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By: Andrew
On:2010-03-11 14:33:11
Subject: How is the avgcost calculated?

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	for your long position, suppose you have M shares, average cost is a0 1) if you buy N more shares at an average cost of a1, your new average cost is ( M x a0 + N x a1 ) /(M + N) 2) if you sell off N shares at a3 per share, and suppose N 3) if you sell off N shares at a3 per share and suppose N>M, your position will become a short position your new average cost will be a3