Association football and substitute goalkeeper Essay

The goalkeeper is the most specialised position in football. A goalkeeper’s job is mainly defensive: to guard the team’s goal from being breached (to not let the other team score). Goalkeeper is the only position defined in the Laws of the Game. Goalkeepers are the only players allowed to touch the ball with their hands and arms, however they are restricted to doing so only within their penalty area; for this reason, they must wear jerseys that distinguish them from other outfield players and the referee. If a goalkeeper is sent off or injured, and there is no substitute goalkeeper available, an outfield player must take the goalkeeper’s place and put on the appropriate identifying uniform.[3]. The discipline of goalkeeping is so specialised that it is very rare in the professional game for a goalkeeper to play in any other position. One notable exception is Jorge Campos of Mexico, who played effectively as a striker when called upon.[4]. A goalkeeper with good technical skill may opt to take his team’s penalties and free kicks though this is rare as the goalkeeper would be caught out of position if possession is conceded immediately after the kick. Josà © Luis Chilavert, formerly of Và ©lez Sà ¡rsfield and Paraguay, and Rogà ©rio Ceni of Sà £o Paulo and Brazil are well-known free-kick and penalty specialists with over 100 goals to their names. Hans-Jà ¶rg Butt is the goalkeeper to have scored in the most different competitions, having scored in all of Germany’s top four divisions, the German cup and the UEFA Champions League. [5][6][7] Physical strength, height, jumping ability and judgement are valued qualities for goalkeepers to have in order to deal with aerial balls and agility, quick reactions and a good positional sense are all needed for shot stopping.[8][9] The standard football skills of ball control, tackling, passing and dribbling are not usually required in a goalkeeper, although the introduction of the back-pass rule in the early 1990s has necessitated improvement on such skills.[10].

Causes of Rural-Urban Migration

Rural-urban migration is the movement of people from rural areas to urban centers in search of employment and better living conditions among others. Rural-urban migration is most prevalent in developing countries. Rural-urban migration is facilitated by pull and push factors that forces people influx from countryside to cities. Push factors includes; drought, famine, natural disaster, poor living conditions like housing, healthcare and education, agricultural change, unemployment, war and conflict.Pull factors includes; employment, higher incomes, better healthcare and education, urban facilities and way of life and protection from war and conflict. Although rural-urban migration is an integral part of development it is significant for people to understand its causes and consequence for formulation and implementation of effective policies to encourage economic growth. Rural urban migration being flexible and dynamic phenomena cause diversification with a certain degree of commitment. People migration links people transferring them from low opportunities to high opportunities.CAUSES OF RURAL-URBAN MIGRATIONIntroductionRural-urban migration is the movement of people from rural areas to urban centers in search of employment and better living conditions among others. Rural-urban migration is prevalent in developing countries with its degree varying from country to country. Rural-urban migration influences urban growth with expansion of cities and towns covering greater land. As a result of rural-urban migration there is urbanization referring to increase in proportion of people’s living in cities and towns.Rural-urban migration is facilitated by pull and push factors that forces people influx from countryside to cities. Push factors may include drought, famine, natural disaster, poor living conditions like housing, healthcare and education, agricultural change, unemployment, war and conflict. Pull factors include employment, higher incomes, better healthcare and education, urban facilities and way of life and protection from war and conflict (Goldscheider, 19). Cause of Rural-Urban Migration Costs of rural-urban migration outweigh benefits resulting in expansion of cities and towns thus excessive urbanization.Urban planners and decision makers are more concerned with causes and consequences of rural-urban migration and their relationship with economic growth and urbanization. Although rural-urban migration is an integral part of development it is significant for people to understand its causes and consequence for formulation and implementation of effective policies to encourage economic growth. Issues faced in rural areas trigger people’s migration to urban areas. Those people living in rural areas are willingly and unwillingly part of the economic system.Movement of people from rural areas to urban center is triggered by voluntary and involuntary forces. Involuntary are the factors that force people to migrate with no choice bu t to move this are the push factors. Voluntary forces covers all people’s migration by will, this are the pull factors (McCatty, 5). Migration Forces People may involuntary move from rural to urban areas as a result of family disagreements, wars, conflicts, draught, famine and political strife. This factors forces people to seek refuge in urban areas where they can have access to security, food and far from political strife.Voluntary factors such as better employment opportunities force people to move to urban areas. The quality of employment in urban areas is better than in rural. In rural areas people have little education and their payment is low. Those who have migrated to urban areas have gained incentives through better and well paying jobs. Housing conditions in rural areas is worse compared with urban areas; people may voluntarily decide to move to urban areas to have access to better living conditions such as better healthcares, better education and housing (McCatty, 8).Rural land tenure and pattern of inheritance is another factor resulting in voluntary rural urban migration. This cause problem if land tenure is communal whereby you find that land is owned by group of people thus individual having no authority to protect or own the land. This cause conflict during land sharing forcing many people to be landless thus opting to move to urban centers. Rural social structure and cultural values may cause conflict among rural population forcing some people to move to urban areas.Different ethnic communities have different cultural values and social structures which may differ resulting to cultural conflicts thus people’s migration to urban areas where they can’t experience cultural conflicts. Rural people when offered with better options of earning living which are not demanding like rural farming and which is more financially rewarding, they are likely to accept. Depending on the country, farming gives seasonal employment with no eno ugh income to sustain rural people thus being forced to move to urban areas in search for better and well paying jobs (McCatty, 9).Issues faced in Rural Areas – Changes in educational system as a result of what is being taught in school vary from their traditional norms. In rural areas, cultural values and norms undergo changes due to influence from foreign entities and missionaries. In rural areas people experience low and high global economy due to drop of prices thus their sustainability being influenced. During economic recession they are the first people to be affected. This triggers their movement from rural to urban for search of better opportunities.People in rural areas are exposed to films, radio programs and recent television series from cities. When exposed to this urban life, their living conditions decline due to exploitation of resource in need of living like those in urban areas. Many people are not able to cope with this situation in rural areas and they opt for urban areas where they can have better life with access to all these facilities. Living condition for most rural people have changed for better with improved medical care, improved health and longevity which has contributed to increase in population in rural areas thus pressure on the limited resources.These forces some people especially young incase the land ownership in the rural was communal they move to urban centers where they can be accommodate without congestion (McCatty, 7). Influence by outside developed world on people’s culture and way of life contributes to people’s movement to urban areas. Media influence has made people recognize their state of poverty. This has made people think of change and they think the only option to move to urban center for white collar jobs and better living conditions.People’s perception of better life changes their success in rural areas; people have changed their notions about educations and holding higher positions. This has facilitated people movement from rural area to urban in search of better education which can lead to higher incomes thus increasing their future income. Increase in income increases people’s consumption. People believe that by having firsthand accounts their living conditions will be improved in urban areas (Agesa and Sunwoong, 60). Poverty Poverty is experienced globally in third world nations especially by rural population.Developmental policies in various countries are more concerned with poverty alleviation resulting to economic growth. Most people in developing nation live under poverty with urban poverty being constant with majority living in rural areas. In those countries with agricultural based economy, those residents who are poor lack access to resources thus high level of inequitable and inequality distribution of resources. Most people living in rural areas are women and children who practices subsistence farming.Poverty contributes to people‘s mo vement from rural to urban areas in search of better and well paying jobs to alleviate poverty (McCatty, 9).. Urban Informal Sector Unlike the formal counterpart of urban informal sector, there are activities of all kind which are unregulated and small scale in nature. Most people in urban areas create their own employments, start their businesses and even work as a small-scale family enterprise. These jobs includes, street vending, hustling, sharpening of knife, drug trafficking, maize roasting and even prostitution.Others find better jobs like artisans, mechanics, carpenters, barbers, personal servants and maids. Some becomes successful business people with several employees thus earning more income. Those people venturing in informal work are mostly rural migrants who have little skills and they earn enough income just to sustain them. Informal sector has a link with formal sector and offers employment opportunities to those people who can’t access jobs in formal sectors. Informal sector acts as a safety net for those rural people who fall back if things don’t work out for them.Informal sector has been categorized among those factors causing rural urban migration since it reduces individual risk of being unemployed once they migrate to cities (McCatty, 12). Government policies to some extent cause rural urban migration. Those policies supporting disproportionate increase employment opportunities and in wage rate in urban centers leads to imbalances in rural urban landscape. Rural urban migration contributes to increased rate of unemployment in urban areas.As a result of difference in wages there are urban bias encouraging people to move from rural to urban thus urban bias resulting to rural-urban migrations (Agesa and Sunwoong, 72). Modernization of Agriculture Agricultural modernization contributes a lot toward rural urban migration especially in developing countries. Agricultural modernization involves use of machines and artificial fertiliz ers for agriculture. This result to need of few workers in the farms and farmers doesn’t require farm manure but use fertilizers. This reduces employment opportunities for rural people especially youths and men.Those farmers who used to keep livestock lose market for their products like manure thus being forced to look for alternatives in urban areas (Goldscheider, 27). Natural Disasters Natural disasters like floods, earthquakes and landslide contribute toward rural urban migration. These natural disasters destroy people’s properties and crops leading to poverty and insecurity. To seek for safety and alternatives people prefer moving to urban areas where they can have guaranteed safety from such disasters (Agesa and Sunwoong, 68).Other Factors Other factors like primitive conditions in rural areas forces people seek civilized ways of living in urban areas. Bullying, death threats and disown from society as a result of certain offense may force one seek refuge in urban areas where there is no cultural or community rules to be followed. Slavery in rural areas may force people to move to urban areas mostly children and youth who finds it difficult to put up with work they are given by parents or in plantations.Poor chances of finding courtship may be a contributing factor in that; one may think that in urban areas there are many people where s/he can have chance of choosing from different people (Goldscheider, 41). Conclusion Not only rural people but people in general are attracted to urban areas because they think that urban areas have better and greater opportunities than rural. For many who move to urban they end up in poverty. Rural urban migration being flexible and dynamic phenomena cause diversification with a certain degree of commitment. Migration helps in linking people and transferring them from low opportunities to high opportunities.Rural urban migration contributes nearly to 60 percent of urban growth and it occurs at a particular se tting which is marked by limited industrial but quick commerce centered growth in cities.Works CitedAgesa, Richard & Sunwoong Kim, â€Å"Rural To Urban Migration as A Household Decision: Evidence From Kenya, â€Å"Review of Development Economics, Vol. 5, 2001, pp. 60-75 Goldscheider, Calvin, Rural Migration in Developing Nations, Boulder and London: Westview P, 2003 McCatty Machel, the Process of Rural-Urban Migration in Developing Countries, Ottawa: Ontario, Carleton University, 2004

