13 MARCH 1920, Page 12

PROFIT—RATE PER CENT.

[To THE EDITOR OF THE " SPECTATOR.)

am sorry I missed Mr. Turnbull's letter which Mr. Goulding Cutts refers to in your issue of March 6th, but Mr. Goulding Cutts must see the fallacy of calculating profit on the sale price as he says most traders do, because if that were so a profit of 100 per cent. could never be obtained unless the goods sold cost nothing. According to Mr. Goulding Cutts, if one buys an article for le. and sells it for £1 even then 100 per cent. profit is not reached.—I am, Sir, &c., .