Cyclopedia of Commerce, Accountancy, Business Administration, v. 05 (of 10)American School of Correspondence
General
Cyclopedia of Commerce, Accountancy, Business Administration, v. 05 (of 10)
American School of Correspondence
Accounting; Business; Commerce
This is the rule applying to ring settlements hereinbefore described. To
quote further:
"MARKET VALUE TO BE POSTED
The current market value of the property contracted for shall be
conspicuously posted, at a stated hour each day, under the direction
of the Board of Directors, in the Exchange Hall and in the
Settlement Room of the Board, which posting shall serve as a basis
for the adjustment of all contracts settled, as herein provided on
that day.
"ADJUSTMENT OF BALANCES ON SETTLEMENT
In order to facilitate the operation of this section, each member is
required to keep a _settlement book_, in which shall be entered the
names of parties with whom settlements have been made and the dates
and terms of the trades included in such settlement, and the terms
of such settlements, and the prices at which the commodities were
originally sold or purchased, and the amounts due to or from him or
them on each separate settlement, also the net amount due to or from
him or them on all settlements.
"CLEARING HOUSE AND REPORTS
The Board of Directors is hereby authorized to provide a suitable
office, with the necessary employes, to which members shall be
required, at stated hours each day, to make reports, showing the net
balance due to or from each member, as shown by such settlement
book, and also the general balance due to or from him or them upon
all such settlements; each report to be accompanied with an
acceptable check for the balances, if any, due from him or them on
the contracts so settled; whereupon, if said report is found to be
correct, as compared with other reports rendered him, the person in
charge of said office shall, at a stated hour each day, pay to each
of the parties making such report any balances which he may have
collected, and which shall appear to be due to them by said reports,
less such charges as shall be prescribed by the Board of Directors
as compensation for the services of said office.
"CONFIRMATION OF TRANSACTIONS FOR FUTURE
DELIVERY, ETC.
Public-domain text, read in full here on John Shaqi.
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