American Revolution and Social Change

The American Revolution in the latter half of the eighteenth century was a time of great social change (United States, 2007). As a matter of fact, this social change was global in nature, seeing as the international parties involved in the Revolution for some reason or the other, took the American Revolution as a model for social change in the future (American Revolution, 2007). During the period referred to as the American Revolution, the Thirteen Colonies that were to become the United States of America, managed to gain independence from the British Empire.The Colonies had to rebel against the British Empire in order to gain independence, of course. Thus, they entered into the American Revolutionary War, which is also called the American War of Independence. This war, like all other wars, led to massive social change to boot. Lives were lost, and the birthing of new ideas occurred with respect to how societies must conduct themselves. Happening between 1775 and 1783, the war culmin ated in the famed American Declaration of Independence in the year 1776. Victory for the Colonies was actually achieved on the battlefield in the year 1781 (American Revolution).France had played a vital role in helping the new nation of Americans with finances as well as munitions. France also helped the Colonies to organize a coalition against the British Empire. The Americans were rebelling against the royalty or upper crust at the time (American Revolution). Naturally, they were desirous of social change, enough to fight over it. Theirs was a struggle to achieve a kind of an equalizing democracy. The American revolutionaries tried to change through bloodshed their government. They did not appreciate the laws and regulations of the British Empire.Rather, society in their opinion had to conduct itself outside most of the laws.AMERICAN REVOLUTION AND SOCIAL CHANGEPage # 2 and regulations of the British.By eradicating monarchy and the establishment of republics in the end, the Ameri can revolutions had changed the society drastically. Hence, John Franklin Jameson (1968) has written: â€Å"The stream of revolution, once started, could not be contained within narrow banks, but spread abroad upon the land.†Also according to Jameson, the social change brought about via the American Revolution concerned many areas of American life, including business, slavery, the ownership of land, the intellectual as well as religious life, and the interactions between the members of different socioeconomic groups. In a way, the Revolution was Karl Marx’s dream come true, seeing as the lower socioeconomic groups were no longer able to tolerate the ruling class and had decided to overpower the ruling class for good.What is more, the society of the Americans after the Revolution had no longer to apply the principles of the British Empire in their lives. They had no longer to be influenced by the British religion, for example, nor by the political ideologies of the Brit ish. By changing the government of the land, the Americans had in fact changed the social order, including the norms and principles to live by. The idea of American democracy was brought out in the open for the first time.The republican ideology was introduced with its emphasis on liberty, equality, individual rights, and struggle against corruption. Not only did this ideology change the lives of the American people for good, but it also entered the European mind that had for centuries seen only imperialism in practice (American Revolution). The idea that a society could revolt against the monarchy was taken seriously, worldwide. Hence, the impact of the social change brought about by the Revolution became global. As a matter of fact, the eradication of the social control of the BritishAMERICAN REVOLUTION AND SOCIAL CHANGEPage # 3Was seen in various countries around the world after the American War of Independence. The British Empire that had established colonies in many parts of th e world was asked to leave, very often by force, thanks to the American Revolution that had done the same successfully by showing the world that it was possible for nations to achieve prosperity for themselves without the social control of the British.Moreover, it was possible for nations that had previously been ruled by the British to formulate their own laws, such as the social control of corruption, without the supervision of the British. Today, the word ‘democracy’ is heard day after day on international television. Moreover, every nation is required to include the democratic model of government into its political practices, even if it is difficult to include this model for some reason. Even the United Kingdom believes in democracy today, despite the survival of the British Empire.Regardless of whether democracy has a hold over a certain government’s practices or not, however, the American Revolution has shown the world – like other revolutions in his tory – that it is possible for common people to rebel against governments, when in fact, their voices have been totally ignored. ‘Enough is enough’ is the impetus to social change that a revolution implies. In other words, the common people are expected to be patient for only a limited amount of time before they get ready to impose social change on the entire society.Not everybody in the Colonies would have agreed with the idea of the American Revolution. There are always people in society that resist change, and particularly resist the kind of change that is brought on through violence. Countless people hate wars, even if certain wars are fought for human rights. Regardless of such people’s reactions to a revolution, however, the American.AMERICAN REVOLUTION AND SOCIAL CHANGEPage # 4 Revolution became a reality.Besides, the social change that it implied took into consideration all corners of society, including the people that had resisted change and war. Before the American Revolution, man was held as superior to another man. The British Empire was superior to the Colonies. The American Revolution changed that also by helping the slaves realize that they were equal to their masters in essence. After all, if the people of the Colonies could, as a whole, fight against the monarchy, the slaves too could eventually achieve their freedom. The idea of equality imposed through the Revolution was groundbreaking for the slaves.Eventually, they were able to become legally emancipated, when the United States abolished slavery for good. A vast number of slaves at the time of the American Revolution were Africans. Although they had achieved freedom in the United States, their children and grandchildren were to continue struggling against the racism that they felt was prevalent in society, long after the American Revolution. In point of fact, Africans experienced that the whites had a low opinion of them, and did not offer them the kinds of oppor tunities they deserved.Because of their ancestors’ experience through the American Revolution, however, the Africans were able to use the model of the American Revolution to continue struggling against the alleged superiority of man over another man. The struggle against racism has continued. Even today, Africans in America try to fight racism in one way or another. The Civil War has passed. And yet, the social change that the absolute end of racism would bring about is awaited. Already, it is a known fact in America thatAMERICAN REVOLUTION AND SOCIAL CHANGEPage # 5The African Americans are equal to the white Americans in essence, despite the fact that the latter had owned the Africans during another period of time. Yet another kind of social change brought about by the American Revolution was the change in the role of women. Before the American Revolution, women had contributed to the operation of agricultural farms and small businesses. However, they had seldom acquired ind ependent economic status.When the War of Independence started, the role of the women changed in that they were expected to take complete charge of businesses and farms in the absence of men. Furthermore, the republican ideas called for discussions on women’s rights, roles in society, as well as education. Eventually, women, too, were to achieve an equal role in society with men. Today, discrimination against women is against the law in America. This kind of social change is particularly helpful for society as a whole, given that women may now contribute equally with men to the economic growth of America.Some of the states of America, after the Revolution, changed their property and inheritance laws to allow women to inherit shares of estates and to exercise a certain level of control over property following marriage. Women no longer had to suffer after the deaths of the men in their lives. They could support themselves through inheritance. All the same, according to the Encyc lopedia Britannica, â€Å"the Revolution itself had only very gradual and diffused effects on women's ultimate status.Such changes as took place amounted to a fuller recognition of the importance of women as mothers of republican citizens rather than making them into independent citizens of equal political and civil status with men† (United States).AMERICAN REVOLUTION AND SOCIAL CHANGEPage # 6Once again, because the American Revolution introduced into the minds of all Americans the idea of equality between men, the issue of women’s rights erupted long after the American Revolution as well.Although the immediate effects on the status of women were seen to be little, the long term social change brought about by the American Revolution in terms of the role of women in society, is massive. Man could rise against a monarchy during the Revolution. In the case of the women of America, this idea meant that they no longer had to consider themselves subjected to men. As a matter of fact, the issue of women’s rights, like democracy, is discussed globally today. The American Revolution has, at least, some part to play in the social change that this issue implies for women around the world.Apparently, the people of America were satisfied with the social change brought about through the Revolution. If not, another revolution could have begun to introduce new norms and forms of social control. ‘Enough is enough’ remains the impetus to revolutions. But in the case of America, ‘so far so good’ appears to be the way the social changes have been perceived. In other words, the social changes brought about by the American Revolution have been seen as positive.AMERICAN REVOLUTION AND SOCIAL CHANGEPage # 7References1. â€Å"American Revolution. † (2007). Wikipedia. Retrieved from http://en. wikipedia. org/wiki/American_Revolution. (26 March 2007).2. Jameson, John Franklin. (1968). American Revolution Considered as a Social Moveme nt. Princeton, NJ: Princeton University Press.3. â€Å"United States. † (2007). Encyclopedia Britannica. Retrieved from http://www. britannica. com/eb/article-77713. (26 March 2007).

A negotiation plan Essay Example | Topics and Well Written Essays - 1000 words

A negotiation plan - Essay Example Among the above mentioned issues, the labor union will have its major focus on the first two i.e. the basis for the increase in wages; and the process of selecting the individuals for training and other advantages. Toward the first one, the group will bargain on the need of an amount that would cover both the past inflation and past contributions toward productivity. Moreover, there should be provisions to issue the payment since the commencement of the agreement and the work group will not propose any alternative on this regard. Productivity bonus should be paid equally across the entire work group considering it as the group bonus. Secondly, regarding the workplace arrangements, the union would demand that employees should have the right to go on paid training when they think it is essential for them to improve their level of performance; and if they do not find a higher job even after the training, they should be paid a ‘trained allowance’. The trained employees must be given the priority for promotion when there is a vacancy at the higher levels. The work group considers these issues as the most important factors that have a direct impact on the individuals because of several reasons. To illustrate, rewards like wage increase is the most brittle factor that can influence most of the individuals in a working group. An average worker is always concerned about an unexpected inflation that would affect his/her economic stability as it becomes impossible for him to meet both ends with the limited income. As Saunders (249) states, ‘negotiation theory that concentrate only on what happens around the negotiation table’ does not meet the exact goal; instead it should have rather comprehensive approach toward the real issue underlying. The basis of wage rise that the union will propose is relevant to the context for two reasons. Firstly, there was a considerable increase in the

Presenting the Budget Research Paper Example | Topics and Well Written Essays - 1000 words

Presenting the Budget - Research Paper Example The government needs $3,117 million in 2015 and $3,070 in excess of the revenue to cover the expenses. However, in 2016 the growth rate of the revenue is greater than the growth rate in expenses. The growth rates of all the expenses mentioned above were computed together with the amount in dollars expected to increase. Highest growing category of the expenses is fringe benefits. In the year 2012-2013 these expenses will grow at the rate of 5.22% or $418 million in amount. Further increase in expected in the following years and the growth rate is expected to rise to 6.74% in 2013-2014 and ultimately 6.98% in the last year of projection. Fringe benefits include compensation beyond salary or benefits in kind. There are other expense as well which do not look significant in percentage but amount increased is significant. For example salaries and wages only increase by 0.55% in 2013-2014 but the amount increase is $119 million. Similarly growth rate in the last year so only 1.71% but the amount increase is $376 million. Another important area of the expense to be discussed is the amount increase in the lease and debt services. In 2012-2013 total increase is $656 million and percentage increase is 12.01% but the growth rate falls in the subsequent years and reached to 3.86% in the last year but still the amount in Dollar increases. Some of the expense shows no permanent trends like pensions of projections expenses and medical assistance. These are expected to be increase and decrease in all years of projections. In 2013 there is an increase of $100 million in the pension expenses and in 2014 the increases in expected to be only $52 million as compared to 2013 and next years there is a decline of $108 million. Similar is the situation with the medical assistance. General property tax is expected to be $17,917 in 2012 which constitute around 26.33% of the total revenue in the first year of

Water first- movie Review Example | Topics and Well Written Essays - 1000 words

Water first- - Movie Review Example The most important attribute of the film is that though it is beyond general comprehension to relate such issues pertaining to women empowerment or combating HIV or AIDS and other contaminated diseases with ecological issue such as water consummation or sustainability, the film co – relates and addresses the same. As water consummation is a serious ecological issues world wide, similarly, women education, empowerment, sanitation and other health related issues are very core matter in the realm of human rights. Fresh drinking water along with minimum facility of health and sanitation is the fundamental human right of every global citizen and this film acts as an eye-opener through the story of Charles Banda, who at a very local level with local initiatives drilled 800 wells in the impoverish country like Malawi. The film talks and conveys a change which is mandatory in the present scenario and encourages education and eradication of poverty, hunger and inequality regarding the privileges and opportunities from which women are deprived in under-developed countries. The documentary named â€Å"Water First† is an attempt and a serious effort taken by the United Nations in educating and awaring people that a simple â€Å"can do† attitude can change everything. A little effort and a great determination can make big differences. The movie encapsulates the local effort of a fireman and transports it to a paradigm which is global. In representing this phenomenon a lot of effort and expertise was essential for conveying the hidden messages and awareness program launched through the movie. United Nations had a particular agenda behind their program â€Å"Millennium Development Goals† or (MDGs). The set goals, which fall under the MDG program launched by United Nations, committed to undertake many development oriented programs under which it was soon understood that the clean water is a major agenda and a very formative issue in the path of

Enterprise Resource Planning (ERP) Research Paper

Enterprise Resource Planning (ERP) - Research Paper Example According to Ray (2011) there are 3 dimensions that significantly control the changes they include: customization, support and consultation. Most of the ERP systems are implemented in stages. For a large company, the project can take approximately 14 months and can require almost 150 consultants. Small companies can take months while implementing ERP while big and multinational companies can take several years. However, the implementation time can be reduced by employing customizations to fasten the process. ERP has the benefit of saving the company’s time and its overall expenses. The organization’s management can formulate decisions more quickly and with minimal errors. Through the realization of fewer errors, the data becomes reliable and clear within the entire organization (Ray, 2011). The system improves the organization’s efficiency and subsequently its outputs quality (Ray, 2011). Through the smooth running of internal processes, improved outputs can be realized for example manufacturing and customer service. It necessitates the flexibility of an organization. The management software can assist the organization to adapt easily to changes due to the presence of less organizational structures that enhances its internal and external components. ERP promotes collaborations between varied business functions. In modern organizations, data can be in the form of emails, audio, video, files which require varied operations (Ray, 2011). ERP necessitates the employees to collaborate more effectively with the content without actually mastering their individual processes. The management software ensures real time achievement of information. ERP promotes a comprehensive view of the company’s status in real time, which the upper level management can utilize in making proper decisions (Ray, 2011). The system ensures effective coding of an

Business Decision Making Essay Example | Topics and Well Written Essays - 4250 words

Business Decision Making - Essay Example However, the introduction of internet made it necessary for technology companies to design products which would help people to access this vast space of information. That is when these companies came up with innovations such as smart phones and tablets. Since then the number of people using these products have sky rocketed. With the use of these products people have also craved for other peripherals such as Bluetooth speakers, external headphones, wired speakers, Bluetooth microphones and so on and so forth. It is with regards to these requirements that our company is endeavouring to introduce a Bluetooth enabled speaker which has unmatched quality of sound output and also comes at a very low price. This product is set to compete with the likes of products manufactured by Sony, JBL and Sennheiser. The underlying rationale of this market research plan is to learn about needs and requirements of the target audience. This will help the company’s managers to have a holistic view of the market as well as learn about the expectations of its target market. Moreover the analysts will also be able to make an estimation of the price that should be placed for this particular product. The objective of this market research is to conduct a detailed study of the target market (tablet users in UK) which in turn will help the organizational managers to understand the factors that will serve as a key determinant of the product’s success. In order to conduct this research in an appropriate manner, a mix method approach needs to be adopted where the researcher will be conducting surveys as well as interviews with households in the UK. The higher income households will be interviewed while the households within the lower income range will be included within the survey. The underlying reason behind the application of a mixed method approach is to have a holistic view of the issues that is being researcher. It will enable the researcher to have an in-depth idea about the needs

Examining the Effect of Societal Inequities Coursework

Examining the Effect of Societal Inequities - Coursework Example In the Pulaski County Special School District, there have been efforts at reforming institutions to minimize racial inequalities in the field of education. Reduction in the inequalities has so many challenges because; the causes are deeply rooted in the culture and history of the overall American society (Nieto, 1997). Many factors lead to the existence of educational inequalities in the Pulaski County Special School District. The historical factors identify that the relationship between white residents of America and the colored people in America, lead to social inequalities (Banks, 1997). The enslavement effect of the African Americans ensured that their children do not access quality education for many generations. Though slavery was abolished; the racial stigma is still currently felt, even within our education system. Latinos have also been continuously shut out of societal education opportunities in all levels. American Indians endured enforcement in missionary schools which forced their assimilation into the white culture. Family background is another source of inequalities in our education system (Nieto, 1997). There is a positive correlation in the parents’ academic success, and the children’s academic success. In the Pulaski County Special School District and specifically on a case study conducted on Murrell Taylor Elementary School; it has been established that family background is the most influential determinant of students’ academic achievements. In general, the white students tend to come from homes with high literacy levels; this is in contrast to the minority families. Therefore, children from white families receive adequate support on educational resources and success. Educated families usually have higher incomes; this enables them to access the best schools in Pulaski County Special School District. Cultural perceptions and knowledge in the family backgrounds

The Clinical Impacts of Masturbation Essay Example | Topics and Well Written Essays - 750 words

The Clinical Impacts of Masturbation - Essay Example It is evidently clear from the discussion that the psychology and counseling practices are some of the fields which mostly have the privilege of getting first-hand victims of masturbation. People come crying and others confused because masturbation is presumed to be a taboo. It is a mental related problem. A first timer mostly suffers from self-guilt and shame. Despite science showing that masturbation can affect anybody, this habit is very common among young people who do not have sexual partners. As a peer counselor in a rural local church, the author has received countless victims of masturbation. On average, three out of every ten young people who visit the author’s office have a problem with masturbating. A young girl, bothered and full of tears on her chin, pops into his office. This question caught the girl unaware and she seemed to swim deep in her thoughts before finally asking whether masturbation is safe. The author has to tear apart in trying to understand the girl ’s problem; whether it safety related or whether it was on grounds of ethics and tradition. Nevertheless, the two had equal importance and that is why the girl was here to be helped. This is the situation many young people are finding themselves in. In our modern society, even discussing the topic is regarded a taboo. Despite the extensive scientific research on masturbation, people are suffering for lacking the knowledge on the topic. Parents do not share the information with the young and similarly the young lack the courage to ask. Masturbation has several faces. According to research, masturbation is healthy. Most of the ideologies which existed before were just myths that lacked scientific backup. Clinical tests show that regular normal masturbation is handy in curbing the increasing problem of prostate cancer. This cancer is common among men who are in their mid-40s. The reproductive system is cleaned during sexual intercourse. But for the case of young people, most of them are unmarried or do not have sexual partners hence masturbation becomes the only hope.

