Pricing Primer for Maximum Price Regulation No. 188

[Pricing Primer for Maximum Price Regulation No. 188]
[From the U.S. Government Publishing Office, www.gpo.gov]

PRICING PRIMER
for Maximum Price Regulation No. 188
Issued by the Consumers* Durable Goods Price Branch and Building Materials Price Branch OFFICE OF PRICE ADMINISTRATION Washington, D. C.
823
MAXIMUM PRICE REGULATION
No. 188
Applies to Over 100 Industries Manufacturing
Building Materials and Consumers* Durable Goods
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Summary
SIGNIFICANT FACTS
G. M. P. R. is an abbreviation of General Maximum Price Regulation
M. P. R. 188 is an abbreviation of Maximum Price Regulation No. 188
Their Purpose—to stabilize the cost of living—prevent inflation.
G. M. P. R. issued April 28, 1942, under the authority of the Emergency Price Control Act of 1942 passed by Congress and signed by the President.
G. M. P. R. fixed price ceiling over substantially all commodities and services sold by manufacturers, wholesalers, and retailers by forbidding sale at price or terms higher than highest prevailing in March 1942.
Effective as applied to sales on or after May 11, 1942 (except at retail). Retail maximum prices became effective May 18, 1942.
Applies to every person (individual, corporation, partnership, association, or any other organized group, successors, or representatives, and also all governments and subdivisions and their agencies) and stipulates that no one shall sell or deliver, or in the course of trade or business, buy or receive, any commodity or service at a price higher than is permitted by this and supplemental or special regulations. This includes all producers, suppliers, processors, and assemblers, as well as manufacturers, wholesalers, and retailers.
There are a few exceptions including books, periodicals, motion pictures, art objects, professional services, etc., and commodities covered by previous price schedules or regulations (not voluntary). Farm product price regulations are based on an Act of Congress, October 1942.
MAXIMUM PRICE REGULATION 188, effective August 1, 1942, applies to manufacturers’ pricing of certain Building Materials and Consumers’ Durable Goods named in long specified list (Appendix A). Maximum prices for most articles listed in Appendix A were established originally by G. M. P. R. Sales up to August 1,1942?were governed by that regulation. Sales after August if however, are governed by M. P. R. 188, which continues in effect the same maximum prices determined under G. M. P. R. for all articles sold in March or finally priced under G. M. P. R. prior to August 1? This regulation superseded G. M. P. R. on August 1, 1942.* All other provisions of G. M. P. R. still prevail. All other goods and services at all levels of manufacturing and distribution are still subject to pricing under G. M. P. R., or Special Regulations, or Temporary Regulations, as the case may be.
Manufacturers price the New Articles under M. P. R. 188 (in specified list. Appendix A) themselves, report proposed prices to OP A prior to sale. If prices are NOT DISAPPROVED within 15
days, the prices fixed by the manufacturer are valid. He may now sell the articles.! Prices of new articles involving only “minor changes” in the meaning of the regulation, need not be reported and can be sold at once.
Pricing Methods under M. P. R. 188 are four in number and must be applied in order, that is: the first pricing method must be used if possible; if not possible, the second; if this is not applicable, then the third; if this does not apply, then the fourth.
[NOTE.—No article whose maximum price was finally established prior to August 1, 1942, under G. M. P. R. or otherwise, need be repriced under M. P. R. 188.]
First Pricing Method.—A new article embodying only minor changes from an article already priced under any maximum price regulation takes the same maximum price as the original article. (See section 1499.155.) Manufacturer prices article but does not report price to OPA.
Second Pricing Method.—Where more than minor changes are made consisting only of substitution of materials (or parts) made necessary by shortages, the new article shall have a maximum price based on the established maximum price of the original article, plus or minus the change in direct manufacturing costs. (See section 1499.156.) Manufacturer prices the article and reports price to OPA prior to sale, then waits 15 days and if price is NOT DISAPPROVED, it becomes valid.
Third Pricing Method.—A new article which cannot be priced under the First or Second Pricing Me thods, shall be priced no higher than the price arrived at using a special formula provided in M. P. R. 188 in relation to “comparable” articles. (See section 1499.157.) Manufacturer prices the article and reports price to OPA, then waits 15 days, and if price is NOT DISAPPROVED, it becomes valid.
