A Greek trireme. A Trireme is an ancient oar-driven warship powered by about 170 oars men. It was long and slender, had three tiers of oars and one sail. On the bow was a battering ram that was used to destroy enemy ships. The tip of the ram was made of bronze and could easily slice through the side of a wooden ship.
When you buy 1,000 shares of Ford at $14 and your broker charges you a $10 commission, your cost basis is $14,010 for those shares. That transaction is given a unique tax lot ID so you and the IRS can track those shares separately from other Ford stock you might buy later.
Adjusted basis, the net cost of an asset after adjusting for various tax-related items. Basis of futures, the value differential between a future and the spot price. Basis (options), the value differential between a call option and a put option. Basis point, 0.01%, often used in the context of interest rates. Basis trading, a trading strategy consisting of the purchase of a security and the sale of a similar security. Cost basis, in income tax law, the original cost of property adjusted for factors such as depreciation. Tax basis, cost of an asset.