Jungian Reading Log Essay Example for Free

Jungian Reading Log Essay Both Carl Jung and Sigmund Freud are considered founders and contributors to the depth of knowledge and theory that built up psychological schools (Charet, 2000). However, Freud and Jung must not be associated with each other, as Jung made a point of rejecting the psychoanalytic community (Charet, 2000). This is due to his clear and expressed spiritual inclinations (Charet, 2000). Jung was initially part of a major triumvirate in the field of psychology, with the other two members being Sigmund Freud and Alfred Adler (Charet, 2000). However, Jung was easily separated from the other two due to his spiritual inclinations (Charet, 2000). Below are reading logs of three journal articles that discuss Jung and his theory. Stephens, B. D. (1999). The return of the prodigal: the emergence of Jungian themes in post-Freudian thought. Journal of Analytic Psychology 44, 197-220. This journal article analyzes the appearance and intertwining of two psychological principles that have been considered contradictory for the longest time (Stephens, 1999). This paper begins by the position that theories are only stories about reality of life, and they are told by people who have an opinion about how it occurs (Stephens, 1999). This article also alludes to the process of psychological story telling, which is characterized by patterns of fusion and eruption (Stephens, 1999). Freud and Jungs break in psychological theorizing occurred as far back as 1913; (Stephens, 1999). However, it is observed that these last few years had been witness to the dramatic increase in the degree of interaction between the Jungian and Freudian communities (Stephens, 1999). This theoretical and clinical interaction between the theories is found in cross-references seen in psychoanalytic journals and Jungian authors (Stephens, 1999). Stephens claims that this interaction calls for the re-examination of established theoretical assumptions and positions that would allow for the conduct of a meaningful dialogue (1999). At the same time, there are some whose position is that the emerging cross-fertilization of theories may ring about anxiety and fear, caused by being exposed tot he unknown (Stephens, 1999). Stephen relates that Jungs thoughts on reality have consistently moved, since 1913, towards being circumscribed in the subjectivist stance (1999). He engaged in the epistemological assumption that his only certainty is his personal knowledge of the inner world (Stephens, 1999). Jung participated in the formulation of the concepts called the-patient-in-the-analyst and the analytic couple (Stephens, 1999). Jung espoused the theory of mutual consciousness, wherein the patient constellates the corresponding unconscious material in the analyst (Stephens, 1999). This, in turn, leads into the inductive and reciprocal effects of this inter-penetrating psychic system (Stephens, 1999). There are some positions that post-Freudian literature is now incorporating theories from Jung, making the division between the theories of Freud and Jung disappear (Stephens, 1999). Stephens accepts the possibility that at the analytical level, these two disparate theories might come to an agreement (Stephens, 1999). However, such unification of two divergent theories is still far from becoming a total reality (Stephens, 1999). Personally and professionally, I agree in the integration of several constructs in order to create a more comprehensive take on any matter, provided that such integration is warranted by findings. Here, there are relevant stories yet to be shown, that could prove that narratives of Jung and Freud could actually meet on an agreeable plane. Morey, J. R. (2005). Winnicotts splitting headache: considering the gap between Jungian and object relations concepts. Journal of Analytic Psychology 50, 333-350. Morey follows in the steps of Stephens in tracing and observing the trend where Jung is attempted to be introduced into the broader psychoanalytic perspective, cognitive science and other academic agendas (Morey, 2005). Indeed, there are many theories that appear to be offshoots of Jungs theories, while at the same time there are also projects that are found to have been integrated into the Jungian literature Morey, J. R. (2005). Morey enumerates some examples, such as the work of Wilkinson on the mind-brain relationship and David Bradfords interest in the neuropsychology of the self, relating Wilder Penfields thoughts to Jungs theories (2005). These projects, characterized by the integration of others theories with those of Jungs, and vice versa, are results of the post-modern current (Morey, 2005). This current is observed to occur as a large pluralistic, multi-cultural dialogue that pervades different venues of culture, society, and science (Morey, 2005). This post-modern current is significantly intertwined with the process of deconstruction, where a theory, or a unitary construct is examined and torn apart, in order to being out disparate constructs that could be used, compared, and combined with other constructs in order to form a new theory (Morey, 2005). While generally, the trend with respect to Jungian psychology is that of sequestration and limitation to close followers, lately a noticeable shift in this tendency is observed and appreciated, and Jungian interpretive methods have been applied beyond the field of analytical psychology (Morey, 2005). Moreover, this process of integration is keeping up its pace with the passing of time (Morey, 2005). However, Morey cautions that the speed of theory integration might cause the loss of several fundamental qualities of Jungs thoughts (Morey, 2005). Moreys article explains in detail how Winnicott, one of the most identifiable innovators of theories on object relations, attempted to understand and apply Jungs thoughts, while at the same time trying to initiate change (Morey, 2005). Morey appreciates such an effort, because he states it allows the possibility of looking more deeply into the way that theories come together o, and vice versa (2005). He is of the position that explorations such as Winnicotts could lead to the discovery of further points of contact between Jungs thoughts and the larger psychoanalytic community (Morey, 2005). Moreover, he provides that there are also many other theories that could provide more links towards further understanding the relationship of Jungs theories to those of others (Morey, 2005). Similar to the first article, Morey describes the integration of Jung’s theories on others’, and vice versa. I am in favor of the process of deconstruction in general, and in particular when applied to psychology. I also agree with Morey that there is a need to be cautious that the process of deconstruction does not unnecessarily lose important concepts.

Acid rain Essay Example for Free

Acid rain Essay Acid rain is a result of air pollution that is harmful to the environment, generally caused by fuels being burnt. When any type of fuel is burnt, many different chemicals are produced. These gases that are released react with the water in clouds, and the rain from these clouds is acid rain. This type of acid disposition can appear in many other forms besides just rain, such as sleet, snow, and fog (Editorial Board, 2013). There are several sources of pollution and many causes for acid rain. Though acid rain can be generated by volcanoes and decaying vegetation, it is mostly caused by man-made activities (Carper, 2012). The most polluting gases that cause acid rain are nitrogen oxides and sulphur dioxides (Yedjou, 2015). Different industrial processes contribute greatly to producing these harmful gases, such as the production of iron and steel, factories, chemical industries, and power stations. The burning of fossil fuels by these power-production companies and industries release sulfur into the air that combines with oxygen to form sulfur dioxide (Carper, 2012). Basicily anything that burns fuel, produce these polluting gases, such as the fumes that come out of a vehicles exhaust, or the heat we use to warm our homes. Acid rain greatly impacts the natural environment by polluting water sources, such as lakes and streams. In return this kills plants and fish, which negatively affects other animals and entire ecosystems. This type of acid disposition also damages soil and trees, and accelerates the decay of buildings and structures (Yedjou, 2015). Acid rain also affects human health by being inhaled into people’s lungs which increases premature death from heart and lung disorders, such as bronchitis and asthma (Carper, 2012). Though acid rain is not a major issue today, there are still steps that can be taken to help eliminate this issue. Acid rain can be carried great distances by wind direction, and the countries that produce it may not always be the ones most affected by it (Yedjou, 2015). So if these countries would be more considerate of their neighbors and where the acid rain they produce actually falls, then it could help to decrease this  pollution. Limiting the amount of sulfur and nitrogen oxides that are released into the atmosphere, cleaning up smokestacks and exhaust pipes, and using alternative energy sources can also help to mitigate the problem (Yedjou, 2015). Everyone can play their part in reducing acid rain by turning off appliances when not in use, turning off lights, reducing heating and air conditioner usage, and insulating their homes. Conserving resources is also extremely helpful, such as carpooling and using public transportation. References Carper, L. (2012). Fossil fuels: Environmental Effects. Retrieved from http://www.ems.psu. edu/~radovic/Chapter11.pdf Editorial Board. (2013). Environmental Science. Schaumburg: Words of Wisdom, LLC. Yedjou, C. (2015, March 09). Colorado Technical University. Live Chat. SCI201-11-213-6. Retrieved from http://ctuadobeconnect.careeredonline.com/p3aqzu14uuu/?launcher=fals fcsContent=truepbMode=normal

