3. A begins on Feb. 1 with £4500; B joins him on May 5 with £7000; divide the year's profit of £956. 17s. 8d. 4. A bankrupt fails with assets £312. 16s. 10d.; he owes three creditors £256. 7s. 8d., £300. 5s. 6d., £410. 8s. 9d.; what will each get and what can he pay in the £? 5. Find dividends at 43, 5, 6, 7, 37 on investments of £8000, £7500, £3120, £6515. 10s. 6d., £8450. 6. A, B, C enter into partnership with capital of £5000, £6000, £7000, find division of profits of £1952, £1864. 7s. 6d., £2000. 7. B invests in A's business £2000 on May 1; Calso invests on June 4 £1500; and D lends A on Sept. 5 £2500; the declared rate of profit is 4 p.c. per annum, find B's, C's, D's returns. 8. A firm borrows £6000 at 4 p.c. on May 16; the capital of the partners is respectively £30000, £50000, £70000; the profit found is £25000; find share of each after repaying loan with interest. 9. A firm overdraws its account on May 7 by £2000 and on June 8 by £3000 more; its final profit is found to be £8000; what net dividend can be declared on a capital of £50000 after repaying the bank (6 p.c. int.), and what will be the share of the partners of the profit if their capitals are in the ratio of 12:13:25 ? 10. Three new partners are introduced into a firm on April 4, May 7, June 10; they each put into the business £5000; the net profit is declared at 12 p.c. per annum; find the interest each receives. Purchase of Freehold Property. 9. The four things of importance in purchasing Freeholds are the rent, the no. of years' purchase, the purchase money, and the rate p.c. of the rental on the money paid. The relations between them are these:The purchase money the rent x no. of years' purchase. = FREEHOLD PROPERTY. The chief questions are: 131 1o. To find the rate p.c.-given the rent and the purchase money, or the no. of years' purchase alone. The rate = 100 x rent = 100 p.c. purchase money no. of years' purchase 2o. To find the rent so that the purchase money may yield a given rate. rate × purchase money 100 3°. To find the no. of years' purchase so as to realise a given rate. Example 1. What rate is given by a rental of £64 on £1250 purchase money? Rate=48818=5% p.c. Example 2. What must be rent so as to realise 10 p.c. on £856? 856 × 10 Rent= 100 =£85.6=£85. 12s. Od. Example 3. What must be no. of years' purchase to realise 7 p. c.? Time=190=14 years. Example 4. What must be rate on 8 years' purchase? EXAMPLES. Find 1. Rate given by rental of £32 on £650. 5. Rent to realise 5 p.c. on £912 purchase. 7. Rent to realise 53 p.c. on £648 purchase. 8. Rent to realise 813 p.c. on £725 purchase. 9. No. of years' purchase to realise 815 p.c. 10. No. of years' purchase to realise 733 p.c. Taxes. 10. An assessment is a specific sum charged on shares or property for specific purposes. A tax is an assessment on income or property to defray public expenses. Real estate is fixed property such as houses and lands. Personal estate is moveable property such as money, cattle, ships, furniture. 1°. To decide on a rate or tax from the amount of rateable property and the money required. Divide the money required by the rateable valuethis will give the rate per £. Example. A corporation needs £28654 for public purposes—the rateable property is £252750. .. rate required=28854×20=57898=2s. 3·207d. in the £. Multiply the valuation by the rate-using decimals or fractions of a £. Example. Tax is 3s. 4d. in £-find tax on property valued at £785. 0s. Od. TAXES AND DUTIES. EXAMPLES. 133 1. Decide the rate necessary for £2564 on a rateable value of £10000. 2. Decide the rate necessary for £10000 on a rateable value of £85650. 3. Find assessment at 6d. in the £ on an income of £350 with deduction of £120. 4. Find inhabited house duty on rentals of £25, £30, £60, £80 at 3d., 4d., 6d., 8d. in the £ respectively. 5. Find amount of rates at 4s. 6d. in the £ on the following values:- £351. 18s. 4d., £96. 10s. 6d., £712. 18s. 6d., £907. 11s. 9d., £1000. Duties. 11. Duties are taxes on the sale of goods. The Customs are duties on imports or exports. The Excise consists of duties on spirituous liquors and tobacco, and of licenses for their sale. An ad valorem duty is a certain percentage of the value. A specific duty is the duty on a fixed quantity (pound, gallon, etc.). The custom-house and excise officers collect the duties. A tariff is a schedule of duty-rates fixed by law. The gross weight or value is the entire weight of goods without allowance. The net weight or value is the weight as actually charged after deduction of all allowances. Questions on duties are mere cases of proportion or percentages. EXAMPLES. 1. Find duty on £855 worth of goods atp.c. 2. Find duty on £10000 worth of goods at 3. Find duty on 3 tons of currants at p.c. d. per lb. d. per lb. 4. Find duty on 7564 tons of iron at 5. Find duty on 8570 gallons of spirit at 2s. 6d. per gallon. 6. Find duty on 27589 gallons of whisky at 1s. 10d. per gallon. Insurance. 12. Insurance is a contract of indemnity against loss or damages. Fire insurance is a contract of indemnity against loss by fire. Marine insurance is a contract of indemnity against loss of cargo or vessels. Life insurance is a contract to pay a certain sum in case of the death of the insured to his next-of-kin. The insurer or underwriter is the party who takes the risk. The contract is termed a policy. The premium is the sum paid for insurance. 1o. To find the yearly premium for a desired in surance. Multiply the amount by the rate. 2o. To find the sum necessary to be insured to cover both property and premium. Divide the property-value by 1 minus the rate. Example 1. To find yearly premium to ensure goods for £350 at 2s. 3d. per £100. Example 2. To ensure goods so as to cover premium and value £1260 atp.c. Amount = 1260÷1-1 - 1260 × 8 180 x 8 £1440. .. yearly premium on 1440 at p.c.= £1.80= £1. 16s. Od. EXAMPLES. Find 1. Premium on £400 atp.c. 2. Premium on £650 at p.c. 3. Premium on £860 at 4 per mille. 4. Premium on £712. 173. 8d. at 2s. 4d. per £100. |