Fourth Pricing Method.—Where none of the three foregoing methods can be applied, or where its application would result in undue hardship, the maximum price of a new article must be specifically authorized by the Office of Price Administration. The manufacturer must make proper application for such a price as provided in M. P. R. 188 under Fourth Pricing Method. (See section 1499.158.)
♦September 1, 1942, for sales to United States and Allied Governments.
t He may sell to United States and Allied Governments without waiting for price approval, but must submit report within 10 days of receiving order.
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PURPOSE OF M. P. R. (88
To relate properly the prices of NEW articles to the "frozen" prices of OLD articles and to do so simply and quickly
IBy expediting the pricing of NEW articles—permitting By relieving manufacturers in most cases of any necessity
• manufacturers to proceed without long waits • of obtaining competitors’ prices
Z *• \ •
2 By relieving government of processing minor changes ____
• which each maker can be trusted to price for himself MR B .
By using in the basis of cost computation wage rates •
(a) prevailing in the maker’s own plant, or
By enabling manufacturers to continue the practice of W ^a^m^eti^ necessarily
~ J graduating margins in various pnce brackets—for ex- '
e, ample, by “sandwiching” the unit direct cost of the (c) under labor-management conditions which are
NEW article between those of the “Comparable” arti- comparable to his—NOT those found in some
des above and below, as in 3d pricing method different set-up or area
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WHAT MUST BE PRICED
Under M. P. R. 188
What Need NOT Be Priced
Under the Pricing Methods of M. P. R. 188 Articles priced under - any price regulation and offered for sale before August 1, 1942.*
*Sept. 1, 1942, for sales to U. S. and Allied governments, or date of inclusion in Appendix for articles subsequently added.
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G. M. P. R-
requires manufacturer to apply to OPA for prices of new article
(in many cases*)
*If the seller did not deal in the same or similar article, in March 1942, and cannot determine his competitor’s ceiling price, he must seek authorization for price from OPA.
M. P. R. 188
permits manufacturer to price NEW article himself under one of fourt pricing methods
fOnly if manufacturer is unable to price a new article under one of three simple methods specified, is he obliged to apply to OPA for price.
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1st Pricing Method Applies to
MINOR CHANGES ONLY
New article takes same Maximum Price as article From which it differs
2 brief cases differ in minor changes only
New bed has different style moulding, different shaped feet, different colored finish.
$5.00
Old brief case delivered in March 1942—price frozen
New brief case offered for sale after
Aug. 1, 1942
Unit direct cost__ $6. 20
Maximum price_____ $10. 75
Unit direct cost__ $6. 08
Maximum price_____ $10. 75
Zipper and handle
Zipper and different handle
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Continuing 1st Pricing Method
(SECTION 1499.155)
MINOR CHANGES
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Fairly Equivalent Serviceability
Means Equal or Substantially Equal
1. QUALITY 2. WORKMANSHIP 3. CONSTRUCTION in articles having the same use
Examples:
(Assuming Substantially Equal Quality, Workmanship, Construction)
Sink faucet, iron, with swing spout and metal soap dish.
lM-inch gate valve, brass body, 1 _ {
wheel handle. J I
Sofa Bed. Length 84 inches, seat 71 x 22. Wood slat base and back construction with solid filling. Shipping weight 170 pounds. Velour covering. Hardwood trim base-rails, arms, feet. Reversible cotton filled cushions.
End table. Square lamp table. ' Hardwood walnut finish, turned legs with four stretchers, shaped top 16 x 16—27 inches high. ,
Sink faucet, iron, with swing spout and plastic soap dish.
1%-inch gate valve, brass body, “T” handle.
Sofa Bed. Length 86 inches, seat 72 x 22. Wood slat base and back construction with solid filling. Shipping weight 175 pounds. Velour covering. Hardwood feet and arm trim. Reversible cotton filled cushions.
End table. Square lamp table. Hardwood walnut finish, turned legs with middle shelf, shaped top 16 x 16—27 inches high.
