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Thus 30% and 5% is expressed 30 and 5, meaning first a discount of 30% and then 5% from the remainder.

Thirty and 5 is not 35%, but 33% %. Ten, 5 and 3 off means three successive discounts.

A wholesale house allowing 10, 5 and 3 off gets more for its goods than it would at 18 off.

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HOW COMPOUND INTEREST ACCUMULATES.

If one dollar be invested and the interest added to the principal, annually, at the rates named, we shall have the following result as the accumulation of one hundred years:

One dollar 100 years, at 1 per cent..

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$2.75

7.25

11.75

19.25

31.25

50.50

81.50

131.50

340.00

868.00

2,203.00

5,543.00

13,809.00

34,675.00

1,174,405.00

15,145,007.00 .2,551,799,404.00

TERMS OF THE STOCK BROKER.

ACCOMMODATION PAPER.-Notes or bills not representing an actual sale or trade transaction, but merely drawn to be discounted for the benefit of drawer, acceptor or indorser, or all combined.

BALANCE OF TRADE.-Difference in value between total imports and exports of a country. BALLOONING. To work up a stock far beyond its intrinsic worth by favorable stories or fictitious sales. BUYING LONG.-Buying in expectation of a rise.

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BREADSTUFFS.-Any kind of grain, corn or meal.

BROKER.-An agent or factor; a middleman paid by commission.

BROKERAGE.-A percentage for the purchase or sale of money and stocks.

BULL AND BEAR.-The "bull" is a stock exchange speculator who "goes long" on stocks, trusting to a rising market; while the "bear" is one who sells stock "short," which he does not possess, and who speculates for a decline. "Bulls and bears" is a colloquialism for the whole fraternity of stock speculators.

CALL.-Demand for payment of installments due on stocks.

fixed.

CALL.-A privilege given to another to "call" for delivery at a time and price CLIQUE.-A combination of operators controlling large capital in order to unduly expand or break down the market.

COLLATERALS.-Any kind of values given in pawn when money is borrowed. CORNERS. The buying up of a large quantity of stocks or grain to raise the price When the market is oversold, the shorts, if compelled to deliver, find themselves in a "corner."

CURBSTONE BROKERS. - Brokers or agents who are not members of any regular organization, and do business mainly on the sidewalk.

DELIVERY.-When stock or grain is brought to the buyer in exact accordance with the rules of the Exchange, it is called a good delivery. When there are irregularities, the delivery is pronounced bad, and the buyer can appeal to the Exchange.

DIFFERENCES.-The price at which a stock is bargained for and the rate or day of delivery are not usually the same, the variation being termed the difference. FACTOR. An agent appointed to sell goods on commission. FACTORAGE.-Commissions allowed factors.

FLAT.-Inactive, depressed, dull. The flat value of bonds and stocks is the value without interest.

FLYER. A small side operation, not employing one's whole capital.

FORCING QUOTATIONS is where brokers wish to keep up the price of a stock and to prevent its falling out of sight. This is generally accomplished by a small sale.

GUNNING a stock is to use every art to produce a break when it is known that a certain house is heavily supplied and would be unable to resist an attack. KITE-FLYING.-Expanding one's credit beyond wholesome limits.

tion.

LAME DUCK.-Stock-brokers' slang for one unable to meet his liabilities.
LONG. One is long when he carries stock or grain for a rise.

POINTER.-A theory or fact regarding the market on which one bases a specu

POOL. The stock or money contributed by a clique to carry through a corner. PRICE CURRENT. The prevailing price of merchandise, stock or securities. SELLING SHORT.-To "sell short" is to sell for future delivery what one has not got, in hopes that prices will fall.

WATERING a stock is the art of inflating a quantity of stock without improving its quality.

OUR BANKING SYSTEM EXPLAINED.

