114 
BULLETIN 136, U. S. DEPARTMENT 
ScHEDULE VI. 
Book value or arti 1 Semiannual | Amortization Redemption 
Year| pone ey | inerstot | ae) Olen 
half-year. ee bonds. half-year. half-year. 
4 $305, 753.73 $4, 586. 31 36, 000. 00 $1, 413. 69 0.00 
1 304, 340. 04 4, 565. 10 6, 000. 00 1, 434. 90 $100, 000. 00 
13 202, 905. 14 3, 043. 58 4, 000. 00 956. 42 ; 0.00 
2 201, 948. 72 DT OZIaZe 4, 000. 00 970. 77 100, 000. 00 
24 100, 977.95 1, 514. 67 2, 000. 00 485. 33 é 0. 00 
3 100, 492. 62 1, 507. 38 2, 000. 00 492. 62 100, 000. 00 
Totals| 1, 216, 418. 20 | 18, 246. 27 | 24, 000. 00 5, 753. 73 300, 000. 00 
| 
OF AGRICULTURE. 
Annuity bonds.—On pages 101 to 104 the operation of a loan 
where both principal and interest are discharged by equal install- 
ments is fully described. It is evident that bonds may be issued 
on this basis and retired in accordance with the principal repayments 
contained in the annuity installments. Since these principal repay- 
ments are not exact multiples of the amounts or denominations in 
which bonds are usually issued, it is necessary to adjust the ezact 
schedule so as to meet this requirement. The adjusted schedule 
gives an issue in which the bonds are retited year by year in increasing 
amounts. Examples of exact and adjusted schedules appear in the 
body of this bulletin on pages 16 and 17. 
To finance a loan of LZ by an issue of annuity bonds bearing 
interest or dividends at rate g per annum.—The annual install- 
ment which will retire the bonds in n years and at the same time 
pay interest at the rate of g per cent on outstanding bonds is 
Ly at rate g. (oi) 
If the bonds are to bear interest of g per cent per annum, pay- 
able in p installments of g/p per cent during the year, then 
Lau 
at rate g/p (52) 
is the periodical payment or annuity installment which will take 
care of interest on the bonds and retire them in n years. 
Example 24.—Adjust Schedule I, page 102, to finance the same loan by an annuity 
bond issue of $100,000, denomination $100, bearing 5% interest, compounded semi- — 
annually, and retired in three years by six equal (nearly) semiannual annuity install- 
ments. ; 
Referring to Schedule I on page 102, the adjustments in the last column to even 
multiples of $100 are easily made; a check on this work is that the adjusted column 
must foot up to $100,000. When the column of bond redemptions is decided upon, 
the other columns in the schedule are readily derived, 
