monthly payments will work no
hardship on the finances of the
Marketing Association, nor will
it in any way deplete their
working capital. It is very
simple. All merchandise is sold
for cash and the provisions of
the offer to sell require that
a portion of the cash receipts
representing cost of the mer
chandise cold bo turned over
to the Corporation each month
in liquidation of the debt.
To carry the explanation to its
simplest terms let us use this
illustration: Suppose the
Trading Post as a business in
stitution bought on credit ten
cans of milk at a cost of 500,
Suppose these tencans of milk
we-.; sold for $1.00 cash and
500 of this •iinount used to pay
for the milk purchased, leav
ing 500 in cash as a profit on
the sale. Can it be said by
any stretch of imagination that
this transaction has hurt the
Trading Post or depleted their
finances?
The exact essentials of the
above illustrated transaction
are what it is proposed shall
be done in connection with
merchandise valued at $30,000.00
instead of 500.
The only monies which would bo
paid out of the working capital
would be the amount of $107.38
per month.
In connection with the terms
offered for sale of the mer
chandise inventory; consider
this situation, the exact
sales for 1938 were #169,339.37
the cost of this merchandise
was $132,768.90. If you divide
the present value of the mer
chandise inventory into this
figure it will be shown that
the value of the entire stock
of merchandise was ’’turned
over” five times in one year.
On this basis considering the
business done i3 for 11 ersh
it is physically possible for
the entire stock to ba paid
for in three months and still
not cripple the finances of the
Marketing Association, how
ever, five years '.re given in
which to pay for this merchandises.
As st-ted in the opening of this
message, terms of the offer to
sell are published in accordance
with the minutes of the annual
meeting of the Marketing As
sociation. The explanatory
comments have been added for the
nurposo of informing those in
terested as to how such a trans
action may be handled.
Very truly yours,
A
iXJ(-<■■&***■
William
*i •
Head
BUTTE HOf.LEMAKER » S CLUB
A special meeting of the Butte
Homemaker * s Club was heIE at the
home of'Mrs, Joe Lentz on Febru
ary 9th. Since'the 9th was Mrs.
Lentz * birthday, the ladies sur
prised her with gifts of either
tea towels or handkerchiefs.
There was a good attendance. Pot
luck lunch was served at noon,
Mrs. Ray McKcchnie brought a de
licious decorated birthday cake.
On February 16, the Club held
its regular meeting at * the home
of Mrs, Ralph Moore. Wo were
honored with four visitors. Ton
members were, present. Miss Zim
merman pave us many interesting
points to consider, when molting
or buying children*s clothing.
A pot luck lunch was served at
noon. The next meeting will be
field at the home of Mrs, Ray Mo
Kcchnic on March 2nd.
Mrs. Lloyd Boll
Club Reporter
FOR SALE -
01IE ALL-EUAHEL STEEL RANGE
$530,00
or Trade for pigs - G. Broostrom