[GNC] Cashflow-like report to show realized and unrealized gains / balance sheet delta report

[Michael or Penny Novack]

On 2/28/2019 8:43 AM, Chary Chary wrote:
> csingley,
>
> thanks for feedback.  I found the correct report name, which I think I
> want. In finance world it is called "Statement of Comprehensive Income"
>
> https://www.investopedia.com/terms/c/comprehensiveincome.asp
>
> ===========================
> . Comprehensive income includes net income and unrealized income, such as
> unrealized gains/losses on hedge/derivative financial instruments and
> foreign currency transaction gains/losses. Comprehensive income provides a
> holistic view of a company's income not fully captured on the income
> statement.
> ============================
>
I think this is what the initial questioner was after BUT not what words 
said as this is distinctly NOT "cash flow like". A person/business might 
be doing fine with regard to income/expense but be in trouble with cash 
flow and vice versa. Those are VERY different things, especially when 
unrealized gains are involved.

It is also important to note that for some comparisons, especially 
between "net worth" positions, our standard books are of little to no 
use except to provide some/most of the components making up net worth to 
be added to other components that do not have "book value" (not 
exchangeable for money, or not at a fair price)

Annuities would be an example of this (the right to receive a series of 
"rents", possibly "ay least x" but otherwise as long as one or more 
people are alive). Note that an actuary can compute the "present value" 
of such a right, it's what an insurance company would charge you for the 
right, but not salable for that amount (annuity sellers being desperate, 
they get a raw deal).

Besides annuities there are things like "life tenancies"

Thus if you wanted to describe the equivalent net worth of person you 
would take their book net worth and add things like the present value of 
any annuities, the estimated value of any life tenancies, etc.  
Especially if some of these "off book" components were large compared to 
the book components.

Remember, some of us are faced with choices involving options of this 
sort << for example, at retirement, your employer might offer you a 
choice >>

Michael D Novack