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Re: bbotcs post# 118

Friday, 05/25/2012 11:15:20 AM

Friday, May 25, 2012 11:15:20 AM

Post# of 362
Your analysis is too simplistic. Yes you can take a cost basis. I simply leave them two different positions for calculations purposes. But if you want to take a cost basis you can by simply figuring it out.

Lets assume Stock A was $5 when PSL 21 Started.

After some time Stock A decline to $2. You decide to sell stock B to DD. Stock B was up 50% when you sold.

Under that scenario 200/$5 and 750/$2= Cost basis Would be $2.63

If stock B was sold unChanged when sold. The cost basis would be $2.86. So the point is stock B performance when it is sold determines the cost basis. Hoep This Helps.






---All above is just my humble opinion.
And I could always be wrong.
And as always do your own DD.---
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