Of the 10,000 lbs. of yarn worth £500, the value of 8,440lbs., equal to £422, is equal to the capital-value less the surplus-value.
If the capitalist sells first 8,440 lbs. of yarn at L422, then these 8,440lbs. of yarn represent C, the capital-value in commodity-form. The surplus-product of 1,560 lbs. of yarn, contained besides in C' and equal to a surplus value of £78, does not circulate until later. The capitalist could get through C---M---C< LMP before the circulation of the surplus-product C---m---c is accomplished.
Or if he sells 7,440 lbs. of yarn worth £372, and then 1,000lbs. of yarn worth £50, he might replace the means of production (the constant capital c) with the first part of C, and the variable capital v, the labour-power, with the second part of C, and then proceed as before.
But if such successive sales take place and the conditions of the circuit permit it, the capitalist, instead of separating C' into c + v + s, may make such a preparation also in the case of aliquot parts of C'.
For example the 7,440 lbs. of yarn equal at £372, which as parts of C' (10,000 lbs. of yarn worth £500) represent the constant part of capital, may themselves be separated into 5,535.360 lbs. of yarn worth £276.768, which replace only the constant part, the value of the means of production used up in producing 7,440 lbs. of yarn; 744 lbs.
of yarn worth £37.200, which replace only the variable capital; and 1,160,640 lbs. of yarn worth £58.032, which, being surplus-product, are the depositories of surplus-value. Consequently on selling the 7,440lbs. of yarn, he can replace the capital value contained in them out of the sale of 6,279.360 lbs. of yarn at the price of £313.968, and he can spend as his revenue the value of the surplus-product amounting to 1,160.640 lbs., or £58.032.
In the same way, he may divide up another 1,000 lbs. of yarn equal to £50, equal to the variable capital-value, and sell them accordingly;744 lbs. of yarn worth £37.200, constant capital-value contained in 1,000 lbs. of yarn; finally, 100 lbs. of yarn worth £5.000, variable capital-value ditto; hence 844 lbs. of yarn worth £42.200, replacement of the capital-value contained in the 1,000 lbs. of yarn; finally 156 lbs.
of yarn worth £7.800, representing the surplus-product contained in it, which may be consumed as such.
Finally, he may divide the remaining 1,560 lbs. of yarn worth £78, in such a way, provided he succeeds in selling them, that the sale of 1,160.640 lbs. of yarn, worth £58.032, replaces the value of the means of production contained in those 1,560 lbs. of yarn, and that 156 lbs. of yarn worth £7.800, replaces the variable capital-value;altogether 1,316.640 lbs. of yarn equal to £65.832, replacement of the total capital-value; finally the surplus-product of 243.360 lbs., equal to £12.168, remains to be spent as revenue.
All the elements -- c, v and s -- contained in the yarn are divisible into the same component parts, and so is every individual pound of yarn, worth 1 s., or 12 d.
c = 0.744 lbs. of yarn = 8.928 d.
v = 0.100 lbs. of yarn = 1.200 d.
s = 0.156 lbs. of yarn = 1.872 d.
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c + v + s = 1 lb. of yarn = 12 d.
If we add the results of the above three partial sales we obtain the same result on selling the entire 10,000 lbs. at one sweep.
We have of constant capital:
at the first sale: 5,535.360 lbs. of yarn = £276.768at the second sale: 744.000 lbs. of yarn = £ 37.200at the third sale: 1,160.640 lbs. of yarn = £ 58.032---------------------------------------------------------------Total . . . . . . . 7,440 lbs. of yarn = £ 372Of variable capital:
at the first sale: 744.000 lbs. of yarn = £ 37.200at the second sale: 100.000 lbs. of yarn = £ 5.000at the third sale: 156.000 lbs. of yarn = £ 7.800---------------------------------------------------------------Total . . . . . . . 1,000 lbs. of yarn = £ 50Of surplus-value:
at the first sale: 1,160.640 lbs. of yarn = £ 58.032at the second sale: 156.000 lbs. of yarn = £ 7.800at the third sale: 243.360 lbs. of yarn = £ 12.168---------------------------------------------------------------Total . . . . . . . 1,560 lbs. of yarn = £ 78Grand Total:
Constant capital . . . . . . . . . . 7,440 lbs. of yarn = £ 372Variable capital . . . . . . . . . . .1,000 lbs. of yarn = £57
Surplus-value . . . . . . . . . .... 1,560 lbs. of yarn = £ 78-------------------------------------------------------------------Total . . . . . . . . 10,000 lbs. of yarn = £ 500C'---M' in itself stands merely for the sale of 10,000 lbs. of yarn.
These 10,000 lbs. of yarn, like all other yarn, are a commodity. The purchaser is interested in the price of 1 s. per lb., or of £500 for 10,000lbs. If during the negotiations he goes into the value-composition of the yarn, he does so simply with the insidious intention of proving that it could be sold at less than 1 s. per pound and would still be a good bargain for the seller. But the quantity purchased by him depends on his requirements.