APPENDIX

CUSTOMARY TERMS OF SALE

The following customary credit terms are submitted in order to acquaint the student with some of the practices in different lines of trade. The bulk of this information has been gathered together by W. H. Steiner, of the Statistical Department of the Federal Reserve Board, and charted by John Whyte, Director of Education and Research of the National Association of Credit Men, in the "Credit Man's Diary" of 1923. Certain portions of this list were adopted from a compilation made by R. F. Prudden in his "Bank Credit Investigator," and the remainder supplied by the author.

Anthracite Coal: S.D.-B.L. to 30 or 60 days net. In certain cases terms are one-half per cent 10 days, net 30 days.

Automobiles: To dealers, S.D.-B.L. attached.

Automobile Accessories: Manufacturers' terms, 2/10, net 30 days. Bacon: One-half per cent 10 days; also one-half per cent 10 days, net 30, Bale Goods: 2/10, net 60.

Bars (Sheet): One-half per cent 10 days, net 30.

Beans: One and one-half per cent in 10 days, net 30 days.

Bearings: 5/10, net 30.

Bedding and Pillow Material: 2/30, net 60.

Blankets (Retail): 2/10, 60 days extra.

Blanks (For cut glass): 1/30, net 60.

Bolts, Rivets, Nuts: Less than 1⁄2 inch, 1/10, net 30.

Bottles: 1/10, net 30.

Boxes: 1/10, net 30.

Brass, Copper, Rods, Wire Sheeting and Tubing: 1/10, net 30.

Brick (Common): Five per cent E.O.M.; varies as low as 2 per cent,

depending on locality, etc.

Brick (Face): 1/10 days; also 2/10 days.

Builders' Supplies: Two per cent, tenth proximo.

Candy (Bulk): 2/10, net 60 days.

Canned Goods, General (Maine and Colorado): 12/10, net 60.

Carpets (Regular Stock): 4/10, 60 extra.

Carpets (Made to Order): 4/10, net 60 days.

Cement: 3/10 days.

Chemicals and Drugs: 1/10, net 60; also 2/10th proximo; medical and

technical, 1/10, net 30; chemicals, Pacific Coast, 1/30, net 60; drugs,

general, 2/10 days; drugs, general, large wholesale houses, 2/10, net 60 days.

Chili Con Carne: One and one-half per cent 10 days, net 30.

China: 1/10 days.

Cigarettes: 2/10, net 60.

Cigars (Imported): 1/10, net 30; domestic, 1/10, net 60; in some instances terms run net to 4 months.

Clams (Minced, Pacific Coast): 1/10, net 30.

Clothing Material (Men's): 2/60, net 120 days.

Clothing (Men's): 4/60 days; 6/10 days; 7/10 days; 8/10 days; 9/10. Probably the commonest terms are 7/10, 60 extra to 4 months net; also 7/10 season's dating, 30 days net.

Coal and Coke: S.D.-B.L. to 30 or 60 days net.

Coat Leather: 2/10, net 30.

Coats and Suits: 2/10, net 30; also 5/10 days.

Coffee: Green, to small jobbers, one-half per cent 10 days, net 30; roasted, 2/10, 30 days extra; roasted, in West, 2/10, net 60; green, 2/10, net 90 days; jobber to retailer, roasted, 1 to 2/10, net 30 days.

Collars (Men's): 5/30 days; also 6/10 days.

Confectionery: Manufacturers' terms 2/10, net 30 to 60 days.
Containers, Shipping (Shooks): 1/10, net 30; 2/10, net 60.

Corduroys (Men's and Women's): General terms, 10/10 days; also 8/60 days.

Corsets: Local trading, 2/10, net 30; Pacific Coast, 2/10, net 60; terms 5/10 used to moderate extent; retail terms, 5/10, 60 extra, also 7/10 days. Cotton (Raw): S.D.-B.L. attached.

Cotton Goods: 2/10, 60 days extra. Also season's dating, which is October 1 and April 1. Delivery is usually made from May for October dating and from November for April dating.

Cultivators (Wheel): 1/30, net 60.

Cut Glass: 1/30, net 60; also 2/10, net 30 days.

Decorations (Interior): 6/10, net 60 days.

Drugs and Chemicals (See "Chemicals and Drugs").

Druggists' Sundries: 2/10, net 30.

Dry Goods: 2/10, net 60 days; also 2/10-60 with an extra 1 per cent for payment within 10 days.

Electrical Products: 2/10 to 5/10, with net terms varying from 30 to 60 days.

Envelopes: Wholesale, 3/10 days.

Fabrics (Worsted): 7/10, 60 extra.

Feathers: To manufacturers, 10 per cent E.O.M.

Fish (Canned): One and one-half, 10 days, net 30 days.

Flour: One and one-half per cent 10 days, net 60 are used extensively; 1/10, net 30 used in rare cases. Terms vary according to grade, size of shipment, keenness of competition, and the like. S.D.-B.L. often employed on carload shipments.

