On Transaction Monetary Assets and Long-term Stock Ownership Investment - From the Perspective of Equity

摘要

As an outcome of financial innovation, transaction monetary assets have internal and natural relationship with the long-term equity investment. Equity is the part of the former, but the whole of the latter. This paper analyzes the differences between transaction monetary assets and long-term stock ownership from five aspects. The accounting method is different with the different investment purpose. In conclusion, it is found that accounting calculation is decided by the goal of investment in both transaction monetary assets and long-term stock ownership investment, so accounting calculation will be more accurate if the goal of investment is certain beforehand.