RE: Just catching up11 Jan 2020 18:32
Sorry intrepid, that’s not how average price works.
You buy, 10,000 shares at 14p, which gives you a book cost of ÂŁ1,400
You then sell 1,000 of these at 20p. You take home ÂŁ200, reduce your book cost by ÂŁ140, calling the ÂŁ60 profit.
You are left with 9,000 shares at a book cost of ÂŁ1,260. Which is still an average of 14p. But you have taken profit along the way.