How to handle sale of partial lots of stock?

[John Schoffstall]

Derek Atkins wrote:
> Well, it's also possible that the balance sheet is screwed up..
> I'm assuming you're running 1.8 and not 1.9?

1.8.10, the version being distributed with Debian etch.

== John

> -derek
> 
> John Schoffstall <john.schoffstall at pobox.com> writes:
> 
> 
>>Derek Atkins wrote:
>>
>>>You're using Weighted Balance for the stock price.  Don't do that.
>>>You want to use the "most recent pricedb entry" and make sure you
>>>have a pricedb entry for the $20/share
>>
>>Okay, I did that. Now the balance sheet looks like this:
>>
>>Assets
>>Assets                 $0.00
>> Investments:      $3995.00
>>Assets                    $3995.00
>>
>>Liabilities
>>Liabilities                  $0.00
>>Unrealized Gains(Losses)   $333.33
>>
>>Equity
>>Equity                 $0.00
>> Opening Balances: $2000.00
>>Retained earnings:           $0.00
>>Net Profit:                $995.00
>>Total Equity:             $2995.00
>>
>>Liabilities & Equity:     $3328.33
>>
>>But Unrealized Gains should be $1000, not $333.33. Price db entries are $10 for 3/14 and $20 for 3/15-present.
>>
>>== John
>>
>>
>>>-derek
>>>Quoting John Schoffstall <john.schoffstall at pobox.com>:
>>>
>>>
>>>>Derek Atkins wrote:
>>>>
>>>>
>>>>>Um, it should work just fine if you put in the correct gain/loss splits.
>>>>>Can you show an example of where it's failing, please?
>>>>
>>>>
>>>>Create a GnuCash file with Assets, Expense, Income, and Equity
>>>>accounts. Create a stock account under the Brokerage account,
>>>>"Digital Datawack" (DWAK). We'll use these accounts:
>>>>
>>>>Assets:Investments:Brokerage
>>>>Assets:Investments:Brokerage:DWAK
>>>>Expense:Commissions
>>>>Income:Capital Gains
>>>>Equity:Opening Balances
>>>>
>>>>Enter a transaction for 200 shares of Digital Datawack at $10 a
>>>>share as an opening balance:
>>>>
>>>>Date       Action Account                           Shares Price
>>>>Debit Credit
>>>>03/14/2006 Buy    Assets:Investments:Brokerage:DWAK 200       10  2000
>>>>                 Equity:Opening Balances
>>>>2000
>>>>
>>>>Our balance sheet looks like this:
>>>>
>>>>Assets
>>>>Assets                 $0.00
>>>> Investments:      $2000.00    Assets                    $2000.00
>>>>Liabilities
>>>>Liabilities                  $0.00
>>>>Unrealized Gains(Losses)     $0.00
>>>>
>>>>Equity
>>>>Equity                 $0.00  Opening Balances: $2000.00
>>>>Retained earnings:           $0.00
>>>>Net Profit:                  $0.00
>>>>Total Equity:             $2000.00
>>>>
>>>>Liabilities & Equity:     $2000.00
>>>>
>>>>
>>>>Digital Datawack doubles in a day! We'll lock in profits and sell
>>>>half our shares:
>>>>
>>>>Date       Action Account                         Shares Price
>>>>Debit Credit
>>>>03/15/2006 Sell   Assets:Investments:Brokerage                     1995
>>>>                 Expenses:Commissions
>>>>5                           Assets:Investments:Brokerage:DWAK
>>>>1000
>>>>                 Assets:Investments:Brokerage:DWAK    -100    20
>>>>2000
>>>>                 Income:Capital Gains
>>>>1000
>>>>
>>>>But now our balance sheet looks like this:
>>>>
>>>>Assets
>>>>Assets                 $0.00
>>>> Investments:      $3661.67   Assets                    $3661.67
>>>>Liabilities
>>>>Liabilities                  $0.00
>>>>Unrealized Gains(Losses)     $0.00
>>>>
>>>>Equity
>>>>Equity                 $0.00  Opening Balances: $2000.00
>>>>Retained earnings:           $0.00
>>>>Net Profit:                $995.00
>>>>Total Equity:             $2995.00
>>>>
>>>>Liabilities & Equity:     $2995.00
>>>>
>>>>Drilling down into the balance sheet a little, it seems that
>>>>everything is correct, except that our remaining shares of DWAK are
>>>>being assigned the value of $1666.67. Huh?
>>>>
>>>>So: what's going on here? What am I missing?
>>>>
>>>>== John
>>>>
>>>>
>>>>>-derek
>>>>>
>>>>>Quoting John Schoffstall <john.schoffstall at pobox.com>:
>>>>>
>>>>>
>>>>>>[ack, replied to Derek instead of to the list, sorry]
>>>>>>
>>>>>>Thanks for the fast reply!
>>>>>>
>>>>>>Yes, I read that, and set up the splits as described. It works if
>>>>>>I sell exactly the number of shares that I own. But if
>>>>>>-NUM_SHARES is less than my total owned shares, my balance sheet
>>>>>>will be unbalanced as a result. It remains unbalanced until I
>>>>>>sell the rest of the shares of that stock account.
>>>>>>
>>>>>>== John
>>>>>>
>>>>>>
>>>>>>Derek Atkins wrote:
>>>>>>
>>>>>>
>>>>>>>You should read the concepts guide.
>>>>>>>
>>>>>>>http://www.gnucash.org/docs/v1.8/C/gnucash-guide/invest_sell1.html
>>>>>>>
>>>>>>>-derek
>>>>>>>
>>>>>>>Quoting John Schoffstall <john.schoffstall at pobox.com>:
>>>>>>>
>>>>>>>
>>>>>>>>Greetings! Running 1.8.10 on Debian etch. New GnuCash user, new
>>>>>>>>list user, new Linux user.
>>>>>>>>
>>>>>>>>I've been climbing the GnuCash learning curve for the past
>>>>>>>>week, been happy with the software, and making good progress
>>>>>>>>until now. I've hit a snag I can't get past, though.
>>>>>>>>
>>>>>>>>How do you sell a partial lot of stock -- e.g., selling only
>>>>>>>>100 of 200 owned shares -- without unbalancing your balance
>>>>>>>>sheet? I've tried creating two lots, each of 100 shares and
>>>>>>>>only selling one, but that still whacks the balance sheet.
>>>>>>>>
>>>>>>>>The examples in the docs all seem to show only the purchase and
>>>>>>>>sale of equivalent amounts. I've googled the net and the
>>>>>>>>mailing list archives, but can't find an answer I can
>>>>>>>>understand.
>>>>>>>>
>>>>>>>>This is a common situation; there must be an answer. Can anyone help?
>>>>>>>>
>>>>>>>>== John
>>>>
>>>>
>>
>>
>