28 BULLETIN 1362, U. S. DEPARTMENT OF AGRICULTURE 
as 2y 2 cents. Each bid is placed on the wire as it is made and is 
announced simultaneously by the operators in all of the salesrooms, 
together with the name of the city in which the bid was made. The 
chief auctioneer is stationed in the main salesroom at the head- 
quarters of the company, and the lot is "knocked down" by him 
after the bidding has ceased. The cars at times are sold as rapidly 
as one a minute. 
The successful bidder issues billing or diversion instructions to 
the auction company. He may re-offer the car at a subsequent sale 
in the hope of making a profit or finding a market, and frequently 
upon arrival cars which have been purchased through the wire 
auctions are put into local distribution through the delivered auc- 
tions. 
COMMODITIES SOLD 
A wide range of commodities have been sold on the f . o. b. auctions, 
though grapes and cantaloupes make up the bulk of the volume. 
The list includes a number of vegetables which are seldom or never 
seen on the delivered auctions, and such commodities make up a 
rather substantial percentage of the whole. The following products 
were sold by the f . o. b. auctions during 1923 : 
Apples. Celery. Onions. Radishes. 
Apricots. Chicory. . Oranges. Rhubarb. 
Beets. Eggplant. Parsley. Spinach. 
Cabbage. Grapefruit. Pears. Tangerines. 
Cantaloupes. Grapes. Plums. Tomatoes. 
Carrots. Lemons. Potatoes. 
Cauliflower. Lettuce. Peppers. 
CHARGES AND TERMS OF SALE 
All sales are made for cash f. o. b. shipping point. The buyer as- 
sumes all transit risks and transportation charges and agrees that the 
Government inspection report shall be final and binding. The auc- 
tion company, after deducting its commission and cataloguing 
charge, remits the net returns to the shipper within 24 to 48 hours 
after the sale, but frequently extends credit to the buyer, provided 
he can furnish a bond with surety approved by the company. All 
buyers, however, are expected to pay to the auction company at 
least 25 per cent of the gross value of the car at the time the sale is 
made. To those buyers who have established a credit with the auc- 
tion company, sufficient time is granted for final payment to allow 
the cars to arrive at destination under the regular time schedule. 
Charges made by the two f. o. b. auction companies differ. One 
receives from the seller the sum of 2y 2 per cent of the gross sale. 
with a minimum charge of $15 per car, plus a cataloguing charge of 
$2.50. The buyer pays a so-called wire charge of S10 per car. The 
competing company charges the seller 5 per cent of the gross sale, 
with a minimum charge of $30 per car, plus a cataloguing charge of 
$1.50. This company, in addition, assesses a service charge on the 
buyer in accordance with the following schedule : 
Cents per 
package 
Cars containing 249 packages or less 5 
Cars containing 250 to 499 packages 3 
Cars containing 500 to 899 packages 2 
Cars containing 900 packages or over 1 
Cars of boxed apples . . — - 1% 
