TOPIC 1 ACCOUNTING FOR DECISION MAKING

LECTURE 2INTRODUCTION TO THE SHARE-MARKET

Introduction To Companies Role Of The Stock Exchange What Are Shares? Share Market Information In Newspapers

Teaching Suggestion
Show to students the Australian Securities Exchange website http://www.asx.com.au/
This link also is provided under Supplementary Resources and Links on BAO1101 WebCT. It would be helpful to demonstrate how to access the latest share price, indices and company information for the major assignment.

For our lecturing staff at overseas teaching locations, please refer to your local stock exchange to show students information that is relevant to your local version of the major assignment, if your preference is to use local content.

Please remind students that assignment will be on this topic and important information will be provided in this lecture.

A. Introduction To Companies

organization with multiple owners / shareholders “Private” company - limited number of shareholders – family / employees - Pty Ltd “Public” company - broader range of shareholders for example - Woolworths Ltd [review in Lecture 3]

B. Role of Stock Exchange – Australian Securities Exchange (ASX)

http://www.asx.com.au/ or http://www.bursamalaysia.com/website/bm/ (Sunway College)

market place for buying and selling shares in listed companies regulations for trading, being listed and reporting – “fair and transparent" all traders are well-informed …integrity is maintained

Listed Companies

high profile attract diverse range of shareholders regular demand for their shares need to be of a minimum size, generally multi-billion dollar companies

C. What are Shares?

document that indicates part ownership of a company - “share certificate”

Market Value Of Shares