How to Calculate Cost Price?

Cost price calculation formula: cost price = (total amount bought during the holding period - total amount sold during the holding period) ÷ holding quantity

Meaning: The cost price refers to the average price of a stock during the holding period, including commissions and fees. It reflects the overall cost of holding the stock by factoring in the profits and losses from each trade. The cost price considers both buy and sell prices and results in an average cost. Gains or losses from selling the stock can affect the cost price, which may even result in a negative cost price in some cases.