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Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study! -- Ignore unavailable to you. Want to Upgrade?


To: George Theodorou who wrote (9862)3/3/1999 6:47:00 PM
From: mc  Read Replies (1) | Respond to of 14162
 
You'll report in on your schedule D by itself. The only time it would show in the transaction with the stock sale as an adjustment is if the stock is called away from you. So the columns (example only)go as follows:

Assumes: Price for option is $1. And fees are $30.

A (description) 10 XYZ calls
B (Date acquired) 3/21/98 (really the expiration date)
C (Date sold) 1/3/97 (date you opened the position by writing to open)
D (Sales Price) $970 (really sales price less fees)
E (Cost Basis) Expired
F (Gain or Loss) $970

Gary