[GNC] recognition of unrealized gains

[David Cousens]

Don

Unrealized gains are not usually recognized in normal net income and as such
would not appear in an income statement which basically measures operating
income. They are normally recognized in comprehensive income which includes
all changes in equity other than the contributions by the owners or
distributions to the owners. They are normally accumulated in an account
with a name something like Accumulated Comprehensive Income under Equity and
include income from investments

A statement of Comprehensive Income would include these. I don't think
GnuCash currently has a report for this,  Another difficulty can be
variations between tax jurisdictions on the treatment of unrealized gains
and losses. Most jurisdictions do not tax them, whereas the operating profit
is usually taxable in all jurisdictions.


David Cousens



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David Cousens
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