Parrot. Parrot Silver & Copper Co.

Participating Bond. One which, while secured by a mortgage on a specific property, provides that the holder shall share in the profits accruing to the issuing corporation through ownership of the shares in other corporations, and which may or may not be additionally secured by the deposit of such securities. A good illustration is that of the Oregon Short Line 4% Participating Gold Bonds, which were issued in 1902. These were a direct obligation of the Oregon Short Line Railroad Company, but were additionally secured by the deposit of the stock of the Northern Securities Co., par for par, to the amount of the bonds issued. The bonds themselves were to receive 4% per annum from August 1, 1902, until February 1, 1904, on which date, and on the first day of February of each subsequent year, they were to receive, in addition to the regular payment of 4% per annum, a pro rata share of any amount received by the company the previous year as dividends exceeding 4% on the bonds outstanding on the collateral deposited with the trustee as security against these bonds. This issue has been called for payment.

Participating Policy. A participating life insurance policy is one under which the holder shares in any surplus earnings of the company, receiving them in the form of cash dividends, or in additional insurance, at the option of the insured.

Parti-Mortgage Receipt. A certificate issued by a company holding the papers in a mortgage showing the holders' proportionate ownership in the loan which the mortgage secures. This is done when a mortgage-note is of such large amount that to find one purchaser for the whole would be difficult or impossible.

Parting. The separation from bullion of any silver which it may contain, so that the gold and silver may be obtained in the form of separate bars.

Partnership. See "Firm."

Partnership Agreement. See "Firm."

Part-Paid Stock. Stock which the owners, as shown upon the stock books of the company, are liable for further payments; or stock upon which the subscribers have not paid their subscriptions in full.

Par Value. See "Par."

Pass a Dividend. A dividend is passed when it is not paid at the regular expected time; when a corporation ceases paying dividends, without a formal vote so to do.

Pass-Book. See " Bank-book."

Passenger Density. The total number of passengers which a

railroad carries one mile divided by the number of miles of line operated. (See "Freight Density.") The Interstate Commerce Commission concisely expresses the "passenger density" as the " passengers carried one mile per mile of line." Passenger-Mile. The movement of one passenger one mile. It is taken as the unit of cost and service in passenger transportation. (See "Ton-Mile.)

Passenger-Mile Cost. This is the cost of carrying one pasenger one mile. (See "Ton-Mile Cost.")

Paul. Chicago, Milwaukee & St. Paul Ry. Co.

Pawn. In Great Britain the word is used as the equivalent of our depositing collateral as security for a loan: they 66 pawn "the security; we "pledge" it. We apply the word pawn only in the sense of a transaction with pawnbroker."

Payable in Exchange. If a draft or other instrument is made "payable in exchange" it means that it calls for payment in funds of the place where issued; that is to say, if a man in New Orleans draws a draft on New York "payable in exchange "it means that the one against whom it was drawn in New York must pay it with a check (exchange) on New Orleans, in other words in New Orleans "funds." (See "Cashier's Check.")

Payable in Gold. Bonds, notes, etc., in which the borrower agrees to pay the principal or interest, or both, as the case may be, in gold. In this country, the wording of such a promise usually reads "payable in gold coin of the United States of the present standard of weight and fineness." Such wording is desirable, as it provides that the borrower shall pay in coined gold of the United States, fulfilling the requirements of the standard coining laws as at present enacted, eliminating the danger arising from any future laws passed of lesser conservative nature during the life of the investment. (See Standard of Weight and Fineness.")

Payable in Lawful Money. Bonds, notes, or other evidences of indebtedness, in which the borrower agrees to pay principal, or interest, or both, as the case may be, in "lawful money of the United States; money which the Government declares to be "legal tender " (to which subject refer).

After the

Payable Only through the Clearing-House. reader has familiarized himself with "Clearing-House Loan Certificates," and the reasons for their issuance, it will be understood that the banks in times of financial distress have need to hold on to some actual cash. As a result, in such instances, checks are sometimes accepted in lieu of cash, such checks being stamped: "Payable only through the ClearingHouse," "Through the Clearing-House," or with words

having similar import. Banks being legally required to pay checks on demand in money which is "legal tender," it is but a matter of accommodation for a person to accept a check stamped as above, but by so doing he satisfies the law as regards "legal tender " payments; although, by insisting, he could compel the bank to pay him the cash, and for such emergencies some money must be actually retained in the vaults of the institution.

If the reader will understand by referring to "ClearingHouse," the methods by which the differences between banks are there adjusted, it will be seen that by pursuing the method of not paying the check at the time of presentation, but by postponing its payment until the "clearing-house" hour of the following business day, that the money necessary to effect its settlement at least once would not be called for, and that possibly no money at all would be needed. The differences between the banks ultimately adjust themselves through the machinery of the clearing-house.

Payable to Bearer. A negotiable instrument, such as a check, may be drawn so as to be good in the hands of the bearer without regard to the person so long as the bearer is a bona fide holder. Such checks may be passed from hand to hand without indorsement. (For further information on this subject refer to "Check;" also see next subject.)

