Commercial Borrowers

Borrowers of money, as set forth under "Commercial Paper."

Commercial Discounts

Notes given by those engaged in commercial enterprises - dry goods, hardware, etc., - upon which the interest is paid in advance - " discounted" (see matter under "Discount "). Sometimes the rate of "discount" is meant by the term "commercial discount."

Also, the discount allowed by the seller of merchandise to the purchaser on account of earlier payment than called for in the bill. For instance, unless otherwise stipulated, the wool dealer bills a sale of wool as "net sixty days, 1% ten days," meaning that the bill is absolutely due and payable at the end of sixty days, but that if the purchaser chooses to pay it before the expiration of ten days he may deduct 1% from the face of the bill. In the same way, in cotton yarn transactions, the bills call for "net sixty days, 2% ten days," and so on.

Commercial Letter Of Credit

See last part of " Letter of Credit."

Commercial Paper

This is a very general term and is made in usage to cover many kinds of notes, acceptances, bills of exchange, etc. It is the general term used by note brokers, but they further distinguish between the various kinds of " commercial paper " by referring to the same as " corporation paper," " business paper," " mercantile paper," etc., as explained under the several subjects.

Commission House

Dealing only on a commission basis; neither speculating nor buying with the idea of selling in smaller lots to their customers, as does, for instance, the investment banker.

Commission House Paper

A note given or sold by a commission house, such as one handling dry goods.

Commitments

By one's "commitments" is understood his contracts or obligations.

Common Carrier

One who undertakes for hire or reward to transport the goods of such as choose to employ him, from place to place. All transportation companies engaged in the express, freight, or passenger business are common carriers. The "Rate Bill" which passed Congress includes under this heading " ipe-lines" for the transportation of oil or other commodity except water or gas.

Community Of Interests

When large interests in one corporation are so interwoven with those of another that it is desirable, for the common good, that the properties shall be operated in the mutual interests of all concerned, the " community of interest " idea is in effect. It is something more than a mere agreement between two or more parties to operate in the interests of one another; it is where the invested interests are such that not to do so would be detrimental.

Ripley says the "community of interest " basis of consolidation has not been industrially applied, except possibly in the Standard Oil Co., after the dissolution of its trust in 1892.