CLASS DAY

“Gee, Professor, that was a tough session,” sighed George Adams, perching himself on the edge of the desk and inhaling deeply from the cigarette just lighted.

“I’ll say it was,” added Sergeant Reynolds. The class was enjoying a fifteen-minute recess from its monthly examination.

“You’re getting lazy,” chided Fordney. “Here’s a simple little problem for you two fellows that should step you up mentally.

“Yesterday morning a customer walked into Sam Smith’s and bought a $5 hat, giving in payment a $20 bill. Sam had only another $20 bill in his cash register, so he hurried next door to Johnson’s book store with the customer’s $20 bill and asked Johnson to kindly change it. Johnson gave Sam four $5 bills, saying he was going to the bank in a few minutes and would get some change for himself.

“Sam returned to his own store, gave the man $15 change and the customer walked out with the hat on his head.

“Thirty minutes later Johnson rushed into Sam’s store, excitedly exclaiming, ‘That $20 bill you gave me was counterfeit! The bank clerk caught it and refused to give me change or to return the $20 bill.’

“Sam was amazed and chagrined, but assured Johnson he would not lose by the deal. ‘I gave my customer his $15 and he’s gone, so there’s nothing for me to do but give you the $20 bill I have in my register. Kind of tough break for me right now, but…’”

How much did Sam lose? Quickly now! Turn page for solution.