Cisa Questionnaire The Is Audit Process Information Technology Essay

Cisa Questionnaire The Is Audit Process Information Technology Essay This is sampling example of compliance, as it states whether controls are functional as per the policy. This will include taking samples of new user account creation forms and match it to ensure process is being followed. Variable sampling is used to determine numerical value. Substantive sampling tests the integrity of process such as credit / debit values, balances on financial statements. Stop or go sampling technique prohibits excessive sampling of an attribute. The Stop and go statistical sampling technique in a scenario where it is believed or perceived that relatively few errors will be exposed, so there is point in wasting over sampling of an attribute. Use of statistical sample for tape library inventory is an example of ____ type of sampling technique. Variable Substantive Compliance Stop or go Ans. B Explanation This is an example of substantive sampling which confirms the integrity of a process. This test will determine whether tape library records are stated in a correct manner. What is the major benefit of risk based audit planning approach? Planning scheduling in advance over months Staff exposure to varied technologies Resources allocation to areas of top concern Budget requirements are met by audit staff Ans. C Explanation The objective of risk based audit approach is focus on areas where risk is high. Various scheduling methods are used to prepare audit schedules and it does not come under risk based approach. It also does not relate to budget requirements met by staff and number of audits performed in a given year. Examples of substantive sampling technique include: Review of password history reports Approval for configuration parameters changes Tape library inventory Verifying list of exception reports Ans. C Explanation Tape library inventory is an example of substantive sampling as it confirms the integrity of a process associated with determining whether tape records are stated in a correct manner. All others are example of compliance sampling as they determine whether the process in practice is inline with the established policies and procedures. The characteristic of an audit charter is: Is dynamic is nature and keeps changing frequently as the technology changes It contains the objectives of audit, maintenance and review of internal records by delegated authority Detailed audit procedures Overall scope, ownership and responsibility of audit function Ans. D Explanation Audit charter states management objectives, scope, ownership and delegation of responsibility of audit function. It should not change frequently and approved by higher management. Also it does not contain detail audit procedures. The auditor actions and decisions impact the ___ type of risk in a major manner. Inherent Detection Control Business Ans. B Explanation Auditor selection / decisions during the audit process have direct impact on detection risks, such as enough number of samples not taken into consideration etc. Company actions manage the control risks and business and inherent risks are also not impacted by auditor. Particular threat to overall business risk can be articulated in terms of: Likelihood and magnitude of impact , where threat successfully exploited a vulnerability Magnitude of impact, where source of threat successfully exploited a vulnerability Probability of a given source of threat exploiting a vulnerability Risk assessment team group decision Ans. A Explanation The choice A addresses both likelihood and magnitude of impact and measures risk to an asset in best manner. Choice B doesnt consider the magnitude of possible damage to an asset. Choice C dont consider the possibility of damage due to source threat exploiting a vulnerability and choice D is an arbitrary method of determining risk and it is not a scientific risk management approach. Risk management approach over baseline approach in information security management gives a major advantage in terms of: Overprotection of information assets Base level protection to all assets irrespective of asset value Adequate protection applied to all information assets Equal level of protection for all information assets Ans. C Explanation Baseline approach applies a standard set of protection to all information assets whereas the risk management based approach determines the level of protection to be applied depending on a given level of risk. This saves the costs incurred on overprotection of an information asset. In baseline approach equal level of protection is applied for all information assets irrespective of asset value so as a result some assets could be under protective and some could be overprotective. Which testing method is most effective when doing the compliance testing? Attribute sampling Variable sampling Stratified mean per unit Difference estimation Ans. A Explanation Choice A is appropriate in this scenario. As attribute sampling model estimate the rate of occurrence of a specific quality in a population to confirm whether quality is present in compliance testing. The other means of sampling are used in substantive testing where details and quantity testing is done. Why email is considered a useful source of evidence in litigation in IS audit process? Wide use of email systems in enterprises as medium of communication Access control mechanisms to establish email communication accountability Backup and archiving of information flowing through email systems Data classification guidelines dictating information flow via email systems Ans. C Explanation Option C is most appropriate as archived/ backed up email files, may contain documents which have been deleted and could be recovered. Access controls only establish accountability but dont give evidence of the email. Data classification standardizes what to be communicated by email but dont provide information needed for litigation process. A post implementation review of an application is scheduled by IS auditor. What could be the possible situation which can hamper the independent assessment of IS auditor. Involved in the development of specific application and implemented specific functionality / control Integrated an embedded audit module in the application for auditing purpose Was member of application system project team but not involved at operational level Given advice on considering best practices while system was in development stage Ans. A Explanation Choice A is most appropriate in this scenario because the auditor independence is impaired in case he was involved actively during the development, acquisition and implementation of the new application. Choice B and C dont hamper auditor independence. And Choice D is not correct as auditor independence is not hampered by given advice on best known practices. What is the benefit of continuous audit approach: Collection of evidence is not required on system reliability during the processing stage Review and follow up on all information collected Improvement in overall security in time sharing environment where large number of transactions processed No dependency on complexity of organizations systems Ans. C Explanation Choice C is most appropriate w.r.t to continuous audit process major benefit as overall security is improved in time sharing environments where large number of transactions is processed but leaving insufficient trail of papers. Choice A is not correct as auditor need to collect evidence while processing is ON. Choice B is also not correct in this case as auditor does review and follows up on errors and material deficiency. Choice D is also incorrect as complexity of organization systems determines the use of continuous audit process technique. The objective of enabling audit trail is: Better response time for users Institute Accountability of processed transactions Improving operational efficiency of systems Better tracking of transactions to give useful information to auditors Ans. B Explanation Choice B is most appropriate in this scenario as accountability and responsibility can be established for processed transactions and tracing could be done end to end. Enabling audit trail dont improve user experience as it might involve additional processing which may impact user response time in other way. Choice D could also be considered valid but it is not the main reason for the purpose of enabling audit trails. In a risk based audit strategy, risk assessment is done by IS auditor to ensure: Risk mitigation controls are in place Threats and vulnerabilities are identified Risks related to audit are taken into consideration Gap analysis is done as per the need Ans. B Explanation Choice B is most appropriate in this scenario. Identification of threats and vulnerabilities is crucial in determining the scope of audit. Effect of an audit would be to develop controls to mitigate risks. Audit risks are not relevant to risk analysis of environment. Gap analysis compares the actual state to expected or desired state. A gap could be result of a risk not being correctly addressed or missed out. In order to achieve best value to organization in terms of audit resources we should : Do audit scheduling and measure the time spent on audits Training of audit staff on latest audit technologies Chalk out detailed plan based on risk assessment Progress monitoring of audits and have cost control measures in place Ans. C Explanation Choice C is most appropriate in this scenario. This will deliver value to organization in terms of dedicating resources on higher risk areas. Choice A, B and D will improve the staff productivity only. An IS audit charter includes: Plan for IS audit engagements Scope and objective of audit engagement Training plan for audit staff IS audit function role Ans. D Explanation Choice D is applicable in this scenario. Choice A is responsibility of audit management. Scope and objective is agreed on engagement letter and training of staff is again responsibility of audit management based on audit plan. In the evaluation of risk assessment of Information system. The IS auditor will first review: Controls in place Effectiveness of implemented controls Monitoring mechanism for risks related to assets Threats/ vulnerabilities impacting assets Ans. D Explanation Risks associated with using assets need to be evaluated first so choice D is most appropriate in this scenario. Controls effectiveness is part of risk mitigation stage and risk monitoring is part of risk monitoring function after risk assessment phase. During an audit plan, the most critical step is: High risk areas identification Skill set identification of audit team Identification of test steps in audit Identification of time allotted to audit Ans. A Explanation The choice A is appropriate in this scenario. The identification of high risk areas is most critical step as that will determine the areas to be focused during the audit. Skill set is determined before audit to begin. Test steps and time for audit is determined on the basis of areas to be audited. How much data to be collected during audit process will be determined on the basis of: Ease of obtaining the information records Familiarity with the environment to be audited Ease of obtaining the evidence Scope and purpose of audit Ans. D Explanation Scope and purpose will determine the amount of sample data to be collected during the audit. All other choices are irrelevant in this scenario as audit process is not hampered by ease of obtaining records or evidences or familiarity with the environment. During the audit plan, assessment of risk should provide: An assurance that audit will cover material items Material items would be covered definitely during the audit work Reasonable assurance that All items will be covered by audit work Assurance to suffice that all items will be covered during the audit work Ans. A Explanation Choice A. ISACA audit guideline G15 clearly states that An assessment of risk should be made to provide reasonable assurance that material items will be adequately covered during the audit work. Definite assurance clause in choice B is impractical, option C is also not correct as it states all items. Statistical sampling should be used by IS auditor and not judgmental sampling in the scenario: Objective quantification of error probability Avoidance of sampling risk by auditor General use audit software is available Unable to determine the tolerable error rate Ans. A Explanation With an expected error rate and confidence level, objective method of sampling is statistical in nature as it helps auditor to determine size of sample and quantify error probability or likelihood. Choice B is not correct because sampling risk is risk of sample. Choice C is also incorrect as statistical sampling doesnt need general software. Choice D is also incorrect because tolerable error rate is predetermined in statistical and judgmental sampling. The primary goal of an auditor during the IS audit planning stage is: Address audit objectives Sufficient evidence collection Mention appropriate tests Use less audit resources Ans. A Explanation As per ISACA guidelines auditor plan must address audit objectives. Choice B is not correct because evidence is not collected at planning stage. Choice C and D are also incorrect because they are not initial goals of audit plan. During an audit procedure selection, auditor will have to use professional judgment to ascertain: Sufficient evidence collection Identification of significant deficiencies and there correction in reasonable time period Material weakness identified Maintain minimal level of audit costs Ans. A Explanation Professional judgment during the course of an audit process involves subjective and qualitative evaluation of conditions. It is based more on past experience of auditor and auditor past experience plays a key role in this. Identification of material weaknesses is result of experience and planning thoroughness and also it does not deal with financial aspects of audit as stated in choice D. While evaluating logical access controls an auditor first: Documentation of controls applied to all possible access paths to system Testing of controls to access paths to determine they are functional Evaluation of security environment w.r.t. policies and procedures laid down Obtaining an understanding of security risks to information processing facilities Ans. D Explanation Choice D is most appropriate in this scenario. The first step is to gather security risks to information processing facilities, by studying documentation, inquiries and doing risk assessment. Documentation and evaluation is next step. Third step is to test access paths to ensure controls functionality. The last is auditor evaluation of security environment. The objective of forensic audit is to: Participation in investigations related to corporate fraud Evidence collection on systematic basis after system irregularity Assessment of correctness of organizations financial statements Determine if there was any criminal activity Ans. B Explanation Choice B is correct as evidence collection is used for juridical process. They are not only for corporate frauds. Financial statements correctness determination is not purpose of forensic audit. And criminal activity could be part of legal process but it is not the objective of forensic audit. An auditor is reviewing a backup log report of remote server backup. One of the entries in the backup log indicates failure to login to remote server for backup and there is no entry in log which confirms that backup was restarted. What IS auditor should do? Issue audit finding Explanation required from IS management Issue a non compliance Increase sample of logs to be reviewed Ans. D Explanation Choice D is appropriate in this case. Before issue audit finding or seeking explanation, or issue of non compliance auditor needs to gather additional evidence to properly evaluate the situation. For the purpose of auditing critical servers audit trail, auditor wants to use _______ tool to determine the potential irregularity in the user or system. CASE tools Embedded data collection tool Heuristics scanning tool Trend/variance detection tools Ans. D Explanation Trend/variance detection tools are used for determining the potential irregularity in the user or system. CASE tools are used in software development and embedded data collection tool is used for sample collection and Heuristics scanning tool used to detect virus infections. What could be the possible cause of great concern for an auditor while evaluating a corporate network for possible penetration from employees? Number of external modems connected to network Users have right to install software on there desktops Limited network monitoring or no monitoring at all User ids with identical passwords Ans. D Explanation Choice D is most appropriate in this scenario. It is the greatest threat. Choice A threat is there but depends on use of valid user id. In choice b likelihood is not high due to technical knowledge needed for penetration. Network monitoring is a means for detection. What is the major benefit of using computer forensic softwares in investigations? Preservation of electronic evidence Saving time and costs More efficient and effective Efficient search for violation of Intellectual property rights Ans. A Explanation The main purpose of forensic software is to preserve the chain of electronic evidence for investigation purpose. Others choice B and C are concerns to identify good / poor forensic software. Choice D is example of using forensic software. Data is imported from client database by auditor, now the next step is to confirm imported data is complete, what step need to be followed to verify the same. Match control total of imported data with original data Sort data to confirm data is in same order as the original data Review first 100 records of imported data with first 100 records of original data Category wise filtering of data and matching them to original data Ans. A Explanation The logical step in this scenario would be option A. this will confirm the completeness of process. Sorting may not be applicable in this scenario because original data may not be sorted order. Reviewing partial data does not suffice the purpose either. Filtering data would also need control totals to be established to ensure completeness of data. An audit is to be conducted to identify payroll overpayments in last year. Which audit technique would be best appropriate in this scenario? Data testing Use of general audit software Integrated test facility Embedded audit module Ans. B Explanation General auditing softwares include mathematical calculations, stratification, statistical analysis, sequence and duplicate checks and re-computations. So auditor can use appropriate tests to re-compute payroll data. Test data would not detect the anomalies and overpayments. Integrated test facility and embedded edit modules cannot detect previous errors. During an audit process, auditor finds out that security procedures are not documented what he should do? Auditor create procedure document Stop audit Do compliance testing Evaluate and identify exiting practices being followed Ans. D Explanation The purpose of audit is to identify risks, so the most appropriate approach would be identify and evaluate current practices being followed. Auditors dont create documentation, compliance testing cannot be done as no document is there and stopping audit will jeopardize the objective of audit i.e. risks identification. Threats and their potential impacts are identified during the course of an risk analysis stage what should be next most appropriate step? Identification and assessment of risk assessment approach of management Identification of all information assets and systems Disclosure of threats and impacts to management Identification and evaluation of existing controls Ans. D Explanation The next step would be choice D. once the threats and impacts are identified. Next step is to share them with management. Out of the following which one is the most significant concern for an auditor? Non reporting of network attack Notification failure to police of an attempted intrusion Periodic review of access rights not present No notification of intrusion to public Ans. A Explanation Failure to report a network attack is major cause of concern. Reporting to public is organization choice and notification to police is also matter of choice. Periodic examination of access rights could be causing of concern but not as big as option A. Which is the most dependable evidence for an auditor out of the following: Letter from 3rd party on compliance Line management assurance that application is performing as per design Information obtained from www Reports supplied by organization management to auditor Ans. A Explanation The most reliable evidence is the one given by external party. Choice B, C and D are not considered reliable. While evaluating a process on the basis of preventive, detective and corrective controls, an IS auditor should know? The point at which controls used as data flow through system Preventive and detectives controls are only relevant ones Corrective controls are only relevant Classification is required to determine which controls are absent Ans. A Explanation Choice A is most appropriate. Choice B and C are incorrect as all controls are important. Choice D is also not correct because functioning of controls is important and not its classification. The best evidence of duties segregation is identified by using ____ audit technique? Discussions with management Organization chart review Interviews and observations User access rights testing Ans. C Explanation Based on choice C an auditor can evaluate the duties segregation. Management may not be aware of detailed functioning, organization chart only depicts hierarchy of reporting, and testing will only tell user rights but will not give any details on function being performed by users. While reviewing a customer master file, auditor discovers that many customer names are appearing in duplicate causing variation in customer first names. How auditor will determine the amount of duplication in this scenario? Testing data to validate input Testing data to check sorting capabilities Use general audit software to detect address field duplications Use general audit software to detect account field duplications Ans. C Explanation As names are not same, so we need to use some other field to determine duplication such as address field. Test data will not help in this case and searching on account number may not yield desired result because customers could have different account numbers for each entry. While testing for program changes what is the best population to choose sample from? Library listings testing Listing of source programs Change request programs Listing of production library Ans. D Explanation The best source to draw sample or test system is automated system. Choice B would be time consuming. Program change request are initial documents to initiate changes; test libraries dont present approved and authorized executables. An integrated test facility is an efficient tool for audit: Audit of application control in a cost effective manner Integrating audit tests for financial and IS auditors Comparison of processing output with independently calculated data Tool to analyze large range of information Ans. C Explanation It is a useful audit tool because it uses similar program to compare processing with independently calculated data. This involves setting up dummy entities and processing test/production data. IS auditors use data flow diagrams to: Hierarchical ordering of data Highlighting high level data definitions Summarize data paths and storage in graphical manner Step by step details of data generation portrait Ans. C Explanation Data flow diagrams are used to chart flow of data and storage. They dont order data in hierarchical manner. Data flow not necessarily match hierarchy or order of data generation. Review of organization chart is done by auditor to: Understand workflows Identify all communication channels Responsibility and authority of individuals Network diagram connected to different employees Ans. C Explanation Organization chart always depicts the responsibility and authority of individuals in an organization. This is required to understand the segregation of functions. While performing an audit of network operating system, an auditor should review the following user feature? Network document availability online Support for terminal access to remote systems File transfer handling between users and hosts Audit, control and performance management Ans. A Explanation Network operating system user features comprise online availability of network documentation. Choice B, C and D are some examples of network OS functions. In order to ascertain that access to program documentation is only restricted to authorize users, an auditor should check: Evaluation of retention plan for off site storage Procedures being followed by programmers Comparison of utilization records to operational schedule Review data access records Ans. B Explanation Interview of programmers to understand procedures being followed is the best way to ascertain the access to program documentation is only with authorized personnel. Off site storage, utilization records and review of data access records will not address security of program documentation. Auditor is evaluating an application which does computation of payments. During the audit it is reveled that 50% of calculation is not matching with the set total. What should be the next step auditor need to follow as part of audit practice? Do further test on calculations having error Identification of variables that generated inaccurate test results Testify some more test cases to reconfirm the anomaly Documentation of results, findings, conclusions and recommendations Ans. C Explanation Auditor needs to examine some more test cases where incorrect calculations happened and then confirm with the final outcome. Once calculations are complete further tests can be performed and then report to be made only after confirmation and not before that. In order to prove the correctness of system tax calculation the best practice to be followed is: In depth review and analysis of source code Using general auditing software to recreate program logic for monthly totals calculation Simulate transactions for results comparison In depth analysis and flow chart preparation of the source code Ans. C Explanation The best way to prove accuracy of tax calculation is simulation of transactions. Detailed review, flow chart and analysis of source code will not be effective and monthly total will not confirm the correctness of tax calculations at individual level. In Applications control review , auditor must analyze : Application efficiency in meeting business processes Exposures impact Business processes performed by application Optimization of application Ans. B Explanation Application control review requires analysis of application automated controls and analysis of exposures due to controls weaknesses. The other options could be objective of audit but not specifically meant to analyze application controls. What is the most accurate evidence to prove that purchase orders are legitimate while auditing an inventory application? Application parameters can be modified by unauthorized personnel Purchase order tracing Comparison of receiving reports to purchase order details Application documentation review Ans. A Explanation Access control testing is the best way to determine purchase orders legitimacy and is the best evidence. Choice B and C are part of further actions and choice D will not serve the purpose as application documentation process and actual process could vary. Irregularities at an early stage can be detected in the best manner by using ______ online auditing technique. Embedded audit module Integrated test facility Snapshots Audit books Ans. D Explanation The audit book technique also involves embedding code in applications to reveal early detection of irregularity. Embedded audit module is used for monitoring application systems on select

The Life Of Jesus :: essays research papers

The Life of Jesus The New Testament is mainly based on the life of Jesus and the early church. He is known as the son of God though his parents were Mary and Joseph. Jesus was born in a stable in city of Bethlehem as there was no room in the inns. Once he was born, Mary had no crib to place him in, so they made one with a troth and some straw. Three Kings and some shepherds came to visit him. The kings gave him gifts of gold, frankincense and myrrh. Jesus and his family travelled to Jordan from Galilee so Jesus could be baptised. Jesus went all over Galilee preaching the Good News about the Kingdom of God. He educated in the synagogues, speaking and reading in Hebrew, Aramaic, Greek and Latin. He taught people how to live properly and to always make the right decision. He also told many parables. Jesus healed many different people with incurable diseases and sicknesses. He performed many miracles with the power of God. It was time for Jesus to choose his twelve apostles. He chose Simon, James, John, Andrew, Phillip, Bartholomew, Matthew, Thomas, James, Thaddaeus, Simon and Judas. They all came from different backgrounds. Judas was the apostle who betrayed Jesus. It was time for the last supper. Jesus sat down with his disciples at the table to share the bread and wine. Jesus went to pray in Gethsemane with his disciples when Judas arrived with an armed crowd sent by the chief priests. They arrested him. Jesus was brought to Pilate and he sentenced him to death. Then he was crucified. When he died, a man named Joseph of Arimathea asked Pilate for the body of Jesus and he replied yes. Joseph took the body down wrapped him in linen and placed him in a tomb. He rolled a large stone across the entrance. Jesus's body still had to be anointed, so the day after the Sabbath, Mary Magdalene and Mary the mother of James came to dress him. When they arrived the stone was rolled open so they entered though shocked that it was open. In there they saw a man in a white robe, an angel. They were shocked even more. The angel calmed the women and told them that he had been raised. The women were so afraid that they ran out of the tomb yet they were filled with joy. A man stopped them. It was Jesus. The women were so happy.

