28 BULLETIN 456, U. S. DEPARTMENT OF AGRICULTURE. 



profit, for a large amount of capital is required to conduct a whole- 

 sale or jobbing business and the expenses are considerable. (See 

 Fig. 15.) 



The margins taken by the retailer show wider variations than 

 those for other distributors. Butter frequently is handled by some 

 stores on a week-end day at cost, for the purpose of attracting cus- 

 tomers as an advertising feature. The usual margin taken by cash 

 stores and chain stores will vary from 3 to 5 cents, depending upon 

 the ruling retail price of butter. The retailer with a small butter 

 business, who has to maintain an expensive delivery service and 

 carry numerous credit accounts, often takes a margin of 5 to 7 cents 

 to cover costs and profit. 



Fig. 15. — The distributing equipment of wholesalers and jobbers of butter may be quite 

 extensive. Often salesmen use automobiles when taking orders and auto tracks or 

 wagons are used in making delivery.- 



COLD-STORAGE METHODS AND FACILITIES. 



A considerable amount of butter is placed in cold storage during 

 the season of surplus production, which begins about April 1 and 

 extends into August, when- the receipts of fresh butter on the mar- 

 kets are larger than the requirements for the consuming trade. It 

 is a well-recognized fact that storage of butter is an economic ne- 

 cessity, first, as a means of conserving its quality and, second, as a 

 factor in equalizing the price throughout the various seasons of the 

 year. The better grades of butter are in greatest demand for storage 



