§ XXXIII. PARTNERSHIP, OR COMPANY BUSINESS ART. 253. PARTNERSHIP is the association of two or more persons in business, with an agreement to share the profits and losses in proportion to the amount of capital, stock, or the value of the labor and experience of each. The association is called a Firm, or Company; the money or property invested is called the Joint Stock, or Capital; each of the owners is called a Partner, and the profit or gain the Dividend. ART. 254. To find each partner's share of the profit or loss when the stock is employed for the same time. Ex. 1. John Smith and Henry Gray enter into partnership for three years; Smith puts in $4000, and Gray $2000. They gain $570. What is each man's share of the gain? Ans. Smith's gain, $380; Gray's gain, $190. Since the sum of $4000 and $2000, equal to $6000, is the whole stock, it is evident that Smith's part of the stock is 008 = & ; and that Gray's part is 2008 =. Then, since each man's gain must be in proportion to his stock, of $570, $380, is Smith's share of the gain; and } of $570, = $190, is Gray's share of the gain. = OPERATION BY PROPORTION. $6000 $570::$4000: $380, Smith's gain. - : QUESTIONS. Art. 253. What is partnership? What is the association called? What the property invested? What are the owners called? What the profit or loss? RULE 1.-Multiply the whole gain or loss by each partner's frac tional part of the stock, and the product will be the gain or loss of each. Or, RULE 2. As the whole stock is to each partner's stock, so is the whole gain or loss to each partner's gain or loss. EXAMPLES FOR PRACTICE. 2. Three merchants, A, B, and C, engaged in trade. A put in $6000, B put in $9000, and C put in $5000. They gain $840. What is each man's share of the gain? Ans. A's gain $252, B's gain $378, C's gain $210. 3. A bankrupt owes Peter Parker $8750, James Dole $3610, and James Gage $7000. His effects, sold at auction, amount to $6875; of this sum $375 are to be deducted for expenses, &c. What will each receive of the dividend? Ans. Parker, $2937.7519; Dole, $1212.0352; Gage, $2350.20,80 4. A merchant, failing in trade, owes A $500, B $386, C $988, and D $126. His effects are sold for $100. What will each man receive? Ans. A receives $25.00, B $19.30, C $49.40, D $6.30. 5. A, B, and C, engaged in trade. A put in $700, B put in $300, and C put in 100 barrels of flour. They gained $90; of which sum C took $30 for his part; what will A and B receive, and what was C's flour valued per barrel? Ans. A receives $42, B $18, C's flour $5 per barrel. ART. 255. To find each partner's share of the profit or loss, when the stock is employed for unequal times. Ex. 1. Josiah Brown and George Dole trade in company Brown put in $600 for 8 months, and Dole put in $400 for 6 months. They gain $60. They gain $60. What is each man's share of the gain? OPERATION. $600X8 $4800, Brown's money for 1 month. = = 4888, Brown's part of stock. $400×6= $2400, Dole's money for 1 month. 00 4488, Dole's part of stock. = $7200, Whole stock for 1 month. Then of $60, the whole gain, = $40, is Brown's share of gain. And of $60, $20, is Dole's QUESTION. Art. 254. What is the rule for finding the shares of profit or loss when the stock is employed for the same time? = It is evident that $600 for 8 months is the same as $600 × 8 $4800 for 1 month, because $4800 would gain as much in 1 month as $600 in 8 months. And for the same reason, $400 for 6 months is the same as $400 × 6 = $2400 for 1 month. The question is, therefore, the same as if Brown had put in $4800 and Dole $2400 for 1 month each. The whole stock would then be $4800 + $2400 $7200, and Brown's share of the gain would be 4900 = = 2400 = $40. Dole's share will be 108 = } of $60 = 20. $4800 $2400 $7200 7200 OPERATION BY PROPORTION. = of $60 $7200: $4800 :: $ 60: $ 4 0, B's share. 7200 $2400::$60: $ 20, D's share. RULE 1.- Multiply each partner's stock by the time it was in trade, and consider each product a numerator, to be written over the sum of the products, as a common denominator. Then, multiply the whole gain or loss by each of these fractions, and the product will be the gain or loss of each partner. Or, RULE 2. Multiply each partner's stock by the time it was in trade; then, as the sum of these products is to each product, so is the whole gain or loss to each partner's gain or loss. EXAMPLES FOR PRACTICE. 2. A, B, and C, trade in company. A put in $700 for 5 months; B put in $800 for 6 months; and C put in $500 for 10 months. They gain $399. What is each man's share of the gain? Ans. A's gain $105, B's gain $144, C's gain $150. 