Bhagyashree S. Borkar. Standard: X Subject:Algebra

1. What are shares? 2. The different elements of shares: share holders, face value, market value, dividend, brokerage 3. To Calculate the dividend, brokerage. 1. What are shares? 2. The different elements of shares: share holders, face value, market value, dividend, brokerage 3. To Calculate the dividend, brokerage.

 Do you know the meaning of the word "Share"?  Do you share things with your friends? What are those things?  Have you completed any big task by sharing responsibility among your friends or in your family, in other groups elsewhere?  Do you think sharing really helps in making things simple?  For hints click herehere  Do you know the meaning of the word "Share"?  Do you share things with your friends? What are those things?  Have you completed any big task by sharing responsibility among your friends or in your family, in other groups elsewhere?  Do you think sharing really helps in making things simple?  For hints click herehere

 Janu kaka is a small shop holder in front of a school.  His customers want him to make his shop bigger.  But Janu kaka has economical problems.  Shiva his son, advised him to take help of his customers to raise the money.  In return the customers will be given the share of profit made by the shop.  Janu kaka is a small shop holder in front of a school.  His customers want him to make his shop bigger.  But Janu kaka has economical problems.  Shiva his son, advised him to take help of his customers to raise the money.  In return the customers will be given the share of profit made by the shop.

 Shiva and Janu kaka came to the decision that they will ask their customers for supplying the capital for the shop.capital  Many showed interest in investing their money in Janu kaka’s shop.  Lets go into details of their transaction.  Shiva and Janu kaka came to the decision that they will ask their customers for supplying the capital for the shop.capital  Many showed interest in investing their money in Janu kaka’s shop.  Lets go into details of their transaction.

People were eager to contribute to Janu Kaka’s shop. Students, teachers, non-teaching staff, nearby people have shown interest. Some of the names are : Mrs. Tawade teacher, Mr. Ramesh Tiwari a senior citizen, Mr. Sawant N. S. lab assistant, Master Raju’s father, And many more…. We can say them all as “promoters” “promoters” People were eager to contribute to Janu Kaka’s shop. Students, teachers, non-teaching staff, nearby people have shown interest. Some of the names are : Mrs. Tawade teacher, Mr. Ramesh Tiwari a senior citizen, Mr. Sawant N. S. lab assistant, Master Raju’s father, And many more…. We can say them all as “promoters” “promoters”

 Each promoter wanted to invest more or less amount in the shop. So the capital was divided into small parts of Rs. 10 each. These small parts are called as “shares”shares”  Rs. 10 is the “face value” of each share.face value”  All the promoters hold the shares of the amount they invested so they are termed as the “share holders”.  Each promoter wanted to invest more or less amount in the shop. So the capital was divided into small parts of Rs. 10 each. These small parts are called as “shares”shares”  Rs. 10 is the “face value” of each share.face value”  All the promoters hold the shares of the amount they invested so they are termed as the “share holders”.

 Who are the share holders in the Janu Kaka’s shop?(please tick right answer.) 1. Shiva Shiva 2. Mrs. Tawade Teacher Mrs. Tawade Teacher 3. Master Raju Master Raju 4. Mr. Sawant N. S. Mr. Sawant N. S. 5. Tip: clapping sound is for your correct answer.  Who are the share holders in the Janu Kaka’s shop?(please tick right answer.) 1. Shiva Shiva 2. Mrs. Tawade Teacher Mrs. Tawade Teacher 3. Master Raju Master Raju 4. Mr. Sawant N. S. Mr. Sawant N. S. 5. Tip: clapping sound is for your correct answer.

 Mr. Ramesh Tiwari has invetsted Rs in Janu Kaka’s shop. So can you calculate how many shares he will get, of face value Rs. 10? Click here for answer

 At the end of the year Janu Kaka found that the shop was running in a great profit. He wanted to share his profit with his promoters. He decided to distribute dividend i.e. part of profit, to his investors according to money invested by the them.  He declared 90% of dividend to each share holder. Lets do some numerical to help Janu kaka.  At the end of the year Janu Kaka found that the shop was running in a great profit. He wanted to share his profit with his promoters. He decided to distribute dividend i.e. part of profit, to his investors according to money invested by the them.  He declared 90% of dividend to each share holder. Lets do some numerical to help Janu kaka.

 Mrs. Tawade teacher has 200 shares of face value Rs. 10 each. Find out her dividend?  Dividend = face value %dividend number of shares  She will receive Rs. Help 100

Example - Mrs. Tawade teacher invested has 200 shares of face value Rs. 10 each. Dividend = face value dividend number of shares = 10 X X200 = Rs

 The handsome dividend attracted attention of other people towards shares of Janu kaka’s shop and they wanted to invest in it too. Naturally demand for those shares increased.  And the value of shares increased drastically. People started selling the shares at a price higher than the face value. This increased value is termed as “market value”.  Shares were now sold at Rs. 50 some times Rs. 70 per share.  The handsome dividend attracted attention of other people towards shares of Janu kaka’s shop and they wanted to invest in it too. Naturally demand for those shares increased.  And the value of shares increased drastically. People started selling the shares at a price higher than the face value. This increased value is termed as “market value”.  Shares were now sold at Rs. 50 some times Rs. 70 per share.

 Janu Kaka could not reach all for further transactions. So he took help of some persons for further selling and buying shares of his shop. Those are termed as share broker.  They are given some fees to do this transaction. It is said as “brokerage.”  Brokerage is calculated on the market value of share.  Janu Kaka could not reach all for further transactions. So he took help of some persons for further selling and buying shares of his shop. Those are termed as share broker.  They are given some fees to do this transaction. It is said as “brokerage.”  Brokerage is calculated on the market value of share.

 Capital: The total amount of money required to start the business is called Capital.  Promoters: persons come together to raise the capital to raise the company, are called as promoters.  Shares: a share is the smallest unit of the capital of the company(here the company is Janu Kaka’s shop.)  Face value:the value of the share printed on the share certificate is called the face value.  Capital: The total amount of money required to start the business is called Capital.  Promoters: persons come together to raise the capital to raise the company, are called as promoters.  Shares: a share is the smallest unit of the capital of the company(here the company is Janu Kaka’s shop.)  Face value:the value of the share printed on the share certificate is called the face value.

 Do you know the meaning of the word "Share"?  Answer: To share means split, contribute to, distribute, divide  Do you share things with your friends? What are those?  Answer: it may be yes or no, chocolate, Tiffin, books, games, stationary etc.  Have you completed any big task by sharing responsibility in your friends, in your family, in other groups elsewhere?  Answer: here answer may vary one may write about her/his annul function, about wedding ceremony in the family, some group social work as planting trees in surrounding, cleaning the housing society premise, etc.  Do you know the meaning of the word "Share"?  Answer: To share means split, contribute to, distribute, divide  Do you share things with your friends? What are those?  Answer: it may be yes or no, chocolate, Tiffin, books, games, stationary etc.  Have you completed any big task by sharing responsibility in your friends, in your family, in other groups elsewhere?  Answer: here answer may vary one may write about her/his annul function, about wedding ceremony in the family, some group social work as planting trees in surrounding, cleaning the housing society premise, etc.