If change is not a MINOR change you must move on to second pricing method
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2d Pricing Method
NEW ARTICLE DIFFERS BY SUBSTANTIAL CHANGE
Yet Only by Change Resulting From
SUBSTITUTION OF MATERIALS (OR PARTS) DUE TO SHORTAGE
New Artide Priced at Price of Original Article
UNIT DIRECT COST .... $5.00
MAXIMUM PRICE .... $8.00
UNIT DIRECT COST .... $6.00
MAXIMUM PRICE .... $9.00
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Continuing 2d Pricing Method
SUBSTANTIAL CHANGE
due to materials shortage
An insulation block for tanks and boilers substituting vermiculite for magnesia because of a shortage of magnesia
85% Magnesia block 6" x 36" x 1" thick
Vermiculite block 6" x 36" x 1" thick
Unit direct cost
Magnesia....______________ $0. 07
Asbestos fiber______________ . 02
Other material_________ . 01
Direct labor________________ . 05
Unit direct cost
Vermiculite____________ $0. 08
Asbestos fiber_________ . 02
Other material_________ .02
Direct labor__________ . 06
15 .18
March 1942 maximum Maximum price per
price per block.. . 23 block_____________ . 26
DIFFERENCE IN UNIT DIRECT COST, $0. 03 PER BLOCK DIFFERENCE IN MAXIMUM PRICE, $0. 03 PER BLOCK INCREASE IN COST ADDED TO MARCH 1942 PRICE, $0. 03 PER BLOCK
Example: 2d Pricing Method
due to materials shortage
SUBSTANTIAL CHANGE
A furniture manufacturer is prohibited by WPB order from using a metal swivel in a swivel chair. He devises a wooden swivel to replace the metal swivel. The new chair is sold for less than the old one by the difference between the cost of the metal and wood swivels. Labor costs the same.
Unit direct cost of old chair........................$ 7. 78
Unit direct cost of new chair......................... 6. 99
Difference in unit direct cost
$ .79
Maximum price of old chair..............$17. 60
Minus difference in unit direct cost..... .79
Maximum price new chair.................$16. 81
OLD SWIVEL CHAIR
Maximum price, $17.60
NEW SWIVEL CHAIR
Maximum price, $16.81
Steel Chassis-
SUBSTANTIAL CHANGE DUE TO SHORTAGE OF STEEL,
WOOD REPLACED METAL IN A BABY CARRIAGE
Material cost.................
Direct labor . . •............
Unit direct cost..............
Maximum price . . ........
OLD NEW
$4. 22 $3. 45
1. 26 2. 60
5. 48 6. 05
$7.12
Increase in unit direct cost......$0. 57
Maximum price of old.............. 7.12
Maximum price of new..............$7. 69
Wood Chassis
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Example: 2d Pricing Method
SUBSTANTIAL CHANGE
Due to shortage of metal springs, a sofa manufacturer substituted a solid filling construction which he made
WITH STEEL SPRING
WITH SOLID FILLING
MAXIMUM PRICE, $54.50
MAXIMUM PRICE, $55.82
Considerable change in construction and manufacturing process necessitated, with added quantities of materials
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3d PRICING METHOD
1. Used where there is a SUBSTANTIAL change, NOT due solely to shortage of materials (or parts)
2. Based on MARK-UP over Unit Direct Cost of "Comparable" Articles and UNIT DIRECT COST of New Article
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MEANING OF "
Continuing 3d
Based on Mark-Up over Unit Di
and Unit Direct
COMPARABLE"
'ricing Method
t Cost of Comparable Articles
st of New Article
NOT COMPARABLE
Both are luggage but not same general type
All are furniture but not same general type
COMPARABLE
All are tables
Continuing 3d Pricing Method
Based on Mark-Up over Unit Direct Cost of "Comparable" Articles and Unit Direct Cost of New Articles
CONSIDERED "COMPARABLE"
KITCHBN CABINET
r
The New Wood Locker and the Kitchen Cabinet use the same kind of lumber, same class of labor, same machinery, and shop practice (millwork) whereas a china closet could not be termed “comparable” because it uses costlier veneers and cabinet craftsmanship, and rates in a higher price classification.
