How do you post a transaction which is paid in shares of the other company instead of cash?
submitted by anastasia

oddjob

You'd record the fair value of those shares as an investment or asset, instead of cash. So, you'd debit the investment account and credit something like common stock or another equity account, depending on the situation.

mayday

Debit the relevant investment or equity account for the value of the shares received. They're not cash. They're not liquid assets.
Credit the appropriate asset account or payable. Essentially, you're recognizing the investment at its fair value, not cash.