3. Leverett Johnson, William Hyde, and William Tyler, formed a connection in business, under the firm of Johnson, Hyde & Co. Johnson at first put in $1000, and at the end of 6 months he put in $500 more. Hyde at first put in $800, and at the end of 4 months he put in $400 more; but, at the end of 10 months, he withdrew $500 from the firm. Tyler at first put in $1200, and at the end of 7 months he put in $300 more, and at the end of 10 months he put in $200. At the end of the year they found their net gain to be $1000. What is each man's share? Ans. Johnson's gain $348.02231, Hyde's $273.78,82, Tyler's $378.19 43 4. George Morse hired of William Hale, of Haverhill, his best horse and chaise for a ride to Newburyport, for $3.00, with the privilege of one person's having a seat with him. Having QUESTIONS. Art. 255. What are the rules for finding the shares of profit or loss when the stock is employed for unequal times? Why do you multiply each man's stock by the time it was in trade? rode 4 miles, he took in John Jones, and carried him to Newburyport, and brought him back to the place from which he took him. What share of the expense should each pay, the distance from Haverhill to Newburyport being 15 miles? Ans. Morse pays $1.90, Jones pays $1.10. 5. J. Jones and L. Cotton enter into partnership for one year. January 1, Jones put in $1000, but Cotton did not put in any until the first of April. What did he then put in, to have an equal share with Jones at the end of the year r? Ans. $1333.331. 6. S, C, and D, engage in partnership, with a capital of $4700. S's stock was in trade 8 months, and his share of the profits was $96; C's stock was in the firm 6 months, and his share of the gain was $90; D's stock was in the firm 4 months, and his gain was $80. Required the amount of stock which each had in the firm. S's stock $1200. Ans. C's stock $1500. D's stock $2000. 7. A, B, and C, engage in trade. A put in $300 for 7 months, B put in $500 for 8 months, and C put in $200 for 12 months; they gain $85; what share of the gain does each receive? Ans. A $21, B $40, and C $24. 8. A and B engage in trade, with $500. A put in his stock for 5 months, and B put in his for 4 months. A gained $10, and B gained $12; what sum did each put in? Ans. A $200, B $300. 9. A and B trade in company. A put in $3000, and at the end of 6 months put in $2000 more; B put in $6000, and at the end of 8 months took out $3000; they trade one year, and gain $1080; what is each man's share of the gain? Ans. A's share is $480, B's $600. 10. Four men hired a pasture for $50. A put in 5 horses for 4 weeks; B put in 6 horses for 8 weeks; C put in 12 oxen for 5 weeks, calling 3 oxen equal to 2 horses; and D put in 3 horses for 14 weeks. How much ought each man to pay? Ans. A $6.663, B $16.00, C $13.33, and D $14.00. 11. A, B, and C, contract to build a piece of railroad for $7500 dollars. A employs 30 men 50 days; B employs 50 men 36 days; and C employs 48 men and 10 horses 45 days, each horse to be reckoned equal to one man, and he is also to have $112.50 for overseeing the work. How much is each man to receive? Ans. A receives $1875; B $2250; C $3375. § XXXIV. CURRENCIES. ART. 256. The currency of a state or country is its money or circulating medium of trade. In the United States, the gold, silver, and copper coins of the country, foreign coins whose value has been fixed by law, and bank notes, redeemable in specie, pass as money. The legal tender, however, in payment of debts, is gold and silver. The intrinsic value of foreign coins is their mint value, or that depending upon the weight and purity of the metal of which they are made; their commercial value is the price they will bring in the market, and their legal value is that fixed by law. The value of foreign coins, as fixed by present laws of the United States, is shown in the following The legal currency of this country, previous to 1786, was sterling money, or that of pounds, shillings, and pence. On the adoption of the currency of dollars and cents, there were in circulation colonial notes, or bills of credit, which had depreciated in value. This depreciation being greater in some sections QUESTIONS. Art. 256. What is currency? What pass for money in the United States? What is the intrinsic value of foreign coins? What is the commercial value? What is the legal value? - Art. 257. Mention some of the foreign coins whose value has been fixed by law. What was the currency of this country previous to 1786? |