Fruits and Vegetables (Canned): By packer, 11⁄2 to 2/10, with net period varying from 30 to 60 days; wholesaler to retailer, 1/10, net 30 to 2/10, net 60.

Furniture: General terms on less than carload lots are 2/30, net 60 days; on carload lots, 5/30, net 60 days. Occasionally, 4/10, 60 extra. Terms are not strictly adhered to due to competitive conditions.

Furs: 2/10 days on cheap grade; 7/10 days on best grades.

Gasoline: 1/10 days.

Glass:

Window plate, 1/10, net 30 days; flint and lime, 1/15, net 30. Glove Leather: 1/10 days; also 2/10, net 30; also 2/10, net 60; also 3/10 days.

Gloves: 5/30; also 6/10 days; 6/30; and 7/10 days.

Gray Goods (Unfinished): 3/10, net 60 days.

Groceries: General items, wholesale, 1/10, net 30; canned goods, 1/10, net 60 days. Wholesaler to retailer, there are three classes of goods from standpoint of credit terms:

1. "Shelf Goods" are sold on 1/10, net 30 to 12/10, net 60.

2. Sugar, butter, etc., are sold on 30 days net with no discount.

3. Teas are sold 3/10, net 3 to 4 months.

Hams: 12/10 days; also 2/10, net 30 days.

Hardware: 2/10, net 60 days. On "builders' hardware" proximo terms are frequently employed. "Shelf hardware" is often sold on 2/15, net 30 days and R.O.G. terms; also 2/10, E.O.M.

Harness Leather: 2/30, net 60 days.

Hats (Panama): 2/10, net 30; also 5/10 days.

Harvesting Machinery: 5/60 days; 5/30 terms used as a seasonal variation.

Hay Cutters: 5/60 days; 5/30 terms used as a seasonal variation.
Hides and Skins: S.D.-B.L.

Hosiery (General): 1/10 days; to retailers, terms very extensively used are 2/10, net 30 days; heavy woolen, 2/10, 30 extra, and 2/10, 60 extra; also 2/10, net 90; other general terms are 5/10 days to retailers, and 6/10 days.

Implements (Agricultural): 2/10, net 60 with season's dating.
Ingots: One-half per cent 10 days, net 30 days.

Iron (Pig): Net 30 days.

Iron (Rolled): One-half per cent 10, net 30 days.
Japanese Goods: 2/10, net 60 days.

Jewelry: 5/30, net 4 months. Plain gold rings sold on 30 days net. Loose diamonds sold on 6 to 9 months, settlement being commonly made by note or acceptance. Silverware, both of the "flatware" and

"hollowware" types, is sold on 2/30, net 4 months.

Kerosene: 1/10 days in Middle Atlantic States.

Ketchup, etc.: 1/10, net 30, and 2/10, net 30 days.

Laces: 7/10, 60 extra; small industries, domestic, 8/10 days.

Lard: 2/10, net 60 days.

Lead (Chemical Sheet): 1/10, net 30; to manufacturers, 2/15, net 60. Lead Pipe (Chemical): 1/10, net 30.

Leather: 1/10 on glove leather; on fancy goods, russet, collar and coat,

2/10, net 30, and 2/10, net 60; also 3/10 days; shoes, soles, 3/30; also 4/10; uppers for shoes, 4/30, and 5/10 days.

Lever and Disc Harrow: 1/30, net 60.

Linseed: To manufacturers, 1/10, net 30 days.

Lumber: 1/10, and 2/30 days; wholesale, 2/10, and 2/30, net 90. Also S.D.-B.L. to 30 or 60 days net on timber lien notes, freight net cash upon receipt of each car.

Machine Tools: 2/10, net 60 days.

Meats: Smoked and cured, 2/10, net 60; also net 30 days with no dis-
count; canned meats, S.D.-B.L. attached on carload shipments; other-
wise 2 to 1/10, net 30 days; fresh meats sold on "cash terms," meaning
that goods must be paid for within 7 days after delivery.
Medicine: 1/10, net 60 days.

Merchandise (General): 2/10, 60 extra, terms used extensively.
Milk (Condensed and Evaporated): To wholesalers, 2/10, net 30.
Mill Supplies: 2/10, net 30 days.

Millinery: General, 4/60; 5/30; 7/10, 60 extra; and 9/10; millinery and braid, 6/10 days.

Musical Instruments: 2/10, net 30.

Neckwear: 5/10, 60 extra.

Nightwear: 2/10, 30 extra; 2/10, 60 extra; and 3/10 days.

Office Appliances: 2/10, net 30; and 2/10, net 60.

Oils: 1/10, net 30; branded, carload or less, 1/10, net 60; linseed oil, 2/10, 30 extra.

Overalls: 1/10; 2/10 days.

Paints: 1/10, net 30; paints and varnishes, dry packets, 2/10, net 30; mixed paints, 2/10, net 60.

