CHAPTEE XIII. 

 CALCULATING DIVIDENDS. 



A. CALCULATING DIVIDENDS AT CREAMERIES. 



225. The simplest method of calculating dividends at 

 creameries is to find the number of pounds of butter fat 

 delivered to the creamery by each patron for a certain 

 length of time, and then multiply this number by the 

 price per pound of fat. Farmers are usually paid once 

 a month for their milk at the factory. Each lot of milk 

 is weighed when delivered at the creamery, and a small 

 quantity thereof is saved for the composite sample, as 

 previously explained under Composite tests (176). 

 Some creameries test these samples at the end of each 

 week, and others after collecting them for ten days or 

 two weeks. If the four weekly composite samples of a 

 patron's milk tested 3.8, 4.0, 3.9, 4.1 per cent., these 

 four tests are added together, and the sum divided by 4; 

 the result, 3.95 per cent., is used as the average test of 

 this milk. By multiplying the total number of pounds 

 of milk delivered by this patron, by his average test, the 

 total weight in pounds of butter fat delivered to the fac- 

 tory during the month is obtained. This weight of fat is 

 then multiplied by the price to be paid by the creamery 

 per pound of butter fat 5 the product shows the amount 

 of money due this patron for the milk delivered during 

 the time samples were taken. 



226. Price per pound of butter fat. The method of ob 

 taining the price to be paid for one pound of butter fat 



