Replies to post #95264 on NanoTech Entertainment Inc (NTEK)

[DLK52]

From Scottrade


FIFO (First In, First Out)
The shares you acquire first are the shares that are sold first. Think of this like the milk aisle at a large grocery store - the shelf is loaded back-to-front from the refrigerated room in back, so the first gallon of milk that the grocer slides into the shelf is the first one a customer sees. The first gallon of milk put in is the first gallon of milk that is taken out.
FIFO is well suited for accounts with few individual tax lots and limited differences in price per share for basis. Investors with various lot positions bought over an extended period of time at different prices should consider the tax consequences of using FIFO when selling those positions.
FIFO is Scottrade's default tax strategy.
LIFO (Last In, First Out)