Paper: 2/10, 30 extra on book paper, printing paper of fine grade, towel and toilet, and waxed paper; 2/30, net 60 days on wrapping paper, wholesale; and 3/30 days on book, cover, mill, and wrapping paper. Cash discounts largely used and net terms are unusual.

Peanut Butter: 1/10, net 30.

Phonographs: 2/10, net 30.

Piece Goods: 7/10, net 4 months; woolen, 10/10, net 30.

Pipes, Tubings, and Fittings: 2/10, net 30 or 60 days.

Pottery: 1/10; 2/10, net 30.

Preserves: 2/10, net 30.

Rails: 2/10, net 30.

Rivets: One-half inch and larger, 1⁄2/10, net 30 days.

Rods (Wire): 2/10, net 30.

Sardines (Maine): One and one-half per cent 10 days, net 60 days.

Sauces: 1/10, net 30; 1/10, net 30; 2/10, net 30.

Saws: 2/10, net 30 days.

Seeding Machines: 5/30 days.

Shipping Containers (Shooks): 1/10, net 30; 2/10, net 60.

Shirts (Working): 1/10; 2/10; 2/10, 60 extra; others, 2/10, net 60. Shoes: 1/10 days in New England; to retailers, 2/10, net 30; 2/10, net 60; 3/10; to department stores, all styles, 5/10 days.

Silk: Thrown, 2/10, net 90 days; 6/10, 60 days' dating, with season datings January 1 and July 1. Raw silk, European, 60 days. Japanese raw silk, 4 months net, settled mostly by trade acceptances. Spun silk, 6/10, net 30; broad, ribbon, 6/10, net 60.

Silverware (Sterling): 2/10, net 30.

Skirts: 2/30; 3/10; and 8/10.

Soups (Canned): 1/10, net 60; 1/10, net 30.

Spices: 1/10, net 30; 2/10, net 60; whole, 12/10, net 30.

Spools: 1/10 days.

Stationery: 2/10, net 60.

Steel: 2/10, net 30 days.

Sugar (Refined): To wholesalers and manufacturers, 2/7 R.O.G.

Suspenders: To jobbers, 2/10, 60 extra.

Teas: Importer to wholesaler, 3/10, net 4 months; wholesaler to retailer, 2/10, net 120 and 5/10, net 60 to 120 days.

Textiles: Cotton cloth, 2/10, 60 extra. Cotton in the gray, 10 days net. Woolens (piece goods), 7 to 10 per cent discount with net period varying from 30 days to 4 months. Dress goods, including worsteds, 7/10, 60 days' dating; also season datings; sometimes 30 days net E.O.M. Silk goods, 6/10, 60 days' dating; sometimes 7/10 E. O. M. Linens, "regular terms," 6/10, 60 days' dating; "net terms," 2/10, 60 extra; "net net," spot cash, with no discount and no dating; also 3/10 E.O.M. and 3/10 R.O.G. Velvets, including plushes, 6/10, 60 days' dating, with season dating as of April and October 15; to manufacturers in the millinery trade datings are as of January and July 1.

Tiles: General, 3/30, net 60 days; hollow, building, 5/15 days.

Tin Plate: 2/10, net 30 days.

Tire Rims: To retailer, 5/10, net 30 days; 5/10th proximo.

Tires (Rubber): 5/10th proximo, used extensively when discount is given.

Tobacco: Smoking, twist, plug, 2/10, net 60.

Towel Material: 3/10, net 60.

Trousers: 5/60; 6/30; and 7/10.

Tubes: Seamless, 2/10, net 30; welded, 2/10, net 60.

Underwear: Knit, wholesale and retail, 1/10, net 30; heavy weight, wholesale and retail, 1/10, net 60; light weight, wholesale and retail, 1/10, 60 days extra; cloth, wholesale and retail, 2/10, 60 extra; general, 2/10, net 90; light weight, wholesaler, 2/30; cotton, women's, 7/10, 60 days extra; muslin and cotton, women's, 8/10.

Upholstered Furniture: 2/30, net 60 in most cases; 5/30, net 60.
Upholstery (Auto): 2/10, net 60; 6/10, net 60.

Varnishes: 1/10, net 30.

Varnishes and Mixed Paints: 2/10, net 60.

Velveteens: 6/10, net 60.

Wagons: 5/30; also 5/60.

Waists: Women's, cheap grade, 2/10.

Watches: Trade-marked, 6/10 to 30 days, net 4 months.

White Goods: 2/10, net 60; also 2/10, 60 extra.

Wire Goods: 2/10, net 60.

Woolens and Worsteds: 7/10, net 4 months; also see "Textiles."

Yarn: 1/10; 2/10; 2/10, net 60; yarn and thread, rare instances, 12/10, net 60 days.

Zinc: High-grade, usual terms are 2/10 days; for purchasers of high standing, 2/10, net 30 days.