The present system, known as the National Bank-note System of the United States, was devised-first, to secure in the most effective way a sure market for United States bonds, whose issue was rendered imperative by the continuance of the civil war; and, second, to provide a uniform, safe and convenient monetary system for the promotion of business transactions and the development of trade and industries among the people.

The first act of the National Congress, under which the system was organized, was approved February 25, 1863. The law was extensively revised and re-enacted June 3, 1864. Previous to these dates the system of State banks universally prevailed, of which there were, in the thirtyfour States then existing, 1,601, with an aggregate capital of $429,000,000. More than 10,000 different kinds of bank-notes were in use in a total circulation of about $202,000,000.

The act of 1864 provided for the establishment, in the Government Treasury Department at Washington, of a national bank bureau, with a chief officer, to be known as comptroller of the currency. Under the provisions of the law any number of persons, not less than five, might be organized into a national banking association, the capital in no case to

be less than $100,000, except that in cities containing a population of not more than 6,000 the capital should not be less than $50,000; and in cities having a population of not less than 50,000 the capital must not be less than $200,000. Not less than one-third of the capital was required to be invested in United States bonds, upon which circulating notes could be issued equal to 90 per cent of the current market value, but not exceeding 9 per cent of the par value of the bonds deposited. These were to be received at par in the United States in all payments to and from the Government, except for duties on imports, interest on the public debt, and in redemption of national currency. As early as March 3, 1865, an important additional act was passed requiring that every banking association should pay a tax of 10 per cent on the notes of any person or State bank used for circulation or paid out by them. This act virtually resulted in taxing State bank circulation out of existence.

A total issue of $300,000,000 of circulation was authorized by the act of 1864; but an act of May 12, 1870, authorized an increase of circulation to $354,000,000. Another act, that of June 20, 1874, provided that any bank by depositing with the United States Treasury in sums not less than $9,000 at a time, might withdraw a proportionate amount of the bonds on deposit as security for its circulating notes. An act passed January 14, 1875, removed all limitations as to the amount of the circulating notes of the banks, except the restrictions in the provisions in the law then existing, but required the Treasurer to retire legal tender notes to the amount of 80 per cent of the additional bank-notes issued, and to continue such retirement until there should be a reduction of the legal tender notes to the amount of $300,000,000. The provision of the law requiring a reduction of legal tender notes was repealed May 31, 1878.

The National Bank act also required that the national banks in the city of New York, and certain other "redeeming" cities, should hold in lawful money 25 per cent of their deposits and circulation as a reserve fund. Banks in other cities were required to hold a reserve of 15 per

cent.

With regard to interest on loans, the national banks were allowed to charge at the rate allowed by the States in which they were located, and in case the State had fixed no rate, the banks were allowed to charge 7 per cent.

Under the national banking law, shareholders are held individually, equally and ratably liable for all the debts of the association to the extent of their amount of stock in addition to the amount invested therein. Also the law required that before declaring a dividend, the bank should carry one-tenth of their net profits of the preceding half year to a surplus fund until the same should amount to 20 per cent of the capital.

Originally the national banks realized a considerable profit from their circulating notes, but the high rate of premium commanded in the market in later years by the interest-bearing bonds of the United States, which the law requires the banks to deposit as security for their circulation, has rendered the issue of circulating notes in most localities unprofitable. Hence the banks rely chiefly on their deposits as their principal source of profit; these deposits are returned to the business public in the shape of loans properly secured, and thus the money is continually kept in circulation among the people.

COINS, WEIGHTS AND MEASURES.

I praise not those

Who in their petty dealings pilfer not,

But him whose conscience spurns at secret fraud,
When he might plunder and defy surprise.

-CUMBERLAND.

HOME AND FOREIGN STANDARDS.

