Shares

Shares (or stocks) are a type of financial security that represent ownership in a company. When you purchase shares of a company, you become a shareholder and are entitled to a portion of the company's profits and assets.

For example, if a company has 100 total shares, and you own 10 of those shares, you own 10% of the company. The value of your shares will fluctuate depending on the performance of the company.

The formula for calculating the value of a share is the company's market capitalisation (total outstanding shares multiplied by the current share price) divided by the total number of outstanding shares. For example, if a company has 500 outstanding shares and a share price of $10, the company's market capitalisation is $5,000. The value of each share is $10 ($5,000/500).