Skip to main content
Message Font: Serif | Sans-Serif
 
No. of Recommendations: 0
Not sure if this is the correct spot to post this. I'm sorry if it's not. Is this scenario correct?

Scenario: I buy 100 shares of Company XYZ at $50/share. I hold, and it drops to $20/share. I decide to buy 50 shares more.

When I decide to sell, the shares I sell come from the first 100. So, if the price goes to $40 and I sell 50 shares, I take a $10/share loss because the 50 I sold are not the 50 I bought at $20/share. Is that correct? First in, first out?

Thanks,
Mike
Print the post  

Announcements

What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.