NOT "COMPARABLE"
Floor radio
File cabinet
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Waste basket
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Continuing 3d Pricing Method based on
Mark-Up Over Unit Direct Cost of "Comparable11 Articles and Unit Direct Cost of New Article
Step No. 1—Determine total direct cost per unit of new article to be priced based on highest March(1942)wages and materials costs. Example: Utility Chest, Unit Direct Cost $5.43
Step No. 2—Take unit direct cost of “Comparable” article next above and next below, based on highest March (1942) wages and materials costs. Add them together, and figure percentum mark-up, and AVERAGE dollar mark-up. Thus—
“Comparable" Chests
Material Coat
Direct Labor
Total Unit Direct Maximum Selling Cost Price
Dollar-Mark-up
Average Percent Mark-up
Next above..................... $4. 78 $1. 20
Next below...................... 4. 20 1.12
$5. 98 $8. 31 $2. 33
5. 32 7. 51 2.19
Totals of “Comparable” articles...................... 11. 30 15. 82
PERCENT MARK-UP IS FOUND BY DIVIDING THE SUM OF DOLLAR MARK-UP ($4.52) BY SUM OF UNIT DIRECT COSTS ($11.30).
21 4.52
3.36
40.0%
(Continue on following page)
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Continuing 3d Pricing Method based on
Mark-up Over Unit Direct Cost of "Comparable,z Articles and Unit Direct Cost of New Article
Step No. 3.—Now add the AVERAGE dollar mark-up to the unit direct cost of article to be priced, thus:
Average dollar mark-up $2.26, plus unit direct cost $5.43, equals........... $7. 69
Also figure the mark-up using the average percentum mark-up of the two “Comparable” articles, thus: unit direct cost of article to be priced $5.43, times 40.0%, equals $2.17 (the mark-up). Adding unit direct cost ($5.43) gives.................... $7. 60
You thus determine two prices. The lower of the two must always be used as the Maximum price of the new article: In this case......................... $7.60
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Example of 3d Pricing Method
2 "COMPARABLE" ARTICLES—1 ABOVE—1 BELOW
Direct cost next above...... $4. 09 $3. 30 $7. 39 $15. 00 $7. 61 ......
Direct cost next below...... 2. 89 2. 20 5.09 9. 00 3. 91 ......
12.48 2/11.52 92.3%
5.76 or
New dock.......................... 3.12 2.32 5.44 10.47 *5*03
Percent mark-up is found thus: 12.48)$11.52(92.3%
Higher figure, $5.44 plus $5.76, or $11.20. Maximum price, $5.44 plus $5.03, or $10.47—the lower of the two figures.
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Continuing 3d Pricing Method
TOYS "COMPARABLE"—
even though not made of same materials (serve same general use—for play)
Maker of New Lavatory Increased Price 75c Each
“COMPARABLE”
“COMPARABLE”
NEW ARTICLE
SONG BIRD (rubber and celluloid)
PLASTIC BUGLE
AIRPLANE
(wood and paper)
Comparable Material Cost Direct Labor Total Unit Direct Cost Maximum Price Dollar Mark-up Average Percent Mark-up
Next above $0. 1002 . 0845 $0. 0098 . 01025 $0. 1100 .09475 $0. 1425 . 1325 $0. 0325 .03775
Next below
Totals of comparable articles-------— . 20475 . 2750
Average dollar mark-up over unit direct cost______________
PRICING NEW AIRPLANE
. 07025 34. 3%
.03512
By Dollar Mark-up
Materials.............. $0. 0875
Direct labor............ . 0168
By Percent
Mark-up
Unit direct cost......... $0. 1043
Percent mark-up__________ 34. 3%
Total...................1043
Av. dollar mark-up...... 03512
Percent mark-up............ 03577
Add unit direct cost........1043
Average percent mark-up is found by dividing total dollar markup (.07025) by total unit direct cost (.20475) making 34.3%.
. 13942 14007
The lower of the two figures, $0.13942, is the maximum price. 144 X $0.13942 = $20.08 per gross maximum price.
SIZE 14* X 14* SIZE 18* x 15* OLD NEW
How to price a “New” article where there is only one “Comparable” article available.
