The balance rose, but did trading profit?
Reconcile a deposit and open P&L before describing performance.
Illustrative simulation · No historical performance claim01. Read the information available.
A synthetic report begins with USD 10,000 equity. An external USD 500 deposit has arrived. Four completed programs show net outcomes +80, −50, +40 and −30 dollars. A position remains open and will be marked at the reporting cutoff. The visible market chart cannot by itself establish account deposits, quantities or net results; those are ledger inputs supplied by the case.
02. Apply the documented plan.
Before making a performance claim, reconcile closed net results, the open mark and external flows. Use the stated valuation convention and retain the timestamp. A percentage return requires cash-flow timing and a defined methodology; do not automatically divide a convenient equity change by starting capital.
Ending equity USD 10,470; economic P&L −USD 30
At the cutoff, the stipulated open mark is −USD 70. Closed net results total +USD 40, so economic P&L is 40−70=−USD 30. Ending equity is 10,000+500+40−70=USD 10,470. The USD 470 equity increase includes the deposit and is not trading profit. The later synthetic chart does not change that reporting cutoff or supply a return percentage without the missing cash-flow timing.
Reproduce the calculation
| Component | Calculation or state |
|---|---|
| Closed net | 80−50+40−30 = USD 40 |
| Open mark | −USD 70 |
| Economic P&L | −USD 30 |
| Ending equity | USD 10,470 after deposit |
Use the case facts and their units. Chart movement alone does not prove execution or account cash flows.
What this case teaches
A dashboard can be arithmetically correct yet misleading if it labels balance growth as performance. Reconcile every component, state the cutoff and keep hypothetical signals distinct from executed account evidence.
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