1920.] Profit and Loss Sharing in Agriculture. 257 



igiy-i8. igi8-ig. 

 i i 



(3) Balance as shown above . . 890 . . 420 

 Deduct : Interest on Capital at £ 

 5 per cent. . . ••^97 238 



Employer's wages .. 425 .. 460 



622 . . 698 



268 .. (-) 278 



Add: Rent of fanii house 20 ..20 

 Farm produce used 



in house .. ..80 ..no 



— 100 . . 130 



Deduct : 10 per cent, to Re- 

 serve Fund 



Actual Amount for 

 Distribution 



(4) Proportion allocated to Em- 

 ployer, viz. : — 



425 of 331 .. 



C29 +425 



Proportion allocated to ineligi- 

 ble Employees (to be added 

 to Reserve Fund), viz. : — 



40 of 331 . . 

 629 + 425 



Proportion allocated to eligible 

 Employees, viz. : — 



589 of 331 .. 

 629 + 425 



The net result, therefore, in 1917-18 is that £50 (£37 + £13) 

 is placed to reserve, while the employer gets £133 and the 

 employees £185, both sums being paid in cash. 



This latter sum has now to be distributed over the eligible 

 workers according to the total earnings of each as shown by 

 the wages record. In this case there were 11 workers regularly 

 employed, so that the average share per worker is about £17, or 

 6s. 6(/. per week. 



So far as the year 1917-18 is concerned there has been no 

 difficulty, for the principal reason that there has been a surplus 

 profit to be shared. What about 1918-19, however ? Here 

 there is a deficit, for profit sharing purposes, of £148. 



As a pure matter of logic, it might be urged that this loss 

 should be shared on essentially the same fines as the profit, i.e., 



368 

 37 



£331 



£ 



■■ 133 



. (-) 148 



= 13 



= 185 



£331 



