journal entries

[anubhavsawhney]

I have started a partnership firm with trading of stocks & derivatives as primary business.
Please post journal accounting entries for following-
1.intraday trade for stocks(& nature of profit or loss)
2.intrday trade for futures & options((& nature of profit or loss)
3.positional trade for stock(delivery)
4.postional trade for futures & options.

Thanks

anubhav

 

[ankur_rohira2000]

hi

i have to appear nism currency derivative exam on 16/10/10 . i was having difficulty in understanding accounting chapter in book but 1 of my friends told me that accounting for equity derivatives & currency derivatives is same as of now . is it true ?
as of now this is how i under stand it :--
Accounting at the time of inception of the derivative contract
Initial Margin Money paid
Initial Margin - currency Futures A/c Dr. ----
To Bank A/c ----

Accounting at the time of Daily settlement ( client has notional loss )
Mark-to-Market Margin currency futures A/c Dr.
To Bank A/c
(Being net Margin Money paid for day)

Accounting at the time of Daily settlement (client has notional profit )
Bank A/c Dr.
To Mark-to-Market Margin currency future A/c
(Being net Margin Money received for day)

is this right ? moreover can you tell me about accounting entry in client's books ( equity / currency ) at the time of final settlement ( when client books profit/loss or when contract expires ) ? & in case client of a broker default on a payment ( unable / unwilling to pay ) what should be accounting entry in clients books ?