Hope someone can help and consider this situation. Not urgent, but reassurance would be nice.
Because of bookkeeping (I probably set this up wrong a 30 years ago, but be that as it may), I had a security for 100 shares in certificate form I originally named called "XYZ 100" . It spun off re-invested dividends in the same account called 'XYZ Dividend' (say, I got 200 new shares for the sake of argument). They listed both in a certificate section (for 100) and a book entry section (for 200), so it was always easier for me to track as if they were different.
I recently re-registered the original 100 shares I held in certificate (surrendered the certificate I held) and the 200 shares I had in book form and they created a NEW account with both sets of shares in book form combined total of 300. So far, so good.
In Quicken, I'd like to move both the original 100 shares and 200 reinvested into a SINGLE named combined security since it is now listed as same AND KEEP THE COST BASIS of the components.
So first, I simply moved the 100 shares of 'XYZ 100' into a newly named account and renamed them to 'XYZ' via the Quicken dialogs. So far, so good.
I moved the 200 shares of 'XYZ Dividend' into the new account, but could NOT rename 'XYZ Dividend' to 'XYZ' since now this name is in use.
So what I did was a 'corporate acquisition' 1 for 1 share ("XYZ" acquiring "XYZ Dividend") and used the closing price of "XYZ" of the date of the consolidation. Seems to have worked, although a capital gains report shows a sale off ALL the originals, but ultimately leading to a zero cost basis in the report. In a test account, I modified the price per share to be constant on the two days of the trade before and after to keep all things the same, and Quicken has maintained after the trade the cost basis that is equal to the sum of the two components("XYZ 100" and "XYZ Dividend" the day before. So I think all is well.
Is this the best way of doing this?
-------------------------------------- Regards -
- Andrew