Entries in Cash Account

[Matt]

Hi Mark, I am confused about how cash is tracked, probably entirely due to my arithmetical ignorance but I still would like to learn about this. When registering a (non reinvested) dividend it shows up as "Type Dividend" in the list under the investment concerned, but as "Type Purchase" in the list for the Cash Account, where the Dividend amount is listed bith under (Number of) Shares AND Total. Has this been always like this? It does not seem to affect the calculation of numbers of shares held.
In the same list, Redemptions are registered as minus and purchases as plus amounts. Why is it not the other way round? Should I be worried? Thanks Matt

[Mark]

Hi Matt,

This all sounds correct/normal, and has always been like this. When you receive a dividend, that money gets deposited into cash. This is a buy (purchase) of more cash shares, as you now own more cash. Cash should stay at a price of $1/share, so all transactions have the number of shares the same as the value. For much more information on tracking cash, see our Tracking Cash Tutorial.