Schools Sharemarket Game - Lesson 3 - Why do share prices change?

Sep 20, 2026

Uploaded by Fahsai

Lesson 3 focuses on why share prices change, building students’ ability to identify internal and external influences on share values, including economic factors. Learners predict how different market scenarios can affect share price, and apply numeracy to calculate and compare exchange rates. The lesson includes research tasks, guided calculations using exchange-rate changes relative to currencies, and a scenario activity using company announcements. Students consolidate findings in written/oral explanation and share results via a presentation.

LanguageEnglish

CategoryExam

FormatPDF

Pages2

Reading Time5 min

AccessFree to download

Learning outcomes: Lesson 3

Why do share prices change?

Students’ research and calculation tasks

General capabilities and terminology

Links to curriculum

Glossary

Teacher’s Notes: Solutions

Activity 1: Scenario Rise Fall

Activity 2: Exchange-rate calculations

Schools Sharemarket Game Learning outcomes: Lesson 3 Why do share prices change? Students Predict the impact on share price of various influences on the sharemarket. Research the current exchange rates. Calculate exchange rates against other currencies. Investigate influences on share price and are able to articulate this knowledge in written and oral form. Students learn about the internal and external influences on share price, including economic influences. They learn how to calculate exchange rates relative to the Australian dollar and how this may impact on a business. Finally, they explore an area of interest to them on how investing has been impacted in various areas by the COVID-19 pandemic. They then have the opportunity to share this knowledge with others by creating a presentation based on their research. General capabilities related to this lesson • Literacy • Numeracy • Information and Communication Technology (ICT) Capability Terminology (skill directives) Identify: Recognise and name; establish or indicate who or what someone or something is. Predict: Suggest what may happen based on available information. Calculate: Ascertain/determine from given facts, figures or information. Links to curriculum Australian Curriculum Subject: Economics and Business • Year 8 • Year 9 • Year 10 NSW Subject: Commerce • Core 2: Economic and Business environment • Option 1: Our Economy • Option 2: Investing • Option 4: Running a Business Subject: Business Studies – Preliminary • Nature of Business QLD Subject: Business (General Senior Syllabus) • Topic 1: Fundamentals of Business VIC Subject: Business Management (VCE) • Unit 1: Planning a Business SA & NT Subject: Business Innovation • Stage 1 • Stage 2 WA Subject: Accounting and Finance • Year 12 – Unit 3 & 4 ACT Subject: Business • Business Opportunities • Leading a Business |
Glossary | | --- | | Corporate action: An action taken by a company that impacts its stakeholders and may include a corporate takeover, additional dividend payments, or any other important action that changes the structure of the company, requiring the board of directors to approve it before it being implemented. Corporate takeovers: When one company tries to take control over another company by making an offer to buy a large amount of its shares.
Capital growth: The appreciation in the value of an asset over a period of time.
Importing: To bring in goods or services into a country from another country as part of the business process.
Exporting: To send out goods or services to another country for the purposes of selling them. Infrastructure: The basic physical facilities needed by a country such as buildings, roads, power supplies, and ports needed for the operation of a society.
Commodity: A basic good that is produced by a country that is raw material used to manufacture finished goods. This could include basic farming products or
mined materials.
Profitability: The money made left after all expenses have been paid from operating activities. Destabilising: To upset the stability of an economy causing unrest. Consumer confidence: The degree of optimism that consumers have regarding the economy when managing their financial affairs. Mortgage: A type of loan with an agreement between a borrower and a lender that gives the lender the right to take the property if the owner fails to repay the money borrowed. | Teacher’s Notes © 2025 ASX Limited ABN 98 008 624 691 Lesson 3 1/2 Schools Sharemarket Game Learning outcomes: Lesson 3 Solutions Activity 1 Scenario Rise Fall a Fancy Fashions Ltd has signed a contract to supply dresses and jackets to a chain of retail stores in London. b A shock announcement to the press that the Managing Director of XYZ Ltd has fraudulently taken funds from the company for several years. c Sigma Medical Ltd has found a cure for baldness. | d | Eureka Ltd,

FAQs

What learning outcomes do students achieve in Lesson 3?

Students can predict the impact of various influences on share prices, investigate those influences, and explain their knowledge in written and oral form. They also learn about internal and external influences, including economic factors, and how exchange rates can affect a business.

How do students calculate exchange-rate impacts in Activity 2?

Students research the current exchange rate, then compute the chair price for a U.S. importer using the provided example formula. They repeat calculations for scenarios where the Australian dollar rises or falls to specific USD values, and use the results to evaluate which situation supports greater sales and profitability.

What kinds of scenarios are used in Activity 1 to examine share-price changes?

The activity provides company-based news scenarios such as fraud involving a managing director, a medical breakthrough, corporate profits in an annual report, a mining drilling update, and an overall rise/fall framing. Students use these scenarios to consider how different announcements can influence share prices.

Sep 20, 2026

Uploaded by Fahsai