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Username: Peter

Rating:
Guru Stars

Asked to: Tom Burke

Date Created: 28 Sep 2016
Category 28
Tag Financial
Question Please give the definition of 'Gain'.
Advice from Guru
Hi Peter,

An increase in the value of an asset or property. A gain arises if the selling or disposition price of the asset is higher than the original purchase or acquisition price. This positive difference between the sale price and purchase price is referred to as the gross gain; if transaction costs such as commissions and other expenses are considered, this would be a net gain. A gain may either be realized, i.e., when the asset is actually sold, or unrealized, i.e., a paper gain. Another important distinction of a gain is that it may be taxable or non-taxable.

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