2. The same example worked by Rule 2.

Amount of £1 for 2 yrs. 8mo. = 1.113£.

Interest on debt......

845.816666

333 333311

845816667

= 845.816 × .113€.

84581667

25374500

2537450

253745

25374

2537

254

25

1.11333333)95.8592219(86.101097£.

890666666

67925553

66800000

1125553

1113333

12220

11133

1087

1012

75

77

Ans. £86: 2:0 nearly.

3. The same example worked by the exact method.

Def. 1. Commission is an allowance of so much per cent. made to an agent for buying or selling goods for his employer on the price of the goods sold.

Def. 2. Brokerage is an allowance of so much per cent. made to brokers for assisting in the transference of property.

Def. 3. Insurance is a contract by which one person, or company, undertakes to make good the loss of another person, on consideration of the latter paying a certain sum, called the premium, which is so much per cent. on the sun insured.

When a third person is employed to effect the insurance, commission is charged; and in all cases a duty is payable to Government.

I. TO FIND THE COMMISSION, OR BROKERAGE, ON A GIVEN SUM.

Rule. Express the rate per cent. in terms of £1, multiply the given sum by it, and divide by 100. If the rate per cent. be less than £1, the multiplication may be effected by aliquot parts.

EXAMPLES.

1. Find the commission on £572: 4: 63 at 12 per cent.

2. Find the brokerage on £456: 7: 6 at per cent.

3. An agent is allowed a commission of 6 per cent. for selling goods, and guaranteeing the debts to his employer. His sales in a year amount to £23455 13:4; his losses by bad debts, &c. to £543: 10: 0; his expenses in business to £103: 17: 8; what is his nett annual income?

II. TO FIND THE EXPENSE OF INSURING A GIVEN SUM.

Rule. Calculate the expense as in Commission, adding to the rate of premium that of Commission (if any) and of the stamp duty.

111.

TO FIND WHAT SUM MUST BE INSURED TO COVER A GIVEN SUM
AND ALL EXPENSES OF INSURANCE.

Rule. Subtract the sum of premium, commission, and stamp duty on £100, from £100; and state a proportion thus. As this remainder is to the given sum, so is £100 to the answer.

EXAMPLES.

1. Find the expense of insuring goods to the amount of £2364 : 15: 0, at a premium of 4 per cent.; commission 3 per cent.; policy duty per

2. Find what sum must be insured to cover £3540: 16: 0 at a premium of 3 per cent. ; commission per cent.; duty per cent.

Rate of premium.... £3.5 per cent.

Def. 1. Stock is the name given to certain bonds issued by a company or government, in acknowledgment of a debt to the holder, which bonds entitle the holder either to receive a fixed rate of interest, or to share in the gross profits of the company, in proportion to the amount of the bond. Def. 2. The amount of the bonds is called the Funds.

Def. 3. If the saleable price of a bond be its nominal value, the stock is said to be at par, and it is said to be above, or below par, or—at a premium or discount-according as its price is above or below this value.

Note-In buying and selling stock, the assistance of a Broker is required; the brokerage charge is per cent.

I. TO FIND THE COST OF A GIVEN AMOUNT OF STOCK AT A GIVEN

PRICE.

Rule. Multiply the given stock by the number of pounds in the price, and divide the product by 100.

To estimate the total cost, the brokerage must be added to the price.

EXAMPLE.

What sum of money will purchase £2675 stock in the 4 per cents. at 913? Brokerage per cent.