[GNC] Direct Adjustment of Security's Price

[David Carlson]

GnuCash has tools described in Chapter 11 of the Guide as noted by David T
earlier.  It is probably possible to adapt one of the investment over time
reports to produce the information you need if you structure your accounts
well and then periodically download prices from the Internet using the
Finance::Quote module, but the details are beyond my personal knowledge.

On Sun, Jun 19, 2022 at 9:59 PM Gao Bite <redfrog2000 at outlook.com> wrote:

> Mr. D, Cousens:
>
> I am sorry that I did not state what I expected from the income
> recording well in the previous e-mail. I wish that you could read it
> carefully and give me advice accordingly.
>
> I purchase securities for speculation, which I anticipate their market
> price and the ability to resell these securities for that price. Every
> two weeks, I need to update the market price of my holding securities. I
> need to increase (decrease) the securities' asset value. What's more, I
> need to record changes in market value as an income. I need to be able
> to display the value of income over time so that I can have a better
> decision on investing.
>
> However, I have some issues in recording my investing process in your
> software. First of all, the built-in trading account generates gains and
> losses only on the current exchange rate, so it is hard to display the
> performance of the investment over time. While adjusting securities'
> value affects the total asset's value standalone, recording the
> investment income needs a corresponding asset account. This fact gives
> me two choices: either detach the asset value from the accounting
> equation or detach the securities' book value from their market value
> (as the method in the tutorial displays).
>
> I sincerely hope that there is a method to fix these incorrectnesses. I
> would greatly appreciate it if you help me find these methods.
>
>      Yours,
>
>      Bite Gao
> June 20th, 2022
>
> On 2022-06-20 6:41, davidcousens49 at gmail.com wrote:
> > Bite
> >
> > The transaction to record this, if a profit or increase in value of the
> security
> > is to debit the security by the amount of the profit and to credit an
> income
> > account by the same amount. For a loss in value creidt the security
> account and
> > debit the income amount. The profit or loss is the product of the number
> of
> > securites held  and the difference in prices between the date at which
> you are
> > recording the unrealized gain/loss and the price at the time you have
> previously
> > recorded a gain or loss Ultimately this traces back to the initail
> purchase
> > price.
> >
> > You may find it useful to use a sub-account of the security (of the same
> type
> > account) totalling into the security account to record the unrealized
> gains and
> > losses so that you preserve the initial cost basis which you will likely
> need
> > for capital gains taxes in most jurisdiction. Unrealized gains and
> losses are
> > generally not taxable as income in most jurisdictions, so you would need
> an
> > Income account separate from any Income account structure which records
> income
> > for taxation purposes.
> >
> > David Cousens
> >
> > On Sun, 2022-06-19 at 21:56 +0800, Gao Bite wrote:
> >> GnuCash developers & Maintainers:
> >>
> >>       Hello! I would like to record the unrealized profit & loss from
> >> security investment directly into an income account. Could you please
> >> tell me whether I am possible to do as above, and if possible, how I can
> >> achieve this?
> >>
> >>       Yours,
> >>
> >>       Bite Gao
> >>
> >> June 19th, 2022
> >>
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-- 
David Carlson