eleven for ten, or the like, any expenditure that leaves a tangible result in the goods sold—such as dyeing, beating cloth, twisting, and similar processes—is treated as part of the purchase price: it is included in the cost, and profit is calculated on it. Expenditure that leaves no tangible result falls into two categories: that which relates specifically to the purchased goods, and that which does not. The latter is neither included in the original cost nor used in calculating profit. Examples include the trader’s personal expenses, the hire of his mount, and the rent of his house if he stores the goods there, since it is customary for a man to store his goods in his own dwelling.

Expenditure relating specifically to the goods likewise falls into two categories. The first concerns work that the trader ordinarily undertakes himself rather than hiring someone to do, such as purchasing, bundling, and folding the goods. The second concerns work that he ordinarily delegates rather than undertaking himself, such as transporting the goods, maintaining slaves, and the like. If he hires someone to perform work that traders ordinarily undertake themselves, such as folding, purchasing, or bundling the goods, that expense is not included in the capital cost. The buyer may say to him: “I am not liable for this, because you merely hired someone to act on your behalf in work that you would customarily undertake yourself. I therefore owe nothing for it.” As for work for which the trader ordinarily hires someone rather than undertaking it himself, such as transporting the goods, maintaining slaves, and the like, its expense is included in the original cost, but no profit is calculated on it, since it leaves no tangible result in the goods.

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It follows that if he purchases from the buyer something that he knows he would customarily purchase only through an intermediary and a broker, or rents from him a storehouse for the goods which he would not otherwise need, the expense must be included in the original cost, but no profit is calculated on it. I have seen this view expressed by some scholars.

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This applies when he discloses all these expenses, saying: “I purchased these goods for such-and-such an amount, dyed them for such-and-such an amount, paid such-and-such in hire charges for them, and paid the broker such-and-such for them. I therefore sell them at a profit of