railroad carries one mile divided by the number of miles of line operated. (See (See "Freight Density.") The Interstate Commerce Commission concisely expresses the "passenger density as the " "passengers carried one mile per mile of line." Passenger-Mile. The movement of one passenger one mile. It is taken as the unit of cost and service in passenger transportation. (See "Ton-Mile.) Passenger-Mile Cost. This is the cost of carrying one pasenger one mile. (See "Ton-Mile Cost.") 66 Paul. Chicago, Milwaukee & St. Paul Ry. Co. Pawn. In Great Britain the word is used as the equivalent of our depositing collateral as security for a loan: they pawn" the security; we "pledge" it. We apply the word pawn only in the sense of a transaction with a pawnbroker." 66 Payable in Exchange. If a draft or other instrument is made payable in exchange" it means that it calls for payment in funds of the place where issued; that is to say, if a man in New Orleans draws a draft on New York " payable in exchange "it means that the one against whom it was drawn in New York must pay it with a check (exchange) on New Orleans, in other words in New Orleans "funds." "Cashier's Check.") (See Payable in Gold. Bonds, notes, etc., in which the borrower agrees to pay the principal or interest, or both, as the case may be, in gold. In this country, the wording of such a promise usually reads "payable in gold coin of the United States of the present standard of weight and fineness." Such wording is desirable, as it provides that the borrower shall pay in coined gold of the United States, fulfilling the requirements of the standard coining laws as at present enacted, eliminating the danger arising from any future laws passed of lesser conservative nature during the life of the investment. (See "Standard of Weight and Fineness.") Payable in Lawful Money. Bonds, notes, or other evidences of indebtedness, in which the borrower agrees to pay principal, or interest, or both, as the case may be, in "lawful money of the United States; money which the Government declares to be "legal tender" (to which subject refer). After the Payable Only through the Clearing-House. reader has familiarized himself with "Clearing-House Loan Certificates," and the reasons for their issuance, it will be understood that the banks in times of financial distress have need to hold on to some actual cash. As a result, in such instances, checks are sometimes accepted in lieu of cash, such checks being stamped: "Payable only through the ClearingHouse," "Through the Clearing-House," or with words having similar import. Banks being legally required to pay checks on demand in money which is "legal tender," it is but a matter of accommodation for a person to accept a check stamped as above, but by so doing he satisfies the law as regards "legal tender" payments; although, by insisting, he could compel the bank to pay him the cash, and for such emergencies some money must be actually retained in the vaults of the institution. If the reader will understand by referring to "ClearingHouse," the methods by which the differences between banks are there adjusted, it will be seen that by pursuing the method of not paying the check at the time of presentation, but by postponing its payment until the "clearing-house" hour of the following business day, that the money necessary to effect its settlement at least once would not be called for, and that possibly no money at all would be needed. The differences between the banks ultimately adjust themselves through the machinery of the clearing-house. Payable to Bearer. A negotiable instrument, such as a check, may be drawn so as to be good in the hands of the bearer without regard to the person so long as the bearer is a bona fide holder. Such checks may be passed from hand to hand without indorsement. (For further information on this subject refer to "Check;" also see next subject.) Payable to Order. A negotiable instrument such as a check is drawn payable to some person or to the order of such person; that is, for example: "Pay to the order of Thomas West," or Pay to Thomas West or order." Such an instrument must be "indorsed (see "Indorse") to be good in the hands of other than Thomas West. (For further information see Check.") In order that an instrument may be negotiable it must be made " to order or to bearer; "that is, if drawn payable simply to Henry Adams, he has no right to transfer it, and it is payable to him only. Other words of similar import may be used, but they must be the equivalent of " to order," or "to bearer" to convey the power of negotiability. Payable with Exchange. When a draft has appended the words" with exchange" or "payable with exchange" the person paying the same is understood to pay the cost of the collection as well as the amount of the face of the draft. Pay-Day. The last of the "Fortnightly Settling-Days" of the London Stock Exchange. (See the subject in quotations.) Also called "Account-Day" and "Settlement-Day." This is the settling-day proper; when the accounts are settled between the brokers and bankers for securities purchased, and delivery is made of the same; or, providing delivery is not made, but the securities are carried over to the next "settlement," the differences required to balance accounts are adjusted. In short, transactions are brought either to a final adjustment or so settled as to carry them forward to the next fortnightly account. Payee. The person (firm or corporation) to whom a note, draft, etc., is made payable. In the case of a note, the "payee" is the one to whom the promise to pay is made. (See "Draft.") Payer. The person (firm or corporation) who pays a draft, note, or similar paper. Paying Teller. Teller." See "Teller." Also called the "First Payment Bill. Same as a " Bill for Payment." Payment Stopped. See "Stop Payment." Pegged. A security is "pegged" when one or more persons so control the buying or selling that they are able to prevent the prices rising or falling below a certain fixed point. The ABC of Wall Street says: "A stationary market, neither declining nor advancing, and held by buying or selling orders, is said to be pegged." Pence. The plural of " penny." Pennsylvania Interests. Certain corporations directly or indirectly in the control or partial control of the Pennsylvania R. R. Co., or its subsidiary companies, some of which are the Long Island, the Norfolk & Western, the Pittsburg, Cincinnati, Chicago, & St. Louis, and the Cleveland & Pittsburg R. R. Companies. The Pennsylvania R. R. Co. has already sold its Baltimore & Ohio holdings, Penny. A coin of Great Britain equal to 1-12th of an English shilling, or about two cents United States money. We also call our own one cent piece by the same name. Per. The Latin for by, as "per annum," meaning "by the year," etc. Per Capita Debt. See "Debt Per Capita." Per Cent. (Per Centum). Meaning, literally, by the hundred, but used, in practice, as the equivalent of "hundredth." 