My opinion - free trades (or any 'free' incentive) should not hit the income
statement. You buy 100 shares of stock for $10.00. Put it in as 1,000 (with
zero commission). How can this affect the cost basis or income statement?

If the new broker actually credited your account with cash you have a
separate issue. Show the $$ as income, then debit each trade as a
commission. But I have never seen free trades given out as cash.

Good luck,

Juan Mostek

-----Original Message-----
From: ANNE WEEKS [mailto:finances_first@bivio.com]
Sent: Tuesday, December 10, 2002 1:24 PM
To: club_cafe@bivio.com
Subject: club_cafe: referral fee


We recently changed brokers and got several free trades.
They are showing up in bivio as income, but I feel they
should be adjustments to the basis of the stocks bought and
sold. Am I right and how do I go about doing it?
Thanks,
Anne W