was the rate of commission ? 55. An agent sold 44 wagons @ $135 each and paid his principal $5197.50 as the proceeds of the sale. Find the rate of the agent's commission. 56. An agent bought for a dealer 240 baskets of peaches @ 75% a basket, charging 31% commission. Find the total cost to the dealer. 57. A commission merchant sold 45 bbl. of apples @ $2.80 a barrel, deducting 6¢ a barrel for storage and a commission of 5%. Find the net proceeds of the sale. 58. An agent sold some produce for $935, charging 3% commission. How much did he remit to his principal ? 59. An agent sold some produce, charging 3% for his services. His commission amounted to $28.05. How much did he remit to his principal, after deducting his commission? 69. An agent sold some produce, retaining his commission of $3.69 and remitting the proceeds, $119.31. What was the rate of commission ? 61. A commission merchant sold some produce, and, after deducting his commission, remitted to his principal $906.95. His commission amounted to $28.05. What was the selling price,? What was the rate of his commission ? 62. What is an architect's commission on a house costing $9472, at 5%? 63. An architect's commission on a house costing $8750 is $437.50. What is the rate ? 64. What is an auctioneer's commission for selling $358 worth of furniture, at 6% ? 65. A real-estate dealer sells 168 acres of land at $40 an acre. How much is his commission at 21%? 66. A lawyer charged $40 for collecting a debt of $750. What is the rate ? 67. An agent sells our school $65 worth of maps, and his firm pays him 71 % commission. How much is this? 68. A farmer sends some butter and eggs to the city, and they are sold for $72.50. He is charged 8% by his agent. What is the net amount received by the farmer ? 69. What is the commission on 87 tubs of butter, each containing 50 lb., if sold at 27¢ a pound, the rate of commission being 31% ? 70. An agent sold a house for a man, charging 5% commission. He sent to his employer $4512.50 as the proceeds. At what price did he sell the house ? 71. A commission merchant sold for a farmer some produce for $260, and sent to the farmer $239.20 as the proceeds. What was the rate of commission ? 72. An agent sold some land for a man and received $9500. He sent to his employer $9215 as the proceeds. What was the rate of commission ? 73. A salesman's sales in a department store in a city amounted, during the six days of one week, to $257.70, $103.10, $175.02, $132.30, $302.25, $50.63. He receives 25% on his sales. How much did he receive that week ? 74. What is the commission at 71% on a sale of an automobile for $1250 ? 75. What is the commission at 24% for collecting a debt of $750? 76. What is the net amount remaining after deducting a commission of 3% from a sale amounting to $850 ? 77. A broker bought 850 bales of cotton for a customer, charging $5 per hundred bales as brokerage. What was the brokerage ? 78. A broker bought 750 tierces of lard for a customer, charging 21¢ a tierce. A tierce being 340 lb., how many pounds did he buy, and what was the brokerage ? 79. Lard selling at $7.03 per tierce, how much will 1250 tierces cost? How many pounds are there? What is the brokerage on the purchase at 21€ per tierce ? 80. A commission merchant sells for a factory 6900 lb. of cheese at 12¢ a pound, charging 5% commission. What sum should he remit to his principal ? 81. A commission merchant sold 1700 doz. eggs for a dealer, charging him 5% on the sale, and remitting $339.15. At what price per dozen did he sell the eggs ? 82. A commission merchant sold 160 tubs of butter, 50 lb. to the tub, for $1920, charging 5% commission. What did the commission amount to per pound ? 83. A commission merchant sold 240 tubs of butter, 50 lb. to the tub, for $3360. His commission being 174 a pound, what was his rate of commission ? 84. A broker buys 1750 bags of coffee for a customer at 10.43¢ per pound. There being 130 lb. to the bag, and the broker charging $10 per 250 bags, how many pounds are bought and what is the total cost including the brokerage ? |