The Impact Of The Internet On Communication Essay -- Networks Telecomm

The Impact of the Internet on Communication The internet has revolutionized all forms of communication since the beginning of its existence. The world has now become ‘smaller' or more like a ‘global village', so to speak. The internet was first used by the U.S military for communications purposes. The internet, from the communication point of view, has brought on new developments and techniques to keep in touch not only for individuals, but for businesses as well. An example of how the internet has impacted communication would be an example of doctors now communicating through live video feeds via the internet with patients or other doctors to diagnose patients or to even guide and advise surgeons through complicated procedures. Email Email (electronic mail) was one of the biggest breakthroughs in communication when the internet was commercialized. With email, it became possible to send messages and letters across the world in a matter of seconds to the recipients address. Email was used as an alternative to conventional mail or ‘snail' mail, as the term was introduced to describe its speed. As technology improved, it became possible to ‘attach' documents, photographs and even sound clips or songs to emails which made mail by post redundant. Emails used packet switching software whereby the email was broken down into ‘packets' and sent via the internet to the recipient. VoIP (Voice over Internet Protocol) Internet Voice, also known as Voice over Internet Protocol (VoIP), is a technology that allows you to make regular telephone calls using a dial up or broadband internet connection instead of a regular phone line. Some services using VoIP may only allow you to call other people using the same service, bu... ...ely in real-time. When logged into a chat session, you "converse" by typing messages that are instantly sent to other chat participants. One of the most popular IRC programs is ‘mIRC'. P2P technically stands for "peer-to-peer." A peer-to-peer architecture allows hardware or software to function on a network without the need for central servers. The person connects directly to his or her peer through a dedicated connection where no one else can interfere. An example of P2P chat clients are MSN Messenger and Yahoo Messenger. These P2P clients make chatting user-friendly and interesting as there are options for a web cam or an audio conversation, and options to transfer files from one peer to another. The use of emoticons makes the conversation either more real or more fun. Bibliography www.google.com www.fcc.gov www.askjeeves.com www.about.com www.mirc.com

Maria Isabella Boyd aka Belle Boyd Essay -- biographies bio biography

Have you ever dreamt of living an adventurous life? Well for me that was reality. I was a spy and actress, mercilessly charming Union officers into giving me information. Dubbed 'La Belle Rebelle' by a French war correspondent, I went by the name Belle Boyd instead of my original name, Maria Isabella Boyd. I have gone in and out of jail, marriages, and careers (three of each). Throughout the whole ordeal though, I have been constant in my loyalty to the Confederacy. Born on May 4, 1843, I was raised just like any other southern lady. My father was a merchant, and I grew up in Martinsburg, West Virginia with my parents, several brothers, one sister, and grandmother. I attended Mount Washington Female College of Baltimore from age 12 to 16. Ever since I can remember I?ve been getting into all sorts of trouble. Once when I was 10, I rode my pony into the hallway of my house causing havoc. I was known to be a fun-loving debutante. People described my voice as low and charming and my figure flawless. It was odd how I was considered either extremely beautiful or completely plain because ...

Margaret Laurence’s The Stone Angel Essay

Margaret Laurence’s The Stone Angel is a novel, which depicts the last days of life of the protagonist – Hagar Currie-Shipley. Pride, loneliness and final journey to death are the main themes of the novel.   The character of Hagar is transformed through the novel and the readers can see different stages this old woman comes in her perception of other people, life and death. Multiple flashbacks give us idea about the life of the main character and people who surround her. Margaret Laurence goes further than mere description of events. Deep investigation of Hagar’s beliefs, thoughts and ideas present not only a valuable investigation of old lady’s inner world, but also make the readers to reflect on such important themes as love, friendship, pride, acceptance of death and coming in terms with one’s reality. Margaret Laurence wrote in one of her interviews that she was not sure if the last days of ninety-year old woman could be an interesting reading for the wide audience. But she dared and fulfilled her idea and the novel became popular among the readers. It was included into several study courses soon after it was published. The subject touched in the novel echoed in the hearts of the readers and they were ready to share an experience of dying woman and reflect on the themes of pride and loneliness. Pride is the best characteristic of the main character. All Hagar’s life is dedicated to one ultimate purpose – she wants to make a good appearance by any means. Any manifestations of emotions she regards as weakness, which should be avoided by any means. The name of the novel becomes a symbol for this pride, which makes the main purpose of Hagar’s life. From early age she feels superior to other children. An accident on the Manawak dump is very characteristics for better understanding of Hagar’s character. When Hagar’s friend Lottie killes small chicks in the Manawak dump Hagar becomes greatly impressed by this accident. This accident made such a great impression on Hagar that she was not able to forget about it during all her life. Many years later she retold this accident to Lottie after the death of their children. This accident had such an impression on Hagar not only because of her extra sensitiveness. For her killing birds became manifestation of strength. This strength was manifested by her shy friend. As Hagar herself describes her: â€Å"Lottie was light as an eggshell herself, and I felt surly toward her littleness and pale fine hair, for I was tall and sturdy and dark and would have liked to be the opposite† (Laurence,. 27). Comparing herself to Lottie Hagar suddenly came to realization that she was weaker than slim and shy girl she disdained. This accident became one of the turning points in the becoming of Hagar’s personality and shaped out all her further life. An accident in the Manawak dump made Hagar obsessed with pride and desire to keep a good appearance in front of people by any mean. Pride became sense of life and she was ready to sacrifice everything to this ideal. She did not make any exceptions, even for her dearest people. Being afraid to become weak, she even refuses to pretend being her mother when her dying brother asks her about this. She refuses to do so because she believes her mother was a weak person and Hagar is afraid even to pretend being weak. Pride does not let Hagar to accept the choice of her son to marry Lottie’s daughter. She sees their relations â€Å"as a joke of God – if people had told me forty years ago my son would fall for No-Name Lottie Drieser’s daughter, I’d have laughed in their faces† (Laurence, 204). She boldly takes God’s â€Å"challenges† and decides to destroy their relationships. For this purposes she even turns to Lottie’s help. Hagar is stubborn and self-assured enough to make the decisions for other people and their future. She does not take feelings of other people seriously and even happiness of her own son does not count in comparison to her own ambitions. She does not hesitate even for a minute when making a decision to destroy John’s and Arlene’s relationship. Hagar forgets her own youth when she did not listen to anybody and married the man she had fallen in love with. â€Å"I saw them with a covey of young, like Jess’s had been, clustered like fish spawn, children with running noses and drooping, handed-down pants four sizes too large. I couldn’t face the thought.† (Laurence, 211) She is absolutely sure in her right and power to decide the destinies of other people and such attitude finally results in a tragedy. Pride and aesthetic feeling become main reasons, which define all Hagar’s behavior. Obsession with the importance of appearance becomes a reason, which destructs Hagar’s life. This concern about appearance prevented her from enjoying physical love with the husband. Inner rules and restrictions did not let her to forget about morals and appearance even for a minute. Doing her best to keep a good appearance she does not even cry on the funerals of her beloved son. Death is another important theme of the novel. All Hagar’s life becomes a constant battle with death. Since early years she denies death and destructions and since these very early times they follow her step by step. Feeling an approach of death, Hagar tries to escape this reality and looks for the mean to deceive death. In the beginning she turns to memories and recollects the pictures from her past. Childhood memories, marriage and children, all these memories help Hagar to create her own reality where there is no place for death. She can not even tolerate thoughts about death. In her reflections she states: â€Å"Hard to imagine a world and I not in it. Will everything stop when I do? Stupid old baggage, who do you think you are? Hagar. There’s no one else like me in this world† (Laurence, 255). Such a position reflects selfish attitude and pride. Hagar can not believe that the world can exist without her.   When Hagar realizes that she can not escape from reality any more aggression and desire to change something replaces all other feelings. Hagar rejects help of other people and tries to fight death. She can hardly control her feelings and anger becomes a mean to express her protest against the existing order of the world. The realization become difficult because death is that phenomenon, which Hagar tried to escape by any means since early childhood. From the very moment when Lottie killed chicks Hagar did not want to confess even to herself that death was a natural part of the world. She rejects any kind of help and perceives Marvin’s attempt to put her in the nursing home as a humiliation. Only after long period of inner fight Hagar finally comes in terms with the reality. Acceptance of the world around her becomes new experience for Hagar. She finally comes to hard realizations that her will and proud can not control everything in the world and there are things she has to perceive as they are, not attempting to improve them. Ability to see different sides of the problem also becomes new experience for Hagar. As she states, â€Å"how you see a thing – it depends which side of the fence you’re on† (Laurence, p. 224) May be for the first time in her life Hagar realizes that there are other people around her and these people also have feelings, thoughts and emotions. Such simple conclusion becomes a very serious breakthrough for this strong and proud woman who used to control everything and everybody during all her life. Hagar finally starts counting with the will of other people. She does several mercy deeds, which are done not because of some aesthetic value or in the attempt to make a good appearance. Hagar helps ill girl who can not get up. Later she talks to her son and tells him she loves him more than John, who died in the car accident. These actions require enormous amount of Hagar’s inner force. Simple acts of mercy are so new to her that she can not perceive them as something normal, like most of the people do. This transformation becomes the greatest accomplishment for Hagar. She lies to Marvin in the name of love. This lie is very vividly apposed to her proud refusal to lie for the sake of her dying brother many years ago. All these changes become a vivid indicator of big transformation, which happens to Hagar during the last days of her life. She finally realizes that there are things, which are more important than pride and good appearance, which have determined all her previous life. Such things as compassion, friendship and love for the first time uncover their true meaning for Hagar. The author uses the death to show the change in the perspective of the main character and to let the reader follow the person who leaves this world. From the other side new realization does not change her proud and independent nature. Hagar is still afraid and feels lonely, but she does not fight her destiny and the whole world any more. She makes her final decision to leave the world being proud and independent, like she has spent her whole life. In the last scene Hagar, dying, rejects the help of the nurse to help her drink some water. She does it herself and this usual action which we do several times a day becomes an exploit for dying woman and proves her independence and power of her spirit. Margaret Laurence has chosen a difficult topic for her novel. She depicted the last days of the old woman left alone in her world, surrounded by the memories of the past and lonely in her voluntary isolation. The author describes different stages Hagar passed before her death and analyses her emotional conditions during these stages. But we meet death several times during the novel. We see in the memories of Hagar who lost almost all her dear people but didn’t think about the death like about something which could happen to her. The death is described without embellishments and exaggerations. But ordinary and routine descriptions help to get better understanding of the death and, finally, of life. Works Cited: 1. Margaret Laurence, The Stone Angel, New Canadian Library, Toronto, 1968.

Fast Company Analysis

Fastenal Company was founded in 1967 in Winona, Minnesota by Bob Kierlin. During the first month of business, Mr. Kierlin only managed to make $157 in sales. Despite the slow start, Mr. Kierlin knew what he wanted to do to make Fastenal successful, and that was to provide the kind of service that keeps customers coming back. This is when â€Å"Growth Through Customer Service† was invented. Since then, â€Å"Growth Through Customer Service† has been the mission of Fastenal. Fastenal is an industrial supply company and since 1967, 2,500 stores have opened across 50 states, Canada, Mexico, the Dominican Republic, Puerto Rico, Netherlands, Europe, China, and Singapore. Each store utilizes local inventory, outside sales staff, and on-site delivery vehicles to help save the customers’ time and money. Fastenal also owns and operates 16 Distribution Centers with a fleet of over 180 semi-trucks and trailers. Fastenal’s organization structure allows a customer to receive a fully-customized part hand delivered by an employee within three days. Fastenal’s main inventory is fasteners like screw, nuts, washers, and threaded rod. Fastenal has over 700,000 individual inventory items that range from power tools to tape to janitorial supplies. Fastenal’s target market is mainly focused on companies that consistently need to buy parts for the jobs they need to complete regularly. Fastenal even has vending machines stocked with custom inventory to provide companies in need of access to certain parts without having to come into the store each time. Vending machines are critical to the business strategy of Fastenal; the machines provide excellent customer service and convenience without an employee having to be present. It ensures that the companies with the vending machine will continuously and consistently purchase products. Fastenal’s marketing plan relies on monthly product deals that are distributed to every account owner each month. Outside sales staff and managers will deliver the catalogs each month. Fastenal also has an online presence, companies have the ability to go online and design an order template for quick and easy purchasing. Fastenal currently sponsors Carl Edwards from NASCAR, America’s most viewed sport, as an additional source of marketing. In May 2011, Fastenal made over 200,000 sales, 29% more than 2010. Fastenal opened nine new stores this month and 57 this year-to-date. Fastenal has also hired 2,000 more employees compared to 2010. Performance of the company varies from month to month because the winter months of the year typically have less construction occurring which results in a smaller demand of what Fastenal offers.