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Payable to Order. A negotiable instrument such as a check is drawn payable to some person or to the order of such person; that is, for example: Pay to the order of Thomas West,' or Pay to Thomas West or order." Such an instrument must be "indorsed (see "Indorse") to be good in the hands of other than Thomas West. (For further information see "Check.")

In order that an instrument may be negotiable it must be made" to order " or " to bearer; " that is, if drawn payable simply to Henry Adams, he has no right to transfer it, and it is payable to him only. Other words of similar import may be used, but they must be the equivalent of " to order," or " to bearer" to convey the power of negotiability.

Payable with Exchange. When a draft has appended the words" with exchange" or "payable with exchange" the person paying the same is understood to pay the cost of the collection as well as the amount of the face of the draft.

Pay-Day. The last of the "Fortnightly Settling-Days" of the London Stock Exchange. (See the subject in quotations.) Also called "Account-Day" and "Settlement-Day." This is the settling-day proper; when the accounts are settled between the brokers and bankers for securities purchased, and delivery is made of the same; or, providing delivery is

not made, but the securities are carried over to the next settlement," the differences required to balance accounts are adjusted. In short, transactions are brought either to a final adjustment or so settled as to carry them forward to the next fortnightly account.

Payee. The person (firm or corporation) to whom a note, draft, etc., is made payable. In the case of a note, the "payee" is the one to whom the promise to pay is made. (See " Draft.")

Payer. The person (firm or corporation) who pays a draft, note, or similar paper.

See "Teller." Also called the "First

Payment Bill. Same as a "Bill for Payment."

Payment Stopped. See "Stop Payment." Pegged. A security is " pegged" when one or more persons so control the buying or selling that they are able to prevent the prices rising or falling below a certain fixed point. A B C of Wall Street says: "A stationary market, neither declining nor advancing, and held by buying or selling orders, is said to be pegged."

Pence. The plural of " penny."

The

Pennsylvania Interests. Certain corporations directly or indirectly in the control or partial control of the Pennsylvania R. R. Co., or its subsidiary companies, some of which are the Baltimore & Ohio, the Long Island, the Norfolk & Western, the Pittsburg, Cincinnati, Chicago, & St. Louis, and the Cleveland & Pittsburg R. R. Companies. The Pennsylvania R. R. Co. has already sold a portion of its Baltimore & Ohio and Norfolk & Western holdings, and it is thus showing a policy of severing its interest in other or competing lines.

We

Penny. A coin of Great Britain equal to 1-12th of an English shilling, or about two cents United States money. also call our own one cent piece by the same name.

Per. The Latin for by, as " per annum," meaning " by the year," etc.

Per Capita Circulation. See "Money Circulation."

Per Capita Debt. On June 30, 1906, the per capita debt of the United States was $11.41.

Per Cent. (Per Centum). Meaning, literally, by the hundred, but used, in practice, as the equivalent of "hundredth." 6% means six one-hundredths or $6.00 on the $100.

Per Cent. Grade. See "Grade."

Per Pro (or Per Procuration). A signature by an agent

having limited authority usually contained in a power of attorney. A letter signed,

is an example. The latter is the more correct method of signing, although the former is in more common use among merchants. This phrase is sometimes still further abbreviated as " p. p."

A signature of this kind is considered of itself an announcement of limited authority, a statement of the limitations of which will be furnished on request. Persons accepting instruments signed in this manner without investigating the authority of the agent signing them do so at the risk of afterwards discovering that the agent has exceeded his authority.1 Personal Check. A check drawn by a depositor, as distinguished from a check drawn by a bank. Sometimes used to indicate a check drawn against a "country bank."

Personal Property. All movable property; horses, tools, furniture," chattels " of all kinds (crops of annual planting, such as potatoes, are usually treated as "personal property, but would pass with the sale of the land if growing thereon), securities, etc., as distinguished from "real property," to which refer.

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Personal Security. Any property such as described under personal property "when given to secure the payment of a debt, or the fulfilment of a promise.

Peseta. The monetary unit of Spain, and equivalent to the French" franc," or $.193 United States money.

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Peso. The gold" peso " is the unit of value of the Philippine Islands, and contains 12 9-10 grains of gold, 9-10 fine. Silver pesos," of the weight of 416 grains and of the standard, by weight, of 900 parts pure metal and 100 parts copper alloy,2 have been coined for current use, exchangeable on the basis of the "gold exchange standard"- to which subject refer

"A signature by procuration operates as notice that the agent has but a limited authority to sign and the principal is bound only in case the agent in so signing acted within the actual limits of his authority."- Revised Laws of Massachusetts, Chapter 73, Section 38.

2 In December, 1906, owing to the rise in the market price of silver, the silver peso was changed so as to contain 800 parts of pure metal and 200 parts of copper alloy, and of the weight of 308.64 grains. This was necessitated from the fact that the pure metal under the previous standard was worth more in the market than the face value of the coin, making it an object, therefore, to melt up the coins and sell the silver as bullion.