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Strategies & Market Trends : Income Taxes and Record Keeping ( tax ) -- Ignore unavailable to you. Want to Upgrade?

To: Nasty P who wrote (161)	11/2/1997 1:05:00 PM
From: lavalamp	Read Replies (2) \| Respond to of 5810

Nasty and all that have posted about lot identification, I had posed the question to Schwab and their response (unverified as to correctness ) is the lot designation of shares sold on trade confirmations is no longer required by the Internal Revenue Service. They then go into a discussion of how to designate the shares sold after the fact for your record keeping. Thus, if what Schwab stated is correct, we really can just do all the matching on our own and not worry about designating the lot on the trade confirmation. Makes sense to me, but I would like to see someone post something from the IRS that states this (maybe a Rev.Proc.)

To: Nasty P who wrote (161)	11/17/1997 12:07:00 AM
From: Candle stick	Read Replies (1) \| Respond to of 5810

Nasty, can you help me out? Quick easy question about how earnings are reported for corporations these days.....when they report FULLY DILUTED EARNINGS, are we talking all shares outstanding and thats it? or does it also include warrants outstanding and in the money options held by management? I was told that all warrants and in the money options are factored into fully diluted earnings according to new accounting rules, and that this is diferrent from some other type of earnings that many companies report......sound crazy? Whats the real way to calculate? Example: I own a stock with 16 million shares outstanding , 2 million warrants(currently out of the money) and 700,000 options deep in the money. What is the correct amount to use when calculating earnings/share? Thanks very much for taking a moment to answer......;^)