Exploring Careers in the Capital Market Business Studies JSS 2 First Term Lesson Notes Week 8

Business Studies JSS 2 First Term Lesson Notes – Week 8

Subject: Business Studies

Class: JSS 2

Term: First Term

Week: 8

Age: 12-14 years

Topic: Career in the Capital Market

Sub-topic: Career Opportunities, Buying and Selling, Transactions

Duration: 40 minutes

Behavioural Objectives

By the end of the lesson, students should be able to:

1. Mention at least 4 career opportunities available in the capital market.
2. Explain the process of buying and selling in the capital market.
3. Differentiate between buying/selling by cash and credit.
4. Explain key terms like cost of sales, profit, turnover, and loss in transactions.

Keywords

• Capital Market
• Career
• Buying
• Selling
• Profit
• Turnover
• Credit
• Transactions

Set Induction

Ask students: “Have you ever bought or sold something? How did the transaction happen?” Use this to introduce the concept of buying and selling in the capital market.

Entry Behaviour

Students have basic knowledge of buying and selling from everyday transactions.

Learning Resources and Materials

• Textbook on Business Studies
• Charts showing career paths in the capital market
• Market simulation activities (role-playing buying and selling)

Building Background/Connection to Prior Knowledge

Students have previously learned about different types of markets. Link this to capital markets where buying and selling of financial assets occur.

Embedded Core Skills

• Critical thinking
• Financial literacy
• Communication skills

Learning Materials

• Lagos State Scheme of Work
• Relevant Business Studies textbooks
• Visual charts showing market careers

Reference Books

• Lagos State Scheme of Work
• Business Studies for Junior Secondary Schools (Textbook)

Instructional Materials

• Charts
• Pictures of stockbrokers, financial analysts, etc.
• Whiteboard and markers

Content

I. Career Opportunities in the Capital Market

1. Stockbroker: Buys and sells securities on behalf of clients.
2. Financial Analyst: Studies financial data to help investors make decisions.
3. Investment Banker: Helps companies raise money by issuing stocks or bonds.
4. Portfolio Manager: Manages a collection of investments for clients.
5. Risk Manager: Analyzes and minimizes financial risks.

II. Buying and Selling in the Capital Market

• Buying: The act of purchasing financial assets (stocks, bonds) from the market.
• Selling: The act of selling owned financial assets in the market.
• Transactions can be made in cash (immediate payment) or on credit (payment delayed).

III. Buying and Selling by Cash or Credit

• Cash: The buyer pays immediately at the time of purchase.
• Credit: The buyer promises to pay later, either after a few days or weeks.

IV. Transactions – Key Terms

• Cost of Sales: The cost of producing or purchasing goods sold.
• Mark-Up: The amount added to the cost price to determine the selling price.
• Turnover: The total sales made by a business during a specific period.
• Profit: The financial gain made when income from sales exceeds the cost of sales.
• Loss: When the cost of sales is higher than income from sales.

Examples

1. A stockbroker buys shares for a client.
2. An investment banker helps a company raise funds by selling bonds.
3. A portfolio manager adjusts a client’s investment mix to increase profit.
4. A retail buyer purchases products using cash at a store.
5. A buyer uses credit to acquire goods, promising to pay within 30 days.

Class Activity Discussion

15 Frequently Asked Questions (FAQs)

1. What is a capital market?
   • A place where people buy and sell financial securities like stocks.
2. Who is a stockbroker?
   • A person who buys and sells stocks on behalf of clients.
3. What is buying on credit?
   • Buying something with the promise to pay later.
4. What is turnover?
   • Total sales made in a period.
5. How do investors make a profit?
   • By selling securities at a higher price than they bought.
6. What is a financial analyst?
   • A person who studies financial data to give advice.
7. What is the difference between cash and credit?
   • Cash means immediate payment, while credit is delayed payment.
8. What is cost of sales?
   • The total expense of producing goods sold.
9. What does an investment banker do?
   • Helps companies raise money by issuing shares or bonds.
10. What is profit?

• The money gained after deducting costs from sales.

11. What is a loss in transactions?

• When costs are higher than sales revenue.

12. Can you sell on credit in the capital market?

• Yes, credit transactions can happen.

13. What is the mark-up?

• The amount added to the cost to determine the selling price.

14. Who manages investments for clients?

• A portfolio manager.

15. What happens in a loss situation?

• The business spends more than it earns.

Presentation

1. Step 1: The teacher revises the previous topic on Market Features.
2. Step 2: The teacher introduces the new topic: Career in the Capital Market, and explains key career opportunities and buying/selling transactions.
3. Step 3: The teacher allows students to discuss different career paths they know and how transactions are made. Corrections and clarifications are provided where necessary.

Teacher’s Activities

• Explain careers and market transactions with examples.
• Ask questions to guide student understanding.
• Use charts and visual aids to illustrate concepts.

Learners’ Activities

• Participate in class discussions.
• Answer questions during the lesson.
• Engage in role-play activities to simulate buying and selling.

Assessment (Evaluation Questions)

1. What is a stockbroker?
2. Define buying and selling.
3. What is the difference between cash and credit?
4. Who is a portfolio manager?
5. Define profit and loss.
6. What is a financial analyst?
7. What does “cost of sales” mean?
8. Explain turnover.
9. Who is an investment banker?
10. What is a mark-up?

Conclusion

The teacher goes around to mark and provide feedback on the topic. Students are praised for their participation and understanding.

More Useful Links

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