A "stone" weight in England is fourteen pounds. Counterfeiting was formerly treason under British law. Abraham was "very rich in cattle, in silver and in gold." Ninety coins per minute is fair working speed at the mint. The double eagle, 516 grains, is the heaviest American coin. A stiver was an ancient Dutch coin of about two cents value. The so-called "coppers" of British money are now all bronze. Five courses of brick will lay one foot in height on a chimney. The standard gallon contains just ten pounds' weight of pure water. The carat, which is used to weigh diamonds, is equal to 3.17 Troy grains.

Silver is only a legal tender in England to the amount of forty shillings.

The Saxons used an ell, or yard of thirty-six inches, based on the Roman foot.

The Lydians, according to Herodotus, were the first nation to use gold and silver coin.

The coins of the Cromwellian period had the inscription in English instead of Latin.

The moidore is a Portuguese gold coin, now almost extinct, worth about seven dollars.

The first gold coin struck at Rome, 207 B.C., was the aureus, of the value of about six dollars.

Modern Japanese coinage includes oblong pieces of gold and silver, as well as large oval plates.

A cord of stone, three bushels of lime and a cubic yard of sand will lay 100 cubic feet of wall.

The palm, or hand-breadth, was the original standard of measure, then the foot and cubit successively.

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The so-called "Latin" Union was an agreement between France, Italy, Belgium and Switzerland (1865-80) to maintain a uniform coinage. One thousand shingles, laid four inches to the weather, will cover 100 square feet of surface, and five pounds of shingle nails will fasten them on.

One-fifth more siding and flooring is needed than the number of square feet of surface to be covered, because of the lap in the siding and matching.

A denarius was a Roman silver coin, value about sixteen cents. It was used in France and England for ready money generally. It was also a weight (three scruples).

A cubic foot of cork weighs 1.5 lbs.; of bees, 65 lbs.; of blood, 66 lbs.; of coal, 56 lbs.; of earth, 94 lbs.; of hay, 9 lbs.; of ice, 57%1⁄2 lbs.; of copper, 547 lbs.; of cast iron, 450 lbs.; of gold, 1,2031⁄2 lbs.; of platina, 1,219 lbs.

To find the quantity of shelled corn in a crib of corn in the ear, measure the length, breadth and height of the crib, inside of the crib, multiply them together and divide them by two and you have the number of bushels in the crib.

One thousand laths will cover seventy yards of surface, and eleven pounds of lath nails will nail them on. Eight bushels of good lime, sixteen bushels of sand and one bushel of hair will make enough good mortar to plaster 100 square yards.

Very large amounts of private gold coins were formerly minted in this country by individuals. Reid of Georgia, the Bechtlers of North Carolina, the Mormons in Utah, and several banking firms in California, all once did a large business in this line.

A rupee is a silver coin, the standard or unit of the money system of India; value at par, fifty cents; 100,000 rupees = a lac; 100 lacs =a crore. Owing to the falling-off in the value of silver, a rupee is at present not worth more than thirty cents in gold.

The picayune is a name derived from the Carib language, and used in Louisiana for a small coin worth six and one-fourth cents, current in the United States before 1857, and known in different states by various names (fourpence, fippence, fip, sixpence, etc.).

The name of Bezants, or Byzantines, is given to the coins, either gold or silver, of the Byzantine empire. They varied in value from five dollars to two and a half dollars. As bezants were brought to England by the crusaders, they frequently occur as English heraldic charges.

Goldsmiths and assayers divide the troy pound, ounce, or any other weight into twenty-four parts, and call each a carat, as a means of stating the proportion of pure gold contained in any alloy of gold with other metals. Thus the gold of our coinage and of wedding rings, which contains of pure gold, is called "22-carats fine," or 22-carat gold.

A guinea was an English gold coin, so called from having been originally coined of gold brought from the Guinea cost in 1663. Its value has varied at different periods. At first it equalled twenty shillings, it was in 1685 worth thirty shillings, and in 1717 twenty-one shillings, beyond which price it was by an Act of Parliament in 1811 forbidden to be sold, or exported. The issue of the sovereign (1817) virtually abolished the coinage of the guinea.

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