﻿LIVE-STOCK SHIPPING ASSOCIATIONS. 



39 



4. List each owner's delivery of live stock according to the price 

 ranges on the account sales (or if graded at home, according to the 

 home grades) and insert the home weights. 



5. Calculate the rates of shrinkage as follows: 





Home 

 weight. 



Market 

 weight. 



Shrinkage. 



Kind. 



Lbs. 



Rate.' 



Rates 



used in 



prorating. 





14, 180 

 1,905 



14,035 

 1,870 



145 

 35 



Per cent. 

 1.02 

 1.84 



Per cent. 

 1.00 





2.00 







Total 



16,085 



15, 905 



180 



1.119 









1 The rates of shrinkage are obtained by dividing the shrinkage in pounds by the home weight. In 

 actual practice, shrinkage is frequently computed by using even percentage figures, rather than the actual 

 figures. This practice has been followed in the illustrations in this bulletin (1 per cent instead of 1.02 per 

 cent and 2 per cent instead of 1.84 per cent and, as will usually be the case, has resulted in weights being 

 used on the prorate sheet (Fig. 3) which vary slightly from those on the accounts sales (page 7). 



6. Calculate each shipper's shrinkage by multiplying the home 

 weight by the rate determined above for each kind of live stock, 

 and prove the shrinkage calculations by comparing the total shrink- 

 age deducted plus the market weight with the total home weight. 

 Where the shrinkage rate used in prorating has been rounded up 

 or down, the total pounds of shrinkage and the total market 

 weight as shown on the prorating sheet may be a few pounds more 

 or less than the actual shrinkage and market weight. 



7. Calculate the gross amount due each shipper, using the prices 

 given on the account sales. In the case of dead or crippled animals, 

 the calculations on the prorating sheet are carried through at the 

 prices such animals would have brought undamaged. Any differ- 

 ence in the prorated market weight and the actual weight due to 

 averaging the shrinkage will also result in a slight discrepancy 

 between the calculated gross sales value and the gross sales value 

 shown on the account sales. The gross sales value obtained on the 

 prorating sheet will also be greater than that shown in the account 

 sales when damaged animals are calculated at the price they would 

 have brought undamaged. 



8. Calculate the amount of expenses to be deducted from each 

 shipper's returns by multiplying the market weight by the rate 

 obtained under (3) page 7. Here again the total prorated expenses 

 may differ slightly from the actual expenses on account of rounding 

 the expense rate up or down to facilitate calculation. 



9. Ascertain the net amount due each shipper and prove the de- 

 duction of expenses by comparing the sum of the expenses and net 

 amount with the gross amount. 



10. By carrying out the calculations indicated under " proof of 

 settlement " in the lower left-hand corner of the prorating sheet, the 

 total difference between the prorated results and the actual results of 

 the shipment will be determined. The gross sales value will be found 

 on the account sales. To this will be added insurance payments, if 

 any, to obtain the total to be prorated. The total deductions will 

 consist of the total expenses listed on the left-hand margin of the 

 prorating sheet, plus membership fees, if any. Subtracting the total 

 deductions from the total to be prorated will give the balance for 



