On Tue, Feb 3, 2015 at 9:40 PM, Red Street <[email protected]> wrote:
> > Areas for improvement: > If I read this right, you're essentially doing the same thing as what I suggest except 1. holding your options with no cost basis. 2. holding unvested options in an asset account. About (1), I forget the rules for taxation of options, but surely when they are granted to you they have a cost associated with them. This could be the cost basis you use instead of no cost basis. About (2): It's unfortunate that these options will appear on your balance sheet. - as the OP pointed out above, there is no easy way to calculate the price > of vested-but-unexercised, and unvested options > Why couldn't you have a script that parses your ledger, extracts the options instruments, parses your commodity conversion to get the strike prices and then spit out price entries from estimated vol/underlying values gathered from the market? Just plug in estimated numbers into this, you should get a coarse estimate: http://en.wikipedia.org/wiki/Black%E2%80%93Scholes_model#Black-Scholes_formula > - ORNG was purchased at $1.20 at exercise time. This is suboptimal because > ledger, for example, would assume $1.20 was the market price of ORNG on > that date, which is untrue. Is there a way to model things better using > generic bookkeeping methods? > 1.20 is the cost basis, not the market price. Why do you say it assumes 1.20 is the market price? -- --- You received this message because you are subscribed to the Google Groups "Ledger" group. To unsubscribe from this group and stop receiving emails from it, send an email to [email protected]. For more options, visit https://groups.google.com/d/optout.