International Finance: Study Notes

1) Market seeker design strategy focuses on current market, and current consumer’s needs for quick return on investment. For example US automobile firms manufacturing in Europe for local consumption are an example of market-seeking motivation. 2) Raw Material seekers extract unfinished goods used in the manufacture of a product. For example, a steelmaker uses iron ore and other metals in producing steel. A publishing company uses paper and ink to create books, newspapers, and magazines. Raw materials are carried on a company's balance sheet as inventory in the current assets section. 3) Political safety seekers acquire or establish new operations in countries that are considered unlikely to expropriate or interfere with private enterprise. For example, Hong Kong firms unvested heavily in the United States, United Kingdom, Canada, and Australia in anticipation of the consequences of China’s 1997 takeover of the British colony. ) Production Efficiency seekers produce in countries where one or more of the factors of production are underpriced relative to their productivity. Labour-intensive production of electronic components in Taiwan, Malaysia, and Mexico is an example of this motivation. 5) Knowledge seekers operate in foreign countries to gain access to technology or managerial expertise. An example, German, Dutch, and Japanese firms have purchased US located electronics firms for their technology. Source: Investopedia Question 2: Political risk is a type of risk faced by investors, corporations, and governments. It is a risk that can be understood and managed with reasoned foresight and investment. Broadly, political risk refers to the complications businesses and governments may face as a result of what are commonly referred to as political decisions—or â€Å"any political change that alters the expected outcome and value of a given economic action by changing the probability of achieving business objectives. †. Political risk faced by firms can be defined as â€Å"the risk of a strategic, financial, or personnel loss for a firm because of such nonmarket factors as macroeconomic and social policies (fiscal, monetary, trade, investment, industrial, income, labour, and developmental), or events related to political instability (terrorism, riots, coups, civil war, and insurrection). †Portfolio investors may face similar financial losses. Moreover, governments may face complications in their ability to execute diplomatic, military or other initiatives as a result of political risk. A low level of political risk in a given country does not necessarily correspond to a high degree of political freedom. Indeed, some of the more stable states are also the most authoritarian. Long-term assessments of political risk must account for the danger that a politically oppressive environment is only stable as long as top-down control is maintained and citizens prevented from a free exchange of ideas and goods with the outside world. Understanding risk as part probability and part impact provides insight into political risk. For a business, the implication for political risk is that there is a measure of likelihood that political events may complicate its pursuit of earnings through direct impacts (such as taxes or fees) or indirect impacts (such as opportunity cost forgone). As a result, political risk is similar to an expected value such that the likelihood of a political event occurring may reduce the desirability of that investment by reducing its anticipated returns. There are both macro- and micro-level political risks. Macro-level political risks have similar impacts across all foreign actors in a given location. While these are included in country risk analysis, it would be incorrect to equate macro-level political risk analysis with country risk as country risk only looks at national-level risks and also includes financial and economic risks. Micro-level risks focus on sector, firm, or project specific risk. Political risks are classified as follows: 1) Blocked Fund – Term for â€Å"reserving† funds by one bank for the benefit of another bank. Blocking of funds is an often used banking procedure to ensure that the same funds are not used twice. Often more beneficial to an investor than a bank guarantee. ) Ownership – Is the state or fact of exclusive rights and control over property, which may be an object, land/real estate or intellectual property. Ownership involves multiple rights, collectively referred to as title, which may be separated and held by different parties 3) Religion Heritage – Is the faith in which a person was predominantly raised or the faith a person's parents or previous generations have traditionally held. 4)Terrorism – Is the systematic use of terror especially as a means of coercion. No universally agreed, legally binding, criminal law definition of terrorism currently exists. Common definitions of terrorism refer only to those violent acts which are intended to create fear (terror), are perpetrated for a religious, political or ideological goal, deliberately target or disregard the safety of non-combatants (civilians), and are committed by non-government agencies. Some definitions also include acts of unlawful violence and war. The use of similar tactics by criminal organizations for protection rackets or to enforce a code of silence is usually not labeled terrorism though these same actions may be labeled terrorism when done by a politically motivated group. The word â€Å"terrorism† is politically and emotionally charged, and this greatly compounds the difficulty of providing a precise definition. Studies have found over 100 definitions of â€Å"terrorism†. The concept of terrorism may itself be controversial as it is often used by state authorities to delegitimize political or other opponents, and potentially legitimize the state's own use of armed force against opponents (such use of force may itself be described as â€Å"terror† by opponents of the state). Terrorism has been practiced by a broad array of political organizations for furthering their objectives. It has been practiced by both right-wing and left-wing political parties, nationalistic groups, religious groups, revolutionaries, and ruling governments. An abiding characteristic is the indiscriminate use of violence against noncombatants for the purpose of gaining publicity for a group, cause, or individual. 5)Protectionism is the economic policy of restraining trade between states through methods such as tariffs on imported goods, restrictive quotas, and a variety of other government regulations designed to discourage imports and prevent foreign take-over of domestic markets and companies. This policy contrasts with free trade, where government barriers to trade and movement of capital are kept to a minimum. In recent years, it has become closely aligned with anti-globalization. The term is mostly used in the context of economics, where protectionism refers to policies or doctrines which protect businesses and workers within a country by restricting or regulating trade with foreign nations. Source: Wikipedia Question 3: Hedging means reducing or controlling risk. This is done by taking a position in the futures market that is opposite to the one in the physical market with the objective of reducing or limiting risks associated with price changes. Hedging is a two-step process. A gain or loss in the cash position due to changes in price levels will be countered by changes in the value of a futures position. For instance, a wheat farmer can sell wheat futures to protect the value of his crop prior to harvest. If there is a fall in price, the loss in the cash market position will be countered by a gain in futures position. Hedging is a mechanism to reduce the risk of adverse price movements of an asset. It’s an investment undertaken to reduce the risk of adverse movements of the underlying assets. We all agree with the fact that in investment risks and returns are the two sides of a coin. The underlying asset can be a security, currency, debt instruments or a commodity like crude oil. A Perfect Hedge is an offsetting investment which completely eliminates the risk of the price movements. However, this is practically not possible, as all investments do carry a risk. Reason for hedging Participating in hedging has reasons that are connected with price risk. Typically, traders take part in hedging so they can more effectively plan on set pricing (often employing the hedge ratio). Considering of course, gold or silver futures for instance as a hedge against inflation and falling currencies. Farmers, growers and producers alike near the source hedge to get a lock on pricing at some appointed time. Often they buy futures basically in order to protect against price drops. Producers, manufacturers and large consumers are commonly in the practice of hedging but rather to get a better handle on their cash flow or finished product/service costs. Surely in commodities that are known to be volatile in nature, where prices need a stabilization factor. Example : Where precious metals are used as raw materials. Trucking companies, the airlines and transportation companies all hedge to lock in lower prices. Electricity generation, in its used of natural gas also provides ample reason for hedging. Larger food companies needing the ingredients of grains and wheat flour for breads, cereals and baked goods (not to mention coffee and cocoa) and hedge for price protection. When successful it becomes an integral part of delivering their product to consumers. Some companies even hedge so that consumers may not be so hard pressed in the event of price climbs, perhaps seen as unreasonable by consumers. Reason against hedging The management of financial risk is difficult and conceptually demanding. Probably the most difficult issue is the actual recognition of where and how much financial risk is being incurred. Example: An Australian metal producer who borrows in USA as a partial hedge because their product is priced in USD in world markets. The problem with this â€Å"hedge† is that it actually would increase risk. The AUD is a commodity currency and when metal prices fall the AUD will generally be weaker. This means that our metal exporter finds that their USD loan is costing those more in AUD terms at the same time as revenue is collapsing. The reason for the problem is that the company failed to recognize the correlation between metal prices and the AUD exchange rate. Source: wikipedia Question 4: A balance of payments (BOP) sheet is an accounting record of all monetary transactions between a country and the rest of the world. These transactions include payments for the country's exports and imports of goods, services, and financial capital, as well as financial transfers. The BOP summarizes international transactions for a specific period, usually a year, and is prepared in a single currency, typically the domestic currency for the country concerned. Sources of funds for a nation, such as exports or the receipts of loans and investments, are recorded as positive or surplus tems. Uses of funds, such as for imports or to invest in foreign countries, are recorded as a negative or deficit item. When all components of the BOP sheet are included it must balance – that is, it must sum to zero – there can be no overall surplus or deficit. For example, if a country is importing more than it exports, its trade balance will be in deficit, but the shortfall will have to be counter balanced in other ways – such as by funds earned from its foreign investments, by running down reserves or by receiving loans from other countries. While the overall BOP sheet will always balance when all types of payments are included, imbalances are possible on individual elements of the BOP, such as the current account. This can result in surplus countries accumulating hoards of wealth, while deficit nations become increasingly indebted. Historically there have been different approaches to the question of how to correct imbalances and debate on whether they are something governments should be concerned about. Since 1974, the two principal divisions on the BOP have been the current account and the capital account. The current account shows the net amount a country is earning if it is in surplus, or spending if it is in deficit. It is the sum of the balance of trade (net earnings on exports – payments for imports) , factor income (earnings on foreign investments – payments made to foreign investors) and cash transfers. Its called the current account as it covers transactions in the â€Å"here and now† – those that don't give rise to future claims. The capital account records the net change in ownership of foreign assets. It includes the reserve account (the international operations of a nation's central bank), along with loans and investments between the country and the rest of world (but not the future regular repayments / dividends that the loans and investments yield, those are earnings and will be recorded in the current account). Expressed with the standard meaning for the capital account, the BOP identity is: [pic] The balancing item is simply an amount that accounts for any statistical errors and assures that the current and capital accounts sum to zero. At high level, by the principles of double entry accounting, an entry in the current account gives rise to an entry in the capital account, and in aggregate the two accounts should balance. A balance isn't always reflected in reported figures, which might, for example, report a surplus for both accounts, but when this happens it always means something has been missed—most commonly, the operations of the country's central bank. An actual balance sheet will typically have numerous sub headings under the principal divisions. For example, entries under Current account might include: †¢ Trade – buying and selling of goods and services Exports – a credit entry o Imports – a debit entry ? Trade balance – the sum of Exports and Imports †¢ Factor income – repayments and dividends from loans and investments o Factor earnings – a credit entry o Factor payments – a debit entry ? Factor income balance – the sum of earnings a nd payments. Especially in older balance sheets, a common division was between visible and invisible entries. Visible trade recorded imports and exports of physical goods (entries for trade in physical goods excluding services is now often called the merchandise balance). Invisible trade would record international buying and selling of services, and sometimes would be grouped with transfer and factor income as invisible earnings. In the case of any particular country, a balance reflecting the ratio of monetary receipts from foreign countries to total payments to foreign countries, as computed for a year, quarter, or other period of time. A favorable balance of payments results when receipts exceed payments, whereas an unfavorable balance of payments, or deficit, results when the reverse is true. The balance of payments reflects the diverse economic relations that exist between countries and lead to various international payments; these relations include foreign trade and the export of capital. The balance of payments also reflects international relations in the political, scientific, technological, and cultural spheres; this is seen, for example, in expenditures that arise from the maintenance of representations in foreign countries, from trips by official delegations and tourists, from the acquisition of patents and licenses, and from private transfers. In developed capitalist countries, the chief principals in international economic relations are private companies, including those engaged in commerce, industry, banking, insurance, and transport. The balance of payments forms as the spontaneous result of many isolated transactions an operation, for which no accurate account can be maintained. The balance of payments tables compiled in bourgeois states therefore represent only an approximate evaluation of receipts and payments. The item in the balance of payments tables that is called errors and omissions provides particular evidence of this fact. The balance of payments encompasses only the payments actually made during a given period. By contrast, the balance of international indebtedness, or balance of claims and liabilities, is the ratio of the foreign claims of a given country to the foreign liabilities of that country. The balance of payments in capitalist and developing nations includes scores of diverse items, which usually are grouped in the following categories, as recommended by the International Monetary Fund: foreign trade (exports and imports of commodities), services (including transport, tourism, insurance, government expenditures, banking services, and income from investments), unilateral transfers, the movement of long-term capital, the movement of short-term capital, change in the gold and currency reserves, and errors and omissions. The first three categories constitute the current account balance of payments, the next two are the balance of capital movements, and the last two are the balancing items. Analysis of the balance of payments is very important in describing a country’s place in the system of international economic relations, especially with respect to world trade. When receipts from the export of commodities consistently exceed import payments, this generally points to a country’s strength in world markets; this was the case with Japan and the Federal Republic of Germany in the late 1960’s and early 1970’s. On the other hand, import payments that exceed export earnings are an indication of economic difficulties related to the deficit of the balance of payments; this was the position of the USA in these same years. An important item in the current account balance of payments concerns the receipts and payments for foreign investments. This item reflects profit received from abroad and paid abroad, in the form of dividends, interest, and so forth. The profit represents a source of enormous income for capital-exporting imperialist states with large capital investments abroad, either in the form of direct investments or in the form of loans and credits. In 1971, for example, the income of Great Britain from foreign investments was ? 