64 
BULLETIN 1317, U. S. DEPARTMENT OF AGRICULTURE 
central sections. In the southeast this is explainable in part by more 
extensive delivery service. In that section very few carry stores 
were found, and no satisfactory accounting records were obtained 
from carry stores. 
In both these sections wages seem to play a large part in bringing 
about a higher percentage relationship of operating expenses to sales. 
(See Table 34.) In the Pacific coast section wages per hour seem to 
be actually higher; in the southeast section wages per hour are lower, 
but the actual cost to the business is higher, perhaps because of less 
efficient business methods and less efficient labor. The data obtained 
indicates higher net profits in both these sections. The number of 
accounting records that could be obtained in the south was small, 
and the average figures are perhaps not conclusive ; but the number 
of records from the Pacific coast proportionate to the population is 
large, and there seems to be little doubt that the margin between cost 
of merchandise and sales and accordingly the spread between the 
wholesale prices paid by the retailer and the retail prices received 
by him was large. 
In the central section both the retailer's margin and the net profit 
were appreciably lower than in other sections. In the northeast sec- 
tion operating expenses were comparatively lower than in other sec- 
tions and in that way a fairly liberal net profit was obtained. Wages 
per hour were apparently as high as the average for the country, and 
lower comparative operating expenses seem to have been due to more 
efficient operation. 
Table 34. — Operating expenses and profits oy sections of the country — indi- 
vidual meat markets/ with family trade, 1919 
[Percentages calculated on basis of sales as 100 per cent] 
Refrig- 
Section 
Num- 
ber 
of 
stores 
Net 
sales 
Cost 
of 
goods 
Gross 
margin 
Net 
profit 
Total 
ex- 
pense 
Sala- 
ries 
and 
wages 
Wrap- 
pings 
era- 
tion, 
heat, 
light, 
power 
Inter- 
est 
Rent 
Other 
ex- 
pense 
Per 
Per 
Per 
Per 
Per 
Per 
Per 
Per 
Per 
Per 
Per 
Carry stores: 
cent 
cent 
cent 
cent 
cent 
cent 
cent 
cent 
cent 
cent 
cent 
Northeast 
28 
100. 00 
81.99 
18.01 
2.64 
15.37 
9.78 
0.69 
1.07 
0.36 
1.62 
1.85 
Central 
27 
100. 00 
82.72 
17.28 
1.84 
15.44 
9.34 
.64 
1.17 
.61 
1.24 
2.44 
Pacific coast... 
18 
100. 00 
79.37 
20.63 
4.26 
16.37 
10. 80. 
.99 
1.01 
.35 
1.86 
1.36 
Delivery stores: 
Northeast 
58 
100. 00 
81.01 
18.99 
2.23 
16.76 
10.14 
.72 
1.11 
.57 
1.33 
2.89 
Central 
35 
100. 00 
81.26 
18.74 
1.15 
17.59 
10.63 
.79 
.90 
.58 
1.24 
3.45 
Southeast 
13 
100.00 
78.68 
21.32 
3.66 
17.66 
11.94 
.79 
1.08 
.45 
1.06 
2.34 
Pacific coast- 
27 
100. 00 
79.12 
20.88 
2.93 
17.95 
11.43 
.86 
1.01 
.54 
1.22 
2.89 
GROSS MARGIN IN NEW YORK CITY 
In a survey by the Federal food board of New York City, in 1918, 
in an attempt to determine expenses and profits in the retail meat 
trade in that city, estimates were obtained covering the calendar 
year 1917 from 82 representative carry and 130 representative de- 
livery stores. Since in that survey estimates were accepted from con- 
cerns that did not keep complete systematic accounting records, 
data were obtained from large numbers of small stores. While 
these estimated figures can not be regarded basically so* reliable in 
the details of all items of expense, they are undoubtedly fairly ac- 
