Replies to post #35213 on A.I.M. Users Bulletin Board (AIMUSERS)

[Conrad]

Still Entangled or not ????

>>>>You started with stock Value = 5000. PC = 10000 and THEN when you set up the AIM you use an inflated PC= 10000 but also inflate the stock value itself with 5000 so that the stock value is the Virtual Value of 10000=5000+5000<<<<<

Yup That is correct

PC = 10,000 and the STARTING stock value you use in the formula is $10,000 but you have only really bought $5,000.
Now, this is exactly what I did the second time around! Then you told me that I was NOT supposed to add the Virtual Value of 5000 to the Stock Value, so that was the point at which I formulated the Buy Function this way with the 20% drop in share price:

PC=10000
V-5000
s=0,05

Buy=(PC-V)- s*V and after the 20% drop this becomes

Buy=(10000-4000) -200 = 6000 -200 = 5400

This is exactly as I did before, except that I used 20% price drop instead of 10%, but you said that was wrong :-)

The question now is if this is finally the correct way to use the Virtual Share Concept?


That is where the pretend virtual shares come in.

Toofuzzy

I keep my fingers crossed :-)