Jom Terokai Dunia Matematik: Chekgu Raihan
Jom Terokai Dunia Matematik: Chekgu Raihan
Dunia Matematik 1
Chekgu Raihan
MATHEMATICS
FORM
KSSM 3
CHAPTER 3
CONSUMER
Savings and Investments
MATHEMATICS:
Credit and Debt
Chekgu Raihan
3.1.5
Calculate the average cost per share for the
investment of shares using the ringgit cost
averaging strategy and explain the benefits
of the strategy
Chekgu Raihan
What do you understand about cost
averaging strategy ?
Technique
Buy shares
pratised by
with a lower
investors
average
cost
Cost Help
averaging investors
strategy
Higher
shares
owned
Chekgu Raihan
Puan Hasniza has RM12 000 and buys shares in a lump sum
from Sempurna Company at RM2.00 per share unit. Hence,
Puan Hasniza will only have 6 000 units of shares (6 000
units of shares × RM2.00 = RM12 000). However the
situation will be different if Puan Hasniza decides to buy
shares based on cost averaging strategy.
Chekgu Raihan
The table below shows Puan Hasniza’s investment chart in a year based on cost
averaging strategy for buying shares on a monthly basis.
Chekgu Raihan
Tips\
When you use cost averaging strategy to invest
shares, the cost of the shares you have bought will
not be the highest price nor will it be the lowest
price.
Chekgu Raihan
Example 13\
Below are two investors who plan to invest in shares using different strategies.
Chekgu Raihan
a) Calculate the average cost per unit and the
number of shares owned by Puan Linda and Mrs
Esther Wong.\
Chekgu Raihan
b) Who is a wise investor ? Justify your answer.
Chekgu Raihan
Advantage of the cost averaging strategy
for investors.
Able to take
advantage of
the unit price
changes
Not
Lower the
Advantages influenced
risk of loss
by emotions
Chekgu Raihan