667 million, more than double the positive trade balance. The profit from foreign capital investments repatriated to the United States amounted to $10. 7 billion in 1971 and was the second most important item of receipts in the nation’s balance of payments, after the income from export commodities. This attests to the role of the United States as the center of financial exploitation in the capitalist world. The overwhelming majority of developing countries are importers of capital, and payments on foreign investments are one of the chief reasons for the overall balances of payments deficits. The payments on foreign investments absorb an ever greater portion of the export earnings of the developing countries. Foreign military expenditures are also included in the current account balance of payments. These expenditures are due to imperialist states’ policy of aggression and the maintenance of numerous military bases abroad. This is one of the most important reasons for the deficit in the balance of payments and the ensuing monetary crises. The enormous rise in state military and political expenditures abroad underlies the chronic deficit in the US balance of payments. Expenditures from the early 1960’s through the early 1970’s totaled more than $100 billion, some 40 percent more than the surplus for all other items in the USA’s balance of payments. Capital movement as reflected in the balance of payments is primarily in the form of the movement of long-term capital. Long-term capital movement includes direct investments, which provide for full ownership of enterprises or control of their operations; portfolio investments, made in the form of investments in overseas securities; and loans, credits, and subsidies. The export of capital—the outflow of capital from a given country—is reflected as an expenditure in the balance of payments; the import of capital, on the other hand, represents an influx of funds and is included as income. The export of capital, for example, to the developing countries, causes a flow of profit from the countries where the foreign capital has been placed; this ultimately has a negative effect on the balance of payments of the countries receiving foreign capital. At the same time, increased export of capital sometimes directly worsens the balance of payments of the imperialist states. The export of capital and military expenditures are precisely the reasons for the balance of payments deficit in the USA. The movement of short-term capital is related to the way money on deposit in foreign banks is constantly transferred between countries. These transfers are to a significant degree related to speculation with respect to change in exchange rates or interest on deposits. The indicator of a surplus or deficit of the balance of payments is important in describing the economic situation of a country. In capitalist nations, several methods are used for determining this balance; in the USA, for example, three methods are employed. The balancing indicator is most often the balance of the current transactions and the balance of the change in the gold and currency reserves. Various methods are used to regulate the balance of payments. One basic method involves the export of gold when there is a deficit balance and the import of gold when there is a surplus balance. The chronic balance of payments deficit in the USA in the 1960’s and early 1970’s led to a significant outflow of gold and a reduction in US gold reserves. The balance of payments deficit may also be covered by increasing short-term or long-term debts to creditor nations, which accumulate the corresponding obligations of their debtors. Because the gold reserves of the capitalist and developing countries are limited, foreign credits and loans are becoming the basic means of covering the balance of payments deficit; this is especially true in the case of developing countries. To improve the balance of payments situation, capitalist states frequently resort to a currency devaluation, which helps increase export receipts from tourism, the import of foreign capital, and so forth. The balance of payments situation of a capitalist country is a basic factor in determining the state of that country’s currency. For example, the crisis of the US dollar basically resulted from a sharp deterioration in the US balance of payments, which had a deficit of almost $10 billion in 1972. The US government was forced to devalue the dollar in 1971 and 1973 because of the drop in gold and currency reserves and the increase in foreign debts, both of which were caused by the chronic balance of payments deficit. In socialist countries, foreign economic relations are based on the state monopoly of foreign trade and the foreign-exchange monopoly. The balance of payments is planned as a component part of a general plan embracing the national economy, foreign trade, and currency. Payments of the member countries of the Council for Mutual Economic Assistance (COMECON) are mutually balanced through long-term planning of trade and payments between the countries; payments in transfer rubles are used. Because of the foreign-exchange monopoly, the balance of payments does not influence the situation of the monetary units of the socialist countries. In relations with the capitalist states, the Soviet Union and other socialist countries avoid balance of payments deficits through the planned use of foreign-exchange and gold resources and anticipated foreign-exchange receipts. Source: Finance Asia Question 5: Annualized  Ã‚  Ã‚   =  Ã‚     Ã‚  Ã‚  Ã‚  Ã‚  Forward Price – Spot Price  Ã‚  x  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  12  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚     Ã‚  Ã‚  Ã‚  x  100% Forward Premium  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚     Ã‚   Spot Price  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  # of months   Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   forward Direct Quotation represents the value of a foreign currency in dollars (number of dollars per currency). In this case, the Japanese Yen is taken as the local currency and USD is taken as the foreign currency. Direct = ((120 -140) / 140)*(12 / 6)*100 = – 28. 5714% forward discount Indirect = 1 / Direct = 1/-28. 5714% = 3. 5% forward discount Question 6: A  type of diagram  where the curve falls at the outset and eventually rises to a point higher than the starting point, suggesting the letter J. While a J-curve can apply to data  in a variety of fields, such as medicine and political science, the J-curve effect is most  notable in both economics and private equity funds; after a certain policy or investment is made, an initial loss is followed by a significant gain. An example  of the  J-curve effect  is seen in economics  when a country's trade balance initially  worsens following a devaluation or depreciation of its currency. The higher exchange rate will at first correspond to more costly imports and less valuable exports, leading to a bigger initial deficit or a maller surplus. Due to the competitive, relatively low-priced exports, however, a country's exports will start to increase. Local consumers will also purchase less of the more expensive imports and focus on local goods. The trade balance eventually improves to better levels  compared to before devaluation. In private equity funds, the J-curve effect occurs when  funds experience negative returns for the first several years. This is a common experience, as the early years of the fund include capital drawdown and an investment portfolio that has yet to mature. If the fund is well managed, it will eventually recover from its initial losses and the returns will form a J-curve: losses in the beginning dip down below the initial value, and later returns show profits above the initial level. The theory of the J-curve is an explanation for the J-like pattern of change in a country's trade balance in response to a sudden or substantial depreciation (or devaluation) of the currency. Consider the adjoining diagram depicting two variables measured, hypothetically, over some period of time; the dollar/foreign exchange rate, E$/*, and the US current account balance, CA = EX – IM. The exchange rate is meant to represent the average value of the dollar against all other trading country currencies and would correspond to a dollar value index which is often constructed and reported. Since the units of these two data series would be in very different scales, we imagine the exchange rate is measured along the left axis, while the CA balance is measured in different units on the right-hand axis. With appropriately chosen scales we can line up the two series next to each other to see whether changes in the exchange rate seem to correlate with positive or negative changes in the CA balance. Source: Investopedia Question 7: Tax is to impose a financial charge or other levy upon a taxpayer (an individual or legal entity) by a state or the functional equivalent of a state such that failure to pay is punishable by law. Taxes are also imposed by many subnational entities. Taxes consist of direct tax or indirect tax, and may be paid in money or as its labor equivalent (often but not always unpaid labour). A tax may be defined as a â€Å"pecuniary burden laid upon individuals or property owners to support the government, a payment exacted y legislative authority. † A tax â€Å"is not a voluntary payment or donation, but an enforced contribution, exacted pursuant to legislative authority† and is â€Å"any contribution imposed by government whether under the name of toll, tribute, tallage, gabel, impost, duty, custom, excise, subsidy, aid, supply, or other name. † The legal definition and the economic definition of taxes differ in that economists do not cons ider many transfers to governments to be taxes. For example, some transfers to the public sector are comparable to prices. Examples include tuition at public universities and fees for utilities provided by local governments. Governments also obtain resources by creating money (e. g. , printing bills and minting coins), through voluntary gifts (e. g. , contributions to public universities and museums), by imposing penalties (e. g. , traffic fines), by borrowing, and by confiscating wealth. From the view of economists, a tax is a non-penal, yet compulsory transfer of resources from the private to the public sector levied on a basis of predetermined criteria and without reference to specific benefit received. In modern taxation systems, taxes are levied in money; but, in-kind and corvee taxation is characteristic of traditional or pre-capitalist states and their functional equivalents. The method of taxation and the government expenditure of taxes raised is often highly debated in politics and economics. Tax collection is performed by a government agency such as Canada Revenue Agency, the Internal Revenue Service (IRS) in the United States, or Her Majesty's Revenue and Customs (HMRC) in the UK. When taxes are not fully paid, civil penalties (such as fines or forfeiture) or criminal penalties (such as incarceration) may be imposed on the non-paying entity or individual. Taxes are sometimes referred to as â€Å"direct taxes† or â€Å"indirect taxes†. The meaning of these terms can vary in different contexts, which can sometimes lead to confusion. An economic definition, by Atkinson, states that â€Å"†¦ direct taxes may be adjusted to the individual characteristics of the taxpayer, whereas indirect taxes are levied on transactions irrespective of the circumstances of buyer or seller. According to this definition, for example, income tax is â€Å"direct†, and sales tax is â€Å"indirect†. In law, the terms may have different meanings. In U. S. constitutional law, for instance, direct taxes refer to poll taxes and property taxes, which are based on simple existence or ownership. Indirect taxes are imposed on events, rights, privileges, and acti vities. Thus, a tax on the sale of property would be considered an indirect tax, whereas the tax on simply owning the property itself would be a direct tax. The distinction between direct and indirect taxation can be subtle but can be important under the law. The Advantages of Direct and Indirect Taxes Governments collect taxes by direct and indirect means. An example of a direct tax is payroll tax, where tax is deducted by an employer from an employee's income, and paid directly to a collection agency, such as the Internal Revenue Service in the United States. An indirect tax is a tax which is not paid directly to the collection agency by the person paying the tax, but goes an intermediary, who then passes the tax to the collection agency. Sales taxes are examples of indirect taxes. Progressive Advantage of Direct Taxes One advantage of direct taxation is that it is easy to apply in a progressive manner. Progressive taxes are a fair way of generating revenue, because multiple rates of taxation can be applied, based on the ability of the tax payer to pay the tax, especially if tax rates increase marginally. For example, a government may apply income tax to earnings at a rate of 10 percent, for all income earned up to $20,000. Then it applies a rate of 15 percent to income over $20,000. A person earning more than $20,000 will pay tax at a rate of 10 percent on the first $20,000 earned, and only pays 15 percent on earnings over that amount. Progressive, marginal, direct taxation is therefore fair because higher earners bear a greater part of the tax burden, based on their ability to pay higher rates of tax. Transparency of Direct Taxation Direct taxes, which go directly by the person bearing the burden of the tax, are transparent taxes. For example, when an employer deducts taxes from the wages of an employee, the employee can see the amount of tax deducted, as it is included on his or her wage statement, or pay-slip. Self-employed tax payers can also see the amount of tax they need to pay to the government, hen they complete their tax returns. In a democracy, tax transparency means that governments have to justify taxes they impose to their voters, and tax-paying voters always aware of the tax burdens imposed on them by politicians. Environmental Benefits of Indirect Taxation Governments use Indirect taxes, such as taxes added to the price of goods and services, to modify the behaviour of individuals in order to help a chieve environmental goals. For example, the true price of gasoline, at point of delivery to the public is low. The price does not encourage people to reduce their use of gasoline by using public transport, or buying more fuel-efficient vehicles. If a government wishes to reduce the use of gasoline as part of an environmental protection goal, it can artificially inflate the price of gasoline to the consumer, by imposing a sales tax to increase the price. When a government imposes a high enough tax on gasoline, it results in a reduction of demand for gasoline, and thus aids the government in implementing its environmental policy. Source: Wikinvest Question 8: The Bretton Woods system was established in 1944 as the major capitalist powers initiated a program of national regulation aimed at containing the contradictions of the world economy and preventing the development of socialist revolution. Its demise in 1971 inaugurated a new stage, characterised by the development of globalised production and the domination of an international financial market. When the US pulled the rug from under the previous system it did so in order to maintain its position of global hegemony in the new economic order which was beginning to emerge. It managed to do so but at great cost. The free market program it has so strenuously promoted over the past 30 years has intensified all the contradictions of the capitalist mode of production. At the same time, starting with the unilateral decision of August 15, 1971, the basis for collaboration between the major capitalist powers has been narrowing. The combined impact of these two processes has created the conditions for major economic, social and political upheavals in the world capitalist economy in the period immediately ahead. Source: Wordiq Question 9: There are many factors that influence the exchange rate of US dollar. Generally speaking, there are mainly four reasons: first, the health condition and the rate of return for investment of the US economy, secondly, the balance of international payment in the US, thirdly, the level of interest rates in the US compared with those in other countries, and fourthly, the rate of inflation. The following might be the reason why it’s expected to continue tight throught to the basement floor: †¢ Massive budget and trade deficits. †¢ Ultra-low interest rates. (Zero on the short end. ) †¢ $59 trillion in unfunded liabilities for Social Security, Medicare and Medicaid. Bernanke conjuring extra trillions out of thin air to buy Treasuries and mortgage-back securities and patch various holes in the U. S. economy. There is no reason to believe any of these problems will vanish in the months ahead. Yet the dollar will soar in 2010. Here’s why†¦ Two Reasons for a Dollar Rebound There are two main forces that could drive the dollar high er: †¢ All the problems mentioned above are already well recognized and priced into the greenback. †¢ Dollar psychology is overwhelmingly bearish. Just as 10 years ago, investors couldn’t imagine Internet stocks doing anything but soaring higher. Five years ago, they couldn’t imagine real estate doing anything but barrelling down the same one-way street. Record lows for the dollar are coinciding with enormous confidence that the dollar has nowhere to go but down. When extreme valuations are accompanied by unbridled optimism or abject pessimism, it virtually always marks a turning point – and an opportunity. This is no exception. Commentators seem to forget that all currency values are contingent. You can’t just look at fundamentals in the United States. You have to look at them abroad, too. And there isn’t uch out there right now that’s terribly positive†¦ America’s Fellow Heavyweights Have Problems, Too Take Europe, for example†¦ †¢ Eurozone: In the third quarter, the 16-nation Eurozone grew at a 1. 5% annual rate. The U. S economy, by comparison, grew at 3. 