Mutual fund prices precision

[Mike Alexander]

--On August 4, 2015 at 4:02:25 PM -0700 AC <gnucash at acarver.net> wrote:

> Tax reporting of long term and short term capital gains and losses are
> dependent on knowing the basis for each, so price precision is
> important because a rounding error can creep in over time.  What is
> reported on the statement versus what is kept internally I'm sure
> differs.  As I said, though, I'm not going to depend on GC to
> generate reports for that, I'll just wait for the tax form from my
> broker which has everything summarized as reported to the IRS
> already.  It was more of an interest in keeping the local records at
> a high level of precision to avoid rounding accumulation over time.

Actually, price precision as such is not very relevant for calculating 
basis.  What is relevant is the total cash invested and total number of 
shares purchased.  GnuCash tries to keep these correct as you entered 
them by adjusting the price as necessary.

               Mike