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Revenue for Investment Company


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Old 12-17-2006, 05:02 PM
male male is offline
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Default Revenue for Investment Company

I am forming a company that does stock market and real estate investment. Since its just a startup I have a basic accounting question: Lets say I spend $10000 to buy a stock and later in the year sell it for $12000. Is this correct to say the company revenue is $12000, with $10000 classified as cost and $2000 as profit?
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Old 12-17-2006, 05:10 PM
pag pag is offline
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With stocks and real estate it is a $2000 capital gain. You cannot expense capital investments
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