5%. European consumers and most business sectors are still feeling the pain from the deepest recession since the 1930s. The continent is likely to be the weakest region for global expansion next year, according to Julian Callow, Chief European Economist at Barclays Capital in London. †¢ United Kingdom: This is no bastion of strength, either. Europe’s biggest economy outside the Eurozone is still in recession, due to overly indebted British households and tight credit. British GDP contracted at an annualized 1. 6% in the third quarter. †¢ Japan: The world’s second-largest economy has its own problems, too. At 172% of GDP, Japan’s government debt is by far the largest among rich nations. What’s more, it’s expected to reach 200% next year – and hit 300% within a decade. Rising social security costs and the weak economy are the primary culprits. The new government there is trying to prevent a double-dip recession by spending even more. But with government debt soaring to records, talk of new stimulus measures is already pushing up long-term rates and threatening to curtail the impact of fresh spending. Source: Economics help Question 10: Standard deviation is a widely used measurement of variability or diversity used in statistics and probability theory. It shows how much variation or â€Å"dispersion† there is from the â€Å"average† (mean, or expected/budgeted value). A low standard deviation indicates that the data points tend to be very close to the mean, whereas high standard deviation indicates that the data are spread out over a large range of values. Technically, the standard deviation of a statistical population, data set, or probability distribution is the square root of its variance. It is algebraically simpler though practically less robust than the average absolute deviation. A useful property of standard deviation is that, unlike variance, it is expressed in the same units as the data. Note, however, that for measurements with percentage as unit, the standard deviation will have percentage points as unit. In addition to expressing the variability of a population, standard deviation is commonly used to measure confidence in statistical conclusions. For example, the margin of error in polling data is determined by calculating the expected standard deviation in the results if the same poll were to be conducted multiple times. The reported margin of error is typically about twice the standard deviation – the radius of a 95 percent confidence interval. In science, researchers commonly report the standard deviation of experimental data, and only effects that fall far outside the range of standard deviation are considered statistically significant – normal random error or variation in the measurements is in this way distinguished from causal variation. Standard deviation is also important in finance, where the standard deviation on the rate of return on an investment is a measure of the volatility of the investment. When only a sample of data from a population is available, the population standard deviation can be estimated by a modified quantity called the sample standard deviation [pic] Risks can be reduced in four main ways: Avoidance, Diversification, Hedging and Insurance by transferring risk. Systemic risk, also called market risk or un-diversifiable risk, is a risk of security that cannot be reduced through diversification. Participants in the market, like hedge funds, can be the source of an increase in systemic risk and transfer of risk to them may, paradoxically, increase the exposure to systemic risk. Unsystematic risk also called the diversifiable risk or residual risk. The risk that is unique to a company such as a strike, the outcome of unfavorable litigation, or a natural catastrophe that can be eliminated through diversification. A ratio developed by Nobel laureate  William F. Sharpe to measure risk-adjusted performance. The  Sharpe ratio  is calculated by subtracting the risk-free rate – such as  that of the  10-year U. S. Treasury bond –  from the rate of return for a portfolio and dividing the result by the standard deviation of the portfolio returns. The Sharpe ratio formula is: [pic] The Sharpe ratio tells us whether a portfolio's returns  are due to smart investment decisions or a result of excess risk. This measurement is very useful because  although one portfolio or fund can reap higher returns than its peers, it is only a good investment if those higher returns do not come with too much additional risk. The greater a portfolio's Sharpe ratio, the better its risk-adjusted performance has been. A negative Sharpe ratio indicates that a risk-less asset would perform better than the security being analyzed. A variation of the Sharpe ratio is the Sortino ratio, which removes the effects of upward price movements on standard deviation to measure only return against downward price volatility. The Treynor ratio (sometimes called the reward-to-volatility ratio or Treynor measure), named after Jack L. Treynor, is a measurement of the returns earned in excess of that which could have been earned on an investment that has no diversifiable risk (e. g. Treasury Bills or a completely diversified portfolio), per each unit of market risk assumed. The Treynor measure is similar to the Sharpe measure, but the Treynor measure uses the portfolio’s beta instead of the portfolio’s standard deviation. The Treynor measure is calculated as follows: (rp – rf) / ? p In this equation, rp = the average return on the portfolio, rf = the average risk-free rate, and ? p = the weighted average beta of the portfolio. The Treynor measure is found by dividing the portfolio risk premium by the portfolio risk as measured by the beta. An asset’s Treynor measure in isolation also means little. It also must be measured against the market’s Treynor measure, which is calculated by dividing the market risk premium, or the return on the market minus the risk-free rate by the beta of the market, which is 1. 0. If the asset’s Treynor measure is greater than the market’s Treynor measure, the asset has outperformed on a risk-adjusted basis. Source: Investopedia SECTION B: ESSAY QUESTIONS Question 1: One of the primary uses of PPP is in lessening the misleading effects of shifts in a national currency. This is particularly an issue when calculating a nation's Gross Domestic Product (GDP). For example, if the riel falls in value to 80% of its value on the dollar, the GDP as expressed in US dollars will also drop to 80%. This does not accurately reflect the standard of living in that country (a common use of GDP), however, because the devaluation of the riel is most likely due to international trade issues that will not yet have had any effect on the average Cambodian. By using purchasing power parity, however, one is not misled by the temporary devaluation of the riel in relation to the dollar — a Big Mac ® still costs 9,000 riel in Cambodia and $3 USD in the US, and so the Big Mac ® index exchange rate remains the same. Purchasing power parity is, of course, an imperfect device for determining things such as GDP, as the exchange rate will vary based on the basket item used for the index. This effect is lessened by looking at a large sample of commodities, rather than one or two, but this simply minimizes the problem rather than eliminating it entirely. It is also worth noting that PPP lumps items together into broad classes, not taking into account things such as quality — a hat is a hat is a hat, and its value in the index remains static, even though a shoddy hat's value on the international market would be much lower than a well-made hat's value. According to interest rate parity the difference between the (risk free) interest rates paid on two currencies should be equal to the differences between the spot and forward rates. If interest rate parity is violated, then an arbitrage opportunity exists. The simplest example of this is what would happen if the forward rate was the same as the spot rate but the interest rates were different, then investors would: 1. borrow in the currency with the lower rate 2. convert the cash at spot rates 3. enter into a forward contract to convert the cash plus the expected interest at the same rate 4. nvest the money at the higher rate 5. convert back through the forward contract 6. repay the principal and the interest, knowing the latter will be less than the interest received. Therefore, we can expect interest rate parity to apply. However, there is evidence of forward rate bias. Covered interest rate parity Assuming the arbitrage opportunity described above does not exist, then the relations hip for US dollars and pounds sterling is: (1 + r? )/(1+r$) = (? /$f)/(? /$s) where r? is the sterling interest rate (till the date of the forward), r$ is the dollar interest rate, /$f is the forward sterling to dollar rate, ?/$s is the spot sterling to dollar rate Unless interest rates are very high or the period considered is long, this is a very good approximation: r? = r$ + f where f is the forward premium: (? /$f)/(? /$s) -1 The above relationship is derived from assuming that covered interest arbitrage opportunities should not last, and is therefore called covered interest rate parity. Uncovered interest rate parity Assuming uncovered interest arbitrage leads us to a slightly different relationship: r = r2 + E[? S] where E[? S] is the expected change is exchange rates. This is called uncovered interest rate parity. As the forward rate will be the market expectation of the change in rates, this is equivalent to covered interest rate parity – unless one is speculating on market expectations being wrong. The evidence on uncovered interest rate parity is mixed. The effect proposes that if the real interest rate is equal to the nominal interest rate minus the expected inflation rate, and if the rea interest rate were to be held constant, that the nominal rate and the inflation rate have to be adjusted on a one-for-one basis. Real interest rate = nominal interest rate – inflation rate. In simple terms: an increase in inflation will result in an increase in the nominal interest rate. For example, if the real interest rate is held at a constant 5. 5% and inflation increased from 2% to 3%, the Fisher Effect indicates that the nominal interest rate would have to increase from 7. 5% (5. 5% real rate + 2% inflation rate) to 8. 5% (5. 5% real rate + 3% inflation rate). International Fisher Effect theory that the currency of a nation with a comparatively higher interest rate will depreciate in value in comparison to the currency of a nation with a comparatively lower interest rate. It further implies that the extent of depreciation will be equal to the difference in interest rates in those two nations. It is based on the observation that the level of real interest rate in an economy is closely linked to the level of local inflation rate and is independent of a government's monetary policies. Thus, in general, the higher the inflation rate, the lower the value of currency. Source: Investopedia Question 2: Firstly, Comparative advantage was first described by Robert Torrens in 1815 in an essay on the Corn Laws. He concluded it was to England's advantage to trade with Portugal in return for grain, even though it might be possible to produce that grain more cheaply in England than Portugal. However, the concept is usually attributed to David Ricardo who explained it in his 1817 book On the Principles of Political Economy and Taxation in an example involving England and Portugal. In Portugal it is possible to produce both wine and cloth with less labor than it would take to produce the same quantities in England. However the relative costs of producing those two goods are different in the two countries. In England it is very hard to produce wine, and only moderately difficult to produce cloth. In Portugal both are easy to produce. Therefore while it is cheaper to produce cloth in Portugal than England, it is cheaper still for Portugal to produce excess wine, and trade that for English cloth. Conversely England benefits from this trade because its cost for producing cloth has not changed but it can now get wine at a lower price, closer to the cost of cloth. The conclusion drawn is that each country can gain by specializing in the good where it has comparative advantage, and trading that good for the other. Example: Two men live alone on an isolated island. To survive they must undertake a few basic economic activities like water carrying, fishing, cooking and shelter construction and maintenance. The first man is young, strong, and educated. He is also faster, better, and more productive at everything. He has an absolute advantage in all activities. The second man is old, weak, and uneducated. He has an absolute disadvantage in all economic activities. In some activities the difference between the two is great; in others it is small. Despite the fact that the younger man has absolute advantage in all activities, it is not in the interest of either of them to work in isolation since they both can benefit from specialization and exchange. If the two men divide the work according to comparative advantage then the young man will specialize in tasks at which he is most productive, while the older man will concentrate on tasks where his productivity is only a little less than that of the young man. Such an arrangement will increase total production for a given amount of labor supplied by both men and it will benefit both of them. Imperfect market refers to a type of  market that does not operate under the rigid rules of perfect competition. Perfect competition implies an industry or market in which no one supplier can influence prices, barriers to entry and exit are small, all suppliers offer the same goods, there are a large number of   suppliers and buyers, and information on pricing and process is readily available. Forms of imperfect competition include monopoly, oligopoly, monopolistic competition, monopsony and oligopsony. Thirdly, a product life cycle refers to the time period between the launch of a product into the market till it is finally withdrawn. In a nut shell, product life cycle or PLC is an odyssey from new and innovative to old and outdated! This cycle is split into four different stages which encompass the product's journey from its entry to exit from the market. The product life cycle theory is used to comprehend and analyze various maturity stages of products and industries. Product innovation and diffusion influence long-term patterns of international trade. This term product life cycle was used for the first time in 1965, by Theodore Levitt in an Harvard Business Review article: â€Å"Exploit the Product Life Cycle†. Anything that satisfies a consumer's need is called a ‘product'. It may be a tangible product (clothes, crockery, cars, house, and gadgets) or an intangible service (banking, health care, hotel service, airline service). Irrespective of the kind of product, all products introduced into the market undergo a common life cycle. To understand what this product life cycle theory is all about, let us have a quick look at its definition. This cycle is based on the all familiar biological life cycle, wherein a seed is planted (introduction stage), germinates (growth stage), sends out roots in the ground and shoots with branches and leaves against gravity, thereby maturing into an adult (maturity stage). As the plant lives its life and nears old age, it shrivels up, shrinks and dies out (decline stage). Similarly, a product also has a life cycle of its own. A product's entry or launching phase into the market corresponds to the introduction stage. As the product gains popularity and wins the trust of consumers it begins to grow. Further, with increasing sales, the product captures enough market share and gets stable in the market. This is called the maturity stage. However, after some time, the product gets overpowered by latest technological developments and entry of superior competitors in the market. Soon the product becomes obsolete and needs to be withdrawn from the market. This is the decline phase. This was the crux of a product life cycle theory and the graph of a product's life cycle looks like a bell-shaped curve. Let us delve more into this management theory. Source: Buzzle Question 3: | | |Belize |Costa Rica | |Earnings before taxes | |1,000,000. 00 |1,500,000. 0 | |corporate income tax Rate | |0. 4 |0. 3 | |Tax | |400,000. 00 |450,000. 00 | |Earnings after taxes | |600,000. 00 |1,050,000. 00 | | | |300,000. 0 |525,000. 00 | |Dividend wtax rate   | |0. 1 |0 | |Dividend wtax amount | |30,000. 00 |0 | |Remitted amount after wtax | |270,000. 00 |525,000. 0 | | | | | | |Current US Corporate income tax rate | | |5% | |Dividend received by US parent after US Corporate tax | | |26,2500. 00 | |Net Dividend Received | |270,000. 0 |498,750. 00 | | | | | | |Total Earning before tax |250,000. 00 | | | | | | | | |Total Dividend received by Gramboa |768,750. 0 | | | |Total Tax pa id |906,250. 00 | | | | | | | | |Overall effective tax  rate |36. 35% | | | Question 4: Option 1 – No Hedging Assume that the expected spot rate in 90 Days is indeed $1. 7850/?. Now: a) 90 days putX = 1. 75P = 0. 015 b) 90 daysX = 1. 71P = 0. 01 3 months laterExercise Option (a) Received = (1. 75 – 0. 015) * 3mil = $5,205,000. 00 Answer: Do Not exercise Option 2 – Forward Hedge Buy a forward hedge at 90 Days forward rate at $1. 7550/? Now enter F @ 1,755 Money receivable in $ = 1. 755 x 3m = $5. 265m Option 3 – Money Market Hedge 1) Day 1 – Borrow ? , Amount borrowed = ? (3m / (1 + (14/4) /100)) = ? 2,898,550. 00 2) Day 1 – Convert all ? to $ = $1. 762 x 2,898,550. 00 = $5,107,246. 00 Option 1: Put $5,107,246. 0 to US bank @ 6% Option 2: Use $5,107,246. 00 as capital investment 3 months later:Option 1 Received ? 3 mil to pay ? 3 mil to British Bank Dollars in pocket = $5,107,246. 00 * (1+6%* 3/12) = $5,183,854. 69 Option 2 Received ? 3 mil to pay ? 3 mil to bank $5,107,246. 00 (1+12%*3/12) = $5,260,463. 00 Conclusion Money market is the best option as the m oney received is more than Put option hedge. Forward hedge resulted in receiving more than money market hedge wheras no hedging is assuming that the expected spot rate is reached but that is leaving it to chance. — END OF ASSIGNMENT–