CHAPTER LV.

1. A broker sells 100 shares of mill stock at a commission of %. What is the amount of his commission?

A broker's commission is computed on the par (or nominal) value of the shares, which is generally $100 a share. In all examples given, the par value of shares is considered $100.

2. A man purchases 20 shares of stock at 10% below par, and sells it at 10% above par. How much does he gain after paying his broker's commission of % for each transaction?

3. If I purchase $10 000 of U. S. 4% bonds at a premium of 31%, how much must I pay for them?

4. How much, including the broker's commission at 1%, must I pay for 100 shares of railroad stock at 40% below the par value? If I receive no dividends and sell the stock 5 years later, through a broker, at par, is my investment more or less profitable than if I had loaned my money at 6% ?

5. If stock bought at par is sold at 5% below par, how much does a man lose on 200 shares?

CHAPTER LVI.

1. What is the annual income from $10 000 invested in U. S. 4% bonds?

2. When 6% bonds are bought at an advance of 50%, what is the rate of interest on the sum invested?

3. When 5% bonds can be purchased at a discount of 20%, what is the rate of interest on the sum invested? How much must be invested to secure an annual income of $500 ?

4. When 6% bonds yield an income of 5%, at what rate were they purchased? At what rate must they be purchased to yield 8% ?

5. When savings banks pay 5%, is it a better investment to deposit $1200 in a savings bank or to purchase a 6% bond ($1000) at a premium of 20%? Why?

6. If a man's annual income from $5000 which he had invested in 6% bonds is $240, at what rate were the bonds purchased?

7. If my semi-annual income from 6% bonds is $150, what is the face value of the bonds?

8. At what rate must 4% bonds be purchased to secure a rate of 5% on the investment?

CHAPTER LVII.

1. A jobber sells goods at a discount of 10% from his printed price list. What is the cost of a bill of goods listed at $500, with a further discount of 5% for cash payment?

2. Goods, listed at $1000, are sold at discounts of (that is, 25%), 10%, and 5%. What is the amount for which a check must be drawn for payment of the account?

After the first discount the succeeding discounts are not upon the face of the bill, but upon the amount remaining.

3. Goods, listed at $600, are bought at discounts of 25%, 1, and 4%. What was paid for the goods?

4. A dealer purchased a stock of goods at discounts of, 10%, and 5%, for $855. How much was the list price of the goods?

5. A dealer purchased goods listed at $800 at discounts of 40% and 25%, and sold the goods at half the listed price. How much did he gain ?

6. If goods listed at $200 are bought at discounts of 40%, 20%, and 1, for what price must they be sold to gain a profit of 50%?

CHAPTER LVIII.

1. Herbert and Roy buy a canoe for $10. Herbert pays $6 and Roy pays $4. They sell the canoe for $15. What part of the $15 ought each to have? How many dollars?

2. A and B form a partnership. A's share of the capital is $5000, B's $7000. At the end of a year their profits are $6000. What is the amount of the profit that each should receive?

3. A and B buy a piece of cloth containing 42 yards at $0.10 a yard. A pays $3, and B pays $1.20. How many yards should each receive ?

4. A, B, and C hire a stable for $360. A keeps 3 horses, B 5 horses, C 7 horses. How much rent should each pay?

5. A and B purchase a share of stock for $100, A paying $55 and B paying $45.

What is each man's share of a yearly dividend of 10% ?

6. If Ashley and Merrill gain $500, and Ashley has $1000 invested for 7 months and Merrill $600 for 5 months, how ought the gain to be divided?

Each man's share is represented by the product of his capital by the time it is in. $1000 for 7 months is the same as $7000 for one month.

CHAPTER LIX.

1. What is the ratio of 18 to 9?

The ratio of 18 to 9 is the same as 18 ÷ 9. The first term is called the antecedent, the second the consequent.

2. What is the ratio of 35 to 7? Of 16 to 4? Of 5 to 15? Of 9 to 12?

3. Which is the greater, the ratio of 75 to 100, or of 4 to 5?

4. If 48 is the antecedent and 8 the consequent, what is the ratio?

5. If 36 is the antecedent and 3 is the ratio, what is the consequent?

6. If 12 is the consequent and 5 is the ratio, what is the antecedent?

7. If 8 is the consequent and is the ratio, what is the antecedent?

8. If 4 is the antecedent and is the ratio, what is the consequent ?

9. What is the inverse ratio (consequent divided by the antecedent) of 32 to 8? Of 25 to 5?

10. How does the inverse ratio of 10 to 5 com pare with the ratio of 3 to 12?