Old New
Material cost............$1. 70 $2. 00
Direct labor............. 2.00 2.45
Unit direct cost...... 3. 70 4. 45
Dollar mark-up......... 1.11 1.11
Maximum price........ 4. 81 5. 56
Percent mark-up: 1.11-1-3.70=30%
4.45+30% X 4.45=5.785
The lower of the two figures (unit direct cost plus dollar mark-up) $5.56 becomes the maximum price.
Continuing 3d Pricing Method
Special forms are available for reporting prices under both the Second Pricing Method and the Third Pricing Methods.
Copies may be obtained on application to the State, Regional or the National Office of O P-A. ♦
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Continuing 3d Pricing Method
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Continuing 3d Pricing Method
24*
Continuing 3d Pricing Method
The maximum prices of “Comparable” articles and the maximum price of the NEW article shall be the maximum prices for the class of purchaser to whom you expect to sell the largest volume of the NEW article. This must be adjusted by your customary differentials to other classes.
Manufacturer should not suggest Resale Prices to. others unless he warns them to comply with Maximum Price Regulations under which their prices must be individually determined regardless of his recommended price (or Fair Trade resale prices).
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Continuing 3d Pricing Method Maximum Price Must Be Based on Class of Purchaser to Whom You Expect to Sell the LARGEST Volume
If You Customarily Have a Price Differential for These Various Classes:
EXAMPLE 1
Largest Portion of Total Volume Sold to Small Quantity Purchasers
Maximum Price Based on Class “A” Should Be Adjusted to Classes “B” and “C” on Basis of Differentials Customarily Charged “B” and “C”
EXAMPLE 2
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Continuing 3d Pricing Method
Maximum Price Must Be Based on Class of Purchaser to Whom You Expect to Sell the LARGEST Volume
EXAMPLE 3
EXAMPLE 4
Largest Portion of Total Volume Sold to Wholesalers
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WHAT YOUR HIGHEST MARCH REPLACEMENT COST MEANS
(i) The Highest Price supplier charged to purchasers of your class for goods delivered during March 1942:
(ii) If supplier did not make delivery, the supplier’s highest offering price to your class for March delivery:
(iii) If no deliveries (i), and if no offers to deliver in March 1942 (ii) were made to your class, then your supplier’s highest price charged during March to other classes, adjusted by the supplier’s customary differentials between your class and other classes.
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4th PRICING METHOD
Obtain Specific Authorization from OPA for your proposed price
(Used in case of Undue Hardship caused by application of MPR No. 188 or New Article that cannot be priced under Method 1, 2’, or 3 because manufacturer made no “comparable” article)
EXAMPLES:
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4th PRICING METHOD
Obtain Specific Authorization from OPA for your proposed price
(Used in case of Undue Hardship caused by application of MPR No. 188 or New Article that cannot be priced under Method 1, 2, or 3 because manufacturer made no “comparable” article)
EXAMPLES:
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Continuing 4th Pricing Method
FILE AN APPLICATION
Wilh OPA, Washington, D. C.
The manufacturer’s report should include:
1. Photograph or sketch of the article to be priced; complete description or specification; statement of its use.
2. Statement of reasons why pricing methods 1, 2, or 3 cannot be used.
3. Description of production method and processes.
4. Following cost data:
(a) Highest March 1942 replacement cost per pound, per foot, per dozen, etc., for each material.
(b) Quantity and March 1942 replacement cost of each material used per unit 1 of finished product.
(c) Highest March 1942 wage rates per hour, per day, etc., for each major direct labor operation.
(d) Break down direct labor to show cost of each major operation per- unit1 of the finished product. Do not include overtime or training cost.
(See Section 1499.157 (b) of Regulation M. P. R. 188 for detailed directions.)
5. State total units upon which these direct costs have been based and submit a careful estimate of the anticipated monthly production of the article being priced.
6. Outline steps followed in computing proposed price of the article, after the total unit direct cost has been computed State clearly the method used to allocate factory overhead, selling, and general and administrative expenses.
7. For each of the various distribution channels to be used in marketing the article,' submit:
(a) Proposed maximum price.
(b) Terms—all trade, quantity, and/or cash discounts to 4 be offered.
(c) Estimate of percentage of sales volume through each of the above channels.
