On Tue, 25 Apr 2000, Matt Sisk wrote:
> I am only questioning whether the "rabbit accounting" properly belongs
> in the scope of the core engine. What I am really getting at here is
> that the core engine should be modularly extensible in order to
> accommodate all accounting situations, including ones that we have not
> even thought of yet.
> The core engine logs events in terms of a "currency", correct. Beyond
> that, if you want to make any statements about the activity in terms
> other than that currency, you are out of luck unless you encode the
> extra translation information into the core engine, where it is not
> strictly necessary.
>
> Just as an aside, I deliberately chose rabbits in my example as an
> analogy to stocks and splits. In this case, if the currency is "rabbits"
> (ie, stock shares), there is a problem when they breed (split). You have
> more "currency", but in order to represent this you have to keep
> detailed breeding transactions with no exchange between accounts. This
> is needless effort. It seems easier to simply log transactions in terms
> of cash units for core accounting, and track the breeding behavior in a
> specialized log/report.
I don't view breeding as a stock split. The stock split is a currency
revaluation. Your trade "old" shares for "new" shares. The price per share
changes, but the total value remains the same.
When my rabbits breed, I have more rabbits. The price of a rabbit hasn't
changed. I got a dividend. Record it under income and increase the inventory
of rabbits.
A-COUNT-TING is about keeping track of things. It handles "inventory" of any
kind of things.
The engine is just a database of events that affect the "inventory".
You can either restrict the database to the "cash books" which are kept in a
single currency and keep everything of interest in a secondary database or
you can realize that the secondary database can certainly hold the cash books
as well because they are just another inventory.
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