There is a big difference between gaining income by increasing your money, and gaining income via an "income account". Currently it is possible to "gain income" through stocks WITHOUT using an income account.
-derek "Phillip Shelton" <[EMAIL PROTECTED]> writes: > It may not be an expense. But I hope to gain "income" from that Delta or I would not >be in the market for shares. > > -----Original Message----- > From: Derek Atkins [mailto:[EMAIL PROTECTED]] > Sent: Friday, 3 January 2003 7:07 AM > To: David Hampton > Cc: Ed Warnicke; [EMAIL PROTECTED] > Subject: Re: accounting for stock trades > > > David Hampton <[EMAIL PROTECTED]> writes: > > > The problem is that gnucash is creating/destroying money in stock > > accounts. For example, I transfer $100 from income into a stock account > > and buy 10 shares of CSCO at $10 each. The next day I sell those shares > > at $11, and transfer $110 out of the stock account to a cash account. I > > have a net $10 gain, but that gain is not posted to an income account > > and cannot be posted to an income account given the current state of > > gnucash. It has simply been created out of thin air. Try this in a > > brand new account tree and you'll see that after two transactions, total > > income is $100 but total assets is $110. > > Sure, but I could also buy $10 shares of CSCO at $10 each and then > sell them at 12EUR each.. So what? Does that mean that every time we > have a multi-currency (or multi-commodity) transaction that we need to > supply an income/expense split as well? That sounds rather, um, > unpleasant. > > The gain/loss is due to the change in price (or change in exchange > rate) between the two commodities (in your example, USD and CSCO, in > my example USD, CSCO, and EUR). Delta-Exchange-Rate is not an income > or an expense. > > > David > > -derek > > -- > Derek Atkins, SB '93 MIT EE, SM '95 MIT Media Laboratory > Member, MIT Student Information Processing Board (SIPB) > URL: http://web.mit.edu/warlord/ PP-ASEL-IA N1NWH > [EMAIL PROTECTED] PGP key available > _______________________________________________ > gnucash-devel mailing list > [EMAIL PROTECTED] > http://www.gnucash.org/cgi-bin/mailman/listinfo/gnucash-devel > _______________________________________________ > gnucash-devel mailing list > [EMAIL PROTECTED] > http://www.gnucash.org/cgi-bin/mailman/listinfo/gnucash-devel -- Derek Atkins, SB '93 MIT EE, SM '95 MIT Media Laboratory Member, MIT Student Information Processing Board (SIPB) URL: http://web.mit.edu/warlord/ PP-ASEL-IA N1NWH [EMAIL PROTECTED] PGP key available _______________________________________________ gnucash-devel mailing list [EMAIL PROTECTED] http://www.gnucash.org/cgi-bin/mailman/listinfo/gnucash-devel