8. Any additional data which would support your proposed maximum prices.
1 In the case at email items, use per hundred, per gross, per th««»—nd, etc., as the unit of the finished product*. Please indicate which unit is used.
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U. S. and Allied Government
PURCHASES
References: M. P. R. No. 188
Section 1499.153 (b)
“ 1499.156 (b) (3)
“ 1499.157 (e) (3)
“ 1499.158 (b)
“ 1499.159 a
“ 1499.163 (2) (5)
SECTION 1499.153 (b)
1. The Effective Date of M. P. R. 188 with respect to articles sold only to the U. S. or Allied Governments is September 1 (instead of August 1, 1942).
Articles priced under any regulation and offered for sale to these governments prior to September 1, 1942, need NOT be priced under M. P. R. 188.
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Continuing U. S. and Allied Government PURCHASES
TENTATIVE PRICE
Section 1499.156 (b) (3)
1499.157 (e) (3)
1499.158 (b)
2. Tentative Price—Articles first offered for sale on or after September 1, 1942, may be tentatively priced to the U. S. and Allied governments only, provided purchaser is informed that maximum price is yet to be fixed, and provided seller
♦
refunds any amounts in excess of final price. Manufacturer must report to OP A as required within 10 days after making contract. In the absence of contrary notification from OPA within 15 days after reporting, price stands approved.
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Continuing U. S. and Allied Government PURCHASES
CLASSIFICATION OF GOVERNMENT
—v— PURCHASERS
Section 1499.159 a
3, (i) Where a maximum price has been fixed for a class to which a government purchaser belongs, you will, of course, not exceed that price in sales to the government.
(ii) Where a maximum price has been fixed but NOT for class to which government purchaser belongs, and manufacturer has no customary differential for such class, he shall consider government purchaser as belonging to class to whom article is sold in quantities most nearly equal to quantity involved in the sale
to the government purchaser. If manufacturer customarily sells to more than one class in such quantities, the lowest maximum price applicable to such classes shall be used.
Section 1499.163 (5)
4. Governments mean the government or any agency thereof of the United States or any country whose defense the President deems vital to the defense of the United States under the terms of the Defense Act of March 11,1941.
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ALLOWANCES—DISCOUNTS DIFFERENTIALS
In March 1942—
—A supplier allowed 10 cents a pound for old parts and brass scrap. Allowance must be continued.
—A cutlery maker sold three classes of dealers at 10, 12, and 15 percent, respectively, off list. A knife listed at $2 a dozen was sold in March only to the first class ($1.80). The price to the other two classes to whom no sales were made remains at $1.76 (12% off) and $1.70 (15% off).
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ADVERTISING ALLOWANCES, ADVERTISED PRICES
AND
FAIR TRADE ACTS
A retail price may be used in National Advertising only if it is a price at which all retailers may sell in accordance with regulations applicable thereto.
Price Regulations supersede Fair Trade Agreements, unfair trade acts, and similar laws and regulations wherever they conflict. They do not, however, grant immunity under the Robinson-Patman Act nor sanction prices BELOW Fair Trade Agreement prices, if the latter are below the legal MAXIMUM PRICES.
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PURCHASER should obtain affirmation that
GOODS ARE LEGALLY PRICED
THEREFORE
Manufacturers will facilitate transactions by printing or stamping certification clause on invoices, sales slips, or statements, and marking with an asterisk (*) each article to which certification applies.
(Approved Form)
Date.......................
*This merchandise was priced in accordance with the provisions of Maximum Price Regulation No. 188.
Signed.....................—,......
Manufacturer, processor, or agent.
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Record Keeping Provisions of G. M. P. R. apply to M. P. R. 188
(For detail refer to G. M. P. R.)
1
Preserve all existing records of March 1942 prices.
2
Preserve a statement of base period prices.
3
Keep records showing the basis for determining the maximum price of articles not sold during March 1942.
4
Continue to provide usual invoices or sales receipts.
5
Make available these records for inspection.
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10 MOST COMMON ERRORS
committed by manufacturers in submitting reports under M. P. R. 188
1. Failure to submit costs in sufficient detail. (Most common error.) (Study report form and state materials, price, and quantities used.)
