Detroit United Railway Co. (Street Railway.)
See " Undigested Securities/'
The obligation to pay on the part of the person, corporation, etc., named. As an example, take the Baltimore & Ohio R. R. Co., Southwestern Division bonds. These are really a first mortgage upon certain portions of the railroad property, but, in case of financial disaster to the road, if there were not sufficient value in such property as the mortgage covers, the Baltimore & Ohio R. R. Co. itself would be responsible for the payment of the difference. Again, if the earnings of the property covered by the mortgage are not sufficient to protect the interest and principal of the bonds, as due, the Baltimore & Ohio R. R. Co. is liable for any deficiency.
See " Agio."
See " Release of Mortgage."
A clerk only especially employed by the larger banking institutions. He attends to all " discounted " paper; figures and makes payment to the borrower after acceptance by the bank; keeps record of bills receivable; is the custodian of the same, and obtains and keeps track of much information very necessary to the officers of a bank in relation to its loans.
In the sense of anticipating an event. (See last paragraph of "Discount.")
(First read "Discount.") The "discount rate" or the rate of discount is the rate of interest deducted in advance from the face of a promissory note. In other words, if the "discount rate" is 5%, the face of the note $1,000, the time which it has to run six months, 2 1/2%, or $25, is deducted from the face of the note, the bearer receiving, therefore, but $975. When the loan.matures, however, $1,000 must be repaid.