How Does StockMarketEye Compute Average Cost Basis
StockMarketEye computes both the Average Cost Basis (ACB) value and the Standard Cost Basis (SCB) value for
all your investments.
The SCB calculation is lot based. Each purchased lot of a stock or mutual fund has its own cost basis
(price-per-share * number-of-shares) + commissions + fees
For multiple lots (i.e. multiple purchases) of the same stock, each lot retains its own, original cost basis
The ACB calculation is similar to the SCB calculation. In fact, for single lot purchases, the SCB and ACB are
exactly the same. However, the ACB differs from the SCB when multiple lots have been purchased.
For multiple lots (i.e. multiple purchases) the cost basis of each lot is added together to arrive at a total
cost basis value. The total cost basis value remains the same until an addition purchase is
A per share ACB value is computed by dividing the total cost basis by the number of shares currently
When selling shares, the ACB per share value is used to compute the capital gain/loss. If not all of the
sold (partial sell) the remaining shares keep the same ACB per share value they had prior to the sale.