2. Failure to use March replacement costs in furnishing cost data.
3. Inclusion of indirect costs (factory overhead) in submitting these costs. (This is not permissible.)
4. In selecting comparable articles under Third Pricing Method, manufacturers assume that they are given a choice of comparable articles. They are NOT. They must choose the items which are closest in unit direct cost, as explained.
5. Manufacturers in pricing by Third Method often take two comparable items above or two below, instead of one on each side.
6. Too hasty in going to Fourth Method, assuming that they do not have comparable articles. Most manufacturers have been found to have comparable articles. Going to Fourth Method makes it harder on manufacturer and on OPA.
7. Failure to apply the four pricing methods in order.
8. Failure to understand that prices of new items sold to the U. S. Government or to Lend-Lease agencies must also be reported to OPA under M. P. R. 188.
9. Quoting prices on articles (except under First Pricing Method) before price approval has been received from this Office, or 15 days have elapsed. Not permissible.
10. Mathematical errors (carelessness) are common.
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BE CAREFUL
to submit reports correctly and completely
to avoid. needless correspondence and delay in pricing'
Copies of Maximum Price Regulation 188 (and G. M. P. R.) may be obtained from
Office of Price Administration
Washington, D. C, or Regional, State, and District Offices
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PENALTIES
Violation is a serious crime I Cooperation is an act of patriotism I
Honest error is not treated in the same manner as deliberate violation, carelessness, or indifference. It is better to make a mistake in efforts to comply, than to neglect making those efforts. Use the assistance of trained business experts and lawyers in OPA local offices, if necessary.
Price control is supported by three forms of civil action as well as by criminal action—
a—Injunction suit
b—Suspension of license to do business
c—Treble damage suit
Penalty for Criminal Violation is a fine of not more than $5,000 or imprisonment for not more than one year, or both.
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2 THINGS TO REMEMBER
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Maximum Price Regulations Other Than No. 188 (as of November 17, ¡942) Which Cover Consumers* Durable Goods and Building Materials
No. of Regulation Commodities Covered Class of Sellers Affected No. of Regulation Commodities Covered Class of Sellers Affected
57 A. Consumers’ Durable Goods Wool Floor Coverings.. Manufacturers. 40 B. Building Materials Knobs and Handles, Locks, Hinges, All Sellers, ex-
64 83 84 Domestic Cooking and Heating Stoves... Radio Receivers- and Phonographs Radio Receiver and Phonograph Parts... Manufacturers. . Manufacturers. Manufacturers. 45 75 Miscellaneous Door Hardware, Window Hardware, Screen Hardware, Insect Screen Cloth, and other Miscellaneous Hardware. Asphalt or Tarred Roofing Products.. Dead Burned Grain Magnesite. cept specified retailers. Manufacturers. All Sellers.
86 Domestic Washing Machines and Ironing. Manufacturers. 96 Domestic Fuel Oil Storage Tanks All Sellers.
102 116 213 234 Machines. Household Mechanical Refrigerators China and Pottery... Coil and Flat Bedsprings with Non-Steel. Frames. Stirrup Pumps Manufacturers. Manufacturers. Manufacturers, Wholesalers, and Retailers. Manufacturers, 100 175 206 224 236 Cast Iron Soil Pipe and Fittings Rough Rolled, Figured, Wire and Heat Absorbing Rolled Glass. Vitrified Clay Sewer Pipe and Allied Products. Cement Heating Boiler Conversion Parts Manufacturers, Jobbe-s, and Wholesalers. Manufacturers. All sellers who ship direct from factory. All Sellers. All Sellers.
254 New Small Firearms and Firearm Parts... Distributors, and Retailers. Manufacturers, 251 261 Installed Sales of Building and Industrial Equipment. Contract Sales of Finishing Builders’ Manufacturers, Distributors, and Retailers. Manufacturers,
263 New Phonograph Records and Record. Scrap. Jobbers, and Retailers. Manufacturers, Distributors, and Retailers. 272 276 Hardware. Boilers and Radiators (effective November 23, 1942). Asphalt Tile (effective December 5). Distributors, and Retailers. Manufacturers, Distributors, and Retailers. . Manufacturers.
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