club_cafe: Valuation date entered in bivio

iras1 on

In a message dated 03/09/08 2:01:36 P.M. Eastern Daylight Time, etana_finkler@bivio.com writes:

We're now moving into intermediate knowledge, and cleaning
our Instruction sheet.

In bivio, entering the deposits for last month's meeting, we
put the
1. Transaction Date = date on brokerage statement deposit
entered

No. Transaction date should be the date your club receives the checks. This date does not have to (and usually won't be the same as the broker's transaction date.

2. Valuation Date: Friday before LAST month's meeting
(before the checks

Is this correct???

Valuation date is whatever date your club uses for it's current valuation. If you are meeting on a Monday and using the previous Friday's close for your valuation, that is the date (Friday) that you use for checks received at Monday's meeting. You do not use the valuation date from the previous month.

it's confusing ...
The valuation date happens
The meeting happens and we get the checks
The checks are entered in Brokerage account
The units are purchased??? when???
Bookkeeping in bivio: valuation date is before transaction
date??

The units are purchased as soon as the club receives the checks. The valuation date is always before the transaction date.

Think of it as if you were buying produce in the grocery store. The grocer decides before the beginning of the day how much to charge for string beans. If you walk in and say, "I would like $5 of string beans", he'll look at his price (unit value) and tell you that you can buy x pounds (units) of string beans that day. The day before, perhaps string beans (unit value) were cheaper, so $5 would buy more beans (units). If they were more expense, $5 would buy fewer beans (units).

Ira Smilovitz

It's Tax Time! Get tips, forms and advice on AOL Money & Finance.

Etana Finkler on

Ira,
From what you wrote:
Is this correct way to record it in bivio:
If the meeting is Monday Mar 9, we use the valuation date in
bivio of the PRECEDING Friday Mar 7, which is that month's
valuation. That is the day the units are purchased.

But then the check get deposited later into the brokerage
Mar 25.
So the transaction date is the date they enter the brokerage
Mar 25?

Mar 25 is the date that autosync has for the transaction
date.
thanks for your patience.
I'd rather buy string beans than be an accountant.

etana

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