6% means six one-hundredths or $6.00 on the $100. A dividend of 1% would amount to $1.00 upon a stock of the par value of $100, but where the par value is only $50, a 1% dividend amounts to but 50c. and, likewise, it would be but 25c. where the par value is $25. In this latter case, for instance, a 6% dividend would call for but $1.50. Per Cent. Grade. See "Grade." Per Pro (or Per Procuration). A signature by an agent having limited authority usually contained in a power of attorney. A letter signed, is an example. The latter is the more correct method of signing, although the former is in more common use among merchants. This phrase is sometimes still further abbreviated as" p. p." A signature of this kind is considered of itself an announcement of limited authority, a statement of the limitations of which will be furnished on request. Persons accepting instruments signed in this manner without investigating the authority of the agent signing them do so at the risk of afterwards discovering that the agent has exceeded his authority.1 Personal Check. A check drawn by a depositor, as distinguished from a check drawn by a bank. Sometimes used to indicate a check drawn against a country bank." Personal Property. All movable property; horses, tools, furniture, "chattels " of all kinds (crops of annual planting, such as potatoes, are usually treated as "personal property," but would pass with the sale of the land if growing thereon), securities, etc., as distinguished from "real property," to which refer. Personal Security. Any property such as described under personal property " when given to secure the payment of a debt, or the fulfilment of a promise. Peseta. The monetary unit of Spain, and equivalent to the French "franc," or $.193 United States money. Peso. The gold" peso " is the unit of value of the Philippine Islands, and contains 12 9-10 grains of gold, 9-10 fine. Silver pesos," of the weight of 416 grains and of the standard, by weight, of 900 parts pure metal and 100 parts copper alloy, have been coined for current use, exchangeable on the basis of the "gold exchange standard"- to which subject refer "A signature by procuration operates as notice that the agent has but a limited authority to sign and the principal is bound only in case the agent in so signing acted within the actual limits of his authority." Revised Laws of Massachusetts, Chapter 73, Section 38. In December, 1906, owing to the rise in the market price of silver, the silver peso was changed so as to contain 800 parts of pure metal and 200 parts of copper alloy, and of the weight of 308.64 grains. This was necessitated from the fact that the pure metal under the previous standard was worth more in the market than the face value of the coin, making it an object, therefore, to melt up the coins and sell the silver as bullion. at the rate of two silver " pesos " for one United States gold dollar. They are legal tender for all debts, public and private, unless otherwise specifically provided in the contract (except such as were contracted prior to December 31, 1903) in the Philippine Islands. Subsidiary silver coins are legal tender there to the amount of $10. (See "Centavos.") "Peso " is also the monetary unit of the Argentine Republic, being equivalent to $.965 United States money. Also Guatemala, Honduras, Nicaragua, and Salvador, being in each case equivalent to $.478 United States money.1 Of Chile, being equal to $.365, and of Uruguay, being equal to $1.034 United States money. The Mexican dollar is also called a "" peso." Petty Cash Book. In bookkeeping, a book in which small items of cash expenditures, postage stamps, telegrams, and the like, for example, are entered, to be later summed up and entered in another book as one item. Pf. (or Pfd.). Preferred. Pfennig. One one-hundredth of the German "mark," which is their monetary unit. The pfennig is equivalent to nearly one-fourth of a United States cent. Philadelphia Plan. (See "Equipment Trusts.") Philippine Bonds. The bond issues of the Philippine Islands have been by authority of Congress. The United States, however, is not legally responsible for their payment, they being obligations of the Philippine Islands only. By an Act of Congress these bonds are exempt from taxation throughout the United States. Phoenix. Phoenix Consolidated Copper Co. Piaster. The unit of the Turkish monetary system, and equivalent to $.044 United States money. The Egyptian piaster" is one-hundredth part of their pound, and is equal to $.04943 United States money. Pie. See India Money Table under "Rupee." Pig Iron. This is the iron as it is extracted from the ore. As it comes from the blast-furnaces it is run into moulds in sand, which produces small masses of convenient size for commercial use. Piker. One who trades in very small lots of securities. Pinch. "Money pinch;" a sudden rise in money rates; difficult to borrow, and then only at high rates. A "pinch rather implies a short duration of such conditions, however, and not very serious. 1 These last four countries are on a silver basis. Therefore, the value as given here, which is taken from the Circular issued by the Director of the Mint, April 1, 1906, is subject to fluctuation with the market price of silver. |