On Wed, 22 Feb 2006 10:26:57 -0700 Mark Johnson <[EMAIL PROTECTED]> wrote:
> Andrew Sackville-West wrote: > > >On Tue, 21 Feb 2006 19:14:33 -0700 > >Mark Johnson <[EMAIL PROTECTED]> wrote: > > > > > >>As far as lots on hand go, is it first-in-first-out or > >>first-in-last-out? Does this vary from country to country? > >> > >> > > > >I know this varies. I think in the US (been too long since I held stock) you > >can decide either way and of course the advantage of one over the other > >varies depending on who's writing the tax laws this year. > > > >This could get really complicated. I guess the report shouldn't even show > >money-in or money out, just a cost basis for the shares, current value, gain > >and return. Then the basis column makes sense regardless of the method used > >for calculation. thoughts? > > > >A > > > Those four columns for the report seem sensible to me. > > I am concerned about the statement: "the basis column makes sense regardless > of the method used for calculation". > > > The value in the cost basis column depends upon whether the cost basis > is an average, FIFO, or LIFO. For example: > buy 1: 100 shares at $10.00 > buy 2: 100 shares at $11.00 > sell: 100 shares at $12.00 > > Now, on an average basis, for the sale, my cost basis per share is > $10.50, and my gain per share $1.50. On a FIFO basis, my per-share cost > basis for the sale is $10.00; my gain is $2.00 per share. On a LIFO > basis, my per share cost basis is $11.00; my gain is $1.00 per share. > > What remains after the sale? I have 100 shares. On an average basis, > my cost is $10.50 per share. On a FIFO basis, my cost is $11.00. On a > LIFO basis, my costs is $10.00. > > Both the cost basis and the gain columns are a function of the method > chosen for calculating capital gains. you misunderstand me there. i merely meant that a basis column is the right information to provide, as opposed to moneyin/moneyout, regardless of what method is used to calculate basis... seems to me that moneyin/moneyout is really of no use and may provide misleading information? I suppose its nice to see though that you've pulled $x.xx out of the stock over time. meh. maybe all three should be in there. I can always put in a display option for the various columns. A > > Mark > >
pgpRSzcNKLQ8T.pgp
Description: PGP signature
_______________________________________________ gnucash-devel mailing list [email protected] https://lists.gnucash.org/mailman/listinfo/gnucash-devel
